EEE 2023 Exam 1 with Complete Solutions

Conservative firms ________. - ANSWER-are risk-averse The word "entrepreneur" was originally used to describe people who "_______" between buyers and sellers. - ANSWER-take on the risk An entrepreneur assembles and then integrates all the resources needed to transform an invention into a viable business. What is NOT a resource assembled by an entrepreneur? - ANSWER-Confidence Established firms with an orientation toward acting entrepreneurially practice _______. - ANSWER-Corporate Entreprenuership Entrepreneurship is defined as the process by which individuals pursue opportunities without regard to _____ they currently control for the purpose of exploiting future goods and services. - ANSWER-resources _____ firms often resist innovation. - ANSWER-Established The most common reason why people become entrepreneurs is to: - ANSWER-Be their own boss 3M, a company with more than $30 billion in revenues in 2016, encourages its employees to constantly look for business opportunities in terms of future goods and services. What 3M is doing is called _____. - ANSWER-Corporate Entreprenuerhsip Entrepreneurial firms are typically ____ innovators. - ANSWER-Proactive Some entrepreneurs transition from a traditional job to owning their own business more gradually by starting their business ___ to begin with. - ANSWER-Part-time The litmus test for entrepreneurs is their ability to persevere through _______. - ANSWER-setbacks and failures The ability to effectively execute a business idea means developing a ______. - ANSWER-business model What are characterics of a successful entreprenuer? - ANSWER-Execution intelligence, Product/customer focus, Tenacity despite failure, Passion for the business What are the common traits of an entreprenuer? - ANSWER-Decisive, Lengthy attention span, Persuasive, tolerant of ambiguity What are the three types of start-up firms? - ANSWER-Salary-substitute, Lifestyle, Entreprenuial What is an entrepreunial firm? - ANSWER-Bring new services/goods to the market, innovation that aims to take over the world Demographics of Entreprenuers: - ANSWER-Women and minority entreprenuers are growing, millineal and elderly entreprenuership is low Positive effects of entreprenuership: - ANSWER-Creative destruction (more innovation = better economy), more jobs, innovation The Entreprenuial Process - ANSWER-Decision to become an entreprenuer, developing a successful business idea, moving the idea into a firm, managing and growing the firm What's the difference between opportunities and ideas? - ANSWER-Opportunities are favorable sets of circumstances that could create a need in the market, ideas don't have to be feasible What are the characteristics of an opportunity? - ANSWER-attractive, timely, durable, anchored in a product, service, or business that creates or adds value for its buyer or end-user 3 General Approaches Entreprenuers Use for Identifying Opportunities: - ANSWER-Observing Trends, Solving problems, Finding gaps in the marketplace Current social trends: - ANSWER-health and wellness concerns, greener consumers, privacy concerns Personal Characteristics That Help an Entreprenuer Identify Opportunities: - ANSWER-Prior industry experience, entreprenuial alertness (sixth sense), networking, creativity Techniques Entreprenuers use to generate ideas: - ANSWER-Brainstorming, focus groups, research, day-in-the-life, bug lists What is a feasibility analysis? - ANSWER-the process of determining whether a business idea is viable What is a product/service feasbility analysis? - ANSWER-Assess appeal, desirability, and demand of product