ENTREPRENEURSHIP DEVELOPEMENT

 

ENTREPRENEURSHIP DEVELOPEMENT

 

1.   An individual who initiates, creates and manages a new business can be called

C. An entrepreneur                                                     
2. Trademarks relate to _______.
D. Brand identity
3. Which could provide an individual with the motivation to start a new business venture?
A. The financial rewards.
B. A desire to be independent.                                    

C. Risk-taking
4. Which of the following factors would not be included in a PESTLE analysis?
C. Competitor activity.
5. Which industrial sector tends to naturally promote small-scale businesses and Entrepreneurship, and generally has lower barriers to market entry?
A. Service.
6. Why are small businesses important to a country’s economy?
A. They give an outlet for entrepreneurs.
B. They can provide specialist support to larger companies.
C. They can be innovators of new products.
7. A business arrangement where one party allows another party to use a business name and sell its products or services is known as__________.
B. A franchise.
8. Which of the following is the reason for business failure __________.
A. Lack of market research.
B. Poor financial control.
C. Poor management.
9. The use of informal networks by entrepreneurs to gather information is known as
B. Entrepreneurial networking.
10. Good sources of information for an entrepreneur about competitors can be obtained from_________.
A. Websites.
B. Product information leaflets.
C. Company reports and published accounts.
11. A new venture’s business plan is important because ______.
A. It helps to persuade others to commit funding to the venture.
B. Can help demonstrate the viability of the venture.
C. Provides a guide for business activities by defining objectives.
12. Primary data is________.
C. new data specifically collected for a project.
13. Innovation can best be defined as_______.
D. the successful exploitation of new ideas.
14. Which of these statements best describes the context for entrepreneurship?
C. Entrepreneurship takes place in a wide variety of contexts.
15. Entrepreneurs are motivated by _________.
A. money.
B. personal values.
C. pull influences.
16. Which of the following are described as one of the Big Five personality traits?
B. need for achievement.
17. Which of the following is least likely to influence the timing of new business births?
D. Weather conditions.
18. Which of the following statements are true?
A. Market segmentation is a useful process for small businesses to undertake.
B. Selling is essentially a matching process.
C. A benefit is the value of a product feature to a customer.
19. The purpose of all good small business strategy is__________.
D. to achieve stated objectives.
20. Which of the following is a recognized disadvantage of setting up as a start-up as compared with otherroutes to market entry?
D. there is a high failure rate.
21. Someone legally appointed to resolve the financial difficulties of an insolvent firm is
called____________.
A. an administrator.
22. Goods or services reach the market place through ________.
A. marketing channels.
23. To provide financial assistance to entrepreneurs the government has set up a number of___________.
D. financial institutions.
24. State Industrial corporations engage in the development of__________.
A. industrial estates.
25. ________ is the first development bank of the country.
D. IFCI.
26. IFCI stands for____________.
A. Industrial finance corporation of India.
27. IFCI has been converted into a________.
A. joint-stock company.
28. SIDBI was set up as a subsidiary of_________.
A. IDBI.
29. Which of the following is a function of SIDBI?
A. Extension of seed capital.
B. Discounting of bills.
C. Providing factoring services.
30. SFC is prohibited from granting financial assistance to any company whose aggregate paid-up capital exceed__________.
A. 1 crore.
31. SIPCOT’s financial assistance is in the form of __________.
A. term loan.
B. seed capital scheme.
C. underwriting the capital issues.
32. The business development department of SIPCOT guides entrepreneurs in ______.
A. applying for licences.
B. approval on collaboration.
C. allocation of scarce raw materials.
33. TIIC is sponsored by the_________.
D. Government of Tamil Nadu.
34. In backward areas, term loans for expansion or setting up a new unit are available at
A. concessional terms.
35. A commercial banker would prefer a ____________ debt-equity ratio over the years as it indicates financial strength of a unit.
A. Declining.
36. EDPs course contents contains ___________.
A. General introduction to entrepreneurs.
B. Motivation training.
C. Managerial skills.
37. Entrepreneurial Guidance Bureau(EGB) was set up by____________.
C. IIC.
38. _____________ can be defined as a specifically evolved work plan to achieve a specific objective within a specific period of time
C. Project.
39. Large investment is made in fixed assets, the project will be termed as __________.
A. Capital Intensive.
40. PERT stands for __________.
C. Programme Evaluation and Review Techniques.
41. _____________ is used to accomplish the project economically in the minimum available time with
limited resources
A. Project Scheduling.
42. ______________ is a form of financing especially for funding high technology, high risk and perceived high reward projects
D. Venture capital.
43. In _________, machines and equipments are arranged in the order or sequence in which they are to be used for manufacturing the product
B. Product Layout.
44. The term ___________ denotes bonus or financial aid which is given by a government to an industry to help it compete with other units
C. Bounty.
45. The granting of cash subsidy on the capital investment is called __________.
D. Central Investment Subsidy.
46. New Small Scale industries are exempted from the payment of income tax under section 80J is called
B. Investment Allowance.
47. __________ is primarily concerned with the identification of the project demand potential and the selection of the optimal technology.
A. Techno-economic analysis.
48. _____________ refers to some action which is a time consuming effort necessary to complete a specific event.
B. An Activity.
49. _____________ is a graphical representation of the various activity and event relating to a project.
D. Network Diagram
50. Activities which must be finished before a given event can occur are termed as
A. Preceeding Activities.
51. Activities which can be accomplished simultaneously are termed as ___________.
C. Concurrent Activities
52. EST stands for ____________.
A. Earliest Start Time.
53. Additional time which a non-critical activity can consume without increasing the project duration is called _____________.
A. Total Float.
54. ______________ is an event-oriented approach .
C. PERT.
55. _______________ is an activity-oriented approach.
C. CPM
56. _______________ is the analysis of costs and benefits of a proposed project with the goal of assuming a rational allocation of limited funds..
C. Project appraisal.
57. ____ may be defined as the excess of the present value of project cash inflows over that of out
flows.
A. Net present value technique.
58. Decisions taken by an entrepreneur on behalf of his enterprise are known as
A. Organizational decisions.
59. Decisions which are concerned with policy matters and exercise fundamental influence on the objectives of the organization are called as____________.
D. Strategic decisions.
60. _____________ is a problem -solving technique designed to produce numerous ideas in a short period.
C. Brain storming.
61.  ________ is the systematic development of a project idea for the eventual purpose of arriving at an investment decision..
B. Project formulation.

