Week 4 Knowledge Check

The material presented below is not meant to be a comprehensive list of all you need to know in the content area. Rather it is a starting point for building your knowledge and skills. Additional study materials are recommended in each area below to help you master the material.

Personalized Study Guide Results:

Score: 27 / 29 Concepts Levels of Leadership Mastery

Questions 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

100%

Three Forms of Opportunity

100%

Employee Role

67%

Planning

100%

Organizing

100%

Leading

67%

Controlling

100%

Business Plan

100%

Concepts

Mastery

Questions 26 27 28 29

SWOT Analysis

100%

Concept: Levels of Leadership

Mastery 100% Questions

1 2 3 4

Materials on the concept:

Forms of Entrepreneurial Opportunities The Role of the Entrepreneur Summary of the Chapter The Role of Management The Agency Problem: The Separation of Ownership from Control The Role of the Employee Managerial Functions

1 . Which of the following best defines the entrepreneurship process?

A. Providing both direct and indirect services to customers B. Using IT to assemble materials into the final product C. Acquiring and combining resources to create goods or services for customers to buy. D. Exchanging or selling services to other companies

Correct : The main role of the entrepreneur is to provide the vision and resources to create goods. The other activities listed are typically the role of employees. Materials

The Role of the Entrepreneur

2 . How do managers help the companys stakeholders?

A. Assisting customers with their purchases B. Assembling materials into finished products C. Providing financing to grow the business

D. Creating profitable goods and services

Correct : Managers are employees hired by business owners to use their resources to create profitable goods and services (Jones, 2007, p. 74). Materials

The Role of Management The Agency Problem: The Separation of Ownership from Control

3 . What is a difference between an employee and a manager?

A. Employees are responsible for providing vision and leadership B. Employees hold each other accountable for success of the business C. Employees have decision making authority over the organization's resources D. Employees perform the many jobs to make, facilitate, and sell a product

Correct : Employees perform the many jobs necessary to make and sell a product (Jones, 2007, p. 82).The main difference between managers and employees is that employees provide direct work for the business, rather than the leadership and oversight of resources. Materials

The Role of the Employee

4 . Jones (2007) describes a three-stage business plan used by managers. Which of the following is one of the stages?

A. Assembling raw materials into finished products B. Calling customers to sell products C. Answering questions about products from customers D. Selecting goals and targets for team members

Correct : The stages in the planning process are: choosing which business model to pursue, deciding how to allocate resources, and selecting goals and targets that measure efficiency (Jones, 2007 p. 79). Materials

Managerial Functions

Concept: Three Forms of Opportunity

Mastery 100% Questions

5 6 7

Materials on the concept:

Forms of Entrepreneurial Opportunities Introduction to Business: How Companies Create Value for People, 1e Organizational Opportunities

5 . When an entrepreneur uses advancing technology to find a new way to make or supply a product, the entrepreneur utilizes which of the following opportunities?

A. Capitalistic B. Occupational C. Organizational D. Commercial

Correct : Finding a new way to make or supply a product is an example of a commercial opportunity. Another form of commercial opportunity is when entrepreneurs recognize the opportunities offered by advances in technology to find a new way to make or supply a product more cheaply (Jones, 2007, p. 67). Materials

Forms of Entrepreneurial Opportunities

6 . Which answer contains the three types of entrepreneurial activities?

A. Evaluating, monitoring, and selling B. Commercial, occupational, and organizational C. Business, sales, and training D. Financing, selling, and purchasing

Correct : The three kinds of entrepreneurial opportunities are: commercial, occupational, and organizational (Jones, 2007, p. 67). Materials

Introduction to Business: How Companies Create Value for People, 1e

7 . Which example best describes an organizational opportunity?

A. Business identifies and creates a new product. B. A business launches and markets a 36-hour sale. C. A business creates new, more effective ways to increase profitability. D. A business sells their products to new customers.

Correct : Organizational opportunities are created when businesses identify new opportunities to work efficiently, increase productivity, and/or reduce costs. Materials

Organizational Opportunities

Concept: Employee Role

Mastery 67% Questions

8 9 10

Materials on the concept:

The Role of the Employee What Is Appropriate Employee Behavior?

