A1 Features of SMEs

Which of the following is a feature of SMEs?

• Run by a large corporation

• Operate in multiple countries

• Run by a single individual or small team of people

• Require a large number of employees

What is a common benefit of SMEs operating from home?

• Increased travel expenses

• Higher rent costs

• Savings on the cost of premises

• Need for more employees

How do SMEs that operate from home often maintain a professional presence?

• By renting a large office space

• By using a "Virtual Office"

• By hiring a large staff

• By opening multiple branches

Why might giving up control be difficult for owners of SMEs?

• They prefer to work alone

• They fear others won't invest as much in the business's success

• They have too many employees

• They lack decision-making skills

What is a common reason SME owners might not leave their regular employment immediately?

• They enjoy their regular job too much.

• The enterprise may not generate enough profits initially.

• They are not legally allowed to be self-employed.

• They lack the skills to run a business.

Which sector involves businesses that extract natural raw materials from the earth?

• Secondary sector

• Tertiary sector

• Primary sector

• Quaternary sector

What type of businesses are included in the tertiary sector?

• Farms and mines

• Manufacturing and telecommunications

• Shops and travel agents

• Consultancy and media services

Which sector is associated with academic and intellectual activities?

• Primary sector

• Secondary sector

• Tertiary sector

• Quaternary sector

What is a common characteristic of an SME in terms of its operational sector?

• Operates in multiple sectors

• Operates in a single sector

• Operates internationally

• Operates in the technology sector only

Why might an SME find it difficult to operate in multiple sectors?

• Lack of interest

• Lack of technology

• Difficulty in accessing a variety of skills

• Difficulty in finding customers