62. The process of preparing an inventory of skills needed for effective implementation of the project is called as
D. Managerial competence.
63. _______________ implies the availability or otherwise of plant and machinery and technical know how to produce the product..
C. Technical feasibility.
64. CPM stands for____________..
C. Critical Path Method.
65. _______________ is granted to small scale units under section 33B of the Income tax act, 1961..
D. Rehabilitation Allowance.
66. DGTD stands for __________.
A. Directorate General of Technical Development.
67. A provisional SSI registration certificate is valid for a period of __________.
D. one year.
68. National Alliance of Young Entrepreneurs (NAYE) Sponsored an Entrepreneurial Development scheme with Bank of India in______________.
D. August 1972.
69. Which of the following is not one of the 4 Ms?
C. materials.
70. Which of the list below does not form Intellectual Property?
C. Tangible assets.
71. The ‘T’ in a PESTLE analysis refers to ___________.
B. Technology..
72. A business arrangement where one party allows another party to use a business Name and sell its products or services is known as__________.
B. A franchise.
73. What is the role of a Business Angel?
C. To provide capital for business development in exchange for a stake in the Business ownership.
74. A key aspect of the financial section of the business plan is _________.
B. A realistic sales forecast.
75. Which one of the following describes unemployment?
B. The number of people who are jobless and are actively seeking work.
76. Idea of new product is tested in potential consumers to determine consumer acceptance at ___stage.
C. Test marketing.
77. Which one of the following is not considered as one of the building blocks of the model entrepreneur?
C. business awareness.
78. Which of the following factors does the macro-environment not include?
B. customer needs in a given market.
79. Which of the following statements is false? Electronic commerce:
C. is rarely used in small businesses.
80. Strategic entrepreneurial marketing has been summarised as the 4Is: identification of target markets, interactive marketing methods, informal intelligence gathering and what is the fourth?
A. innovation.
81. An entrepreneur who owns more than one business at a time is called ________.
C. a portfolio entrepreneur.
82. Industries producing complete articles for direct consumption & also processing industries is called
as_______________.
A. Manufacturing industries.
83. _____________ is primarily concerned with the identification, qualification and evaluation of the project resources.
B. Feasibility analysis.
84. LOB stands for____________.
B. Line of Balance.
85. Underestimation of project cost leads to ___________..
D. Cost over run
86. New entrepreneurs entering the field of medium industry for the first time can have market studies with
the subsidiary of ___________.
A. 75% of the cost or Rs.15000 whichever is less.

