ENT FINAL EXAM 2022

ENT FINAL EXAM 2022 Set 1 Tutorial 10 MCQ 1) Which of the following is the main purpose for writing a business plan? A) The plan helps the company develop a "road map" to follow. B) The plan introduces potential investors and other stakeholders to the business opportunity. C) Both A and B are equally important. D) Neither A nor B captures the true purpose of a business plan. E) Reason A is the most important for experienced entrepreneurs and reason B is the most important for inexperienced entrepreneurs. 2) A business plan is best described as a(n) A) narrative description of a new business B) contract C) budget D) agreement E) marketing initiative WRITING A BUSINESS PLAN Question: when the appropriate time is to write a business plan Answer: The time to write a business plan is toward the end of the stage in the entrepreneurial process, "Moving from an Idea to an Entrepreneurial Firm." Its a mistake to write a full business plan too early. The business plan must be substantive enough to have sufficient details about the merits of the new venture to convince the reader that the new business is exciting and should receive support. WRITING A BUSINESS PLAN What are the two primary reasons for those starting a new venture to write a business plan? Answer: • A business plan is important for two reasons. • First, a business plan is an internal document that helps a new business flesh out its business model and solidify its goals. • Second, a business plan is a selling document for a company. It provides a mechanism for a young company to present itself to potential investors, suppliers, business partners, and key job candidates by showing how all the pieces of a new venture fit together to create an organization capable of meeting its goals and objectives. 3) The document that does the best job of introducing potential investors and other stakeholders with the business opportunity the firm is pursuing and how it plans to pursue it is the A) business plan B) feasibility analysis C) opportunity analysis D) industry analysis E) marketing plan 4) For most business plans pages are sufficient A) 40 to 50 B) 30 to 40 C) 15 to 20 D) 25 to 35 E) 5 to 10 • What is the purpose of the "Operations Plan" section of a business plan? Answer: The operations plan section of a business plan outlines how the business will be run and how the product or service will be produced. 5) Kevin Andrews has decided to write a business plan that is intended to be read primarily by his staff, which will present a blueprint for his company's entire operation and will provide guidance to operational managers. Kevin should write a(n) business plan. A) operational B) tactical C) strategic D) summary E) functional 6) Melanie Summer spoke to an investor who is interested in her business idea. Melanie offered to send the investor a copy of her full business plan, but the investor asked for a short overview of the business plan instead. What portion of her business plan should Melanie send the investor? A) Marketing plan B) Executive summary C) Elevator pitch D) Company description E) Operations plan 7) A company's mission statement should be placed in the section of its business plan. A) marketing plan B) management team and company structure C) company description D) market analysis E) industry analysis What is the difference between the industry analysis and the market analysis section of a business plan? Answer: The industry analysis describes the industry the business will be in, such as the toy industry, the fitness center industry, or the electronic games industry. The market analysis describes the specific target market within the broader industry the firm plans to target, such as the educational toy market for two- to seven- year-old children in the broader toy industry. 8) The section of a business plan breaks the industry into segments and zeroes in on the specific segment (or target market) to which the firm will try to appeal. A) competitive analysis B) current status C) market analysis D) marketing plan E) operations plan 9) is a graphic representation of how authority and responsibility are distributed within a company. A) organizational chart B) personnel chart C) human resources chart D) administrative chart E) directional chart 10) A prototype is_--- A) a form of opportunity recognition B) a tool for evaluating the industry a new firm plans to enter C) a financial model D) the first physical depiction of a new product E) a tool for evaluating the organizational prowess of a new firm 11) Peter Watson is thinking about launching a small business consulting company. To get advice on how to proceed, he stopped by his local Small Business Administration (SBA) office. The SBA advisor told Peter that one of the first things he needs to do is to sit down and write a 25 to 35 page narrative that describes what his new business plans to accomplish and how it plans to accomplish it. The SBA advisor is telling Peter to write a(n) -_ A) tactical plan B) marketing plan C) operations plan D) business plan E) feasibility