MGT 420 Exam 1 Chapters 1 – 5
questions with complete solutions
Needs to be a successful entrepreneur - correct answer ✔✔A motivation to start and run a
business isn't enough; it must be coupled with a solid business idea, good financial
management, and effective execution to maximize chances for success.
Entrepreneurship - correct answer ✔✔the process by which individuals pursue opportunities
without regard to resources they currently control for the purpose of exploiting future goods
and services.
Entrepreneur - correct answer ✔✔behavior of these people find themselves trying to identify
opportunities and putting useful ideas into practice.
Entrepreneur behavior tasks - correct answer ✔✔The tasks called for by this behavior can be
accomplished by either an individual or a group and typically require 1) creativity, 2) drive, and
3) willingness to take risks.
Corporate Entrepreneurship - correct answer ✔✔Entrepreneurial action within an established
organization
entrepreneurial intensity - correct answer ✔✔the position of a firm on a conceptual continuum
that ranges from highly conservative to highly entrepreneurial
be their own boss, pursue their own ideas, and realize financial rewards. - correct answer
✔✔What are the three primary reasons that people become entrepreneurs and start their own
businesses?
,Four Primary Characteristics of Successful Entrepreneurs - correct answer ✔✔1) Passion for the
business
2) Product/Customer focus
3) Tenacity despite failure
4) Execution intelligence
passion for their business - correct answer ✔✔An entrepreneur's belief that his or her business
will positively influence people's lives; number one characteristic shared by successful
entrepreneurs; making a difference in people's lives
Five primary reasons passion is important for the launch of a successful entrepreneurial
organization - correct answer ✔✔Reason Passion is Important:
1) The ability to learn and iterate
2) A willingness to work hard for an extended period of time.
3) Ability to overcome setbacks and "no's"
4) The ability to listen to feedback on the limitations of your organization and yourself
5) Perseverance and persistence when the going gets tough.
product/customer focus - correct answer ✔✔A defining characteristic of successful
entrepreneurs that emphasizes producing good products with the capability to satisfy
customers. Also involves the diligence to spot product opportunities and to see them through to
completion.
Tenacity Despite Failure - correct answer ✔✔A defining characteristic for successful
entrepreneurs is their ability to persevere through setbacks and failures. Developing a new
business idea may require a certain degree of experimentation before a success is attained.
Setback and failures inevitably occurs during this process.
, execution intelligence - correct answer ✔✔The ability to fashion a solid idea into a viable
business is a key characteristic of successful entrepreneurs. The factor that determines whether
a startup is successful or fails.
Myths about entrepreneurs - correct answer ✔✔1. Entrepreneurs are born, not made
2. Entrepreneurs are gamblers
3. Entrepreneurs are motivated primarily by money
4. Entrepreneurs should be young and energetic
5. Entrepreneurs love the spotlight
moderate risk takers - correct answer ✔✔A trait most Entrepreneurs share who are often
characterized as willing to assume a moderate amount of risk in business, being neither overly
conservative nor likely to gamble.
Common traits and characteristics of entrepreneurs - correct answer ✔✔- A moderate risk taker
- optimistic disposition
- Persuasive
- A networker Promoter
- Achievement motivated
- Resource assembler/leverager
- Alert to opportunities
- Creative
- Self-confident
- Self-starter
- Decisive
- Tenacious
- Energetic
questions with complete solutions
Needs to be a successful entrepreneur - correct answer ✔✔A motivation to start and run a
business isn't enough; it must be coupled with a solid business idea, good financial
management, and effective execution to maximize chances for success.
Entrepreneurship - correct answer ✔✔the process by which individuals pursue opportunities
without regard to resources they currently control for the purpose of exploiting future goods
and services.
Entrepreneur - correct answer ✔✔behavior of these people find themselves trying to identify
opportunities and putting useful ideas into practice.
Entrepreneur behavior tasks - correct answer ✔✔The tasks called for by this behavior can be
accomplished by either an individual or a group and typically require 1) creativity, 2) drive, and
3) willingness to take risks.
Corporate Entrepreneurship - correct answer ✔✔Entrepreneurial action within an established
organization
entrepreneurial intensity - correct answer ✔✔the position of a firm on a conceptual continuum
that ranges from highly conservative to highly entrepreneurial
be their own boss, pursue their own ideas, and realize financial rewards. - correct answer
✔✔What are the three primary reasons that people become entrepreneurs and start their own
businesses?
,Four Primary Characteristics of Successful Entrepreneurs - correct answer ✔✔1) Passion for the
business
2) Product/Customer focus
3) Tenacity despite failure
4) Execution intelligence
passion for their business - correct answer ✔✔An entrepreneur's belief that his or her business
will positively influence people's lives; number one characteristic shared by successful
entrepreneurs; making a difference in people's lives
Five primary reasons passion is important for the launch of a successful entrepreneurial
organization - correct answer ✔✔Reason Passion is Important:
1) The ability to learn and iterate
2) A willingness to work hard for an extended period of time.
3) Ability to overcome setbacks and "no's"
4) The ability to listen to feedback on the limitations of your organization and yourself
5) Perseverance and persistence when the going gets tough.
product/customer focus - correct answer ✔✔A defining characteristic of successful
entrepreneurs that emphasizes producing good products with the capability to satisfy
customers. Also involves the diligence to spot product opportunities and to see them through to
completion.
Tenacity Despite Failure - correct answer ✔✔A defining characteristic for successful
entrepreneurs is their ability to persevere through setbacks and failures. Developing a new
business idea may require a certain degree of experimentation before a success is attained.
Setback and failures inevitably occurs during this process.
, execution intelligence - correct answer ✔✔The ability to fashion a solid idea into a viable
business is a key characteristic of successful entrepreneurs. The factor that determines whether
a startup is successful or fails.
Myths about entrepreneurs - correct answer ✔✔1. Entrepreneurs are born, not made
2. Entrepreneurs are gamblers
3. Entrepreneurs are motivated primarily by money
4. Entrepreneurs should be young and energetic
5. Entrepreneurs love the spotlight
moderate risk takers - correct answer ✔✔A trait most Entrepreneurs share who are often
characterized as willing to assume a moderate amount of risk in business, being neither overly
conservative nor likely to gamble.
Common traits and characteristics of entrepreneurs - correct answer ✔✔- A moderate risk taker
- optimistic disposition
- Persuasive
- A networker Promoter
- Achievement motivated
- Resource assembler/leverager
- Alert to opportunities
- Creative
- Self-confident
- Self-starter
- Decisive
- Tenacious
- Energetic