87. Decisions which are concerned with policy matters and exercise fundamental influence on the objectives of the organization are called as____________.
D. Strategic decisions.
88. Section 80 HHB provides for a deduction of ________ of profits and gains earned by a resident Indian company.
B. 50%
89. Decisions which are non-repetitive and novel nature and required to solve unstructured problem is called as ___________.
B. Non -programmed decisions.
90. The application for registration of a small scale unit should be submitted to the
A. General manager, DIC.
91. The type of diversification in which the company adds complementary to the existing product or service line is
C. vertical integration.
92. Which of the following is not an aspect of appraisal of term loans by commercial banks?
D. Societal feasibility.
93. The type of diversification in which the company adds up same type of products at the same level of production is ____________.
B. horizontal integration.
94. When a firm enters into some business which is related with its present business in terms of technology, marketing or both it is called as _____________.
D. concentric integration.
95. When a firm enters into business which is unrelated to its existing business both in terms of technology and marketing ______________.
A. conglomerate diversification.
96. District Industries Centres are located ____________.
A. in each district.
97. The purpose of soft loan scheme is to encourage units to undertake ___________.
A. modernization of plant and machinery.
B. replacement of plant and machinery.
C. renovation of plant and machinery.
98. Seed capital assistance ___________.
B. initial assistance
99. EXIM bank is a __________.
C. All India institution.
100. DIC is headed by General Manager in the rank of ___________.
A. Joint Director of industries.
101. Institutional agencies grant financial assistance to small scale industries for _________.
A. participation in equity capital only.
B. acquisition of fixed assets.
C. working capital assistance.
102. Under section 80J of the income tax act, 1961, small-scale industries are exempted from the payment of income tax on their profits at ___________.
A. 6% p.a.
103. The policy which stressed the role of cottage and small-scale industries for balanced industrial development of the country is ___________.
B. IPR 1948.
104. The policy which emphasized the need of promoting small-scale industries through integrated industrial development is_____________.
C. IPR 1977.
105. The small scale unit wishing to export has to obtain exporters code number from
A. The Reserve Bank of India.
106. The expenses incurred on the setting up of the enterprise are called as _________.
B. Cost of promotion..

107. Over – capitalization arises due to___________.
C. actual earnings are lower than the expected earnings.
108. Under-capitalization arises due to __________.
D. actual capitalization is lower than the proper capitalization.
109. Which of the following leads to over-capitalization?
B. acquiring fixed assets on excessive amounts.
110. Which of the following leads to under-capitalization?
D. under-estimation of the initial rate of earnings.
111. Business means ________.
B. industry and commerce.
112. A valid definition of a business purpose is to ______.
B. maximize profits.
113. Reserve bank of India is a/an _______.
A. statutory corporation.
114. A public corporation means _____.
C. statutory corporation.
115. Promoter is a person who ________.
A. takes part in the incorporation of a company.
116. The term Capitalization is used in relation to ______.
C. joint-stock companies.
117. Which of the following sources is not use for medium-term financing?
A. Issue of equity shares.
118. Which of the following securities proves a burden on the finances of the company, when the company is not earning profits?
D. Debentures.
119. Investment in which of the following is most risky?
C. Debentures.
120. A project, which may not add to the existing profits, should be financed by _________
A. debentures.
121. Business risks can be ______.
A. reduced.
122. O & M refers to ____________
D. office and management study.
123. The oldest form of business organization is ______.
B. sole proprietorship.
124. Memorandum of association of a firm contains _______.
B. rules regarding the constitution and activities of the company.
125. A Company is called an artificial person because ____.
C. it is invisible and intangible.
126. The charter of a company is its ______.
A. prospectus.
127. A person owning and running a small firm, is known as________.
B. An owner-manager.
128. Which of the following is a characteristic typical of _________?Most entrepreneurs
C. Choose moderate (or calculated) risk ventures.
129. The UK government has implemented a number of policies to encourage Entrepreneurship in schools. One such initiative is _________.
A. Young Enterprise.
130. One of the disadvantages of a franchise business for a franchisee is ________.
A. Lack of independence.
131. The Markets and Competitors section of a business plan should contain ____________.
A. A statement of the target market.
B. The size of each market segment.
C. The key characteristics of buyers in each business segment.
132. As a new company grows, the entrepreneur will need to _________.
A. be responsive to changes in the market.
B. ensure financial controls are maintained.
C. build a management team.
133. An entrepreneur into the hosiery business found out the reason his hosiery was not selling was due to its color. What could be the best source of this information?
B. Retailer.
134. Entrepreneurship can best be described as _________.
D. a process involving innovation, new products or services, and value creation.
135. ____________, which is included in the project cost, is estimated on the basis of the year when the enterprise breaks even.
A. working capital
136. The minimum amount of——————, irrespective of such private participation, could be specified at a minimum 17.5 per cent of project costs by lending institutions.
B. promotors contribution
137. __________ set up for the purpose of financing, facilitating, and promoting foreign trade of India.
C. EXIM bank
138. Which of the following is not considered to be a characteristic of a project?
D. Only for internal use
139. Project management is ideally suited for a business environment requiring all of the following except
D. Repetability
140. Integration of project management with the organization takes place with the
B. strategic plan
C. Process of managing actual projects
141. The content of the final report typically includes the following topics
A. Executive summary
B. review and analysis
C. recommendations
142. Project mission and objectives, procedures and systems used, and organization resources used typically appear in the _____ section of the final project report.
A. Analysis
143. what are the components of the project report ________.
A. requirement of funds
B. location
C. manpower
144. market potential of the project report includes ________.
A. demand and supply conditions
B. market strategy
C. after-sales service
145. Every entrepreneur should draw an _______ for his project to ensure the timely completion of all activities involved in setting up an enterprise.
B. implementation plan
146. ______________ describes the direction, the enterprise is going in, what its goals are, where it wants to be, and how it is going to get there.
A. project report
147. Today, many companies are using managerial techniques that are designed to encourage _________.
C. Ethical behaviour
148. Entrepreneurial development is the key to achieve all-round __________ through acceleration of industrial and entrepreneurial activities.
B. economic development
149. SWOT Analysis is a _____________ tool
A. Conceptual
150. NABARD is a Bank for _____________ development
B. Agricultural and Rural

