Homework answers / question archive / San Jose State University - MARKETING 155 Entr 187 Chapter 1 1)Entrepreneurs have more control over more aspects of their working lives than employees

San Jose State University - MARKETING 155 Entr 187 Chapter 1 1)Entrepreneurs have more control over more aspects of their working lives than employees

Marketing

Share With

---

San Jose State University - MARKETING 155

Entr 187

Chapter 1

1)Entrepreneurs have more control over more aspects of their working lives than employees.  Of

which aspect of their working lives do employees have more control?

a. financial uncertainty

b. working conditions

c. time

d. encroachment on personal time

 

 

2. The United States economy is a free enterprise system. It is also referred to as a "free trade system" because it is based on ________.

a. voluntary exchange

b. gambling and chance

c. involuntary exchange

d. government cooperation

 

 

3. If a business is not making a profit, the entrepreneur knows that ________.

a. no one wants to buy the product/service

b. he/she is not making good use of scarce resources

c. people are willing to buy the product/service at high price

d. competition is too great

 

 

4. When making an investment, always consider the ________, which is the cost of your next-best investment.

a. next-investment cost

b. cost of goods sold

c. opportunity cost

d. marginal cost

 

 

 

5. Entrepreneurs look at five basic ways of opportunity for business ideas. Which is not one of those five?

a. developing new market for existing product

b. producing a product more cheaply

c. finding new ways to use existing technology

d. raising prices in an existing market

 

 

 

6. To Russell Simmons, among the seven rules for building a successful business are ________.

a. gathering resources and deciding the form of ownership

b. building a team and writing a realistic plan

c. recognizing an opportunity and evaluating it

d. All of the above.

 

 

Chapter 2-

 

7. Your business plan projections should be ________.

a. incredible and impossible to reach

b. optimistic and a bit of a stretch

c. practical and easy to reach

d. realistic and attainable

 

 

8. Making the beliefs, values, and behavioral norms explicit and intentional builds the ________ of an organization.

a. culture

b. vision

c. mission

d. All of the above.

 

 

9. The ________ addresses the roles of the community, region, nation, and world in a business.

a. business analysis

b. environmental analysis

c. industry analysis

d. proof of market

 

 

10. Which of the following is not needed in all business management teams?

a. operations

b. outside directors

c. marketing

d. accounting

 

11. Income statement projections realistically ________ in the first few months of operations.

a. show losses

b. show profits

c. breakeven

d. marginal profits

 

12. Which of the following is not a best practice?

a. Write for your audience.

b. Use technical language and jargon.

c. Show that you are emotionally, intellectually and financially invested in the business.

d. Explain why the business will be successful.

 

 

Chapter 3 –

13. To succeed, a business must satisfy a consumer need ________.

            a. at a price that covers the business’s costs

            b. at a price that provides the business with a profit

            c. at a price consumers can afford

            d. at a price competitor can’t match

 

14. Which item below is not a competitive advantage?

a. Using a new patented manufacturing process that reduces manufacturing costs by 25%.

            b. Offering free samples during a two week promotion.

            c. Consistently providing better customer service than the competition.

            d. Reducing operating costs by 7%.

 

15. To help determine whether your business will be profitable, calculate the ________.

a. difference between the costs and profits for one unit

            b. economics of one unit

            c. cost of goods sold

            d. marginal cost of one unit

 

16. Business leaders create wealth by ________.

a. avoiding the cost of hiring employees

b. reducing their gross margins

c. hiring employees in order to sell more units and generate more profit

d. charging high prices to customers

 

 

17. Tray has a T-shirt business that buys shirts from a wholesaler for four dollars each and sells them to retailers for eight dollars each. He imprints each shirt with a picture of a musical artist that costs him two dollars. He also pays his cousin to do the printing at five dollars an hour. LaShawn prints five shirts per hour. A retailer offers to buy 1000 shirts at seven dollars each. Should Tray agree to the deal?

a. Yes, Tray will make a profit of one dollar per shirt.

b. No, Tray will not make a profit at this price.

            c. Yes, Tray will make a marginal profit at this rate.

            d. Yes, even though he may lose money he can make up for it in volume.

 

 

 

18. The business definition has three elements ________.

            a. target market, potential customers, and production capability

            b. offer, target market, and production/delivery capability

            c. offer, acceptance, and consideration

            d. business definition, target market, and market analysis

 

 

 

19. Which of the following is not a strong method of identifying business opportunities?

            a. Searching through a process of identification and selection beginning with self-            developed (or group-developed) ideas.

b. A person has a talent for making something and decides that he or she should go into business.

c. Searching through a process of identification and selection starting with research on "hot" businesses or growth areas.

d. A person has an idea for a product or service and searches for a market.

 

 

Chapter 4-

 

20. What is the third step of deciding who the potential customers are for your business?

a. understanding who might actually buy your product or service

b. understanding who needs your product or services

c. analyzing who has the authority to buy

d. analyzing the buying process that leads customers to your product or service

 

 

21. When has a market become saturated?

a. When most of the people in the market who are interested in the product have already

purchased it.

b. When there has been so much advertising and publicity that almost every person in the

market is aware of the product.

c. When competitors have entered the market and forced the price of the product so low that the businesses selling it can no longer earn a profit.

 

 

22. Positioning your product in the market involves ________.

a. buying advertising and obtaining publicity

b. distinguishing your product by demonstrating to customers that it is the cheapest in the

market

c. communicating your competitive advantage to the customer by demonstrating how your product/service differs from the competition

d. moving it to the top in search engine optimizing

 

 

 

23. ________ ask(s) people directly through interviews or questionnaires about their perceptions of a product or service.

a. General research

b. Industry research

c. Statistical research

d. Surveys and focus groups

 

 

 

24. Understanding the status and trends of an industry can be aided by ________.

a. checking out the internet public library, your local Small Business Administration,

chamber of commerce, or local business school or college library

b. looking for recent articles on the industry in magazines or by using Google or other

search engines

c. looking on competitors' web sites

d. All of the above.

 

 

 

25. Smart marketers always emphasize ________.

a. benefits, not features

b. features, not benefits

c. benefits, not prices

d. None of the above.