TEST 2

Question 1

Interpersonal skills are not necessary for entrepreneurial success; technical skills are sufficient.

Answer 1

False

Question 2

Environmental sustainability is not a concern for entrepreneurs in the tourism and hospitality industry.

Answer 2

False

Question 3

Adam Smith’s theory of the invisible hand supports extensive government intervention in markets.

Answer 3

True

Question 4

Risk-taking is a characteristic essential for entrepreneurship.

Answer 4

True

Question 5

The tourism and hospitality sectors thrive only in large corporations not in small businesses.

Answer 5

False

Question 6

Creativity is only about coming up with new ideas; it does not involve adapting to changing circumstances.

Answer 6

False

Question 7

Sustainable tourism aims to balance environmental, social, and ethical considerations.

Answer 7

True

Question 8

Entrepreneurs are solely responsible for producing goods and services; they do not contribute to economic growth.

Answer 8

False

Question 9

Tourism and hospitality businesses are critical for achieving the United Nations Sustainable Development Goals (SDGs).

Answer 9

True

Question 10

Entrepreneurs in the tourism and hospitality sector must only focus on maximizing profits disregarding social and environmental impacts.

Answer 10

False

Question 11

The Harrod-Domar theory emphasizes the importance of land as the key factor for economic growth.

Answer 11

False

Question 12

A successful entrepreneur must have both basic business skills and a good feel of the business environment.

Answer 12

True

Question 13

The Laissez-Faire theory was developed by Karl Marx.

Answer 13

False

Question 14

Intellectual property rights like trademarks and copyrights are irrelevant in entrepreneurship.

Answer 14

False

Question 15

Organizational innovation does not affect company culture and general practices.

Answer 15

False

Question 16

Entrepreneurs play a vital role in creating employment opportunities within local communities.

Answer 16

True

Question 17

The tourism and hospitality industry does not significantly contribute to local and national development.

Answer 17

False

Question 18

The term “eco-innovation” refers to innovation driven by a business’s sustainability agenda.

Answer 18

True

Question 19

An entrepreneur’s reputation is not directly related to the brand image of their business.

Answer 19

False

Question 20

Opportunity screening involves evaluating business ideas to determine their potential success.

Answer 20

True