Question 1

In regards to negotiation,define the following: distribution task,integration task and reservation price.

Accepted Answer

distribution task Negotiating how the be

Question 2

The Federal Trade Commission requires franchisors to make full presale disclosure of about 20 separate aspects of a franchise offering.

Accepted Answer

A) True 
 B)False

Question 3

In the _________ task,the mutual benefits from the relationship are explored,making the "size of the pie" larger.

Accepted Answer

A) distributive 
B) assessment 
C) integrative 
D) reservation 
A) distributive 
B) assessment 
C) integrative 
D) reservation

Question 4

Quantitative methods of analyzing the fairness of an LBO's asking price include price-earnings ratios,present value of future earnings and book value.

Accepted Answer

A) True 
 B)False

Question 5

What are the main benefits (to the franchisee)of franchising?

Accepted Answer

Product Acceptance:The franchisee does n

Question 6

Brokers for acquisitions represent the buyer,not the seller.

Accepted Answer

A) True 
 B)False

Question 7

When an entrepreneur bootstraps the purchase of a company,none of the price of the acquisition is cash.

Accepted Answer

A) True 
 B)False

Question 8

What are the 4 major factors in joint venture success?

Accepted Answer

1.The accurate assessment of the parties

Question 9

The person offering the franchise is known as the:

Accepted Answer

A) franchisor. 
B) endower. 
C) franchisee. 
D) franchise. 
A) franchisor. 
B) endower. 
C) franchisee. 
D) franchise.

Question 10

Which of the terms in a franchise agreement is the most likely cause of a lawsuit?

Accepted Answer

A) Termination 
B) Exclusivity of territory 
C) Schedule of payments 
D) Initial price of the franchise 
A) Termination 
B) Exclusivity of territory 
C) Schedule of payments 
D) Initial price of the franchise

Question 11

The bootstrap purchase of assets:

Accepted Answer

A) is a direct purchase of the entire assets of a firm. 
B) means the entrepreneur purchases a small percentage of a firm for cash. 
C) frequently results in a long-term capital gain to the seller. 
D) results in double taxation. 
A) is a direct purchase of the entire assets of a firm. 
B) means the entrepreneur purchases a small percentage of a firm for cash. 
C) frequently results in a long-term capital gain to the seller. 
D) results in double taxation.

Question 12

The integrative aspect of negotiation:

Accepted Answer

A) focuses on decreasing the "size of the pie." 
B) is more beneficial than a conflict resolution approach. 
C) requires the entrepreneur to lower the reservation price. 
D) requires the negotiator to not decrease the price and not back down. 
A) focuses on decreasing the "size of the pie." 
B) is more beneficial than a conflict resolution approach. 
C) requires the entrepreneur to lower the reservation price. 
D) requires the negotiator to not decrease the price and not back down.

Question 13

Synergy is defined as "the intangible benefits of mergers and acquisitions".

Accepted Answer

A) True 
 B)False

Question 14

Most ventures that are up for sale have good to very successful profit records.

Accepted Answer

A) True 
 B)False

Question 15

Franchisees usually contribute _____ of sales to an advertising pool.

Accepted Answer

A) None,each franchisee pays for their own advertising. 
B) 1-2% 
C) 4-5% 
D) 8-10% 
A) None,each franchisee pays for their own advertising. 
B) 1-2% 
C) 4-5% 
D) 8-10%

Question 16

One advantage to an acquisition is that there is an established customer base.

Accepted Answer

A) True 
 B)False

Question 17

The __________ is the range of outcomes between the entrepreneur's reservation price and the reservation price of the other party.

Accepted Answer

A) reservation price 
B) franchise price 
C) bargaining zone 
D) break even price 
A) reservation price 
B) franchise price 
C) bargaining zone 
D) break even price

Question 18

One important advantage of buying a franchise is that the entrepreneur incurs no risk.

Accepted Answer

A) True 
 B)False

Question 19

An unproven franchise:

Accepted Answer

A) requires the franchisee to make a larger investment than a proven one. 
B) is riskier than a proven one. 
C) offers more excitement and challenge than a proven one. 
D) could see constant reorganization that could result in confusion and mismanagement. 
A) requires the franchisee to make a larger investment than a proven one. 
B) is riskier than a proven one. 
C) offers more excitement and challenge than a proven one. 
D) could see constant reorganization that could result in confusion and mismanagement.

