Chapter 1 Question Bank : Introduction to Entrepreneur
Multiple Choice Questions (MCQs)
- Who is known as the father of modern entrepreneurship?
a) Adam Smith
b) Richard Cantillon
c) Joseph Schumpeter
d) Peter Drucker
Answer: c) Joseph Schumpeter - Which term describes the risk-taking ability of an entrepreneur?
a) Innovation
b) Creativity
c) Risk-bearing
d) Leadership
Answer: c) Risk-bearing - In which century was the term 'entrepreneur' first introduced?
a) 15th
b) 16th
c) 17th
d) 18th
Answer: b) 16th - Entrepreneurship contributes to which type of development in an economy?
a) Social
b) Political
c) Economic
d) Cultural
Answer: c) Economic - Which of the following is NOT a characteristic of entrepreneurship?
a) Risk-taking
b) Innovation
c) Monotony
d) Leadership
Answer: c) Monotony - Which of the following is a key characteristic of an entrepreneur?
a) Procrastination
b) Initiative
c) Dependency
d) Passivity
Answer: b) Initiative - Entrepreneurs are generally known for their ability to ________.
a) Avoid risks
b) Take calculated risks
c) Work alone
d) Follow instructions
Answer: b) Take calculated risks - Which characteristic involves the entrepreneur’s ability to think creatively?
a) Innovation
b) Perseverance
c) Confidence
d) Communication
Answer: a) Innovation - An entrepreneur's drive to achieve success is referred to as ________.
a) Dependency
b) Achievement motivation
c) Risk aversion
d) Stability
Answer: b) Achievement motivation - Entrepreneurs must possess strong _______ skills to inspire others.
a) Financial
b) Leadership
c) Artistic
d) Managerial
Answer: b) Leadership - Which function involves arranging the necessary resources for a business?
a) Risk-taking
b) Innovation
c) Resource mobilization
d) Supervision
Answer: c) Resource mobilization - An entrepreneur is responsible for _______ the organization.
a) Overburdening
b) Managing
c) Opposing
d) Closing
Answer: b) Managing - The function of identifying new business opportunities is called _______.
a) Organizing
b) Innovating
c) Scouting
d) Decision-making
Answer: c) Scouting - Risk-bearing involves _______.
a) Avoiding challenges
b) Taking financial responsibility
c) Delegating all decisions
d) Ignoring the market
Answer: b) Taking financial responsibility - Entrepreneurs contribute to economic growth by _______.
a) Avoiding taxes
b) Generating employment
c) Eliminating competition
d) Hoarding resources
Answer: b) Generating employment - What differentiates an entrepreneur from an intrapreneur?
a) Entrepreneurs work within organizations
b) Intrapreneurs bear financial risks
c) Entrepreneurs take external risks
d) Intrapreneurs start their own ventures
Answer: c) Entrepreneurs take external risks - Which of the following is a characteristic of intrapreneurs?
a) Independence
b) Corporate innovation
c) Personal liability
d) Risk avoidance
Answer: b) Corporate innovation - Intrapreneurs primarily operate in the context of _______.
a) Start-ups
b) Large organizations
c) Freelance projects
d) NGOs
Answer: b) Large organizations - Entrepreneurs are known for their ability to _______.
a) Innovate within constraints
b) Avoid risk
c) Manage hierarchies
d) Follow established procedures
Answer: a) Innovate within constraints - What is the main difference between an entrepreneur and an intrapreneur?
a) Risk-taking
b) Independence
c) Creativity
d) Ownership
Answer: d) Ownership - Intrapreneurs primarily operate within:
a) Their startups
b) Large organizations
c) Nonprofit organizations
d) Government bodies
Answer: b) Large organizations - Entrepreneurs are generally associated with:
a) Business ownership
b) Employee management only
c) Limited liability
d) None of the above
Answer: a) Business ownership - Which of the following is a characteristic of an intrapreneur?
