ESB Exam One (GMETRIX)- Entrepreneurship and Small Business Study Set with Complete Solutions!

What is Entrepreneurship? A) Marketing and selling products. B) Setting up a business with the aim to make a profit. C) Acquiring leadership and managerial skills. D) Quickly advancing in positions within a corporation. - ANSWER-B) Setting up a business with the aim to make a profit. You need to create a legal structure for your small business. You would like some of the benefits enjoyed by large corporations, but do not want to be taxed twice. You have four partners who will be shareholders. None of you plan to sell your ownership shares to the public, but do want to be protected from business liabilities. Which legal structure should you set up for your business? A) Sole Proprietorship B) C-Corporation C) Limited Liability Company D) S-Corporation - ANSWER-D) S-Corporation Which is one of the greatest benefits of being an entrepreneur? A) B) C) D) - ANSWER-Schedule control The owner of a landscaping business has notified that none of his competitors are including ponds or other water features in the gardens they create. The landscaper wants to determine the viability of this business opportunity. What should this entrepreneur do FIRST before offering to design and build water features as part of his landscaping business? A) B) C) D) - ANSWER-Ask the customers in the area if they are interested in adding a water feature to their gardens. What is a Target Market? A) Marketing with a bullseye goal. B) Sales to customers who use archery products. C) Customers to whom a company wants to sell its product and services. D) Advertising based on bullet points. - ANSWER-C) Customers to whom a company wants to sell its products and services. Your company manufactures 72 hr. emergency kits and sells them for a low-profit margin. You want to expand your customer base to increase your sales volume, but you have a limited budget. What marketing method would be the best choice? A) Distribute Flyers B) Social Media C) Email D) Local Television Ad - ANSWER-B) Social Media A DJ wants to analyze market reactions to the new music selections played at his dance last weekend. He advertises his weekly dances using social media and email. Which would be the most effective way to gather reactions from those who attended the dance? A) Personal Interviews B) Surveys C) Observation D) Focus Groups - ANSWER-D) Focus Groups You've been asked to classify several businesses as either B2B or B2C. For each business, select B2B or B2C.