MBA Entrepreneurship — practice questions
110 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice MBA Entrepreneurship in the app →The Government of India defines small industries on the basis of investment in:Which Act of 2006 gave micro, small and medium enterprises a single legal framework?A manufacturing enterprise with investment in plant and machinery up to twenty-five lakh rupees is a:A manufacturing enterprise investing more than five crore but not above ten crore rupees is:For service enterprises, a micro unit has investment in equipment not exceeding:An industry located in a rural area, with fixed capital per artisan set by the central government, is a:Industries organised by individuals with family labour and simple equipment are:Small industries account for what share of the industrial units in India?Small industries are the second largest employers of human resources, after:Because they create more jobs per unit of capital, small industries are described as:Small units often depend on money lenders because they lack the credit worthiness to raise:Small firms have low bargaining power for raw materials mainly because they buy:A single owner with sound technical knowledge but weak marketing shows the problem of:Small firms often depend excessively on middlemen because their weak area is:Operating below full capacity raises operating costs and can lead to:India adopted liberalisation, privatisation and globalisation policies in:Access to developed country markets is limited by stringent quality certification such as:Which bank was set up in 1982 to promote integrated rural development?The National Small Industries Corporation was set up in:The scheme set up in 2005 to regenerate traditional industries in clusters is:The District Industries Centre was launched on:The process of setting up one's own business, rather than taking a job, is:People with vision, drive and creativity willing to risk starting a business for profit are:Entrepreneurs who start a whole series of companies are called:Founders who start small and deliberately plan to stay small are:Employees who apply creativity and risk-taking inside a large corporation are:An entrepreneur who is competitive with a high need for achievement is described as:An individualist and self-starter who prefers to lead rather than follow is:Successful entrepreneurs mostly prefer opportunities carrying:The ability to spot trends and act on them sets entrepreneurs apart. That trait is being:A firm with under 500 employees, independently managed and not dominant in its industry, is a:A formal written statement describing a new business idea and how it will be carried out is a:Which of these belongs inside such a plan?Borrowed funds that must be repaid with interest over a stated period are a form of:Funds raised by selling ownership in the business are a form of:Individual investors who put their own funds into start-ups are:Investment firms specialising in financing small high-growth companies for an ownership stake supply:Compared with the earliest individual backers, venture capitalists typically invest:The federal body that helps people start and manage small firms and win contracts is the:Retired executives who volunteer to advise small-business owners work through:A facility giving start-ups workspace and support in their earliest days is a business:Investment companies licensed by that federal body to provide long-term small-business finance are:Having a great concept alone is not enough, because the entrepreneur must also:A person with every entrepreneurial trait may still fail because they lack:The entrepreneur who developed the lean startup methodology after his first company closed was:The creator of the customer development methodology behind that movement was:The loop of building, measuring and then learning is called the:A very early prototype carrying only the core benefits is a:The people who try that earliest version are described as:A lean startup begins by building a product that has:Dropbox first showed potential customers a short:That Dropbox example shows that businesses can function without being:The crucial change a company makes to test a new direction is called a:After the loop, a company either pivots or:The second company Eric Ries created was:That avatar platform is also described as a:When their first customers disappeared, the founders decided to start:Despite bugs that could crash users' computers, Ries was determined to:The lean startup method aims to develop products people want in a:Many companies waste effort on ideas that seem great in theory but:The step-by-step approach advocated covers how to manoeuvre a startup, change course and:According to that method, an MVP can be the bare minimum needed to help people:A basic platform released to early adopters serves mainly to:The loop helps entrepreneurs learn whether there is a need to:Building an elaborate product before testing demand risks:The lean startup approach is described as a new way to develop and:A founder builds his product first and assumes buyers will simply turn up. That thinking follows the axiom:A mentor asks a founder for the bare minimum a business model must cover. Besides value proposition and customWould-be founders map the parts of their business onto one big visual sheet. That sheet is a:A team fills in the business model canvas by Osterwalder and Pigneur. The number of components is:A founder compares the lean canvas with the business model canvas. The blocks they share number:The lean canvas drops key partners, key activities and key resources. In their place it asks for problems, solA founder maps her design of the business, and separately writes a planning document for running it. The seconAn adviser warns that this study runs largely on numbers and can go deeper than a business plan. She means theOne feasibility check weighs whether the management team and resources are strong enough to bring the idea to Another feasibility check looks at expenses, cash flow and projected revenue. That check is:A third check studies the overall market and the share the venture can expect to win. That check is:An investor calls one document an extended executive summary of the full plan. That document is the:A founder wanting a rapid launch writes the short plan. Its usual length is about:A business plan is handed to outsiders as an investment tool. What it sets out for them is the:After sizing the whole market, a founder counts the potential users inside her sphere of influence. That countA market analysis can carry a competitive review, historical performance, supply and demand changes and projecA company founded in California in 1997 mailed DVDs to homes and undercut the video rental stores. That companOn the canvas, value propositions, customer relationships, customer segments and channels test whether people An adviser notes that industry analysis and competitive analysis do not appear on the canvas at all. He calls A struggling company runs hackathons and hunts for a new direction for the business. That change of direction A platform serves buyers on one side and sellers on the other. That model is a:Of all the canvases available, the two most commonly used are the lean canvas and the:A designer turns a creative idea into a product people can actually buy and use. That step is:A firm launches a product built on new technology and opens a market that did not exist. That is a:Another firm adds two features to a product already on its shelves. That change is an:Opening up brand new market space with a pioneering product also means taking on major:An engineer works through a problem in a logical, step-by-step order. That is:A designer deliberately ignores established patterns of logic to let odd ideas in. That is:A method focuses design decisions on what the customer actually needs, driven by empathy. That method is:The human ability to feel what another person is feeling, where human-centred design begins, is:Having understood the user, the team builds a rough working version to test with real people. That version is Users grumble that an existing product fails to work as well as they expect. That gap is a:A firm looks outside its own walls for solutions rather than relying only on its staff. That approach is:Creativity has been set out in five stages, beginning with preparation and incubation. The thinker behind thatAfter a hard week of study, a founder takes a long walk and lets her mind wander. That stage is:A firm secures a patent on its invention, which also puts a wall in front of rivals. That wall is a barrier agAn inventor asks how long a utility patent runs. The usual answer is:In the same comparison, a design patent usually lasts:A team gathers to throw out as many raw ideas as possible without judging them yet. That formal exercise is:A founder follows a plan for taking an invention from idea to manufacture. That plan sets out:The formal process for a utility patent is mapped out as a flow chart with how many steps?A manager notes that open innovation sounds fine in principle but raises problems in practice. Those problems A firm practising open innovation should expect, and even encourage, wide circulation of its:A professor tells her class that the study and practice of creativity and design thinking never sit still. The