analysis 12) Which of the following business plans matches with its appropriate emphasis? A) Summary business plan works best for companies who are at the point where they need funding or financing; serves as a "blueprint" for the company's operations. B) Operational business plan works best for companies in the early stages of development that want to "test the waters" to see if investors are interested in their idea. C) Full business plan works best for companies in the early stages of development that want to "test the waters" to see if investors are interested in the idea. D) Summary business plan is meant primarily for an internal audience and works best as a tool for creating a blueprint for a company's operations and providing guidance to operational managers. E) Summary business plan works best for companies in the early stages of development 13) A company's mission statement should be placed in the section of its business plan. A) marketing plan B) management team and company structure C) company description D) market analysis E) industry analysis 14) Industry structure refers to how an industry is A) concentrated or fragmented B) traditional or progressive C) innovative or conservative D) hierarchical or flat E) large or small 15) According to the textbook, many investors and others who read business plans look first at the executive summary and then go directly to the section of the business plan to make their preliminary assement A) management team and company structure B) product (or service) design and development plan C) industry analysis D) marketing plan E) operations plan 16) A(n) is a graphic representation of how authority and responsibility are distributed within a company. A) organizational chart B) personnel chart C) human resources chart D) administrative chart E) directional chart 17) The document that lays out specifically how much money a firm needs, where the money will come from, and what the money will be used for is referred to as a(n) A) sources and uses of funds statement B) assumptions sheet C) pro forma financial statement D) credit and debit statement E) capital and operational budgeting statement Set 2 (week 11) 1) Kyle White owns a sporting goods store that appeals to hunters and fishermen. The market that Kyle is trying to appeal to is called his market. A) focal B) objective C) target D) critical E)Intention 2) The first step in selecting a target market is to study the industry in which the firm intends to compete and determine the different potential target markets in that industry. This process is called A) market positioning •B) market splitting •C) market targeting •D) market subdividing E)Market segmentation 3) Which of the following is the correct sequence of events to the process of selecting a target market and position strategy? •A) Create a unique positioning strategy, Select a target market, Segment the market •B) Segment the market, Create a unique positioning strategy, Select a target market •C) Segment the market, Select a target market, Create a unique positioning strategy •D) Select a target market, Create a unique positioning strategy, Segment the market •E) Create a unique positioning strategy, Segment the market, Select a target Market 4) Katherine Ford is thinking about starting a computer company. After doing some research, she has decided that the computer industry can be divided into the following product categories — handheld computers, laptops, tablet computers, PCs, work stations, minicomputers, mainframes and super computers. She is now trying to decide which product category she is the most interested in competing in. The process that Katherine is going through is called market •A) splitting •B) subdividing •C) segmentation •D) dividing •E) separating A. A market is a place within a market segment that represents a narrower group of customers with similar interests. • A) position • B) niche • C) slot • D) spot • E) gap 6) Nike's familiar phrase "Just do it" is an example of a(n) •B) tagline •C) notice-line •D) catchline •E) grabline 7) Which of the following statements is correct regarding the concept •A) Brands cannot be built through advertising, public relations, sponsorships, social media, or similar techniques. •B) A company doesn't normally want its customers to identify with its brand. •C) Startups usually start with an established brand. •D) A brand can be one of a company's most valuable assets. •E) A brand can denote a negative impression of a company. 