Entrepreneurship: The Practice and Mindset 1st Edition by Heidi M. Neck Test bank

c. are the backbone for corporations wanting to become public
d. tend to explore new possibilities and seek ways in which an organization’s current structure and process can enable innovation 
Ans: D
Learning Objective: 1.3. Explain the history of entrepreneurship in the United States.
Cognitive Domain: Knowledge
Answer Location: Corporate Entrepreneurship
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
19. Entrepreneurs Inside  ______.
a. are employees working for an entrepreneur
b. are employees who think and act entrepreneurially within organizations;  they do not need to gain inside support from senior managers for their initiatives
c. need to develop a team of willing individuals to support their project to get buy-in for their ideas and proving there is a market for them
d. do not exist, as entrepreneurs can exist outside of large corporations
Ans: C
Learning Objective: 1.4. Compare and contrast the different forms of entrepreneurship in practice today.
Cognitive Domain: Comprehension
Answer Location: Entrepreneurs Inside
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
20. A franchise is ______.
a. an easy way to own a business given that enough funds exist to cover the franchise costs and start-up costs.  Royalties will be paid from the sales proceeds.
b. a gift from a large corporation to another to use their name (trademark) but is not a turnkey operation
c. an illegal form of doing business and is being halted by the federal government
d. the same thing as network marketing
Ans: A
Learning Objective:  LO 1.4. Compare and contrast the different forms of entrepreneurship in practice today.
Cognitive Domain: Comprehension
Answer Location: Buying a Franchise
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
21. ______ is defined as the entrepreneur buying out the existing owner and taking over operations and is sometimes seen as less risky.
a. Going into a partnership with the owner
b. Buying a franchise from a franchise company
c. Buying a small business
d. Purchasing stock from a broker
Ans: C
Learning Objective: 1.4. Compare and contrast the different forms of entrepreneurship in practice today.
Cognitive Domain: Comprehension
Answer Location: Buying a Small Business
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
22. Social entrepreneurship ______.
a. blends social media (LinkedIn, Facebook, Twitter, etc.) and traditional media (television, radio, newspaper, mail)  
b. is defined as a business that is supported by and supports social media
c. is a global movement focusing on social problems while also providing an economic impact for the participants
d. does business in the social sector (restaurants, bars, amusement parks)
Ans: C
Learning Objective: 1.4. Compare and contrast the different forms of entrepreneurship in practice today.
Cognitive Domain: Comprehension
Answer Location: Social Entrepreneurship
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
23. A B-Corp is ______.
a. a benefit corporation that is certified by the nonprofit B Lab which ensures strict standards of social and environmental performance, accountability, and transparency are met
b. another name for a business corporation that is in the pursuit of profit
c. a benefits corporation that provides payroll and employee benefit services to other businesses
d. the second level of corporations; A-Corps are the top 100 rated and ranked corporations and   B-Corps are the next 500 in the ranking.
Ans: A
Learning Objective:  1.4. Compare and contrast the different forms of entrepreneurship in practice today.
Cognitive Domain: Comprehension
Answer Location: Social Entrepreneurship
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
24. A family enterprise is ______.
a. a family farm that has been in the family for generations and does things the same way it always has
b. owned and managed by multiple family members.  Each generation has an opportunity to bring the organization forward in new, innovative ways. 
c. another name for a partnership between husband and wife
d. a sole proprietorship that hires the owner’s spouse and children
Ans: B
Learning Objective: 1.4. Compare and contrast the different forms of entrepreneurship in practice today.
Cognitive Domain: Comprehension
Answer Location: Family Enterprising
Difficulty Level: Medium
AACSB Standard: Analytical thinking
 
25. Serial entrepreneurs are ______.
a. in real estate linking real estate purchases in a series of several LLCs attached with similar names like “Neck Properties I,” “Neck Properties II,” ” Neck Properties III,” and so on