 

 

ENTREPRENRURSHIP

 

1.The term Entrepreneur is derived from the word

D. French

2. An individual who has prior business ownership experienceentrepreneurs.

A. Habitual

3. _____Identified innovation as a characteristic of entrepreneur for the first time in 1934.

D.J.A.Schuumpeter

4.Refusal to adopt and use opportunities to make changes in production entrepreneurs.

D. Drone

5.A short-term, internal source of funds can be obtained by reducing all of the following

except_____________.

C.cash

6.Which one of the following is not an Intrapreneurial leadership characteristic?

B.Not flexible

7 .Which of the following factor does not affect a person for being an entrepreneur?

B.Gender

8.Which of the following has a contradictory relationship with an individual for being an

entrepreneur?

B.Parents occupation

9.There is evidence that an entrepreneur usually has ________ parents.

A.Self employed

10.The entrepreneur must possess the abilities of ____________.

A.Conceptualization

B.Creative

C.Understanding environment

11.Which of the following is not a characteristic of an entrepreneur?

B.Need for affiliation

12.People who own, operate, and take risk of a business venture is known as ____________.

C.Entrepreneurs

13.An entrepreneur doing business within the national border is called __________.

C. Domestic entrepreneur

14.What type of entrepreneurial business actually produces the products they sell?

A.Manufacturing

16.Entrepreneurial task depend upon the personality of the entrepreneur, organisational

structure and_____________.

A.The environment

17.The term intrapreneur is coined in ________________.

A.America

18.The term intrapreneurship is coined in late ________.

C.Seventies

19.Who said the term "Successful innovators are not risk takers"?

C.Drucker

20.The difference in the entrepreneurial and managerial domains has contributed towards an increase in interest is ___________.

A.Forming new firms.

21.To manage these projects successfully the country will need thousands of

C. Efficient project Managers.

22.________________ type of entrepreneurs are particularly important for underdeveloped countries because they contribute significantly to the development of such nations.

B.Adoptive

23..______________ type of entrepreneurs are very cautious and skeptical while practising

any change.

C.Fabian

24.In small scale sector ______________ are dominant.

A. Institutional entrepreneurs

25.Managing entrepreneurs whose chief goal is __________.

A. Security

26.Which one among the following is considered as one of the important economic factor

which determine entrepreneurial growth?

C.Market

27.Entrepreneurial management is noted for its ability to react quickly and effectively to new

B. Business opportunities

28.Which of the following is the back bone of financial plan?

B.Capital.

29.The entrepreneur was distinguished from capital provider in______________.

B.18th century.

30.Female entrepreneur differs from male entrepreneur in terms of the following except

A.Motivation

31.Which one of the following is the way by which an entrepreneur can enter into international business?

