Introduction to Business Chapter 3

Question 1

Small Business Administration (SBA)

Answer 1

Government agency that assists small businesses, has different standards based on industry

Question 2

Small Business

Answer 2

Independently owned business that has relatively little influence in its market

Question 3

Entrepreneurs

Answer 3

Someone who accepts both the risks and the opportunities involved in creating and operating a new business venture

Question 4

Entrepreneurship

Answer 4

The process of seeking business opportunities under the conditions of risk

Question 5

Established Market

Answer 5

is one in which many firms compete according to relatively well-defined criteria

Question 6

Niche

Answer 6

a segment of a market that is not currently being exploited

Question 7

First-Mover Advantage

Answer 7

and advantage that comes to a firm because it exploits an opportunity before any other firm does.

Question 8

Business Plan

Answer 8

document in which the entrepreneur summarizes his or her business strategy for the proposed new venture and how that strategy will be implemented

Question 9

Franchise

Answer 9

arrangement in which a buyer (franchise) purchases the right to sell the good or services of the seller (franchiser)