Exam 4: Entrepreneurship, Small Business, and New Venture Creation

A ________ is an incorporated form of business that is organized, owned, and democratically controlled by the people who use its products and services.

Franchising is a contract between a(n) ________ and a(n) ________ that stipulates how ________ or ________ will be sold.

A small business is an owner managed business with less than ________ employees.

A key difference between intrapreneurs and entrepreneurs is that intrapreneurs typically don't have to concern themselves with getting the resources needed to bring a new product to market.

What is a sales forecast?

An entrepreneur, Christina Rossini, is planning to open a small chain of 4 to 6 pizza stores under the brand name "Redenda Pizza." The name comes from combining the first names of the entrepreneur's grandparents. Christina wants to have a competitive advantage by offering innovative and distinct specialty pizzas and by offering the freshest ingredients. However, she is concerned that without proper planning, her venture will not be successful. Which of the following, if true, would not strengthen the case that Christina has personal characteristics necessary for her new business to succeed?

Low start-up costs, simplicity in formation, and freedom are advantages in establishing a

Venture capitalists

About 85 percent of all businesses in Canada are small.

What factors in the broader environment influence the entrepreneurial process?

A public corporation is

Unlike corporations, co-operatives do not have directors and appointed officers.

A co-operative is an incorporated form of business.

Which is the most important reason for the failure of small business?

What is a co-operative?

Identify the four major factors that contribute to small business failure.

The two most widely used methods to form a corporation include

Which source of capital is identified as a group of small investors who are willing to invest money into the new firm in exchange for an ownership share?

What is "double taxation" in the context of a corporation?

Bootstrapping means