Understanding entrepreneur's position in the economy.

Entrepreneurs try to meet the needs of the marketplace by supplying a product or service.

• True

• False

Entrepreneurs and employees are both directly affected by the consequences of the decisions they make.

• True

• False

There are generally four types of businesses: manufacturing, wholesaling, retailing, and franchising.

• True

• False

Entrepreneurial businesses include retailing businesses, such as clothing and furniture stores, but do not include service businesses

• True

• False

Manufacturing businesses produce the products they sell.

• True

• False

A travel agency is a retailing business.

• True

• False

Small businesses with fewer than 500 employees represent about 25 percent of all businesses in the United States today.

• True

• False

Small businesses contribute billions of dollars to the U.S. economy every year.

• True

• False

The failure rate for restaurants is higher than for other types of small businesses.

• True

• False

The owner’s business experience is a factor that contributes to the likelihood of success.

• True

• False