stud
bud
Sign up
Log in
Home
Library
Explore
SAT
More
PRINCIPLES OF BUSINESS - CHAPTER 6 Flashcards | StudBud
Explore
/
PRINCIPLES OF BUSINESS - CHAPTER 6
PRINCIPLES OF BUSINESS - CHAPTER 6
33 terms
·
StudBud Administration
·
17 plays
Chapter 6 - Entrepreneurship and Small Business Management
Flashcards
33 cards
F
Practice quiz
P
Host live
L
Questions
33
Answers
1
The most important step in going into business is what?
Planning your Location
Buying Equipment
Preparation/Research
Getting a Partner
2
To get started in business, most entrepreneurs borrow from a bank.
False
True
3
72% of all businesses account for over $600 billion in sales each year.
False
True
4
The money needed to open a business is
start-up financing
.
False
True
5
Big businesses show advantage over small businesses because they provide individual attention.
True
False
6
Successful entrepreneurs tend to have which characteristics?
Creative
All of the Choices!
Energetic
Goal-Oriented
7
All entrepreneurship opportunities emerge from
innovation
and
inventions
.
True
False
8
A written description of a business idea and how it will be carried out is _______.
Journal
Innovation
Improvement
Business Plan
9
Money needed for the current operating activities is ______________ financing.
Long-Term
Short-Term
10
A small business is an independent business with fewer than ______ employees.
10
100
500
50
11
An invention or creation that is brand new is _________________.
Improvement
Innovation
12
With small businesses, _______________ is everything!
Location
Sales
Prices
Advertising
13
Which of the following is the success rate of new businesses?
1/2-$$$; 1/4-Even; 1/4-Lose $$$
1/3-$$$; 1/3-Even; 1/3-Lose $$$
14
How many new businesses are created in the US each year?
62.5 thousand
62.5 million
6.25 million
625 thousand
15
How many new businesses are created in the U.S. every year?
6.25 million
625 thousand
62.5 million
62.5 thousand
16
Long-term financing
is for big expenses that will last for how long?
6 months
one month
many years
12 months
17
An entrepreneur is someone who takes a
risk
in starting a business to earn a profit.
True
False
18
Everyone who owns a business in an entrepreneur.
True
False
19
In the USA, women own what percentage of small businesses?
25%
35%
75%
50%
20
When starting a new business, you need information about:
competitors
customers
government regulations
all of the above
21
Which of the following does
NOT
describe a typical small business?
Dominant in its field
Only 1 or very few locations
Owner is manager.
Serves a small market
22
Business plans are mostly used to obtain investment money.
False
True
23
Short-term financing is obtained for a period of less than what period?
2 years
6 months
1 year
3 months
24
Many new businesses close down because of a poor location.
False
True
25
Small business owners must form a
"team"
around them, consisting of _________________.
accountants
lawyers
all of these!
bankers
26
Most money to start a new business comes from where?
friends/family
selling stock
bank loans
credit cards
27
If a company adds an ingredient to a product to make it better, this is an example of what?
Innovation
Invention
Creation
Improvement
28
In the US, nearly as many small businesses close as begin each year.
True
False
29
A business plan should never be revised.
False
True
30
The first step in developing a business plan is to gather and review information.
False
True
31
With entrepreneurs, what is the least important factor?
Having special skills/abilities
Living in a major US city
Having a desire to be your own boss
Developing a good initial business plan
32
Large businesses can better meet the precise needs of customers than small businesses.
False
True
33
Entrepreneurs come from all age categories and educational backgrounds.
False
True
