Docsity
Log inSign up
Docsity
Prepare for your exams
Prepare for your exams

Study with the several resources on Docsity

Earn points to download
Earn points to download

Earn points by helping other students or get them with a premium plan

Guidelines and tips
Guidelines and tips
Sell on Docsity
Sell on Docsity
Log inSign up

Prepare for your exams

Study with the several resources on Docsity

Find documents

Prepare for your exams with the study notes shared by other students like you on Docsity

Search Store documents

The best documents sold by students who completed their studies

Search through all study resources
Docsity AINEW

Summarize your documents, ask them questions, convert them into quizzes and concept maps

Explore questions

Clear up your doubts by reading the answers to questions asked by your fellow students

Earn points to download

Earn points by helping other students or get them with a premium plan

Share documents
download point icon20 Points

For each uploaded document

Answer questions
download point icon5 Points

For each given answer (max 1 per day)

All the ways to get free points
Get points immediately

Choose a premium plan with all the points you need

Study Opportunities

Choose your next study program

Get in touch with the best universities in the world. Search through thousands of universities and official partners

Community

Ask the community

Ask the community for help and clear up your study doubts

University Rankings

Discover the best universities in your country according to Docsity users

Free resources

Our save-the-student-ebooks!

Download our free guides on studying techniques, anxiety management strategies, and thesis advice from Docsity tutors

From our blog

Exams and Study
Go to the blog

LATEST MGMT 3850 HOMEWORK QUESTIONS AND ANSWERS 2025, Exams of Business Economics

Eastern UniversityBusiness Economics

LATEST MGMT 3850 HOMEWORK QUESTIONS AND ANSWERS 2025

Typology: Exams

2024/2025

Available from 06/28/2025

bonny-kahuro
bonny-kahuro šŸ‡ŗšŸ‡ø

228 documents

1 / 28

Toggle sidebar

This page cannot be seen from the preview

Don't miss anything!

bg1
1
LATEST MGMT 3850
HOMEWORK QUESTIONS AND
ANSWERS 2025
Essentials of Entrepreneurship & Small Business Mgmt., 7e (Scarborough)
Chapter 1 The Foundations of Entrepreneurship
1) One of the most significant economic developments in recent business history relates to the:
A) growth of blue-chip corporations.
B) development of Pacific Rim countries.
C) entrepreneurial spirit.
D) additional employment opportunities offered by government institutions.
Answer: C
Diff: 1 Page Ref: 1
AACSB: Reflective Thinking
Learning Obj.: 1
2) The recent number of job losses in large corporations compared to the jobs created by small
business has changed the perception of for launching a new business.
A) prestige
B) risk
C) financing opportunities
D) short-term potential
Answer: B
Diff: 2 Page Ref: 2
AACSB: Reflective Thinking
Learning Obj.: 1
3) The profile of an entrepreneur includes:
A) a desire for responsibility and moderate risk.
B) confidence in the ability to succeed and determination.
C) a high level of energy, a desire for immediate feedback and a future orientation.
D) All the above
Answer: D
Diff: 1 Page Ref: 5-6
AACSB: Reflective Thinking
Learning Obj.: 1
4) An entrepreneur is one who:
A) is willing to attempt to implement a business concept and then give up if it does not meet
immediate expectations.
B) understands the process of developing an idea and does not need to understand what it means
to bring that idea to a viable business concept.
C) knows that the concept they are about to develop will result in a profitable business.
pf3
pf4
pf5
pf8
pf9
pfa
pfd
pfe
pff
pf12
pf13
pf14
pf15
pf16
pf17
pf18
pf19
pf1a
pf1b
pf1c

Partial preview of the text

Download LATEST MGMT 3850 HOMEWORK QUESTIONS AND ANSWERS 2025 and more Exams Business Economics in PDF only on Docsity!

LATEST MGMT 3850

HOMEWORK QUESTIONS AND

ANSWERS 2025

Essentials of Entrepreneurship & Small Business Mgmt., 7e (Scarborough) Chapter 1 The Foundations of Entrepreneurship

  1. One of the most significant economic developments in recent business history relates to the: A) growth of blue-chip corporations. B) development of Pacific Rim countries. C) entrepreneurial spirit. D) additional employment opportunities offered by government institutions. Answer: C Diff: 1 Page Ref: 1 AACSB: Reflective Thinking Learning Obj.: 1
  2. The recent number of job losses in large corporations compared to the jobs created by small business has changed the perception of for launching a new business. A) prestige B) risk C) financing opportunities D) short-term potential Answer: B Diff: 2 Page Ref: 2 AACSB: Reflective Thinking Learning Obj.: 1
  3. The profile of an entrepreneur includes: A) a desire for responsibility and moderate risk. B) confidence in the ability to succeed and determination. C) a high level of energy, a desire for immediate feedback and a future orientation. D) All the above Answer: D Diff: 1 Page Ref: 5- 6 AACSB: Reflective Thinking Learning Obj.: 1
  4. An entrepreneur is one who: A) is willing to attempt to implement a business concept and then give up if it does not meet immediate expectations. B) understands the process of developing an idea and does not need to understand what it means to bring that idea to a viable business concept. C) knows that the concept they are about to develop will result in a profitable business.