8 . What is the primary role of a non-managerial employee?

A. To assign resources and timelines to tasks B. To evaluate the performance of other employees C. To hire, coach, discipline, and fire employees as appropriate D. To perform the dayto-day tasks assigned to them as directed

Correct : Non-managerial employees are responsible for performing the many jobs and tasks necessary to make and sell a product (Jones, 2007, p. 82). Materials

The Role of the Employee

9 . Which of the following best describes the employee role?

A. The experience and minimum skills required for a specific job B. The nature of employment conditions, pay, and benefits C. The set of tasks a person is expected to perform

D. The set of guidelines that govern organizational behavior

Incorrect : Employee role descriptions are typically used to describe the specific duties of employees. Materials

The Role of the Employee

10 . Which of the following best describes how an employee can increase his or her chances of being promoted inside an organization?

A. By doing what he or she is asked to do and by meeting job requirements B. By being routinely confrontational with other employees and questioning the status quo C. By ensuring performance remains within the boundaries of the job expectations D. By being proactive and looking for new ways to improve his or her skills

Correct : When new opportunities arise, those who have differentiated themselves from the group by actively seeking new opportunities and showing positive performance have the highest likelihood of getting the promotion. Materials

What Is Appropriate Employee Behavior?

Concept: Planning
Mastery 100% Questions

11 12 13

Materials on the concept:

Managerial Functions Planning

11 . Which managerial function describes the process managers use to determine the best business model for the company?

A. Organizing B. Leading C. Controlling

D. Planning

Correct : Planning is the process that managers use to identify and select the appropriate business model and goals for the company (Jones, 2007, p. 79). Materials

Managerial Functions

12 . Planning is typically performed by

A. veteran employees B. key stakeholders C. top level managers D. stockholders and investors

Correct : Typically top level managers are responsible for planning the direction of the business Materials

Planning

13 . Which is one of the three stages in planning?

A. Calling customers and selling products B. Indentifying markets and stakeholders C. Selecting goals and targets D. Coordinating and assembling materials

Correct : Selecting goals and targets is one of the three stages of planning. Materials

Planning

Concept: Organizing
Mastery 100% Questions

14 15 16

Materials on the concept:

Managerial Functions Organizing

14 . What process do managers use to develop formal lines of authority that include task allocation?

A. Controlling B. Organizing C. Planning D. Leading

Correct : Formal lines of authority are found within the organizational structure. Materials

Managerial Functions

15 . Which of the following best describes organizational culture?

A. Policies and procedures of the organization B. The recruiting and hiring guidelines of the business C. The process used to determine the future plans of the business D. The set of values, norms, and beliefs that guide the organization

Correct : Organizational culture is the set of values, norms, and beliefs that guide the organization (Jones, 2007, p. 80). Materials

Organizing

16 . Which of the following best describes organizational structure?

A. The recruiting and hiring guidelines of the business B. The process used to determine the future plans of the business C. The arrangement and coordination of task and reporting relationships D. The set of values, norms, and beliefs that guide the organization

Correct : The organizational structure is the formal system of task and repor ting relationships that coordinates and motivates members so that they work together to achieve the organizations goals (Jones, 2007, p. 80).

Materials

Organizing

Concept: Leading
Mastery 67% Questions

17 18 19

Materials on the concept:

Leading

17 . Which of the following leadership terms refers to groups of managers pooling their human resources to leverage different perspectives and talent?

A. Benchmarking B. Gap analysis C. Cross functional D. Root cause analysis

Correct : Cross functional teams refer to managers and/or employees representing different areas within an organization pooling together their talents to achieve organizational goals. Materials

Leading

18 . Leading involves being able to enlist others in the company vision and motivate them to accomplish organizational goals. Which of the following is required to effectively lead?

A. Organizational culture B. Communication skills C. Benchmarking D. Profitability

Incorrect : Communication skills are the most effective method to articulate a vision and mission for an organization and persuade people to pursue a goal. Materials

Leading

19 . According to Jones (2007), how is leading defined relative to the four functions of management?

