Ent I - Objectives 2.01, 2.02, 2.03 & 2.04

Which statement is true regarding the use of group creative-thinking techniques to facilitate the idea-generation process?

• The brainstorming technique usually generates the best ideas.
• Groups are usually more effective when each member uses mind-mapping techniques.
• Group members most often generate new ideas by altering or building upon another idea.
• The Six Thinking Hats technique is generally the most effective idea-generation technique.

The entrepreneurial discovery process requires knowledge and the recognition of which situation?

• Economic crisis
• Preventable accident
• Market need
• Creative observation

When using mind mapping to generate product ideas, it is best begin by writing down the main problem or which other component?

• Market opportunity
• Supporting facts
• Primary associations
• Situation analysis

Which is an example of a demographic trend that has encouraged entrepreneurial discovery?

• Interest rate fluctuations
• Increased cultural diversity
• Industry deregulation
• Technological advancements

Which statement is true about a business environment?

• It can be avoided.
• It is always changing.
• It consists of the economy and technology.
• It may not affect the business, depending on the industry.

Identifying new product opportunities usually requires a person to possess which characteristic?

• Decisiveness
• Emotional
• Awareness
• Indifference

When conducting an environmental scan, which is an economic factor that a business should consider?

• Consumer spending habits
• Global trade regulations
• Local demographics
• Restricted sales territories

Which example illustrates how environmental factors are interrelated?

• The economy affects what competitors are doing.
• New legislation will be written in the future.
• Low investor confidence heavily impacts financial planners.
• The economy affects banking institutions.

Which statement is true about entrepreneurial discovery?

• It ensures that start-up businesses have continuous funding.
• It is an ongoing process that facilitates the success rate of a business.
• It provides entrepreneurs with professional development training.
• It is a way to determine the long-term profit that a start-up company can generate.

For a prospective entrepreneur, what is necessary to determine the existence of goods and services?

• Demographic changes
• Product standards
• Entrepreneurial discovery
• Raw materials