Unit 1 Entrepreneurship Study Guide

Select the best definition for: Entrepreneurial innovation

• The process of translating a business idea into a profitable small business, creating value for the owner.

• The process of creating a target market or customer base for an existing business idea.

• The process of creating a unique new invention to earn money for the business owner.

• The process of translating an idea or invention into a good or service that creates value or for which customers will pay.

Select the best definition for: Design Thinking

• A process for designing a modified product or service in order to steal customers from other businesses.

• The process of creating a unique new invention to earn money for the business owner.

• The process of translating an idea or invention into a good or service that creates value or for which customers will pay.

• A process for creative problem solving, focused on the people experiencing the problem.

Entrepreneurship is NOT (select all that apply):

• Road to becoming famous

• A mindset for those always looking for opportunity

• Easy

• Get rich-quick scheme

• A good fit for those comfortable with taking risks

What is one of the purposes of establishing strong ethics as a business owner?

• To ensure clear contracts and agreements between the business and vendors or partners.

• To enable the formation of a strong professional network.

• To ensure a level of trust between the business and potential customers and partners.

• To enable a focus on profits, rather than customers or sales procedures.

Pick the best definition for: Entrepreneur

• a temporary organization that searches for a repeatable and scalable business model

• Started to fill a gap or provide a service, be your own boss

• an individual who creates a new business, bearing most of the risks and enjoying most of the rewards.

• a formally educated individual who invests in small businesses

Pick the best definition for: Startup

• an individual who creates a new business, bearing most of the risks and enjoying most of the rewards.

• an individual who creates a new business, bearing most of the risks and enjoying most of the rewards.

• a temporary organization that searches for a repeatable and scalable business model

• Started to fill a gap or provide a service, be your own boss.

Pick the best definition for: Small Business

• an individual who creates a new business, bearing most of the risks and enjoying most of the rewards.

• Started to fill a gap or provide a service, be your own boss

• a temporary organization that searches for a repeatable and scalable business model

• a formally educated individual who invests in small businesses

Pick two essential characteristics of successful entrepreneurs.

• Passionate and Purpose-Driven

• Profit-Oriented and Independent

• Formally Educated and Driven

• Extroverted and Aggressive

The Business Plan and Business Model Canvas are static documents that are written early in the planning phase.

• True

• False

The Business Plan is a visual summary of the business model, often on one page.

• True

• False