D) creates a new business concept for the purpose of achieving profit and growth by assembling the necessary resources to capitalize on identified opportunities. Answer: D Diff: 1 Page Ref: 4 AACSB: Analytic Skills Learning Obj.: 2

  1. All of the following are characteristics of the typical entrepreneur except : A) confidence in his/her ability to succeed. B) value of money over achievement. C) desire for immediate feedback. D) a future orientation. Answer: B Diff: 1 Page Ref: 4- 7 AACSB: Reflective Thinking Learning Obj.: 2
  2. Entrepreneurs are characterized by: A) skill at organizing. B) desire for immediate feedback. C) high energy levels. D) All of the above Answer: D Diff: 1 Page Ref: 6- 7 AACSB: Reflective Thinking Learning Obj.: 2
  3. Entrepreneurs who repeatedly start businesses and grow to a sustainable size before striking out again are known as entrepreneurs. A) opportunistic B) persistent C) serial D) classic Answer: C Diff: 1 Page Ref: 6 AACSB: Reflective Thinking Learning Obj.: 2
  4. Entrepreneurs typically possess: A) the ability to easily access capital. B) a set of unique skills that is usually accompanied by advanced degrees in several areas. C) a high level of commitment, have a tolerance for ambiguity, are flexible and tenacious. D) specialized technical abilities. Answer: C Diff: 2 Page Ref: 6 AACSB: Reflective Thinking Learning Obj.: 2
  1. Entrepreneurs who start businesses because they cannot find work any other way are: A) necessity entrepreneurs. B) serial entrepreneurs. C) opportunity entrepreneurs. D) corporate cast-offs. Answer: A Diff: 1 Page Ref: 6 AACSB: Reflective Thinking Learning Obj.: 2
  2. In addition to the opportunity to create their own destiny and enjoy what they do, entrepreneurs also benefit from the ability to: A) earn tremendous wealth without risk and uncertainty. B) make a difference in an area important to them and be recognized for those efforts. C) create wealth without providing true value. D) exploit the opportunities that the free enterprise system offers. Answer: B Diff: 2 Page Ref: 9 AACSB: Reflective Thinking Learning Obj.: 3
  3. In a large organization, an individual may be stifled and limited by a wide variety of factors. However, by owning one's own business, the only limits are one's own creativity, talent, and determination. In this sense, small business ownership offers the advantage of the: A) opportunity to reach one's full potential. B) opportunity to reap unlimited profits. C) chance to learn from other's mistakes. D) ability to accumulate certain wealth. Answer: A Diff: 2 Page Ref: 10- 11 AACSB: Reflective Thinking Learning Obj.: 3
  4. Which of the following is a benefit of entrepreneurship? A) The opportunity to gain control over your own destiny. B) The opportunity to reach your full potential. C) The opportunity to do what you enjoy. D) All of the above Answer: D Diff: 1 Page Ref: 9- 11 AACSB: Reflective Thinking Learning Obj.: 3
  1. Potential drawbacks of entrepreneurship may include: A) uncertainty of income, risk, long hours, and high stress. B) uncertainty of income, risk, easy hours, and frequent vacations. C) uncertainty of income, risk, long hours, and the immediate accumulation of wealth. D) certainty of income, risk, long hours, and high stress. Answer: A Diff: 2 Page Ref: 12- 13 AACSB: Reflective Thinking Learning Obj.: 3
  2. It is estimated that percent of new businesses fail within two years, while percent fail within five years. A) 31; 51 B) 51; 64 C) 35; 41 D) 51; 31 Answer: A Diff: 3 Page Ref: 12 AACSB: Analytic Skills Learning Obj.: 3
  3. Within five years, percent of new businesses will fail. A) 31 B) 45 C) 51 D) 65 Answer: C Diff: 2 Page Ref: 12 AACSB: Analytic Skills Learning Obj.: 3
  4. The majority of new business owners work: A) fewer than 40 hours per week. B) more than 40 hours per week. C) more than 70 hours per week. D) more than 80 hours per week. Answer: B Diff: 2 Page Ref: 12 AACSB: Analytic Skills Learning Obj.: 3
  1. Entrepreneurs may find benefit from the Internet due to its potential: A) if the organization is willing to invest millions of dollars in this effort. B) only if the entrepreneur has a high level of technical abilities. C) as a relatively low-cost solution to expand its revenue-generating abilities. D) to take all pressure off other attributes of the business venture. Answer: C Diff: 2 Page Ref: 15 AACSB: Use of IT Learning Obj.: 4
