Exam 7: Small Business and Entrepreneurship: Economic Rocket Fuel

Small businesses often have an advantage in foreign markets where customers want to deal directly with a company's top management.

Julian wants to open a bakery. He uses his savings and borrows some funds from his family to start his business. In the given scenario, Julian uses _____ to fund his business.

Mabel has a business idea of starting a store that would only sell hair products. Although she needs to raise capital to start her business, she does not want to share the ownership of her firm with anyone else. With a good appetite for risk, which of the following financing resources would be most ideal for her to start her business?

Jenifer owns a bakery that specializes in preparing extravagant wedding cakes. She is a sought-after baker because of the quality and finesse of her products. Jenifer believes that the pressure of living up to the expectations of her customers and delivering quality products always keeps her on the edge and helps her to deliver her best. Which of the following advantages of entrepreneurship is highlighted in the given scenario?

Deborah dreams of owning a pub in the heart of the city that she lives in. Deborah has the music, ideas, and menu in place, and the funds required to start the pub. Which of the following suggestions is most likely to help Deborah realize her dream?

Charles owns a restaurant that is thematically modeled into representing the pop culture of the 1980s. While setting up the restaurant, Charles took care of everything himself, from interior decoration to menu and music. He even got the permit for the restaurant himself. Which entrepreneurial characteristic is highlighted in the given scenario?

Tina owns a workshop that specializes in making intricate wooden decorative items. She makes scale models of most of the existing objects around the world. She faces virtually no competition in her business and thus enjoys a stable growth. The opportunity of _____ is highlighted in the given scenario.

Ophelia opened a boutique that specializes in creating custom trousseaux for brides. She conceived the idea in her senior year at school, and despite receiving criticism for the idea, she went ahead and opened the boutique. Which entrepreneurial characteristic is highlighted in the given scenario?

Mohit is very passionate about music and opens a recording studio of his own. However, he does not know much about running a business and within a short period, starts running into losses. Therefore, he shuts down the business. Which of the following threats is highlighted in the given scenario?

Margie dropped out of college to pursue her passion for cooking. With personal resources to fund her initial capital, she started a food truck in one of the busiest streets of her hometown. After a month of running the food truck, Margie realized that she was not getting enough customers because there were several other similar food trucks in the area. In this scenario, which of the following threats did Margie's business face?

In the context of entrepreneurs, which of the following statements is a difference between an internal locus of control and an external locus of control?

In the context of the U.S. economy, small businesses:

Ronit has been involved in many start-up projects. However, none of his ventures have been successful because of severe competition in the market and personal issues such as poor health and lack of dedication. Which of the following threats is highlighted in the given scenario?

Xavi develops a cell phone battery that can be charged by a solar panel and can run efficiently for up to three hours. His friends point out that it would be difficult to get cell phone manufacturers to adopt this new technology and that it could take a long time for people to start relying on it. However, Xavi is convinced that he can make his idea popular and successful. He plans to start a new company called EnerMob Inc. that would promote and sell the cell phone battery to the public. In this scenario, which of the following entrepreneurial characteristics is Xavi demonstrating?

David wants to open a new gymnasium with state-of-the-art equipment and qualified trainers. However, he can only afford either of the two. He decides to get the equipment first to start the gym. However, without qualified trainers to operate the equipment, David loses his customers and is forced to shut down the gym. Which of the following threats is most likely highlighted in the given scenario?

According to small business experts, while raising start-up funds from friends and relatives, it is:

Bertha runs a fashion boutique. She prefers to personally interact with her customers to gauge the styles that would suit their personality. Her customers also prefer talking to her in person to share their preferences in colors, designs, styles, and fabric as they value her suggestions. The opportunity of _____ is highlighted in the given scenario.

__________is the process of funding ventures by raising money from a large number of investors via the Internet.

The U.S. Small Business Administration (SBA) gives free money to start-up businesses, grants interest-free loans, and fully guarantees loans from local commercial lenders.

Timothy wanted to start a coffeehouse. However, he could not buy a space to start his business because of lack of funds. Which of the following threats is highlighted in the given scenario?