A.Export

B.Non equity arrangements

C.Direct foreign investment

32.Which of the following is alternatively called corporate venturing?

B.Intrapreneurship

33.The term EDP refers to _____________.

A.Entrepreneurship Development Programme.

34._________ promotes the creation and/or growth of enterprises through a National Team of Trainers and Counselors that provides training and counseling to young promoters to

establish their own business and to reduce the failure rate of start-ups, contributing thereof to the economic growth of the Country.

D.EDP

35.EDPs are conducted by _____________.

B. Specialised institutions

36.__________ is an apex Institute in the area of Entrepreneurship and Small Business

Development under the Ministry of Micro, Small and Medium Enterprises Government of

India.

D.NIESBUD

37.___________ has helped to set up twelve state-level exclusive entrepreneurship

development centres and institutes.

A.Entrepreneurship Development Institute of India

38.Which are not the main Components of project management?

C.A clear defined project objective

39 .Project overrun is a frightening _________________facing India.

C. Economic problem

40 .Project engineering and investment costs is an angle to ensure________.

D.Project decision

41 .Project phases allow for effective control at the_____________.

B. Funding level

42 .Planning and controlling the task is the ________________of a project manager.

B. Responsibility

43.The documentation required at the end of each phase of a small project can be defined by sub setting the documentation for a ________________.

C. Typical project

44. Which of the following shows the process of creating something new

D.Innovation.

45. Stauworth and Curran have explained entrepreneurship in terms of _______________

D. Social marginality

46 Expanding economy serves as an accelerator to _______________

A. Entrepreneurship

47.RCI stands for __________.

C.Refinance corporation of India.

48..The word entrepreneurship has been derived from a ____________ which means ' to

undertake'.

A.French root

49.______________ presupposes commitment to tasks to be performed with well defined

objectives, schedules and budget.

B.Project

50. .Projects concerned with industrial development, power generation, mineral development will be considered as ___________.

A. Quantifiable project

51. A person who managed large project was termed as the entrepreneur in the _________.

B Middle ages.

52._______________ is concerned with the collection, compilation and analysis of economic

data for the eventual purpose of locating possible opportunities for investment.

C.Project identification

53.Every project has ____________ basic dimensions.

C.Three

54. What are the the 3 basic dimensions of a project?

C. Input, output and social cost and benefits

55._____________ is an important element in the project planning cycle.

A.Project objective

56._____________ are economical and social in nature.

A.Project objective

57._________________ is the first phase in project life cycle.

B.The pre-investment phase

58. ____________ phase in the project life cycle begin after the investment decision is taken.

B.The construction phase

59..The asset created during the construction phase are utilised during the _____________

D.The normalisation phase

60 .There are ___________ stages in project life cycle.

C.Three

61._____________ is the systematic development of a project idea for the eventual objective

of arriving an investment decision.

D.Project formulation

62.____________ analysis is primarily concerned with the identification of the project

demand potential and the selection of the optimal technology suitable for achieving the

project objectives.

C.Techno-Economic

63 .___________ is the heart of a project.

B.Project design

64.The purpose of financial analysis is to determine __________ of the project.

C Financial feasibility

65.The inter-relationship between various contituent activities of a project is generally

depicted in the form of ____________.

A.Network diagram

66._____________ is an investigating process which precedes investment decision.

C.Project formulation

67.Project formulation and its implementation are the two essential functions of

B.Project management

68.Expand CPM.

A.Critical Path Method

69._____________ is primarily a scheduling technique.

A.PERT

70.Where individual skills are collectively integrated into a group, this is known as

C.Team entrepreneurship

71. Which of the following government actions could contribute to a more entrepreneurial

society?

A.Deregulation.

B.Financial start-up.

C.Information and advice.

72. .Which of the following is alternatively called corporate venturing?

B.Intrapreneurship.

73 .SFC stands for____________.

C.State Finance Corporation.

74 .Which one of the following is the next stage to the Concept Stage of Product Planning

and Development Process?

C.Product Development Stage.

75. .IFCI was established in the year___________.

B.1984.

76.IFCI provides____________.

C.Medium and long term credit.

77. .Assistance from IFCI is available for____________.

A.Setting up of new industrial projects

B.Expansion of existing units.

C .Renovation and modernization.

78 .SIDBI stands for ____________.

B.Small Industries Development Bank of India.

79.SIDBI was set up in the year____________.

C.1989.

80 .SIDBI was set up as a subsidiary of____________.

A.IDBI.

