Chapter 13

Question 1

Entrepreneurship

Answer 1

The recognition of opportunities and the use or creation of resources.

Question 2

Entrepreneur

Answer 2

A person who engages in entrepreneurship.

Question 3

Truths about Entrepreneurs

Answer 3

• Work hard and are driven
• See the cup half full, rather than half empty
• Strive for integrity
  Burn with competitive desire to win
• Dissatisfied with the status quo and seek opportunities
• Use failure as a tool for learning
• Believe they can make an enormous difference.

Question 4

Myths about entrepreneurs

Answer 4

• They are born, not made
• Make more money
• Being original is essential
• It takes a lot of money
  Must be risk takers

Question 5

Entrepreneurial Process

Answer 5

1. Identify Opportunities
2. Plan and prepare, and venture
3. Resource the venture and take action

Question 6

Disruptive Technology

Answer 6

Technology that can make prior technologies obsolete.

Question 7

Low-end Disruption

Answer 7

Disruptive technology that appears at the low end of an industry.

Question 8

New-market Disruption

Answer 8

Targets non customers rather than low-end customers, thus creating new market.

Question 9

Hybrid-disruption Strategies

Answer 9

Combination of new-market and low-end disruption strategies.

Question 10

Business Plan

Answer 10

A formal statement of a set of business goals, the reasons why they are believed attainable, and the plan for reaching these goals.

Question 11

Contents of a typical business plan

Answer 11

• Executive Summary
• Company Description
• Products and Services
• Market Analysis
• Proprietary Position
• Marketing and Sales Plan
• Management Team
• Operations Plan
• Financial Plan

Question 12

Born-Global Firm

Answer 12

Also known as a global start up, a business organization that seek to derive significant competitive advantage from the use of resources and the sale of outputs in multiple countries.

Question 13

Two phases of Global Start-Up

Answer 13

Phase 1: Deciding if a firm should become a global start-up. If yes, then
Phase 2: Deciding what the firm needs to do to make that happen.

Question 14

Intrapreneur

Answer 14

A person within an established business who takes direct responsibility for turning an idea into a profitable finished product through assertive risk taking and innovation.

Question 15

Intrapreneurship

Answer 15

A form of entrepreneurship that takes place in a business that is already in existence.

Question 16

How does Intrapreneurs differ from Entrepreneurs?

Answer 16

• Acts within the confines of an existing organization
• Operates like an entrepreneur but has the backing of an organization