  2. International opportunities are: A) clearly out of reach for entrepreneurial businesses. B) now within the reach of entrepreneurial businesses and may present significant opportunities. C) highly limited for entrepreneurs. D) risky and do not merit serious consideration by the entrepreneur. Answer: B Diff: 2 Page Ref: 16 AACSB: Multicultural & Diversity Learning Obj.: 4
  3. Which of the following statements concerning small businesses and international markets is false? A) Although terrorism and global recession have slowed the growth of international trade somewhat, global opportunities for small businesses have a long-term positive outlook. B) Although the U.S. is an attractive market, approximately 95 percent of the world's population lives outside its borders. C) Because exporting is so complex and requires a company to have so many international experts on staff, exporting is not feasible for small businesses. D) Small companies comprise 97 percent of all businesses engaged in exporting, yet they account for only 30 percent of the nation's export sales. Answer: C Diff: 3 Page Ref: 14 AACSB: Analytic Skills Learning Obj.: 4
  4. Small companies that operate globally from their inception are referred to as: A) micromultinationals. B) intrapreneurial ventures. C) global companies. D) international companies. Answer: A Diff: 1 Page Ref: 16 AACSB: Reflective Thinking Learning Obj.: 4
  1. Small companies that have expanded successfully into foreign markets tend to rely on all but which of the following strategies? A) Research foreign markets thoroughly. B) Focus on many countries initially. C) Utilize government resources designed to help small companies establish an international presence. D) Forge alliances with local partners. Answer: B Diff: 3 Page Ref: 16 AACSB: Multicultural & Diversity Learning Obj.: 4
  2. Entrepreneurial couples who work together as co-owners of their business are referred to as: A) dual entrepreneurs. B) corporate dropouts. C) corporate cast-offs. D) copreneurs. Answer: D Diff: 2 Page Ref: 22 AACSB: Reflective Thinking Learning Obj.: 5
  3. Women in business still experience as they attempt to break the "glass ceiling." A) success B) opportunities C) discrimination D) ease of navigation Answer: C Diff: 2 Page Ref: 19 AACSB: Multicultural & Diversity Learning Obj.: 5
  4. The demographic attributes of successful entrepreneurs are: A) limited to specific ages, genders, and ethnic backgrounds. B) uncertain and have not been fully studied or analyzed. C) are key predictors that determine how long the business will survive. D) highly diverse relating to age, gender, and ethnicity. Answer: D Diff: 2 Page Ref: 18 - 24 AACSB: Multicultural & Diversity Learning Obj.: 5
  1. Which of the following is NOT a characteristic of a successful working relationship between copreneurs? A) A clear definition of one partner as "boss" and the other as "subordinate" B) Compatible business and life goals C) Complementary business skills D) A clear division of roles and authority based on each partner's skills and abilities Answer: A Diff: 2 Page Ref: 22 - 23 AACSB: Multicultural & Diversity Learning Obj.: 5
  2. Which of the following is a characteristic of copreneurs? A) Mutual respect B) Complementary business skills C) A clear division of roles and authority D) All of the above Answer: D Diff: 1 Page Ref: 22 - 23 AACSB: Multicultural & Diversity Learning Obj.: 5
  3. Approximately percent of corporate managers who are "cast off" as companies downsize become entrepreneurs. A) 5 B) 15 C) 20 D) 45 Answer: C Diff: 3 Page Ref: 23 AACSB: Analytic Skills Learning Obj.: 5
  4. Melinda and John Perez, both corporate attorneys in New York City, have grown tired of their lengthy daily commute, the stress of their jobs, and the overbearing policies of their employers. They have decided to leave their six-figure jobs and together open a guide service in Wyoming. Melinda and John are examples of: A) corporate castoffs and corporate dropouts. B) corporate dropouts and copreneurs. C) corporate castoffs and copreneurs. D) copreneurs and serial entrepreneurs. Answer: A Diff: 2 Page Ref: 23 - 24 AACSB: Multicultural & Diversity Learning Obj.: 5