81. Which of the following is a function of SIDBI?

A.Extension of seed capital.

B.Discounting of bills.

C.Providing factoring services.

82. SFC was set up under __________.

A.State financial corporation Act 1951.

83. .Financial resources of SFCs consist of _____________.

A.Paid up capital.

B.Reserve funds.

C.Borrowings from RBI.

84 .SFCs assistance to technically qualified people without enough funds is known as

A.Seed capital scheme.

85 .SFC is prohibited from granting financial assistance to any company whose aggregate

paid up capital exceed_____________.

A.1 crore.

86 .The loans given by SFCs are usually for a period upto ____________.

B.10 or 12 years.

87 .A concessional rate of interest is charged by SFC in case of_____________.

A.small scale industries.

B.units in backward areas.

C.units set up by technical entrepreneurs.

88 .SIDC was set up under the_____________.

B.Companies Act.

89 .The financial resources of SIDC consist of ___________.

A.paid-up capital.

B.loans from State govt.

C.refinance from RBI.

90 .SIPCOT stands for _______________.

C.State Industries Promotion Corporation of Tamil Nadu Limited.

91 .The process each manager follows during the life of a project is known as

C.Project Management Life Cycle.

92 .SIPCOT is a ____________.

A.Public limited company.

93 .Expand NSTC ____________.

A.National small Industries Corporation.

94 ._________has been recognized as the nodal agency to support the small scale industry

export promotion.

A.SIDO.

95 .The term ____________denotes bonus or financial aid which is given by a government to an industry to help it compete with another unit in a nation or in a foreign market.

D.Bounty.

96 .It becomes necessary to do ____________after a project idea has withstood the tests of

feasibility analysis and network analysis.

A.Input analysis.

97. ________________ is designed to overcome this fundamental weakness in the

relationship between lending agency and the project sponsoring body.

C.Project formulation.

98 .TIIC stands for _____________.

A.Tamil Nadu Industrial Investment Corporation Limited

99 .TIIC is sponsored by the ____________..

D.Government of Tamil Nadu.

100. __________ is the first state level financial institution in the country.

A.TIIC.

1. Which one of the following actions by an entrepreneur is most likely to contribute to creative destruction?

A) Development of a new product

2. An advantage of the small firm in the innovation process?

D) Ability of the entrepreneur to act on new ideas or product development

3.External links may provide incentives to:

C) Introduce improvements to products

4. Firms located on science parks compared to those located off science parks are:

C) No more or less innovative

5. Innovative small firms are more likely in:

A) Knowledge-based sectors

6. Schumpeter considered that innovative entrepreneurs would:

C) Be absorbed within large innovative firms

7. Innovative entrepreneurs face special issues in raising:

D) Seed capital

8. Innovative entrepreneurs may have to pay high insurance premiums due to the:

A) The need to protect patents

9. Networking by innovative entrepreneurs may be most encouraged by?

B) Business incubators

10. The most likely problem encountered by innovative entrepreneurs in raising finance is:

C) The exhaustion of personal equity in R&D

1. Which of the following is NOT recognized as a misconception about entrepreneurship?

D) Entrepreneurial ventures and small businesses are different.

2. All of the following are characteristics of small businesses EXCEPT:

C) Small businesses emphasize new or innovative practices.

3. Which of the following is NOT on of the three areas in which the importance of entrepreneurship can be shown?

D) bureaucracy

4. The creation of new firms is important because these new firms contribute to economic development through benefits that include all of the following EXCEPT:

C) Unemployment

5. All of the following represent countries in which the highest level of entrepreneurial activity was found EXCEPT:

D) Japan

6. Positive external trends or changes that provide unique and distinct possibilities for innovating and creating value are called _____________.

B) Opportunities

7. An individual who has no prior business ownership experience as a business founder, inheritor of a business, or a purchaser of a business is called a(n) ____________ entrepreneur.

B) Novice

8. An individual who has prior business ownership experience is called a(n) ____________ entrepreneur.

B) habitual

9. All of the following are popular demographic factors about entrepreneurs that have been studied EXCEPT:

A) Self-confidence

10. The three main responsibilities involved with managing an entrepreneurial venture once its up and running include all of the following EXCEPT:

C) Managing bureaucracy

1. An individual who initiates, creates and manages a new business can be called

D. An entrepreneur

2. Someone who improves an existing business can be called _________.

A. An intrapreneur.

3. Which could provide an individual with the motivation to start a new business venture?

A. The financial rewards.

B. A desire to be independent.

C. Risk taking

4. Which industrial sector tends to naturally promote small-scale businesses and Entrepreneurship, and generally has lower barriers to market entry?

