Starting a New Business MCQs
Starting a New Business MCQs
Try to answer these 30+ Starting a New Business MCQs and check your understanding of the Starting a New Business subject. Scroll down and let's begin!
1: A business that depends greatly upon _____ for its operations.
A. Equipment
B. Capital
C. Labors
D. All of them
2: Corridor is the idea that opportunities become available to an entrepreneur after and before the entrepreneur has started a business.
A. True
B. False
3: Customer intimacy is maintaining a _____ relationship with customers through superior service that results in a competitive advantage.
A. Short-term
B. Long-term
C. Both a and b
D. None of the above
4: In a business context, disruption is making _____ to the way business is done in a specific industry.
A. Minor Changes
B. Significant Changes
C. Insignificant Changes
D. Both a and c
5: A popular type of business that operates from the
A. Seperate location
B. Owner’s home
C. Industry
D. Both a and b
6: Businesses that are unintentionally structured to grow at exceptional rates are called Hypergrowth.
A. True
B. False
7: _____ is the key for creating Hypergrowth?.
A. Elasticity
B. Scalability
C. Flexibility
D. None of the mentioned
8: Independent contractor is a person who is employed by a business and, unlike employees, is not eligible for a benefit package.
A. True
B. False
9: Select the Incorrect statement for Independent Contractor:
A. A person who is employed by a business
B. A person who is not employed by a business
C. A person who is not eligible for a benefit package
D. None of the above
10: Labor Intensive is a business that is more dependent on the services of people than on _____ .
A. Money
B. Equipment
C. Both a and b
D. None of the above
11: Labor Intensive is a business that is not dependent on the services of people rather than on money and equipment.
A. True
B. False
12: Online business is a business that :
A. Shares Information
B. Maintains customer relationship
C. Transactions by telecommunication
D. All of the above
13: Operational Excellence creates a competitive advantage by _____ costs to provide customers with the lowest-priced products.
A. Holding Up
B. Holding Down
C. Both a and b
D. None of the mentioned
14: Product leaders is a business that creates a competitive advantage based on providing the _____ products possible.
A. Highest-Cost
B. Highest-Quality
C. Lowest-Cost
D. Lowest-Quality
15: Product life cycles are the stages that products in a marketplace pass through over time.
A. True
B. False
16: Serendipity is a fortunate discovery made by _____ means.
A. Planned
B. Unplanned
C. Intended
D. Both a and c
17: Window of Opportunity is a period of time in which an opportunity is available.
A. True
B. False
18: The risk of failure is greater with ______.
A. Existing businesses
B. Franchises
C. Startups
D. Existing family-owned businesses
19: Service businesses are more ______.
A. Labor intensive
B. Capital intensive
C. Service intensive
D. Asset intensive
20: Many ideas for new products or businesses do not add value for the customer or user and consequently are not ______.
A. Profitable
B. Business opportunities
C. Economically viable in the long run
D. Worthwhile investments
21: Which of the following questions can give a potential business owner insight on future and current demand?
A. Does the idea solve a consumer’s want or need?
B. How much competition exists?
C. Can the idea be turned into a profitable business?
D. Does the business owner have the appropriate skills needed in order to be successful?
22: Which of the following is likely to be the most capital intensive?
A. A Four Seasons hotel
B. A Ford manufacturing facility
C. A Burger King restaurant
D. A medium-sized university
23: Before a new businessperson can develop a competitive edge, it must determine its own uniqueness by evaluating ______.
A. The competition
B. Start-up costs
C. Its market
D. Assets
24: Which of the following is a source for business ideas that results in avoiding many errors and establishing competitive advantages early on?
A. Hobbies
B. Personal interests
C. Prior work experience
D. Education
25: Most high-growth firms are in which industry?
A. High-tech
B. Utilities
C. Health care
D. Entertainment
26: Which of the following provides the greatest percentage of business ideas to prospective business owners?
A. Consultants
B. Conferences
C. Competitors
D. Social networking sites
27: Finding something valuable that was not looked for is known as ______.
A. Accidental discovery
B. Stumbling upon a treasure
C. Serendipity
D. Surreptitiousness
28: A company that strives to offer good products at the lowest prices possible is operating with which competitive advantage?
A. Operational excellence
B. Product leadership
C. Customer intimacy
D. Best service method
29: The stages that products in the marketplace go through are known as ______.
A. The product life cycle
B. The product growth stages
C. The product timeline
D. The product opportunity stages
30: The primary advantages of operating a home-based business are which of the following?
A. Schedule flexibility and lack of commuting problems
B. Low overhead and an increase in creativity
C. Lack of commuting problems and less office expense
D. Schedule flexibility and low overhead
31: The primary advantages of operating a home-based business are which of the following?
A. Schedule flexibility and lack of commuting problems
B. Low overhead and an increase in creativity
C. Lack of commuting problems and less office expense
D. Schedule flexibility and low overhead
32: In the beginning of a new business, the only thing the new business person has is ______.
A. Vision
B. Capital
C. Assets
D. A customer base
33: During the ______ stage in the product life cycle, the window of opportunity is wide open because little or no competition exists.
A. Introduction
B. Growth
C. Maturity
D. Decline
34: Changes in work processes, methods, and equipment are a part of ________ changes.
A. Technological
B. People
C. Financial
D. Structural
35: Objectives during a sales call include making the customer ________.
A. Want to buy the product or service from you
B. Aware of your product or service
C. Want to buy your product or service
D. All of the above.
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