8) When Red Bull was first being introduced, the company would hand out free samples of its product at extreme sports events (e.g., skateboarding, wakeboarding and mountain biking competitions). Red surrounding its product. Bull's objective was to create •A) buzz •B) noise •C) clatter •D) clamor •E) ruckus 9) The APS of marketing refer to a company's •A) tactical mix •B) promotional blend •C) organizational mix •D) marketing mix E)Selling Mix 10) A is something that takes on a physical form, such as a smartphone or a laptop computer. A is an activity or benefit that is intangible, such as an airplane trip or advice from an accountant, •A) product; service •B) service; component •C) component; service •D) formation; service •E) service; product 11) In -based pricing, the list price of an item is determined by adding a markup percentage to a product's cost. .A) cost •B) compliance •C) value •D) competitive •E) economic 12) Efforts to establish and maintain a company's image with the public are referred to as–––––– .A) open relations •B) public relations •C) civic relations •D) community relations •E) advertising 13) A firm's sales process ––––– •A) is typically not put in place until a year or more after a startup launches •B) describes its branding strategy •C) depicts the steps it goes through to identify prospects and close sales •D) describes its social media strategy •E) depicts the steps it goes through to identify its target market and positioning strategy Set 3 1) New product development, other product-related strategies, and international expansion are examples of growth strategies, A) external B) domestic C) primary D) internal E in-house 2) Internally generated growth is often called organic growth because it does not rely on •A) outside intervention •B) its own skills and capabilities •C) external funding •D) internal leadership •E) internal design expertise 3) Which of the following is an example of an external growth strategy? *A) Geographic expansion *B) Improving an existing product or service *C) Increasing the market penetration of an existing product or service •D) Extending product lines • E) Strategies alliance 4) Which mechanism for firm growth involves the creation and sale of new products or services? *A) Strategic alliances •B) New product development •C) Licensing •D) Franchising •E) Joint ventures 5) Which of the following is an advantage of internal growth strategies? *A) Need to develop new resources •B) Get quality and pricing right •C) Investment in a failed internal effort can be difficult to recoup •D) Provides maximum control •E Adds to industry capacity 6) Internally generated growth is often called growth. •A) artificial •B) natural •C) acquisitive *D) organic •E) inorganic 7) A strategy seeks to increase the sales of a product or service through greater marketing efforts or through increased production capacity and efficiency, *A) product line extension •B) product line sharpening •C) product line widening *D) market penetration •B) market expansion 8) A strategy involves making additional version fof a product so that it will appeal to different clicntele *A) market penetration •B) geographic expansion •C) improving an existing product or service •D) strategic alliance •E) product line extension 9) Entrepreneurial businesses that grow by expanding from their original location to additional geographic sites are pursing strategy. *A) common expansion •B) market penetration •C) universal networking •D)) geographic expansion •E) product line extension 10) Which of the following is the primary advantage of exporting as a foreign market entry strategy? *A) Provides a firm total control over its foreign operations •B) Ability to generate revenue •C) Exporting is a relatively inexpensive way for a firm to become involved in foreign markets. •D) The exporting company's customers put up most of the capital needed to establish the export operation. •E) Exporting involves very little effort on the part of a firm. 11) A(n) is the pooling of interests to combine two or more firms into one. A is the outright purchase of one firm by another. A) acquisition; merger B) merger; acquisition C) licensing agreement; acquisition D) joint venture; strategic alliance E) strategic alliance; joint venture 12) In an acquisition, the surviving firm is called the and the firm that is acquired is called the A) target; acquirer B) goal; objective C) objective; aggressor D) acquirer; target E) aggressor; objective 13) is the granting of permission by one company to another company to use a specific form of its intellectual property under clearly defined conditions. *A) Verifying •B) Confirming •C) Endorsing •D) Licensing •E Certifying 14) Merchandise and character licensing is the licensing of a recognized trademark or brand that the licensor typically controls through a registered *A) trade secret or copyright •B) patent or copyright *C) trademark or patent *D) patent or trade secret •E) trademark or copyright 15) A is a partnership between two or more firms that is developed to achieve a specific goal and has no joint ownership involved. A) joint alliance B) joint venture C) licensing agreement D) merger E) strategic alliance Set 4 Week 13 Introduction to Entrepreneurship 1) Suppose you are a Small Business Development Center counsellor and you're locking at the personality profiles of five potential entrepreneurs. Based on the profiles, which individual has the most desirable mix of personal characteristics to become a successful entrepreneur? A) Candidate A: visionary, energetic, moderate risk taker B) Candidate B: seeks recognition, self-starter, creative