PBM Chapter 6: Entrepreneurship & Small Business Management

The process of starting , organizing, managing, and assuming the responsibility for a business is called capitalism.

• True

• False

Everyone who owns a business is an entrepreneur.

• True

• False

In the United States, nearly as many small businesses close as begin each year.

• True

• False

U.S. businesses with just a single owner and no staff account for over $600 billion in annual sales

• True

• False

All entrepreneurship opportunities emerge from inventions and innovations.

• True

• False

It is easier for a small business to meet the precise needs of customers than a large business.

• True

• False

Many small businesses fail simply because they are not located in the right spot.

• True

• False

The most important step in starting a business is preparation.

• True

• False

Once a business plan is written, it should never be revised and should never be updated.

• True

• False

The most popular use of business plans is to persuade lenders and investors to finance the venture.

• True

• False