ESB EXAM Study Guide with Verified Answers
1. Flexibility Ability to adapt, willingness to
change
2. Courage Takes risks in spite of possible
losses
3. Empathy Sensitive to thoughts and feelings
of others
4. What are three characteristics of entre- Creativity, Determination, Enthu-
preneurs? siasm
5. After a self-assessment, a potential en- Buy an existing business that is
trepreneur has learned that she has a already successful.
very low risk tolerance. Based upon
this finding, which approach might be
less stressful for the entrepreneur to
have her own business?
6. An entrepreneur moves into a small Location
town and notices several stores sell-
ing guns and ammunition. The entre-
preneur loves to compete in compet-
itive shooting events. Based on the
scenario provided, what should be em-
phasized in marketing to attract cus-
tomers?
7. An entrepreneur has been working for Lower Prices
a flooring business in a neighboring
town. He feels he is ready to open his
own flooring business in his local com-
munity. Which should be emphasized
in marketing to attract customers to
his new business?
8. Which is one of the greatest benefits of Being your own boss
entrepreneurship?
9.
, ESB EXAM Study Guide with Verified Answers
Which are three risks of entrepreneur- Long hours, potential business
ship? failure, financial insecurity
10. Gabe has worked as a journeyman Autonomy
electrician for an employer for the past
16 years. He is paid a good salary. His
only dissatisfaction is the hours are
long and often when he requests time
off he is denied because of customer
workload.
Which benefit of entrepreneurship will
Gabe most enjoy?
11. What is a primary benefit of starting Developing your own rules
a new business without purchasing a
franchise or buying an existing busi-
ness?
12. A mechanic just graduated from motor- Start a new business and in-
cycle repair school and wants to start vest $50,000 in modern diagnos-
a business because there is a lack of tic tools.
motorcycle repair shops in the local
town. Given the facts provided, which
opportunity would be the best choice
for the motorcycle mechanic to open a
business?
13. An entrepreneur who has a hobby in Build an online storefront
leathercraft wants to turn it into a
business. She wants to sell purses,
belts, and other leathercrafts from her
home. Which opportunity for starting a
leathercraft business would have the
highest probability of success?
14. Based upon the education and skills Businesses
gained from the years of vocational
training as an auto mechanic, as well
as having grown up in a family of en-
trepreneurs, a young adult decides to
, ESB EXAM Study Guide with Verified Answers
open an auto mechanic shop. Which
customer group will this new auto me-
chanic business support?
15. The owner of a pizza delivery business Geographic
is seeking new customers. The owner
has identified a group of potential cus-
tomers that have moved into some new
housing within reaches of his drivers.
Which method of segmentation is the
owner using?
16. A child daycare center needs to identi- Providing live web cams parents
fy a value of proposition that will help can access from the Internet by
parents feel secure about using their using a secure logon. Offering a
services. Which two initiatives meets list of references from other par-
this objective? ents
17. The owner of a pet daycare is present- Providing extended hours to pick-
ing a plan to investors to expand the fa- up and drop off pets before and
cility and promises the center will meet after work
the needs of customers with a variety
of schedules. What is a legitimate value
proposition for potential customers?
18. Which two groups benefit most from a Business owner
well-written business plan? Investors
19. Which of the following should be ad- Target Markets
dressed in the description section of a
business plan?
20. Easy to setup, but has unlimited liabil- Sole Proprietorship
ity.
21. Terminates upon death of a partner General or Limited Partnership
22. Double-taxed, but best for international C Corporation
businesses
1. Flexibility Ability to adapt, willingness to
change
2. Courage Takes risks in spite of possible
losses
3. Empathy Sensitive to thoughts and feelings
of others
4. What are three characteristics of entre- Creativity, Determination, Enthu-
preneurs? siasm
5. After a self-assessment, a potential en- Buy an existing business that is
trepreneur has learned that she has a already successful.
very low risk tolerance. Based upon
this finding, which approach might be
less stressful for the entrepreneur to
have her own business?
6. An entrepreneur moves into a small Location
town and notices several stores sell-
ing guns and ammunition. The entre-
preneur loves to compete in compet-
itive shooting events. Based on the
scenario provided, what should be em-
phasized in marketing to attract cus-
tomers?
7. An entrepreneur has been working for Lower Prices
a flooring business in a neighboring
town. He feels he is ready to open his
own flooring business in his local com-
munity. Which should be emphasized
in marketing to attract customers to
his new business?
8. Which is one of the greatest benefits of Being your own boss
entrepreneurship?
9.
, ESB EXAM Study Guide with Verified Answers
Which are three risks of entrepreneur- Long hours, potential business
ship? failure, financial insecurity
10. Gabe has worked as a journeyman Autonomy
electrician for an employer for the past
16 years. He is paid a good salary. His
only dissatisfaction is the hours are
long and often when he requests time
off he is denied because of customer
workload.
Which benefit of entrepreneurship will
Gabe most enjoy?
11. What is a primary benefit of starting Developing your own rules
a new business without purchasing a
franchise or buying an existing busi-
ness?
12. A mechanic just graduated from motor- Start a new business and in-
cycle repair school and wants to start vest $50,000 in modern diagnos-
a business because there is a lack of tic tools.
motorcycle repair shops in the local
town. Given the facts provided, which
opportunity would be the best choice
for the motorcycle mechanic to open a
business?
13. An entrepreneur who has a hobby in Build an online storefront
leathercraft wants to turn it into a
business. She wants to sell purses,
belts, and other leathercrafts from her
home. Which opportunity for starting a
leathercraft business would have the
highest probability of success?
14. Based upon the education and skills Businesses
gained from the years of vocational
training as an auto mechanic, as well
as having grown up in a family of en-
trepreneurs, a young adult decides to
, ESB EXAM Study Guide with Verified Answers
open an auto mechanic shop. Which
customer group will this new auto me-
chanic business support?
15. The owner of a pizza delivery business Geographic
is seeking new customers. The owner
has identified a group of potential cus-
tomers that have moved into some new
housing within reaches of his drivers.
Which method of segmentation is the
owner using?
16. A child daycare center needs to identi- Providing live web cams parents
fy a value of proposition that will help can access from the Internet by
parents feel secure about using their using a secure logon. Offering a
services. Which two initiatives meets list of references from other par-
this objective? ents
17. The owner of a pet daycare is present- Providing extended hours to pick-
ing a plan to investors to expand the fa- up and drop off pets before and
cility and promises the center will meet after work
the needs of customers with a variety
of schedules. What is a legitimate value
proposition for potential customers?
18. Which two groups benefit most from a Business owner
well-written business plan? Investors
19. Which of the following should be ad- Target Markets
dressed in the description section of a
business plan?
20. Easy to setup, but has unlimited liabil- Sole Proprietorship
ity.
21. Terminates upon death of a partner General or Limited Partnership
22. Double-taxed, but best for international C Corporation
businesses