C) Candidate C: visionary, high-risk taker, energetic D) Candidate D: high-risk taker, achievement-motivated, networker E) Candidate E: tolerant for ambiguity, seeks recognition, motivated primarily by money 2) Entrepreneurial firms A) are small firms that yield a level of income for their owners that is similar to what they would earn when working for an employer B) bring to market new products and services that are not particularly innovative C) offer to customers common products that are not particularly innovative, and provide their owners) the opportunity to pursue a particular lifestyle and earn a living while doing so D) provide their owners) the opportunity to pursue a particular lifestyle and earn a living while doing so E) bring new products and services to market by creating and seizing opportunities 3) According to the textbook, there are three types of startup firms A) lifestyle firms, general firms, and entrepreneurial firms B) standard of -living firms, statutory firms, and general firms C) entrepreneurial firms, standard of living firms, and statutory firms D) lifestyle firms, salary-substitute firms, and entrepreneurial firms E) innovative firms, entrepreneurial firms, and standard firms 4) According to the textbook, Dropbox, Facebock, and Link examples of A) lifestyle B) salary-substitute C) industry-standard D) entrepreneunal E) standard-of-living 5) Colorado Sandwich, Soup and Salad is a casual dining restaurant that has been owned by Stephanie Peterson for the past 14 years. The restaurant offers a menu that is typical for casual dining restaurants affords Stephanie a level of income that is similar to what she would earn in a conventional job. According to the textbook, Colorado Sandwich, Soup and Salad is an example of a(n) A)Salary-substitute B) entrepreneurial C) quality-of-life D) lifestyle E) Industry-standard 6) Montana Sky Trails leads multiday outdoor adventure trips for private groups and corporate clients to various locations across Montana. The company was started by Justin Smith, an individual that gave up a prestigious job in banking because Montana Sky Trails better accommodates his personal lifestyle. Montana Sky Trails is an example of a(n) A) entrepreneurial B) salary-substitute C) standard-of-living D) statutory E) lifestyle 7) Cody Rodgers is the founder of a company named Extreme Sports Apparel. The company makes apparel products for extreme sports enthuislasts such as rock climbers, triathletes, skateboarders, and BMX bikers. Cody wants his company to pursue a high level of corporate entrepreneurship. To achieve that goal, Cody's fm should Be A) innovative, risk averse, and take a wait and see" posture B) taking a wait and see* posture, innovative, and risk taking C) proactive, not innovative, and risk taking D) taking a "wait and see* posture, not innovative, and risk averse E) proactive, innovative, and risk taking 8) Which of the following statements regarding survival rates of entrepreneurial firms in the United States is correct? A) As high as 50 percent after four years B) As high as 60 percent after four years C) As high as 70 percent after four years D) As high as 80 percent after four years E) As high as 90 percent after four years 9) According to the Global Entrepreneurship Monitor (GEM) 2015- 2016 study, the majority of people in high-income countries are drawn to entrepreneurship A) to take advantage of an attractive opportunity B) due to lack of career prospects C) as a result of government incentives D) because an important role model was an entrepreneur E) to gain prestige 10) Google is a firm that is proactive, innovative and risk-taking. From this description, we can most accurately conclude that Google has a high level of A) enterprise focus B) innovative intensity C) entrepreneurial intensity D) creative intensity E) innovative concentration 11) An event that prompts an individual to become un entrepreneur as losing a job, inheriting money, or accommodating a certain le referred to as a(n) A) prompting event B) entrepreneurial prompt C) initiating event D) triggering event E) kick-off event 12) Tracy Brady is in the process of developing an exciting new product in the smartphone industry. She'd like to show a preliminary description of the product to industry experts and prospective customers to solicit their feedback. Tracy should complete and distribute a(n) . A) perception B) usability C) early adopter D) concept E) Adoption risk reward 13) Which of the following is the correct sequence of events to the process of selecting a target market and position strategy? A. Create a unique position, select a target market, segment the market Segment the market, create a unique position strategy. Select target market B. segment the market, create a unique positioning strategy, select target market C. segment the market, select target market. Create a unique positioning strategy A. Select a target market, create a unique positioning strategy, Segment the market B. Create a unique positioning strategy, Segment the market, Select a target market