Question 1

Process innovation:

Accepted Answer

A)   are highly disruptive.
B)   improve the efficiency of an organizational process, especially manufacturing systems and operations.
C)   usually involves very small improvements in products
D)   cannot be patented.E) B) and C)
F) A) and C)

Question 2

The discovery phase:

Accepted Answer

A)   refers to more than just the "Eureka!" feeling that people sometimes experience at the moment they identify a new idea.
B)   refers to the process of becoming aware of a new business concept
C)   occurs after an opportunity has been identified.
D)   involves analyzing an opportunity to determine whether it is viable and strong enough to be developed into a full-fledged new venture.E) All of the above
F) None of the above B

Question 3

According to the text, in addition to financial resources, young firms often need the following resources, except:

Accepted Answer

A)   social capital.
B)   logistics support.
C)   human capital.
D)   government resources.E) None of the above
F) C) and D)

Question 4

Radical innovations often begin with a long period of exploration in which experimentation makes strict timelines unrealistic

Accepted Answer

A) True 
 B)False

Question 5

Firms using a focused approach to corporate entrepreneurship typically separate corporate venturing activities from on-going operations of the firm.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following dimensions of entrepreneurial orientation is described as "a forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities"?

Accepted Answer

A)   Proactiveness
B)   Risk taking
C)   Autonomy
D)   Competitive aggressivenessE) None of the above
F) B) and D)

Question 7

Corporate entrepreneurship is sometimes called "intrapreneuring."

Accepted Answer

A) True 
 B)False

Question 8

Venture capital is

Accepted Answer

A)   a form of private equity
B)   available only at the start-up stage
C)   a form of human capital
D)   a form of angel investingE) C) and D)
F) None of the above

Question 9

What are the differences between product and process innovation? What are the strategic implications of each approach to innovation?

Accepted Answer

Product innovation refers to efforts to ...

Question 10

In general, radical innovations occur quickly and incremental innovations take a long time to develop.

Accepted Answer

A) True 
 B)False

Question 11

Process innovations are often associated with a low-cost leadership strategy.

Accepted Answer

A) True 
 B)False

Question 12

Innovativeness refers to creating autonomous work units and encouraging independent action.

Accepted Answer

A) True 
 B)False

Question 13

The benefits of converting innovations into successful business ventures include

Accepted Answer

A)   declining competitiveness.
B)   shutting down product lines.
C)   growth and rewards.
D)   focus groups and business incubators.E) A) and D)
F) All of the above

Question 14

Discuss the how the generic strategies of cost leadership, differentiation and focus may be used by new ventures and small businesses.

Accepted Answer

One of the ways entrepreneurial firms ac...

Question 15

Describe three first mover advantages.

Accepted Answer

First, industry pioneers, especially in new industries, often capture unusually high profits because there are no competitors to drive prices down. Second, first movers that establish brand recognition are usually able to retain their image and hold on to the market share gains they earned by being first. Sometimes, these benefits also accrue to other early movers in an industry, however, first movers have an advantage that can be sustained until firms enter the maturity phase of an industry's life cycle

Question 16

First movers in an industry often capture above-average profits, but usually find it difficult to maintain early market share gains.

Accepted Answer

A) True 
 B)False

Question 17

Focus strategies are often associated with small businesses because there is a natural fit between the narrow scope of the strategy and the

Accepted Answer

A)   small size of the firm.
B)   a strong spirit of entrepreneurship.
C)   a top-down approach to supporting entrepreneurial behaviour.
D)   an entrepreneurial culture.E) C) and D)
F) None of the above

Question 18

Discuss the concept of venture capital as a means of funding entrepreneurial initiatives.

Accepted Answer

Venture capital is a form of private equity financing through which entrepreneurs raise money by selling shares in the new venture. In contrast to angel investors, who invest their own money, venture capital companies are organized to place the funds of private investors into lucrative business opportunities. Venture capitalists nearly always have high performance expectations from the companies they invest in, but they also provide important managerial advice, and links to key contacts in an industry.