A. Service.

5. The UK government has implemented a number of policies to encourage Entrepreneurship in schools. One such initiative is _________.

A. Young Enterprise.

6. Why are small businesses important to a country's economy?

A. They give an outlet for entrepreneurs.

B. They can provide specialist support to larger companies.

C. They can be innovators of new products.

7. Intellectual Property laws can protect _________.

A. Trademarks.

B. Copyright.

C. Patents.

8. A business arrangement where one party allows another party to use a business name and sell

Its products or services is known as__________.

B. A franchise.

9. Which of the following is the reason for business failure __________.

A. Lack of market research.

B. Poor financial control.

C. Poor management.

10. The use of informal networks by entrepreneurs to gather information is known as _______.

B. Entrepreneurial networking.

11. Good sources of information for an entrepreneur about competitors can be obtained from_________.

A. Websites.

B. Product information leaflets.

C. Company reports and published accounts.

12. A new venture's business plan is important because ______.

A. It helps to persuade others to commit funding to the venture.

B. Can help demonstrate the viability of the venture.

C. Provides a guide for business activities by defining objectives.

13. Primary data is________.

B. the data that is collected first.

C. new data specifically collected for a project.

14. Innovation can best be defined as_______.

D. the successful exploitation of new ideas.

15. Which of these statements best describes the context for entrepreneurship?

C. Entrepreneurship takes place in a wide variety of contexts.

16. Entrepreneurs are motivated by _________.

A. money.

B. personal values.

C. pull influences.

17. Which of the following is least likely to influence the timing of new business births?

D. Weather conditions.

18. Which of the following statements is false?

D. It is a good idea for small businesses to compete solely on price.

19. The purpose of all good small business strategy is__________.

D. to achieve stated objectives.

20. Which of the following is a recognized disadvantage of setting up as a start-up as compared with other routes to market entry?

D. there is a high failure rate.

21. Someone legally appointed to resolve the financial difficulties of an insolvent firm is called____________.

A. an administrator.

22. Goods or services reach the market place through ________.

A. marketing channels.

23. To provide financial assistance to entrepreneurs the government has set up a number of___________.

D. financial institutions.

24. _____________ can be defined as a specifically evolved work plan densed to achieve a

Specific objective within a specific period of time

C. Project.

25. Large investment is made in fixed assets, the project will be termed as __________.

A. Capital Intensive.

26. PERT stands for __________.

C. Programme Evaluation and Review Techniques.

27. _____________ is used to accomplish the project economically in the minimum available time with limited resources

A. Project Scheduling.

28. ______________ is a form of financing especially for funding high technology, high risk and

Perceived high reward projects

D. Venture capital.

29. In _________, machines and equipments are arranged in the order or sequence in which they are to be used for manufacturing the product

B. Product Layout.

30. The term ___________ denotes bonus or financial aid which is given by a government to an industry to help it compete with other units

C. Bounty.

31. The granting of cash subsidy on the capital investment is called __________.

D. Central Investment Subsidy.

32. ____________ is primarily concerned with the identification of the project demand potential and the selection of the optimal technology.

A. Techno-economic analysis.

33. Decisions taken by an entrepreneur on behalf of his enterprise are known as _________.

A. Organizational decisions.

34. Decisions which are concerned with policy matters and exercise fundamental influence on

The objectives of the organization are called as____________.

D. Strategic decisions.

35. _________________ implies the availability or otherwise of plant and machinery and

technical know how to produce the product.

C. Technical feasibility.

36. Which of the list below does not form Intellectual Property?

C. Tangible assets.

37. A business arrangement where one party allows another party to use a business Name and sell its products or services is known as__________.

B. A franchise.

38. What is the role of a Business Angel?

B. To provide capital for business development in exchange for a stake in the Business ownership.

39. Which one of the following describes unemployment?

B. The number of people who are jobless and are actively seeking work.

40. Idea of new product is tested in potential consumers to determine consumer acceptance at……stage.

C. Test marketing.

42. Which one of the following is not considered as one of the building blocks of the model entrepreneur?

C. business awareness.

43. An entrepreneur who owns more than one business at a time is called ________.

C. a portfolio entrepreneur.

44. Industries producing complete articles for direct consumption & also processing industries is Called as_______________.

A. Manufacturing industries.

45. _____________ is primarily concerned with the identification, qualification and evaluation of the project resources.