a) Financial independence
b) Corporate resource utilization
c) Starting a new venture outside the company
d) Avoiding risks
Answer: b) Corporate resource utilization - Entrepreneurs and intrapreneurs both focus on:
a) Employee relations
b) Innovation and growth
c) Avoiding risks
d) Working within strict boundaries
Answer: b) Innovation and growth - Entrepreneurship contributes to economic development by:
a) Creating unemployment
b) Generating wealth and jobs
c) Importing goods only
d) Restricting innovation
Answer: b) Generating wealth and jobs - Entrepreneurs help in the growth of industries by:
a) Reducing production
b) Introducing innovative products
c) Eliminating competition
d) Avoiding risks
Answer: b) Introducing innovative products - What is one key impact of entrepreneurship on society?
a) Encouraging dependency
b) Driving self-sufficiency
c) Reducing competition
d) Avoiding taxes
Answer: b) Driving self-sufficiency - Entrepreneurship leads to ________ of scarce resources.
a) Mismanagement
b) Optimal utilization
c) Hoarding
d) Redundancy
Answer: b) Optimal utilization - Entrepreneurs support the economy by promoting:
a) Economic stagnation
b) Innovation and exports
c) Resource depletion
d) Non-cooperation
Answer: b) Innovation and exports
True or False
- Entrepreneurship involves the creation of new enterprises.
Answer: True - Entrepreneurs always follow traditional methods.
Answer: False - Innovation is an essential element of entrepreneurship.
Answer: True - Entrepreneurs are only found in developed economies.
Answer: False - Entrepreneurship reduces unemployment.
Answer: True - Entrepreneurs are always risk-averse.
Answer: False - Creativity is a characteristic that distinguishes entrepreneurs from others.
Answer: True - Entrepreneurs need to have a long-term vision for success.
Answer: True - Good communication skills are irrelevant for entrepreneurs.
Answer: False - Entrepreneurs always avoid failure at all costs.
Answer: False - Decision-making is a primary function of an entrepreneur.
Answer: True - Entrepreneurs do not play a role in promoting innovation.
Answer: False - Entrepreneurs are involved in the distribution of goods and services.
Answer: True - Risk-bearing is an optional function for entrepreneurs.
Answer: False - Entrepreneurs need to monitor and supervise their operations.
Answer: True - Entrepreneurs work only within existing organizations.
Answer: False - Intrapreneurs contribute to innovation within their organizations.
Answer: True - Entrepreneurs typically face higher financial risks compared to intrapreneurs.
Answer: True - Intrapreneurs do not require leadership skills.
Answer: False - Entrepreneurs and intrapreneurs both require creativity and vision.
Answer: True - Entrepreneurship has no impact on a nation's economic growth.
Answer: False - Entrepreneurs contribute to regional development by reducing disparities.
Answer: True - Entrepreneurship leads to higher dependency on imports.
Answer: False - Job creation is a significant outcome of entrepreneurship.
Answer: True - Entrepreneurs discourage competition in the market.
Answer: False
Fill in the Blanks
- The term 'entrepreneur' originated from the ________ language.
Answer: French - ________ defined the entrepreneur as a coordinator of production.
Answer: Richard Cantillon - The process of creating new products, services, or businesses is called ________.
Answer: Innovation - Entrepreneurs are considered ________ agents in economic development.
Answer: Change - An entrepreneur takes ________ to achieve business goals.
Answer: Risks - Entrepreneurs are _______, meaning they can work independently and make decisions on their own.
Answer: Self-reliant - An entrepreneur’s willingness to take _______ is essential for business success.
Answer: Risks - Entrepreneurs must possess strong _______ skills to motivate their teams.
Answer: Leadership - Entrepreneurs thrive on _______, constantly seeking improvement and new opportunities.
Answer: Innovation - _______ is the ability to persist through challenges and setbacks.
Answer: Perseverance - _______ is the process of transforming ideas into actionable business plans.
Answer: Innovation - Entrepreneurs must make _______ decisions to ensure their business thrives.
Answer: Strategic - _______ involves taking financial risks to achieve business success.
Answer: Risk-bearing - Entrepreneurs are responsible for _______ employment opportunities.
Answer: Generating - Entrepreneurs allocate _______ effectively to achieve business goals.
Answer: Resources - Entrepreneurs are independent individuals who take ________ risks to create new businesses.
Answer: Financial - Intrapreneurs use company resources to innovate and develop ________ projects.
Answer: Internal - An intrapreneur is accountable to their ________ while implementing ideas.
Answer: Employer - Entrepreneurs operate primarily in ________, whereas intrapreneurs work within organizations.
