Question 1

Many entrepreneurs who start new businesses invent new products or processes.

Answer

• True
• False

Question 2

Many Boomers also plan to work after retirement from traditional jobs or careers, either because they want to or in order to boost income and savings.

Answer

• True

• False

Question 3

________ has further transformed the business environment for entrepreneurs.

Answer

• Project management

• Social networking

• Commercials
• Entrepreneurship

Question 4

 ________ are wealthy individuals who invest money directly in new ventures in exchange for equity, are a larger source of investment capital for start-up firms.

Answer

• Local investors

• Angel investors

• Small investors
• Corporate investors

Question 5

Some entrepreneurs do not find creative ways to obtain equity financing.

Answer

• True

• False

Question 6

A ________ project is initiated by an employee who conceives an idea, convinces top management of its potential, and then recruits human and other resources from within the company to turn the idea into a commercial project.

Answer

• Skunkworks

• Cooperative
• Open market
• Innovation

Question 7

The following can be classified as the different types of entrepreneurs, except:

Answer

• Class entrepreneurs
• Serial entrepreneurs
• Social entrepreneurs

• Basic entrepreneurs

Question 8

________ seems to be the key to business start-ups, especially in rapidly changing markets.

Answer

• Competitiveness

• Flexibility

• Financing
• Capital

Question 9

Dealing with unexpected events is not the norm for most entrepreneurs.

Answer

• True
• False

Question 10

When entrepreneurs use ________, they borrow money that they must repay.

Answer

• Seed capital

• Debt financing

• Borrowing
• Ventures

Question 11

The first African American woman billionaire ________ has built an empire stretching from television to magazines to radio.

Answer

• Oprah Winfrey

• Harriet Tubman
• Condoleezza Rice
• Bobbi Brown

Question 12

Entrepreneurs do not generally begin with a vision—an overall idea for how to make their business idea a success.

Answer

• True

• False

Question 13

An ________ is a risk taker in the private enterprise system, a person who seeks a profitable opportunity and takes the necessary risks to set up and operate a business.

Answer

• Consumer

• Entrepreneur

• Executive
• Employee

Question 14

Like buying an established business, buying a franchise offers a less risky way to begin a business than starting an entirely new firm.

Answer

• True

• False

Question 15

________ is the process of promoting innovation within their organizational structures.

Answer

• Entrepreneurship
• Ownership

• Intrapreneurship

• Revitalization

Question 16

Entrepreneurs have an internal locus of control, which means they believe that they control their own destinies.

Answer

• True

• False

Question 17

Government legislation can also encourage investment in the U.S. economy.

Answer

• True

• False

Question 18

Bill Gates and Paul Allen launched ________ with the vision of a computer on every desk and in every home, all running software.

Answer

• Apple
• Google
• Yahoo

• Microsoft*

Question 19

Demographic trends—including the aging of the U.S. population, the growth of ethnic groups, and the predominance of two-income families—create opportunities for entrepreneurs.

Answer

• True

• False

Question 20

The freedom to make all the decisions—being your own boss—is one of the biggest lures of entrepreneurship.

Answer

• True

• False