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Entrepreneurship and Small Business Quiz

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

What is the definition of a small business?

a)

A business with fewer than 100 employees

b)

A business with fewer than 1000 employees

c)

A business with fewer than 50 employees

d)

A business with fewer than 500 employees

2.

What is the definition of a new venture/firm?

a)

A business that has been operational for more than 12 months

b)

A business that has been operational for more than 24 months

c)

A business that has been operational for less than 6 months

d)

A business that has been operational for less than 12 months

3.

What is the process of identifying market opportunities and acquiring the necessary resources to capitalize on them called?

a)

Market research

b)

Business development

c)

Product innovation

d)

Entrepreneurship

4.

What is the role of small businesses in the Canadian economy?

a)

They account for 50% of all businesses in Canada

b)

They account for 75% of all businesses in Canada

c)

They account for 98% of all businesses in Canada

d)

They account for 25% of all businesses in Canada

5.

What are the three options for starting a small business?

a)

From scratch, starting a partnership, buying a franchise

b)

From scratch, starting a corporation, buying a franchise

c)

From scratch, buying a new business, buying a franchise

d)

From scratch, buying an existing business, buying a franchise

6.

What is the advantage of a sole proprietorship?

a)

Limited liability

b)

Full control

c)

Ease of selling shares

d)

Perpetual existence

7.

What is the disadvantage of a partnership?

a)

Growth potential

b)

Unlimited liability for general partners

c)

Limited liability

d)

Limited appeal for some entrepreneurs

8.

What is the advantage of a corporation?

a)

Ease of borrowing

b)

Perpetual existence

c)

Limited liability

d)

Full control

9.

What is the disadvantage of a co-operative?

a)

Limited liability

b)

Longevity

c)

Difficulty attracting investment based on usage

d)

Tax benefits

10.

What are the four steps in the entrepreneurial process?

a)

Identifying opportunities, accessing resources, building the right team, assessing the fit between elements

b)

Market research, product development, financial planning, management

c)

Hiring employees, setting up a website, advertising, sales

d)

Networking, attending events, social media marketing, customer service

11.

What is the advantage of a co-operative?

a)

Difficulty attracting investment based on usage

b)

Longevity

c)

Limited liability

d)

Tax benefits

12.

What is the role of entrepreneurship in the Canadian economy?

a)

They account for 25% of all businesses in Canada

b)

They account for 50% of all businesses in Canada

c)

They account for 75% of all businesses in Canada

d)

They account for 98% of all businesses in Canada

13.

What are the three options for expanding a small business?

a)

From scratch, starting a partnership, buying a franchise

b)

From scratch, starting a corporation, buying a franchise

c)

From scratch, buying a new business, buying a franchise

d)

From scratch, buying an existing business, buying a franchise

14.

What is the disadvantage of a corporation?

a)

Difficulty in decision making due to multiple stakeholders

b)

Perpetual existence

c)

Limited liability

d)

Full control

15.

What are the three options for diversifying a small business?

a)

Adding new products, entering new markets, merging with another business

b)

Adding new products, starting a corporation, buying a franchise

c)

From scratch, buying a new business, buying a franchise

d)

From scratch, buying an existing business, buying a franchise