A. Monitoring whether or not a company is achieving its goals and taking action if it is not B. Articulating a clear vision for a company's employees and motivating them to work towards it C. Developing the company's organizational structure that defines tasks and reporting relationships D. Determining the appropriate business model and goals for the company

Correct : Leading is the process of being able to articulate a clear vision for a companys members and motivate them to pursue it (Jones, 2007, pp. 8182). Materials

Leading

Concept: Controlling
Mastery 100% Questions

20 21 22

Materials on the concept:

Controlling Managerial Functions

20 . Lower level managers typically devote more time to which of the following efforts?

A. Planning B. Leading C. Controlling D. Organizing

Correct : Higher level managers generally devote more time to planning and organizing efforts.While lower level managers typically devote more time to controlling efforts. Materials

Controlling

21 . How is controlling defined relative to the four functions of management?

A. Monitoring whether or not a company is achieving its goals and taking action if it is not B. Enlisting others in the company vision and motivating them to accomplish organizational goals C. Developing the company's organizational structure that defines tasks and reporting relationships D. Determining the appropriate business model and goals for the company

Correct : Controlling is a process where a manager will review the efficiency of an organization and take steps, when necessary, to ensure the organization is achieving the stated objectives. Materials

Controlling

22 . Which of the following types of action would be appropriate when a manager determines that a competitors process is more efficient?

A. Organizing B. Benchmarking C. Planning D. Delegating

Correct : Comparing a successful companys process to your own, and incorporating the best techniques and strategies, is a process known as benchmarking. This is widely used to remain competitive. Materials

Controlling

Concept: Business Plan

Mastery 100% Questions

23 24 25

Materials on the concept:

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture

23 . What is the definition of a business plan?

A. A highly-detailed, written statement that explains the purpose of creating a new venture B. A general overview explaining the purpose of creating a new venture C. An outline of the way a company will use its resources to create products that give it a competitive advantage D. A summary of a company's profit and loss for a specified period of time and its plan for future growth

Correct : A business plan is a comprehensive document that will explain to investors and/or leadership the companys business model, how it will compete in the marketplace, and how the company will manage resources. Materials

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture

24 . When is a business plan developed?

A. Annually B. When proposing a new business venture C. When reporting profit and loss D. Shareholder meetings discussing past performance

Correct : A business plan is a comprehensive document that will explain to investors and/or leadership how effectively it will compete in the marketplace and how it will become profitable. A solid business plan is an imperative to attract investors and obtain approval from leadership. Materials

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture

25 . What type of information is within a business plan?

A. Past performance and stock price B. Revenue, profit, and loss C. New products, how the organization will compete, and how the organization will organize resources D. Tax penalties, number of personnel, and location of organization

Correct :

A business plan is a comprehensive document that will explain to investors and/or leadership how effectively it will compete in the marketplace and how it will become profitable. Materials

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture

Concept: SWOT Analysis

Mastery 100% Questions

26 27 28 29

Materials on the concept:

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture Developing a Business Plan Why Be an Entrepreneur?

26 . What are the four elements of a SWOT analysis?

A. Systems, weaknesses, obstacles, and threats B. Strengths, weaknesses, obstacles, and targets C. Systems, weaknesses, opportunities, and targets D. Strengths, weaknesses, opportunities, and threats

Correct : SWOT is a tool to analyze internal strengths and weaknesses, as well as external opportunities and threats. Materials

Developing a Business Plan

27 . A detailed SWOT analysis would classify a well developed and informed business model as a

A. strength B. weakness C. opportunity D. threat

Correct :

A well-developed business model will give an organization a competitive advantage and will be considered a strength. Materials

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture

28 . A detailed SWOT analysis would classify a poorly designed marketing plan as a

A. strength B. weakness C. opportunity D. threat

Correct : A poorly designed marketing plan will not prepare an organization to compete effectively and will be considered a weakness. Materials

Appendix to Chapter 3: Creating a Business Plan to Implement a New Venture

29 . A detailed SWOT analysis would classify competition in the industry or market as a

A. strength B. weakness C. opportunity D. threat

Correct : Competition within the industry would create a challenging environment to increase market share and would be considered a threat. Materials

Why Be an Entrepreneur?