Exam 6: Entrepreneurship and Small Business Ownership

If you invest in a successful franchise,you know you are getting a viable business model,one that has worked many times before.

________ is a combination of private and public financing,in which an entrepreneur invites people to fund a share of a new business venture or a new product.

Compare and contrast creating a new,independent business with buying an existing independent business.

An advisory board is a form of "group mentoring" in which you assemble a team of people with subject-area expertise or vital contacts to help review plans and decisions.

A business plan is a written document that summarizes the ________.

A business plan summarizes the proposed business venture,goals,and plans for achieving those goals.

Business start-ups decline when the economy sours.

Briefly describe what a business plan is and discuss its importance in starting a business.

Small companies tend to differ from large ones because ________.

Motivational collapse occurs when the would-be entrepreneur encounters one too many setbacks and simply doesn't have the drive to keep going.

Intrapreneurship is a term coined by business consultant Gifford Pinchot to designate entrepreneurial efforts within a larger organization.

Identify and briefly discuss the three basic types of franchises.

Discuss banks and microlenders as sources of private financing.How does it differ from seeking funds by going public?

Which of the following is TRUE regarding high-growth ventures?

Which of the following is a business oriented service that helps business owners raise money to launch or expand companies?

R&M Group,a consumer products company based in Libya,conducted a market research.The research indicated that there was a lack of branded soft drinks in the market,even though there were several local soft-drink manufacturers.The company purchased the right to produce and distribute soft drinks of Fizzpop,Inc.(a leading U.S.based soft-drinks firm).R&M Group also sources the supplies from Fizzpop,Inc.to ensure that the taste of the product remains the same.In this scenario,which of the following business methods does R&M Group use?

Outsourcing reduces opportunities for small businesses and entrepreneurs.

Compare and contrast venture capitalists with angel investors.

Which of the following is a quality that a successful entrepreneur is most likely to have?

In the business plan,the exit strategy explains how and when the owner will close her business.