Commerce Accountancy · General Awareness

Entrepreneurship and Innovation

1,063 Questions

Entrepreneurship and innovation questions address business management, economic development, and small scale industries. These topics are highly relevant for commerce students and competitive exams focusing on business administration. Review these questions to understand enterprise structures.

Small scale industriesWomen entrepreneurs enterpriseLegal risk mitigationMultinational corporationsKnowledge based industries

Entrepreneurship and Innovation Questions

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

The typical corporate culture has a climate and reward system that favors Conservative decision-making. Often there are individuals who want to come out of it. Which one of the following is the first step in the Entrepreneurial process?

  1. Developing successful business ideas

  2. Deciding to become an Entrepreneur

  3. Growing the Entrepreneurial firm

  4. Moving from an idea to an Intrapreneur
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The entrepreneurial process begins with the decision to become an entrepreneur, which is the foundational step before developing ideas or growing a firm.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

Identify which of the following statement is true.
(W) Leibenstein claims that the dominant, necessary characteristics of entrepreneurs is that they are gap - fillers.
(X) Kirzner suggests that the process of innovation is actually of spontaneous "undeliberate learning".
(Y) Knight claims that an entrepreneur will be able to bear the risk of a new venture if he believes that there is a significant chance of profits.
(Z) Marshall, however, implies that people can be taught to acquire the abilities that are necessary to be an entrepreneur.
Select the correct answer from the options given below -

  1. (W) & (X)

  2. (Y) & (Z)

  3. (W), (X) & (Z)

  4. (W), (X), (Y) & (Z)
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

All the statements regarding an entrepreneur are true. These statements represent the various characteristics of an entrepreneur.

Marshall stated that people can be taught to acquire the abilities that are necessary to be an entrepreneur by providing them with proper training and skills.
Knight claims that an entrepreneur will be able to bear the risk of  a new venture if he believes that there is a significant chance of profits. Every entrepreneur has to bear some risk for achieving some profits.
 Leibenstein claims that the dominant, necessary characteristics of entrepreneurs is taht they are gap fillers.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

Innovation creates new demand and entrepreneurs bring the innovations to the market. This destroys the existing markets and creates new ones, which will in turn be destroyed by even newer products or services. ____________ calls, this process, 'creative destructions'.

  1. Dr. Marshall

  2. Schumpeter

  3. Drucker

  4. John
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Schumpter viewed entrepreneurship as a force of "creative Destruction". The entrepreneurs carry out "new combinations", thereby helping render old industries obsolete. Established ways of doing business are taken over by innovations and new ideas.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

_________ requires a fresh way of looking at things an understanding of people, and an entrepreneurial willingness to take risks and to work hard.

  1. Inability

  2. Development

  3. Innovation

  4. Training
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Innovation is the process of bringing in to existence something new by applying or combining the existing ideas. It involves risk and hard work. It requires a fresh way of looking at things an understanding of people and an entrepreneurial willingness to take risks and to work hard.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

Which of the following is not a common motivation of an entrepreneur?

  1. Desire for independence.

  2. Search for personal and professional growth.

  3. Desire to maintain the status quo.

  4. Search for more rewarding work.
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

To be a successful entrepreneur, its the motivation of the person that boost him up. To do something different or to start a venture, there are some factors that start up the process.

The desire to be independent, to work being your own boss is one of the motivation for an entrepreneur.  The search for personal growth is also one of the motivation for an entrepreneur. The work that will reward a person more will make the person to undertake more risk.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

_____like entrepreneurs are the people with great willingness and efficient leadership. He inspires others. He has an incredible will and ability to lead the world and the business through any challenge. He is the essence of entrepreneurship and can assemble great companies.

  1. Hero

  2. Healer

  3. Superstar

  4. Juggler
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

As the name suggests hero  is a person who is appreciated  for their courage, achievements and good qualities. A Hero like entrepreneurs are the people with great willingness and efficient leadership. He inspires other. He has an incredible will and ability to lead the world and the business through any challenge.He is the essence of entrepreneurship and can assemble great companies.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

"A person within a large corporation who take direct responsibility for turning an idea into a profitable finished product through assertive risk-taking and innovation is_______".

  1. An entrepreneur

  2. An intrapreneur

  3. An enterprise

  4. An inter manager
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Intrapreneurship is like acting as an entrepreneur within the organization. Intrapreneurship is a step towards entrepreneurship. It focuses on self motivation and resolving a specific issues which ultimately helps in achieving the major goals. It focuses on minor goals and hence helps to achieve the entrepreneurship goals in long run.

Multiple choice organization of commerce and management entrepreneurship opportunities for an entrepreneur small business and enterprises entrepreneurship development

An informal group of innovative employees who are permitted to digress temporarily from their regular tasks to develop new ideas are referred to as:

  1. Underground

  2. Skunkworks

  3. Yahoos

  4. Intrapreneurs
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A skunkworks is a work developed by a loosely structured group small group of people who rsearch and develop work primarily for the sake of radical innovation. It is an informal group of innovative employees.