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Question
With the enactment of the Sarbanes-Oxley Act in 2002, the expense and administrative responsibilities of being a public company, as well as the liability risks of officers and directors, are significantly greater.Answer
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Generally, independent, venture-capital-based start-ups by entrepreneurs tend to outperform corporate start-ups significantly.
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Entrepreneurial activities tend to immediately affect the bottom line, and hence are seldom overlooked and receive extensive funding and support.
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A narrow scope strategy reduces the risks associated with competition.
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A narrow scope strategy is better than a broad scope strategy in an environment high in uncertainty.
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A narrow scope strategy offers a small product range to a small number of customer groups.
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Adaptations necessary to meet changes in market demand are difficult because an organization resists change.
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First movers suffer a cost disadvantage as they are not able to move down the experience curve.
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The knowledge needed to generate innovation cannot be easily learned from a textbook.
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A.Gordon
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Which of the following is a liability of newness?
A.Costs associated with learning new tasks are high.
B.Lack of established routines and processes give the venture a new slate.
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Imitation strategies:
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_____ refers to the probability, and magnitude, of downside loss.
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Frequent flier miles would be an example of which barrier to entry?
A.Building customer loyalties
B.Securing access to supply of key resources
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The costs that must be borne by customers if they are to stop purchasing from the current supplier and begin purchasing from another is(are):
A.customer switching costs.
B.lead time.
C.resource costs.
D.resource bundle errors.
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The U.S. Chamber of Commerce and Small Business Development Centers are good places to get information and assistance in starting a new business.
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Which of the following problem-solving techniques begins with group members not knowing the exact nature of the problem?
A.Parameter analysis
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C.The Gordon method
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Reverse brainstorming is much like brainstorming except that:
A.criticism is not allowed.
B.the technique is based on finding solutions.
C.the group need not be careful to maintain good morale.
D.the process usually involves identification of everything wrong with an idea.
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_____ is not desirable when brainstorming is in process.
A."Freewheeling"
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The largest source of new product ideas is:
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C.customers.
D.the federal government.
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Patents filed with the U.S. Patent Office:
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The entrepreneur should always design and build his own webpage to maintain strategic control.
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Only the test marketing phase of product planning provides actual sales results to judge the product's customer appeal.
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In the test market stage of product planning, the refined product idea is tested to determine customer acceptance.
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In the concept stage, the refined idea is tested to determine consumer acceptance.
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Creative synthesis is closely connected to the technique of parameter analysis.