  1. Entrepreneurs that use their skills to create a profitable business that is designed to achieve social and environmental goals for the common good are known as: A) social entrepreneurs. B) not-for-profit entrepreneurs. C) copreneurs. D) serial entrepreneurs. Answer: A Diff: 2 Page Ref: 21 AACSB: Multicultural & Diversity Learning Obj.: 5
  2. Of the 28 million businesses in the United States, more than are considered small. A) 50 percent B) 75 percent C) 88 percent D) 99 percent Answer: D Diff: 2 Page Ref: 22 AACSB: Analytic Skills Learning Obj.: 6
  3. According to the U.S. Small Business Administration, a common delineation of a small business is one that employs fewer than: A) 50 people. B) 100 people. C) 250 people. D) 500 people. Answer: B Diff: 1 Page Ref: 26 AACSB: Analytic Skills Learning Obj.: 6
  4. The nation's small businesses: A) employ more than 51 percent of the nation's private sector workforce. B) create more jobs than do big businesses. C) account for 47 percent of business sales. D) All of the above Answer: D Diff: 2 Page Ref: 27 AACSB: Analytic Skills Learning Obj.: 6
  1. Small companies are incubators of new sales ideas, products and services and create times more patents per employee than large companies. A) 3 B) 5 C) 10 D) 13 Answer: D Diff: 3 Page Ref: 27 AACSB: Analytic Skills Learning Obj.: 6
  2. One hallmark of successful entrepreneurs is the ability to: A) be willing to gamble. B) fail intelligently. C) overlook past successes. D) repeat the same mistake. Answer: B Diff: 2 Page Ref: 28 AACSB: Reflective Thinking Learning Obj.: 7
  3. John has come to you for advice on starting a business venture. He wants to know the best way to gain the experience he'll need. You suggest that he: A) read a small business book. B) seek knowledge and experience in the field he wishes to enter. C) determine his weaknesses and return to school for a term or two. D) just jump in and learn as he goes. Answer: B Diff: 3 Page Ref: 29 AACSB: Reflective Thinking Learning Obj.: 8
  4. Most startup companies can expect to need capital than they anticipate. A) less B) the same C) more D) within 10% of the Answer: C Diff: 2 Page Ref: 30 AACSB: Analytic Skills Learning Obj.: 8
  1. The primary cause of small business failures is: A) the lack of capital. B) management mistakes. C) poor location. D) improper inventory control. Answer: B Diff: 2 Page Ref: 30 AACSB: Analytic Skills Learning Obj.: 8
  2. Entrepreneurs tend to be overly and commonly misjudge the requirements of going into business. A) optimistic; personal B) optimistic; financial C) pessimistic; financial D) optimistic; professional Answer: B Diff: 1 Page Ref: 30- 31 AACSB: Reflective Thinking Learning Obj.: 8
  3. The only people who are those who never do anything or never attempt anything new. A) succeed B) prosper C) profit D) fail Answer: D Diff: 1 Page Ref: 31 AACSB: Reflective Thinking Learning Obj.: 8
  4. Which of the following was not identified as one of the suggestions for small business success? A) Develop a business plan as you grow your business. B) Manage your financial resources and understand financial statements. C) Know your business in depth. D) Learn to manage people successfully. Answer: A Diff: 1 Page Ref: 29 - 31 AACSB: Analytic Skills Learning Obj.: 8
  1. Increased entrepreneurial activity is a phenomenon unique to the U.S. Answer: FALSE Diff: 1 Page Ref: 3 AACSB: Analytic Skills Learning Obj.: 1
  2. One study conducted by the Global Entrepreneurship Monitor (GEM) reports that nearly one in eight people in the United states is working to start a business.. Answer: TRUE Diff: 2 Page Ref: 2 AACSB: Analytic Skills Learning Obj.: 1
  3. Research has isolated a set of characteristics that can predict who will succeed as an entrepreneur. Answer: FALSE Diff: 2 Page Ref: 4 AACSB: Multicultural & Diversity Learning Obj.: 2
  4. Serial entrepreneurs repeatedly start businesses and grow them to a sustainable size before striking out again. Answer: TRUE Diff: 1 Page Ref: 6 AACSB: Analytic Skills Learning Obj.: 2
  5. Surveys show that small business owners believe that, as entrepreneurs, they work harder, earn more money, and are happier than if they worked for a large company. Answer: TRUE Diff: 2 Page Ref: 4- 8 AACSB: Reflective Thinking Learning Obj.: 2
