ENTR Ch 1-3 Review

Based on the idea of cost and benefits, which of the following activities is most beneficial?

• A) Playing video games
• B) Watching a PBS special about nature
• C) Seeing a speaker you admire and want to mentor you
• D) Going to a movie with your favorite actor/actress
• E) Hanging out with friends

Which of the following could be considered an acquisition?

• A) Inheriting your father's business
• B) Building a new restaurant
• C) Inventing a new product and selling it
• D) Starting a recycling business
• E) Buying a business from a retiring owner

Which is not part of Schumpeter's definition regarding the ways that entrepreneurs find opportunities to create new businesses?

• A) Use a new technology to produce a new product
• B) Use an existing technology to produce a new product
• C) Use an existing technology to produce an old product in a new way
• D) Find a new source of resources
• E) Find a new market for a new product

Which of the following could not be considered opportunity costs?

• A) Time
• B) Energy
• C) Money
• D) Entertainment
• E) All of the above can be considered opportunity costs.

A ________ is a legal and commercial relationship between the owner of a trademark, service mark, trade name or advertising symbol and an individual or group seeking to use that identification in a business.

• A) Franchise
• B) License
• C) Acquisition
• D) Merger
• E) Opportunity

Which of the following is not an economic question listed in the text?

• A) What should be produced?
• B) How much will it cost to be produced?
• C) When will it be produced?
• D) Who will produce it?
• E) Who gets to have what is produced?

Which of the following is not a way to identify business opportunity as discussed in the text?

• A) Exploiting changes in the world
• B) Seeing opportunity where others see problems
• C) Training your mind to recognize opportunity
• D) Using your imagination
• E) Seeing what is wrong, but not a way to fix it

According to the text, which of the following is not a cost of becoming an entrepreneur?

• A) Contribution to society
• B) Business failure
• C) Obstacles
• D) Loneliness
• E) Long Hours

A savvy entrepreneur should not ________.

• A) Rely mainly on making mistakes for themselves and learning from them
• B) Learn from the mistakes of others
• C) Appreciate the wisdom and experience of trusted advisors and mentors
• D) Carefully plan and prepare to avoid mistakes
• E) All of the above

According to the text, which of the following is not a benefit of becoming an entrepreneur?

• A) Independence
• B) Fame
• C) Satisfaction
• D) Financial reward
• E) Self-esteem