Answer: Startups - Both entrepreneurs and intrapreneurs drive ________ and improvement in their respective domains.
Answer: Innovation - Entrepreneurship plays a vital role in reducing regional economic ________.
Answer: Disparities - Entrepreneurs contribute to the ________ of national income.
Answer: Growth - New business ventures promote ________ development and innovation.
Answer: Industrial - Entrepreneurs are key to generating ________ opportunities in society.
Answer: Employment - Entrepreneurship supports export growth and reduces ________ dependency.
Answer: Import
One-Sentence Answers
- Define an entrepreneur.
Answer: An entrepreneur is a person who creates and manages a business while taking risks to achieve profit and growth. - What is the origin of the word 'entrepreneur'?
Answer: The word 'entrepreneur' is derived from the French term meaning "to undertake." - Who introduced the concept of the entrepreneur as an innovator?
Answer: Joseph Schumpeter introduced the concept of the entrepreneur as an innovator. - Why is entrepreneurship important in an economy?
Answer: Entrepreneurship drives innovation, job creation, and economic growth. - What is a key characteristic of an entrepreneur?
Answer: A key characteristic of an entrepreneur is risk-taking ability. - Name two essential characteristics of an entrepreneur.
Answer: Innovation and risk-taking are essential characteristics of an entrepreneur. - Why is leadership important for an entrepreneur?
Answer: Leadership enables an entrepreneur to inspire and guide their team towards business goals. - How does self-confidence help an entrepreneur?
Answer: Self-confidence allows an entrepreneur to make bold decisions and trust their abilities. - Define achievement motivation in entrepreneurship.
Answer: Achievement motivation is the drive to set and accomplish challenging business goals. - What is the role of perseverance in entrepreneurship?
Answer: Perseverance helps entrepreneurs overcome obstacles and continue working towards their goals. - How does entrepreneurship promote regional development?
Answer: Entrepreneurship reduces regional economic disparities by creating jobs and industries. - What is the significance of innovation in entrepreneurship?
Answer: Innovation drives economic growth by introducing new products and services. - How do entrepreneurs impact unemployment?
Answer: Entrepreneurs create jobs, reducing unemployment. - Why is entrepreneurship important for exports?
Answer: Entrepreneurs develop competitive products that boost exports. - What is the role of entrepreneurship in resource utilization?
Answer: Entrepreneurship ensures the optimal utilization of scarce resources. - What is the primary function of an entrepreneur?
Answer: The primary function of an entrepreneur is to organize and manage the business efficiently. - Why is resource mobilization important?
Answer: Resource mobilization ensures the availability of necessary inputs for business operations. - Define risk-bearing in entrepreneurship.
Answer: Risk-bearing involves taking responsibility for potential losses and uncertainties in business. - How does an entrepreneur promote innovation?
Answer: Entrepreneurs promote innovation by developing new products, services, and processes. - What role does supervision play in entrepreneurship?
Answer: Supervision ensures that business activities are carried out as planned. - What is an intrapreneur?
Answer: An intrapreneur is an employee who innovates and develops new projects within an organization. - How do entrepreneurs differ from intrapreneurs in terms of ownership?
Answer: Entrepreneurs own their businesses, while intrapreneurs work within an organization without ownership. - Why is creativity important for both entrepreneurs and intrapreneurs?
Answer: Creativity drives innovation, which is essential for business growth and problem-solving. - Name one similarity between entrepreneurs and intrapreneurs.
Answer: Both are focused on innovation and growth. - What is the role of intrapreneurs in organizations?
Answer: Intrapreneurs drive innovation and help organizations adapt to changing market demands. - How does entrepreneurship promote regional development?
Answer: Entrepreneurship reduces regional economic disparities by creating jobs and industries. - What is the significance of innovation in entrepreneurship?
Answer: Innovation drives economic growth by introducing new products and services. - How do entrepreneurs impact unemployment?
Answer: Entrepreneurs create jobs, reducing unemployment. - Why is entrepreneurship important for exports?
Answer: Entrepreneurs develop competitive products that boost exports. - What is the role of entrepreneurship in resource utilization?
Answer: Entrepreneurship ensures the optimal utilization of scarce resources.
No comments:
Post a Comment