ELE 3010 Midterm Exam UPDATED
ACTUAL QUESTIONS AND CORRECT
ANSWERS
Encourages colleagues to follow hierarchy - CORRECT ANSWER Which is NOT a leadership
characteristic of a corporate entrepreneur according to the text?
True - CORRECT ANSWER T/F: Generally, independent, venture-capital based start-ups by
entrepreneurs tend to outperform corporate start-ups significantly
securing commitment from top management - CORRECT ANSWER The first step in
establishing corporate entrepreneurship in an organization is:
False - CORRECT ANSWER T/F: Customers always embrace change in products and services.
can learn from the action of first movers without incurring the same costs - CORRECT
ANSWER By delaying entry, late movers:
True - CORRECT ANSWER T/F: Entrepreneurially managed firm structure is usually flat with
multiple informal networks
False - CORRECT ANSWER T/F: In the McMullen-Shepherd Model the first stage is the
evaluation stage
A company must be willing to invest money without a guarantee of a return - CORRECT
ANSWER Which of the following is true about corporate entrepreneurship?
True - CORRECT ANSWER T/F: Entrepreneurial opportunities are those situations in which
new goods, services, raw materials and organizing methods can be sold at greater than their
production cost.
Risk - CORRECT ANSWER ______ refers to the probability, and magnitude, of downside loss.
, Creating a new product development process for your company - CORRECT ANSWER A new
entry includes all of the following except:
True - CORRECT ANSWER T/F: The question "What is this technology all about?" is a
comprehension question.
resources - CORRECT ANSWER The basic building blocks to a firm, or the inputs into the
production process , are:
False - CORRECT ANSWER T/F: Entrepreneurially run firms are driven by controlled
resources whereas traditionally managed firms are driven by perception of opportunity
entrepreneurial action within an organization - CORRECT ANSWER Corporate
entrepreneurship is best described as:
False - CORRECT ANSWER T/F: In order to be the basis for a firm's superior performance, a
bundle of resources must be valuable, rare, and imitable.
exist when the basic (relatively easy to observe) elements of the technology resemble the basic
elements of the market - CORRECT ANSWER In regards to thinking structurally, superficial
similarities:
False - CORRECT ANSWER T/F: Newness of a new entry is always an advantage
False - CORRECT ANSWER T/F: In encouraging a culture for corporate entrepreneurship,
using older, proven, technology is recommended in order to increase stability in the organization
False - CORRECT ANSWER T/F: A reflection task would involve thinking about what
strategies should be used to solve a problem
a narrow-scope strategy - CORRECT ANSWER Offering a small product range to a small
number of customer groups is:
ACTUAL QUESTIONS AND CORRECT
ANSWERS
Encourages colleagues to follow hierarchy - CORRECT ANSWER Which is NOT a leadership
characteristic of a corporate entrepreneur according to the text?
True - CORRECT ANSWER T/F: Generally, independent, venture-capital based start-ups by
entrepreneurs tend to outperform corporate start-ups significantly
securing commitment from top management - CORRECT ANSWER The first step in
establishing corporate entrepreneurship in an organization is:
False - CORRECT ANSWER T/F: Customers always embrace change in products and services.
can learn from the action of first movers without incurring the same costs - CORRECT
ANSWER By delaying entry, late movers:
True - CORRECT ANSWER T/F: Entrepreneurially managed firm structure is usually flat with
multiple informal networks
False - CORRECT ANSWER T/F: In the McMullen-Shepherd Model the first stage is the
evaluation stage
A company must be willing to invest money without a guarantee of a return - CORRECT
ANSWER Which of the following is true about corporate entrepreneurship?
True - CORRECT ANSWER T/F: Entrepreneurial opportunities are those situations in which
new goods, services, raw materials and organizing methods can be sold at greater than their
production cost.
Risk - CORRECT ANSWER ______ refers to the probability, and magnitude, of downside loss.
, Creating a new product development process for your company - CORRECT ANSWER A new
entry includes all of the following except:
True - CORRECT ANSWER T/F: The question "What is this technology all about?" is a
comprehension question.
resources - CORRECT ANSWER The basic building blocks to a firm, or the inputs into the
production process , are:
False - CORRECT ANSWER T/F: Entrepreneurially run firms are driven by controlled
resources whereas traditionally managed firms are driven by perception of opportunity
entrepreneurial action within an organization - CORRECT ANSWER Corporate
entrepreneurship is best described as:
False - CORRECT ANSWER T/F: In order to be the basis for a firm's superior performance, a
bundle of resources must be valuable, rare, and imitable.
exist when the basic (relatively easy to observe) elements of the technology resemble the basic
elements of the market - CORRECT ANSWER In regards to thinking structurally, superficial
similarities:
False - CORRECT ANSWER T/F: Newness of a new entry is always an advantage
False - CORRECT ANSWER T/F: In encouraging a culture for corporate entrepreneurship,
using older, proven, technology is recommended in order to increase stability in the organization
False - CORRECT ANSWER T/F: A reflection task would involve thinking about what
strategies should be used to solve a problem
a narrow-scope strategy - CORRECT ANSWER Offering a small product range to a small
number of customer groups is:
