1. What is entrepreneurial management?

a) Managing government policies on businesses

b) The practice of using entrepreneurial knowledge to improve business effectiveness
c) A system of investments in large firms
d) A method of hiring employees in a start-up

2. Who is considered an entrepreneur?

a) Only people who start tech companies
b) Any person who creates and runs a business while taking risks
c) Only businesspeople with large investments
d) Government officials managing business policies

3. What is a franchise?
a) A business inherited from a family member
b) A prepackaged business model purchased from a franchisor
c) A company that only sells online
d) A government-funded business

4. According to the Asian Development Bank, what percentage of businesses in Asia are SMEs?
a) 50%
b) 75%
c) 98%
d) 100%

5. What is the BRIE model in entrepreneurship?

a) A strategy for global investments
b) A model defining four elements needed to start a business
c) A government initiative to support entrepreneurs
d) A funding method for start-ups

6. Which of the following is NOT one of the four key ideas in starting an entrepreneurial small business?
a) Planning + Action = Success
b) Do well. Do good.
c) Help Helps
d) Copying big business models

7. What is the most important factor that separates a small business from a large corporation?
a) Location
b) Number of employees and assets
c) Amount of advertising
d) Government support

8. What is the term for a business owner who buys an existing company instead of starting from scratch?
a) Founder
b) Buyer
c) Heir
d) Innovator

9. What is the main reason entrepreneurs face role conflict in family businesses?
a) They lack professional skills.
b) They struggle to separate business responsibilities from family roles.
c) They have too much financial stability.
d) They receive government support.

10. Which of the following is NOT one of the five Ps of entrepreneurial behavior?
a) Passion
b) Perseverance
c) Planning
d) Patience

11. Why is self-efficacy important for an entrepreneur?

a) It ensures financial success.
b) It helps in believing in oneself, which leads to perseverance.
c) It eliminates all business risks.
d) It guarantees market dominance.

12. What is the primary goal of a lifestyle or part-time firm?

a) To generate high revenue and expand globally
b) To provide subsistence income and fit the owner’s schedule
c) To sell the business quickly for a profit
d) To secure government funding

13. Which of the following best describes high-growth ventures?

a) Small businesses focused on survival
b) Businesses that follow corporate expansion strategies
c) Firms intended to provide the owner with a stable but small income
d) Businesses designed to stay local and avoid scaling

14. Why are small businesses important to an economy?

a) They generate new jobs and innovations.
b) They are easier to manage than large corporations.
c) They pay lower taxes.
d) They discourage large companies from expanding.

15. How do small businesses contribute to innovation?

a) By following large corporations' strategies
b) By introducing new products, services, or processes
c) By avoiding risk and competition
d) By limiting market growth

16. What is creative destruction in entrepreneurship?

a) Destroying old businesses to make space for new ones
b) The process where new innovations replace outdated products or businesses
c) A strategy to eliminate competition
d) A legal process for closing businesses

17. What is bootstrapping in entrepreneurship?

a) Using personal resources to start a business with minimal funding
b) Taking out a large loan for business expansion
c) Relying on government grants for start-up capital
d) Hiring only experienced employees

18. Which of the following is NOT a commonly mentioned reward of being an entrepreneur?
a) Flexibility
b) Power
c) Income
d) Growth

19. Why do many innovations come from small businesses?

a) They are less concerned with profitability.
b) They have more government funding.
c) They have flexibility and freedom to experiment.
d) They have access to more resources than large corporations.
20. What does it mean to pivot in business?
a) Sticking with the original business plan
b) Adjusting or changing the business model to fit market needs
c) Selling the business after a year of operations
d) Avoiding innovation to maintain stability

21. Which of the following is an opportunity-driven business?

a) A person who starts a business due to unemployment
b) A person who builds a company to improve income and services
c) A person who inherits a family business
d) A person forced into business due to financial hardship

22. What is the most common reason for small business failure?
a) Too many employees
b) Poor financial management
c) Strict government regulations
d) A lack of social media marketing

23. Which of the following is an example of a necessity-driven entrepreneur?

a) A person who starts a company to solve a problem they are passionate about
b) A person who creates a start-up to challenge big businesses
c) A person who starts a business due to job loss or financial need
d) A person who invests in stock markets

24. What is the main advantage of franchising?

a) The franchisee has complete business control
b) The franchisee benefits from an established brand and business model
c) The franchisee does not need to invest any money
d) The franchisee is free to modify the product as they like

25. What is crowdfunding?

a) A strategy to take a company public
b) Raising small amounts of money from many people, usually online
c) Getting a business loan from a bank
d) Borrowing money from family members

26. What is scalability in business?

a) The ability to expand a business without increasing costs significantly
b) The ability to maintain a small business without growing
c) The process of downsizing to cut expenses
d) The act of increasing product prices

