Chapter 1

Question 1

Serial entrepreneurs:

Answer 1

They own or have owned more than 1 business

Question 2

98% of employer businesses have fewer than _____ employees.

Answer 2

100

Question 3

____% of employer businesses are micro businesses.

Answer 3

57

Question 4

Micro businesses have how many employees?

Answer 4

1-4

Question 5

About 76% of small business employees work in the ______ sector.

Answer 5

Service

Question 6

Small business accounts for about ___% of our gross domestic product.

Answer 6

27

Question 7

4 characteristics of small business entrepreneurs:

Answer 7

1. Fuel for private enterprise
2. Visionary self-starters
3. Passionate, opportunity seeking, and persistent
4. Agents of change

Question 8

Agents of change:

Answer 8

Doers who see a market need and satisfy that need by translating it into a successful business

Question 9

Name characteristics of successful entrepreneurs:

Answer 9

• goal-oriented
• independent thinkers
• idea generators
• people-oriented
• sharing
• doers
• moderate risk-takers
• focused on sales
• hardworking, smart working
• competitive

Question 10

Social entrepreneur characteristics:

Answer 10

• starts a business that does social good

- agent of social change

Question 11

Agent of social change:

Answer 11

Doer with innovative solutions to society’s most pressing social challenges

Question 12

Intrapreneur:

Answer 12

• fostering entrepreneurship
• making change in a large company
• stimulate, empower, and reward employees to be entrepreneurial

Question 13

Mind map:

Answer 13

• idea generating sketch
• circled words connected by lines to form units
• doodling to generate ideas

Question 14

Characteristics of a small business:

Answer 14

• independently owned and operated firm, not dominant in its field
• any venture with spirit
• any business you want to start
• any idea you want to bring to the marketplace
• employer of 1-20 employees
• 85% of businesses in Canada

Question 15

List 5 green business ideas:

Answer 15

• solar heating
• products made of recycled material
• products that are eco-friendly
• scooters and bikes
• green consulting

Question 16

Slightly more than ____% of small businesses survive their first year.

Answer 16

85%

Question 17

On average, a company will be in business about ______ years.

Answer 17

5

Question 18

A business plan is a written summary of:

Answer 18

• business goals
• resources needed
• plan to organize resources to meet personal and business objectives

Question 19

A business plan is important because it:

Answer 19

• lays out goals
• provides an organizing tool
• acts as a financial guide
• helps obtain advice
• helps secure investment

Question 20

5 components of a business plan:

Answer 20

1. Cover sheet
2. Table of contents
3. Executive summary or statement of purpose
4. Description of the business
5. Financial section

Question 21

Description of the business in the business plan should include…

Answer 21

• the product or service
• the market and the target customer
• the competition
• marketing strategy
• location
• management and form of ownership
• personnel

Question 22

The financial section of a business plan should include…

Answer 22

• projected cash flow (monthly, first year)
• projected income statement
• projected balance sheet

Question 23

Market research:

Answer 23

Collection and analysis of data pertinent to an existing or potential market

Question 24

3 main research approaches:

Answer 24

• primary research
• new-eyes research
• secondary research

Question 25

Primary research:

Answer 25

Involves interacting with the world through interviews, observation etc.

Question 26

New-eyes research:

Answer 26

Involves the use of intuition and observation to learn things about the marketplace

Question 27

Secondary research:

Answer 27

Involves referring to someone else’s primary research

Question 28

Innovation:

Answer 28

The act of creating change