BUS 101 Ch. 6 – Flashcards
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Which of the following sources of investment is the least likely type available to entrepreneurs?
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Venture capitalists.
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Business owners who prefer to maintain their businesses at a manageable size are called:
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micropreneurs
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A business's size is measured:
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in relation to other firms in its industry.
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A __________ is a written document that details the business idea, the target market and the business's competitive advantage, financial resources available for the business, and the qualification of the management.
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business plan
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The U.S. government's Immigration Act of 1990:
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encouraged entrepreneurs to come to the U.S. through "investor visas".
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The SBA's ________ program provides export financing opportunities for small businesses.
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Export Express loan
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Affiliate marketing is a web-based business strategy that:
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Rewards individuals who are willing to link a company's website to their blog or social network page.
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Which of the following government agencies is responsible for encouraging the development of small business?
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Small Business Administration
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According to SBA guidelines, a manufacturing firm with 1,000 employees:
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may be classified as a small business depending upon the size of other firms in the industry.
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The Small Business Administration defines a small business as a firm that:
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is independently owned but not dominant in its industry.
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One reason we have seen continued growth in home-based businesses is:
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affordable computer and information technology makes it easier to compete.
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Which of the following is a characteristic of successful entrepreneurs?
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Action-oriented
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Successful entrepreneurs are self-nurturing. This means they:
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believe in themselves and their ideas
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When comparing small businesses to their larger competitors, it is clear that:
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small firms often can offer more personalized customer services than big firms.
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Enterprise zones are specific geographic areas that:
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attract business investment by offering lower taxes and government support for development.
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Effective entrepreneurial teams combine:
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creativity with marketing and production experience.
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Bankers and potential investors are likely to read ___________ first.
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the executive summary
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Chris is an angel investor. This means that he:
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invests his money in new businesses with potential for growth, hoping for a good return on his investment if they go public.
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For prospective entrepreneurs, enrolling in an introduction to business or small business management course offered through their community college:
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can be helpful in knowing what are the right strategies in setting up and running a business
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According to the U.S. Department of Commerce, a ________ of small businesses export their goods.
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small percentage
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A Small Business Investment Company (SBIC) is a(n):
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private investment company that is licensed by the SBA to make loans to small businesses.
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A successful web-based strategy that helps a business spread the word about its web site and products is called _____________.
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affiliate marketing
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Two key management functions that need particular attention when starting a business are:
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planning and financing
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Business incubators are usually government-funded facilities intended to:
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offer startup firms low-cost office space and basic business services.
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When seeking financial backing from a venture capitalist, a small business owner should realize that the venture capitalist will:
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expect an ownership stake in the company in exchange for financial backing.
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One of the challenges of running a home-based business is:
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keeping work and family tasks separate.
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The Small Business Administration's microloan program awards loans to entrepreneurs based primarily on their:
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integrity and sound business idea.
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A creative person working within a corporation to launch new products and generate new profits is known as a(n):
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intrapreneur.
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________ are private individuals who invest their own money in potentially hot new companies before these firms become larger, publicly traded companies.
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Angel investors
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A(n) ________________ is a group of experienced professionals from different areas of business, within a company, who join together to develop, make, and market a new product.
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entrepreneurial team
