Ch 6 Review

The process of starting, organizing, 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 more than $990 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 due to their location.

• 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 nor updated.

• True

• False

If the business owner needs help from others, especially for financing the new business, a business plan usually will be required.

• True

• False