Question 19

The innovation dilemma known as building capabilities versus collaborating refers to

Accepted Answer

A)   developing innovation skills internally versus partnering with qualified outsiders.
B)   building innovative products in-house versus outsourcing.
C)   building credibility by launching products ahead of potential collaboration partners.
D)   choosing which innovation ideas are most likely to "bear fruit."E) A) and B)
F) A) and C)

Question 20

All of the following are traits of an effective innovator, except:

Accepted Answer

A)   Associating
B)   Questioning
C)   Deliberating
D)   ExperimentingE) A) and C)
F) C) and D)

Exam 12: Managing Innovation and Fostering Entrepreneurship

Process innovation:

Correct Answer
verified

The discovery phase:

Correct Answer
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B

According to the text, in addition to financial resources, young firms often need the following resources, except:

Correct Answer
verified

Radical innovations often begin with a long period of exploration in which experimentation makes strict timelines unrealistic

Correct Answer
verified

Firms using a focused approach to corporate entrepreneurship typically separate corporate venturing activities from on-going operations of the firm.

Correct Answer
verified

Which of the following dimensions of entrepreneurial orientation is described as "a forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities"?

Correct Answer
verified

Corporate entrepreneurship is sometimes called "intrapreneuring."

Correct Answer
verified

Venture capital is

Correct Answer
verified

What are the differences between product and process innovation? What are the strategic implications of each approach to innovation?

Correct Answer
verified
Product innovation refers to efforts to ...
View Answer

In general, radical innovations occur quickly and incremental innovations take a long time to develop.

Correct Answer
verified

Process innovations are often associated with a low-cost leadership strategy.

Correct Answer
verified

Innovativeness refers to creating autonomous work units and encouraging independent action.

Correct Answer
verified

The benefits of converting innovations into successful business ventures include

Correct Answer
verified

Discuss the how the generic strategies of cost leadership, differentiation and focus may be used by new ventures and small businesses.

Correct Answer
verified
One of the ways entrepreneurial firms ac...
View Answer

Describe three first mover advantages.

First movers in an industry often capture above-average profits, but usually find it difficult to maintain early market share gains.

Correct Answer
verified

Focus strategies are often associated with small businesses because there is a natural fit between the narrow scope of the strategy and the

Correct Answer
verified

Discuss the concept of venture capital as a means of funding entrepreneurial initiatives.

The innovation dilemma known as building capabilities versus collaborating refers to

Correct Answer
verified

All of the following are traits of an effective innovator, except:

Correct Answer
verified

Exam 12: Managing Innovation and Fostering Entrepreneurship

Process innovation:

Correct AnswerverifiedShow Answer

The discovery phase:

Correct AnswerverifiedB

According to the text, in addition to financial resources, young firms often need the following resources, except:

Correct AnswerverifiedShow Answer

Radical innovations often begin with a long period of exploration in which experimentation makes strict timelines unrealistic

Correct AnswerverifiedShow Answer

Firms using a focused approach to corporate entrepreneurship typically separate corporate venturing activities from on-going operations of the firm.

Correct AnswerverifiedShow Answer

Which of the following dimensions of entrepreneurial orientation is described as "a forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities"?

Correct AnswerverifiedShow Answer

Corporate entrepreneurship is sometimes called "intrapreneuring."

Correct AnswerverifiedShow Answer

Venture capital is

Correct AnswerverifiedShow Answer

What are the differences between product and process innovation? What are the strategic implications of each approach to innovation?

Correct AnswerverifiedProduct innovation refers to efforts to ...View AnswerShow Answer

In general, radical innovations occur quickly and incremental innovations take a long time to develop.

Correct AnswerverifiedShow Answer

Process innovations are often associated with a low-cost leadership strategy.

Correct AnswerverifiedShow Answer

Innovativeness refers to creating autonomous work units and encouraging independent action.

Correct AnswerverifiedShow Answer

The benefits of converting innovations into successful business ventures include

Correct AnswerverifiedShow Answer

Discuss the how the generic strategies of cost leadership, differentiation and focus may be used by new ventures and small businesses.

Correct AnswerverifiedOne of the ways entrepreneurial firms ac...View AnswerShow Answer

Describe three first mover advantages.

First movers in an industry often capture above-average profits, but usually find it difficult to maintain early market share gains.

Correct AnswerverifiedShow Answer

Focus strategies are often associated with small businesses because there is a natural fit between the narrow scope of the strategy and the

Correct AnswerverifiedShow Answer

Discuss the concept of venture capital as a means of funding entrepreneurial initiatives.

The innovation dilemma known as building capabilities versus collaborating refers to

Correct AnswerverifiedShow Answer

All of the following are traits of an effective innovator, except:

Correct AnswerverifiedShow Answer

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B

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Product innovation refers to efforts to ...
View Answer

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One of the ways entrepreneurial firms ac...
View Answer

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