27. What is a business model?

a) A plan for how a company makes money and delivers value to customers
b) A legal document for business registration
c) A marketing slogan for a brand
d) A type of financial investment

28. What is the difference between a start-up and a small business?

a) Start-ups focus on rapid growth and innovation, while small businesses aim for stability
b) Small businesses always become start-ups after a few years
c) Start-ups only operate online, while small businesses are physical stores
d) Small businesses require large investments, while start-ups do not
29. Which of the following is a common myth about small businesses?
a) They create jobs and boost the economy
b) They require a business plan to succeed
c) They cannot be started during a recession
d) They need strong leadership to grow

30. Which of the following best describes bootstrapping?

a) A method of getting government loans for start-ups
b) Using personal savings and minimal external funding to start a business
c) A way of selling shares to raise capital
d) A strategy for hiring experienced employees

31. What is the main purpose of a feasibility study?

a) To determine whether a business idea is viable and profitable
b) To finalize a business name
c) To gain government approval before starting a business
d) To prepare tax documents

32. In the entrepreneurial life cycle, which stage comes after the existence stage?
a) Resource maturity
b) Takeoff
c) Success
d) Decline

33. Which of the following is an example of opportunity recognition?

a) Copying a competitor’s business model
b) Identifying a problem and creating a product to solve it
c) Avoiding innovation to reduce risk
d) Following industry trends without modifications

34. What is a minimum viable product (MVP)?

a) A fully developed product with all features
b) The first version of a product with just enough features to attract early customers
c) A product that has been mass-produced for market release
d) A product that has failed in the market

35. Which of the following is an example of a radical innovation strategy?

a) Slightly improving an existing product
b) Selling the same products as competitors
c) Creating a completely new way of doing something
d) Adopting minor changes to an old business model

36. What is the difference between invention and innovation?

a) Invention refers to creating something new, while innovation is improving an existing idea
b) Innovation happens only in technology, while invention applies to all fields
c) Invention is based on customer feedback, while innovation is trial and error
d) Innovation is the same as invention

37. What is the main challenge of family businesses?

a) Lack of investment opportunities
b) Role conflicts and succession planning issues
c) Inability to attract customers
d) No need for financial management

38. What is the biggest advantage of e-commerce?

a) It allows businesses to sell products 24/7 globally
b) It eliminates the need for customer service
c) It requires no investment or planning
d) It does not require a business strategy

39. What is the most important factor for a business to achieve sustainability?
a) Reducing competition
b) Minimizing environmental impact while staying profitable
c) Avoiding business expansion
d) Focusing only on short-term goals

40. Which of the following is NOT an external factor affecting a small business?
a) Government regulations
b) Economic conditions
c) Competitor pricing
d) Internal management decisions

41. What is the main benefit of a social network for an entrepreneur?

a) It provides instant business success
b) It helps build relationships, trust, and opportunities for collaboration
c) It replaces the need for financial planning
d) It eliminates the risk of business failure

42. What does environmental scanning help businesses do?

a) Identify trends, opportunities, and potential threats in the market
b) Avoid competitor research
c) Ignore industry changes
d) Focus only on internal business operations

43. What is a key characteristic of an innovation-driven economy?

a) Dependence on farming and mining industries
b) Focus on cost-cutting rather than new ideas
c) Growth through technological advancements and entrepreneurship
d) Heavy reliance on government subsidies

44. Why do some businesses practice crowdsourcing?

a) To get ideas, funding, or resources from a large group of people
b) To avoid paying employees
c) To prevent competitors from entering the market
d) To remove customers from decision-making

45. Which of the following is an example of an efficiency-driven economy?

a) A country moving from farming to industrial production
b) A fully developed country with advanced technology
c) A nation that only relies on imported goods
d) A country that does not support entrepreneurship

46. What is a key feature of the SCAMPER method?

a) It helps entrepreneurs brainstorm and modify ideas for innovation
b) It is a legal process for registering new businesses
c) It prevents businesses from making product changes
d) It is a way to avoid competition

47. What is an example of a prevention-focused entrepreneur?

a) Someone who takes bold risks to maximize profit
b) A business owner who prioritizes avoiding losses over chasing opportunities
c) Someone who does not make any business decisions
d) An entrepreneur who only works part-time

48. What is the billboard principle in ethical decision-making?

a) Asking if you would be comfortable seeing your decision publicly displayed
b) A law about advertising regulations
c) A strategy for improving sales through outdoor marketing
d) A principle that suggests businesses should never take risks

49. What is one major risk of having no succession plan in a family business?
a) The business will grow too quickly
b) The business might fail due to leadership conflicts and lack of preparation
c) Employees will have too much decision-making power
d) Government policies will take over the business

50. Why is flexibility considered a key reward of being an entrepreneur?

a) It allows business owners to control their schedules and lifestyle
b) It guarantees financial success
c) It removes the need for business planning
d) It ensures that employees are always happy