B. Feasibility analysis.

46. Decisions which are concerned with policy matters and exercise fundamental influence on The objectives of the organization are called as____________.

D. Strategic decisions.

47. Decisions which are non-repetitive and novel nature and required to solve unstructured problem is called as ___________.

B. Non -programmed decisions.

48. Seed capital assistance ___________.

B. initial assistance

49. Business means ________.

B. industry and commerce.

51. Promoter is a person who ________.

A. takes part in the incorporation of a company .

52. Business risks can be ______.

B. reduced.

53. The oldest form of business organization is ______.

B. sole proprietorship.

54. Memorandum of association of a firm contains _______.

B. rules regarding the constitution and activities of the company.

55. A person owning and running a small firm, is known as________.

B. An owner-manager.

56. Which of the following is a characteristic typical of _________?Most entrepreneurs

C. Choose moderate (or calculated) risk ventures.

57. The UK government has implemented a number of policies to encourage Entrepreneurship in schools. One such initiative is _________.

A. Young Enterprise.

58. One of the disadvantages of a franchise business for a franchisee is ________.

A. Lack of independence.

59. The Markets and Competitors section of a business plan should contain ____________.

A. A statement of the target market.

B. The size of each market segment.

C. The key characteristics of buyers in each business segment.

60. As a new company grows, the entrepreneur will need to _________.

A. be responsive to changes in the market.

B. ensure financial controls are maintained.

C. build a management team.

61. An entrepreneur into the hosiery business found out the reason his hosiery was not selling was due to its color. What could be the best source of this information?

B. Retailer.

62. Entrepreneurship can best be described as _________.

D. a process involving innovation, new products or services, and value creation.

63. Every entrepreneur should draw an ------------ for his project to ensure the timely completion of all activities involved in setting up an enterprise.

B. implementation plan

64. Entrepreneurial development is the key to achieve all-round ---------------- through acceleration of industrial and entrepreneurial activities.

A. economic development

 

Peter Drucker said, “The best way to predict the future is to create it”, which is true for entrepreneurs. Entrepreneurship is full of ambiguity and uncertainty if one accepts that is willing to embrace it, success is assured.

 

Seed capital refers to the type of financing used in the formation of a startup. Funding is provided by private investors—usually in exchange for an equity stake in the company or for a share in the profits of a product. Much of the seed capital a company raises may come from sources close to its founders including family, friends, and other acquaintances. Obtaining seed capital is the first of four funding stages required for a startup to become an established business.

• Seed capital is the money raised to begin developing an idea for a business or a new product.
• This funding generally covers only the costs of creating a proposal.
• After securing seed financing, startups may approach venture capitalists to obtain additional financing.
• Some seed capital may come from angel investors—professional investors who have a high-net-worth.

A startup normally has to move through four distinct phases of investment before it is truly established—seed capital, venture capital, mezzanine funding, and an initial public offering (IPO).

Venture capitalists provide the lion's share of the money needed to start a new business. It is a considerable investment, paying for product development, market research, and prototype production. Most startups at this stage have offices, staff, and consultants, even though they may have no actual product.

Venture capital (VC) is a form of private equity and a type of financing that investors provide to startup companies and small businesses that are believed to have long-term growth potential. Venture capital generally comes from well-off investors, investment banks, and any other financial institutions. However, it does not always take a monetary form; it can also be provided in the form of technical or managerial expertise. Venture capital is typically allocated to small companies with exceptional growth potential, or to companies that have grown quickly and appear poised to continue to expand.

• Venture capital financing is funding provided to companies and entrepreneurs. It can be provided at different stages of their evolution, although it often involves early and seed round funding.
• Venture capital funds manage pooled investments in high-growth opportunities in startups and other early-stage firms and are typically only open to accredited investors.
• It has evolved from a niche activity at the end of the Second World War into a sophisticated industry with multiple players that play an important role in spurring innovation.

 

Pradhan Mantri MUDRA Yojana (PMMY)  is a scheme launched by the Hon’ble Prime Minister on April 8, 2015 for providing loans up to 10 lakh to the non-corporate, non-farm small/micro enterprises. These loans are classified as MUDRA loans under PMMY. These loans are given by Commercial Banks, RRBs, Small Finance Banks, MFIs and NBFCs. Under the aegis of PMMY, MUDRA has created three products namely 'Shishu', 'Kishore' and 'Tarun' to signify the stage of growth / development and funding needs of the beneficiary micro unit / entrepreneur and also provide a reference point for the next phase of graduation / growth.