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WorksheetsEntrepreneurship Exam 1 Review
Total questions: 50
Worksheet time: 25mins
Entrepreneurship is best defined as
Managing an existing company
Buying and selling stocks
Running a nonprofit organization
Starting and managing a business while taking risk
An entrepreneur is someone who
Avoids uncertainty
Follows instructions only
Works for large corporations
Identifies opportunities and creates solutions
Innovation refers to
Copying competitors
Lowering prices
Advertising products
Creating new or improved ideas, products, or processes
An entrepreneurial mindset includes creativity, adaptability, and willingness to take
No risks
Guaranteed outcomes
Only financial risks
Calculated risks
An opportunity exists when
A business is already popular
Customers have no problems
Competition is low
A problem can be turned into value
Risk in entrepreneurship refers to
Guaranteed failure
Unexpected success
Legal protection
Uncertainty that may result in loss
A new business created by an entrepreneur is called a
Corporation
Franchise
Nonprofit
Venture
Resilience helps entrepreneurs
Avoid challenges
Ignore feedback
Quit after failure
Recover and continue after setbacks
Ethics in entrepreneurship guide decisions that are
Aggressive
Trend-based
Profit-only focused
Fair, honest, and responsible
The main financial goal of most businesses is
Popularity
Customer satisfaction only
Growth without limits
Profit
An internet business primarily operates
In physical locations
Through franchises
Using cash-only sales
Online through digital platforms
Service businesses differ from product businesses because services are
Tangible
Stored easily
Resold later
Intangible
Outsourcing means
Hiring more employees
Closing part of the business
Handling all work internally
Partnering with another company to perform tasks
A strategic alliance is
A business merger
A company buyout
A franchise agreement
A partnership where companies keep ownership
A corporate venture is
A small business with no employees
A nonprofit organization
A government-run company
A new business created within a larger company
A target market is
All possible customers
Anyone who visits a website
Competitors
A specific group a business wants to reach
Market segmentation means
Selling one product to everyone
Raising prices
Reducing advertising
Dividing a market into smaller groups
Demographics include age, income, and
Personality
Lifestyle
Values
Gender
Psychographics focus on
Location
Age
Income
Lifestyles and interests
Market research is the process of
Promoting products
Selling services
Setting prices
Collecting information about customers and markets
Primary research includes
Industry reports
Government data
Online articles
Surveys and interviews
Secondary research includes
Focus groups
Customer interviews
Observations
Existing data and reports
Businesses conduct market research to
Increase risk
Avoid planning
Copy competitors
Reduce uncertainty
The promotional mix includes advertising, sales promotion, public relations, personal selling, and
Pricing
Distribution
Branding
Direct marketing
Advertising is best described as
Free media coverage
Personal communication
Customer feedback
Paid, non-personal communication
Sales promotions are designed to
Build long-term image only
Replace advertising
Train employees
Create short-term excitement
Personal selling involves
Mass communication
Online ads
Social media posts
Direct interaction with customers
Integrated marketing communications means all promotions
Send different messages
Are used randomly
Focus on one platform
Deliver a consistent message
A sole proprietorship is owned by
A corporation
Multiple investors
The government
One person
A partnership involves
One owner
No shared risk
Government control
Two or more owners
A corporation is legally separate from its
Customers
Products
Employees
Owners
An LLC combines limited liability with flexible
Advertising
Promotion
Funding
Ownership
Funding is needed to
Avoid growth
Eliminate risk
Stop competition
Start and grow a business
Bootstrapping means
Relying on investors
Using loans only
Selling ownership early
Using personal funds to start
Investors provide funding in exchange for
Free products
Employee benefits
Advertising space
Equity or ownership
Scaling a business means
Opening one location
Changing the logo
Reducing customers
Growing without losing efficiency
A scalability plan helps businesses
Avoid competition
Lower quality
Stop growth
Grow successfully over time
A pitch is best described as
A full business plan
A receipt
A marketing slogan
A short presentation explaining a business idea
Market validation confirms that
A product is expensive
Investors are guaranteed
Competition exists
Customers want the product
A minimum viable product (MVP) is
The final product
A marketing campaign
A full launch
A basic version used to test an idea
Prototype testing allows entrepreneurs to
Finalize ownership
Avoid feedback
Increase risk
Gather feedback before launch
A proof of concept shows that
Profit is guaranteed
Competition is low
Funding is secured
An idea can realistically work
Good customer service focuses on
Speed only
Profit only
Policies only
Meeting and exceeding customer expectations
Customer complaints should be viewed as an
Interruption
Failure
Risk
Opportunity
Service recovery begins by
Fixing the problem immediately
Apologizing first
Following up later
Listening to the customer
An entrepreneur chooses an LLC mainly because it
Requires no paperwork
Eliminates all taxes
Guarantees profit
Limits personal liability while allowing flexible ownership
A business owner uses surveys and interviews before launching a product. This is an example of
Advertising
Sales promotion
Secondary research
Primary research
An entrepreneur reinvests profits and improves systems to grow without losing quality. This best describes
Bootstrapping
Market entry
Branding
Scaling
An entrepreneur explains the problem, solution, target market, and funding needs to investors. This is an example of
Market research
Advertising
Prototype testing
A pitch
A customer complains about poor service, and the business listens, fixes the issue, and follows up. This demonstrates
Risk management
Promotion
Market validation
Service recovery
