Test bank 1 part 1

One of the businesses owned by Kirsten Blowers, the entrepreneur profiled in the opening feature of Chapter 1, is Riffraff. Riffraff sells ________.

• refurbished furniture

• clothing

• jewelry

• books

• t-shirts

Which of the following is an accurate characterization of interest in entrepreneurship?

• There is minimal interest in entrepreneurship across the world.

• There is minimal interest in entrepreneurship in North America and Europe, but significant interest in Asia and Australia.

• There is significant interest in entrepreneurship in North America and Europe, but minimal interest in Asia and Australia.

• While interest in entrepreneurship was once high, it is waning in popularity across the world.

• There is tremendous interest in entrepreneurship across the world.

According to the Global Entrepreneurship Monitor (GEM) 2015-2016 survey, about ________ percent of adults in the United States are either starting a business or are running a business that has been in existence for less than 3 1/2 years.

• 3.8

• 5.5

• 7.6

• 9.0

• 11.9

According to the Global Entrepreneurship Monitor (GEM) 2015-2016 study, the majority of people in high-income countries are drawn to entrepreneurship ________.

• to take advantage of an attractive opportunity

• due to lack of career prospects

• as a result of government incentives

• because an important role model was an entrepreneur

• to gain prestige

Which of the following statements regarding survival rates of entrepreneurial firms in the United States is correct?

• As high as 50 percent after four years

• As high as 60 percent after four years

• As high as 70 percent after four years

• As high as 80 percent after four years

• As high as 90 percent after four years

Cody Rodgers is the founder of a company named Extreme Sports Apparel. The company makes apparel products for extreme sports enthusiasts such as rock climbers, triathletes, skateboarders, and BMX bikers. Cody wants his company to pursue a high level of corporate entrepreneurship. To achieve that goal, Cody's firm should be ________.

• innovative, risk averse, and take a 'wait and see' posture

• taking a 'wait and see' posture, innovative, and risk taking

• proactive, not innovative, and risk taking

• taking a 'wait and see' posture, not innovative, and risk averse

• proactive, innovative, and risk taking

Google is a firm that is proactive, innovative and risk-taking. From this description, we can most accurately conclude that Google has a high level of ________.

• enterprise focus

• innovative intensity

• entrepreneurial intensity

• creative intensity

• innovative concentration

Apple is an established firm that encourages and emphasizes entrepreneurial behavior throughout its various divisions. According to the textbook, Apple practices ________ entrepreneurship.

• tactical

• corporate

• strategic

• business

• enterprise

According to the opening feature on Kirsten Blowers, Riffraff's early success was adversely affected by the actions of Pinterest.

• TRUE

• FALSE

According to the results of the GEM 2015-2016 survey, about 1 out of every 8 and a ½ American adults is actively engaged in starting a business or is the owner/manager of a business that is less than 3 ½ years old.

• TRUE

• FALSE