Chapter 5: Small Business, Entrepreneurship, and Franchising

Nathan sells land he inherited from his grandparents and starts a business with the proceeds. This is known as ____

In the manufacturing sector, small businesses sometimes have an advantage over large firms because they

Securing a mortgage from a bank for a new business venture is an example of

What affect has the economic turbulence of recent years had on small businesses?

Individuals who take responsibility for the development of innovations within the organizations are intrapreneurs.

What is the purpose of the Small Business Administration?

Clarissa makes one-of-a-kind ceramic vases. and sells these pieces on Etsy rather than a store. This is an example of

As an advantage of being a small business owner, independence means

A license to sell another's products or to use another's name in business, or both, is called a(n)

If a small business fails to repay a bank loan, what will the lending institution do to recover its loss?

A ________ is an agreement by which a financial institution promises to lend a business a predetermined sum on demand.

Many service providers are considered retailers because they

Manuel wants to start his own small business. All of the following are things he must to do to start a business EXCEPT

A struggling company decided to eliminate layers of management, personnel, and work tasks to remain competitive. This is

Approximately 52 percent of all small businesses are based out of the home.

A business plan is created to limit a business's flexibility and decision-making ability.

Millennials are not activity sought after by small businesses.

Entrepreneurs who are involved in international business are referred to as intrapreneurs.

Persons/organizations that agree to provide funds for a new business in exchange for ownership interest/stock are called

Which group represents over 17 percent of those living in the U.S. and is largely employed in the retail industry?

A business plan is created once and should not be changed.

Rosemary was born in 1952 and spends more of her money on travel, financial planning, and health care. Rosemary is a(n)

A business plan should establish a strategy for acquiring sufficient funds to keep a business going.

A person who creates and manages a business to achieve his or her desired objectives is engaged in

A business that lacks funds to operate normally faces a problem known as

Brett works for a sporting goods corp and develops a football helmet with advanced concussion protection. Brett is an

If a small business has to cope with growth, it requires the owner to

Small businesses, by their very nature, are small and therefore do not contribute significantly to job creation.

Which one is an advantage of buying and running an existing business?

Entrepreneurship is the process of creating and managing a business to achieve desired objectives.

A precise statement of the rationale for a business and a step-by-step explanation of how it will achieve its goals is a

If Yvette wants to start her own business, what might persuade her to open a retail operation?

A franchise outlet often reaches the break-even point faster than an independent business would.

Manufacturing is attractive to entrepreneurs because of the low start-up costs to establish a manufacturing business.

Bartering is where small businesses trade their own products for the goods or services offered by other businesses.

What is an implication of technological advances to small businesses?

Which entity is the main supplier of external financing to small businesses?

Independent investors who help a company raise capital through internal financing are intrapreneurs.

To make profits from a small business, the owner must first provide ____ to start the business/keep it running smoothly.

Steven wants to start his own tour company. What will be the most important source of funds for this new business?

Brenda is starting her own small home decorating company. What is something the business plan should accomplish?