Question 20

Most ventures that are available for sale:

Accepted Answer

A) are undervalued. 
B) lack established location. 
C) have a marginal or unprofitable track record. 
D) are listed on the stock market. 
A) are undervalued. 
B) lack established location. 
C) have a marginal or unprofitable track record. 
D) are listed on the stock market.

In regards to negotiation,define the following: distribution task,integration task and reservation price.

The Federal Trade Commission requires franchisors to make full presale disclosure of about 20 separate aspects of a franchise offering.

In the _________ task,the mutual benefits from the relationship are explored,making the "size of the pie" larger.

Quantitative methods of analyzing the fairness of an LBO's asking price include price-earnings ratios,present value of future earnings and book value.

What are the main benefits (to the franchisee)of franchising?

Brokers for acquisitions represent the buyer,not the seller.

When an entrepreneur bootstraps the purchase of a company,none of the price of the acquisition is cash.

What are the 4 major factors in joint venture success?

The person offering the franchise is known as the:

Which of the terms in a franchise agreement is the most likely cause of a lawsuit?

The bootstrap purchase of assets:

The integrative aspect of negotiation:

Synergy is defined as "the intangible benefits of mergers and acquisitions".

Most ventures that are up for sale have good to very successful profit records.

Franchisees usually contribute _____ of sales to an advertising pool.

One advantage to an acquisition is that there is an established customer base.

The __________ is the range of outcomes between the entrepreneur's reservation price and the reservation price of the other party.

One important advantage of buying a franchise is that the entrepreneur incurs no risk.

An unproven franchise:

Most ventures that are available for sale:

Entrepreneurship and the Entrepreneurial Mind-Set

Entrepreneurial Intentions and Corporate Entrepreneurship

Entrepreneurial Strategy: Generating and Exploiting New Entries

Creativity and the Business Idea

Identifying and Analyzing Domestic and International Opportunities

Intellectual Property and Other Legal Issues for the Entrepreneur

The Business Plan: Creating and Starting the Venture

The Marketing Plan

The Organizational Plan

The Financial Plan

Sources of Capital

Informal Risk Capital, venture Capital, and Going Public

Strategies for Growth and Managing the Implication of Growth

Succession Planning and Strategies for Harvesting and Ending the Venture

Filters

Exam 14: Accessing Resources for Growth From External Sources

In regards to negotiation,define the following: distribution task,integration task and reservation price.

The Federal Trade Commission requires franchisors to make full presale disclosure of about 20 separate aspects of a franchise offering.

In the _________ task,the mutual benefits from the relationship are explored,making the "size of the pie" larger.

Quantitative methods of analyzing the fairness of an LBO's asking price include price-earnings ratios,present value of future earnings and book value.

What are the main benefits (to the franchisee)of franchising?

Brokers for acquisitions represent the buyer,not the seller.

When an entrepreneur bootstraps the purchase of a company,none of the price of the acquisition is cash.

What are the 4 major factors in joint venture success?

The person offering the franchise is known as the:

Which of the terms in a franchise agreement is the most likely cause of a lawsuit?

The bootstrap purchase of assets:

The integrative aspect of negotiation:

Synergy is defined as "the intangible benefits of mergers and acquisitions".

Most ventures that are up for sale have good to very successful profit records.

Franchisees usually contribute _____ of sales to an advertising pool.

One advantage to an acquisition is that there is an established customer base.

The __________ is the range of outcomes between the entrepreneur's reservation price and the reservation price of the other party.

One important advantage of buying a franchise is that the entrepreneur incurs no risk.

An unproven franchise:

Most ventures that are available for sale:

Entrepreneurship and the Entrepreneurial Mind-Set

Entrepreneurial Intentions and Corporate Entrepreneurship

Entrepreneurial Strategy: Generating and Exploiting New Entries

Creativity and the Business Idea

Identifying and Analyzing Domestic and International Opportunities

Intellectual Property and Other Legal Issues for the Entrepreneur

The Business Plan: Creating and Starting the Venture

The Marketing Plan

The Organizational Plan

The Financial Plan

Sources of Capital

Informal Risk Capital, venture Capital, and Going Public

Strategies for Growth and Managing the Implication of Growth

Succession Planning and Strategies for Harvesting and Ending the Venture

Filters