  6. The opportunity to reap impressive profits is the primary motivation for most entrepreneurs. Answer: FALSE Diff: 2 Page Ref: 4- 8 AACSB: Reflective Thinking Learning Obj.: 2
  7. Social entrepreneurs use their skills to create profitable businesses and also achieve economic, social and environmental goals for the common good. Answer: TRUE Diff: 1 Page Ref: 9 AACSB: Ethical Reasoning Learning Obj.: 3
  1. Technology offers a significant advantage for entrepreneurs. Answer: TRUE Diff: 2 Page Ref: 9 - 10 AACSB: Use of IT Learning Obj.: 3
  2. Entrepreneurs choose to enter their particular business fields because they have an interest in them and enjoy those lines of work. They have often made their hobbies their business. Answer: TRUE Diff: 2 Page Ref: 11 AACSB: Multicultural & Diversity Learning Obj.: 3
  3. The majority of new business owners work fewer than 40 hours per week. Answer: FALSE Diff: 2 Page Ref: 12- 13 AACSB: Reflective Thinking Learning Obj.: 3
  4. The majority of new business owners devote more than 40 hours per week to their companies. Answer: TRUE Diff: 2 Page Ref: 12- 13 AACSB: Reflective Thinking Learning Obj.: 3
  5. One advantage of being your own boss and owning a small business is that work hours are very flexible and leisure time is abundant. Answer: FALSE Diff: 1 Page Ref: 12 - 13 Learning Obj.: 3
  6. Entrepreneurs are not willing to give up a steady paycheck. Answer: FALSE Diff: 2 Page Ref: 13 AACSB: Reflective Thinking Learning Obj.: 3
  7. There is concern over the future of entrepreneurship because so few high school and college students want to start their own companies. Answer: FALSE Diff: 1 Page Ref: 9- 11 AACSB: Reflective Thinking Learning Obj.: 3
  1. Minority-owned businesses have come a long way in the past decade, and their success rate is climbing. Answer: TRUE Diff: 2 Page Ref: 20 AACSB: Multicultural & Diversity Learning Obj.: 5
  2. A major advantage of launching a business part-time is the lower risk it offers in case the business fails. Answer: TRUE Diff: 1 Page Ref: 21 AACSB: Analytic Skills Learning Obj.: 5
  3. Most home-based businesses are simple cottage industries such as crafts or sewing. Answer: FALSE Diff: 1 Page Ref: 22 AACSB: Reflective Thinking Learning Obj.: 5
  4. Not all family-owned businesses are small; in fact, approximately one-third of the Fortune 500 companies are family businesses. Answer: TRUE Diff: 2 Page Ref: 22 AACSB: Multicultural & Diversity Learning Obj.: 5
  5. Of the 25 million businesses in the U.S., about 40 percent are family owned and managed. Answer: FALSE Diff: 3 Page Ref: 22 AACSB: Multicultural & Diversity Learning Obj.: 5
  6. Ninety-percent of businesses in the United States are family-owned and managed and account for 62 percent of total U.S. employment. Answer: TRUE Diff: 3 Page Ref: 22 AACSB: Multicultural & Diversity Learning Obj.: 5
  7. Family-owned and managed businesses account for 78 percent of all new jobs. Answer: TRUE Diff: 3 Page Ref: 22 AACSB: Multicultural & Diversity Learning Obj.: 5
  1. Most family businesses survive to the fourth generation. Answer: FALSE Diff: 2 Page Ref: 22 AACSB: Multicultural & Diversity Learning Obj.: 5
  2. Successful "copreneurs" create a division of labor based on expertise. Answer: TRUE Diff: 1 Page Ref: 22 - 23 AACSB: Multicultural & Diversity Learning Obj.: 5
  3. About 20 percent of downsized corporate managers have become entrepreneurs. Answer: TRUE Diff: 2 Page Ref: 22 AACSB: Multicultural & Diversity Learning Obj.: 5
  4. Corporate downsizing has spawned a generation of entrepreneurs known as "corporate castoffs." Answer: TRUE Diff: 1 Page Ref: 23 AACSB: Multicultural & Diversity Learning Obj.: 5
  5. Because they have college degrees, a working knowledge of business, and years of management experience, both corporate castoffs and corporate dropouts who become entrepreneurs will most likely increase the small business survival rate. Answer: TRUE Diff: 1 Page Ref: 23 - 24 AACSB: Multicultural & Diversity Learning Obj.: 5
  6. David Birch considers "gazelles" those businesses that grow at 20 percent or more per year and gross at least $100,000 in annual sales. Answer: TRUE Diff: 3 Page Ref: 27 AACSB: Reflective Thinking Learning Obj.: 6
  7. Small companies have created at least two-thirds of the net new jobs in the U.S. economy. Answer: TRUE Diff: 2 Page Ref: 24 AACSB: Analytic Skills Learning Obj.: 6