Entrepreneurship, Kuratko - Exam Preparation Test Bank (Downloadable Doc)

1. Entrepreneurs are aggressive catalysts for change within the marketplace.
a. True

b. False

ANSWER: True



2. The terms entrepreneur and small-business owner are never used interchangeably.
a. True

b. False

ANSWER: False



3. Entrepreneurs are the major source of innovation and job creation in any economy.
a. True

b. False

ANSWER: True



4. Entrepreneurship is more than the mere creation of a business.
a. True

b. False

ANSWER: True



5. During the past ten years, new business incorporations averaged nearly 400,000 per
year.
a. True

b. False

ANSWER: True



6. A sizeable body of research has developed that supports the individual frameworks
through the schools of thought may be particularly valuable to advancing the field

,of entrepreneurship.
a. True

b. False

ANSWER: True



7. The entrepreneurial spirit is unique to America and Western Europe.
a. True

b. False

ANSWER: False



8. A “gazelle” is a business establishment with at least five percent sales growth every
year for 25 years.
a. True

b. False

ANSWER: False



9. Gazelles produce half the innovations per employee that larger firms typically do.
a. True

b. False

ANSWER: False



10. New and smaller firms obtain more patents per sale than do larger firms.
a. True

b. False

ANSWER: True



11. Gazelles produced 5 million jobs despite the continual downsizing in major
corporations over the last decade.

, a. True

b. False

ANSWER: True



12. New and smaller firms are responsible for 95 percent of all radical innovations.
a. True

b. False

ANSWER: True



13. Gazelles are almost always high tech.
a. True

b. False

ANSWER: False



14. Gazelles do not always get venture capital funding.
a. True

b. False

ANSWER: True



15. Three characteristics of an entrepreneur are personal initiative, management skills, and a
desire for autonomy.
a. True

b. False

ANSWER: True



16. Large firms, as opposed to entrepreneurs, are the aggressive catalyst for change in the world
of business.
a. True

, b. False

ANSWER: False



17. The word entrepreneur is derived from the Spanish word entreprendre, meaning “to
undertake.”
a. True

b. False

ANSWER: False



18. There is no single definition of an entrepreneur.
a. True

b. False

ANSWER: True



19. Recognition of entrepreneurs dates back to the French economist Robert Ronstadt.
a. True

b. False

ANSWER: False



20. Entrepreneurs are the major source of innovation and job creation in the economy.
a. True

b. False

ANSWER: True



21. According to Robert C. Ronstadt, entrepreneurship is the process of creating incremental
wealth.
a. True

b. False