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  • 1. What is opportunity cost?
A) Going with the first option
B) Choosing with the advantage
C) Going with the easiest option
D) Choosing the best alternative
  • 2. This economy is about personal choice.
    individuals decide what, how, and for whom
    products and services are produced?
A) Operations
B) Command
C) Market
D) Strategy
  • 3. Outlines personal history of the principals
    and show how their work experiences
    relates to the ventures and state the duties
    and responsibilities as well as the
    compensation outline.
A) The Market
B) Labor
C) The business
D) Management
  • 4. The following are the positive characteristics
    of a good business plan EXCEPT:
A) Always consider pitfalls
B) Capture the customers interest
C) Prepare an objectively long plan
D) Emphasize the target market
  • 5. All of the following are important parts of
    the marketing plan EXCEPT:
A) Pricing
B) Cost control
C) Distribution
D) Advertising and promotion
  • 6. Refers to actions which satisfy a particular
    need or solve a particular problem.
A) New service
B) Improved service
C) New relationships
D) New product
  • 7. This means offering additional service
    element to the product.
A) New means of production
B) New service
C) New relationships
D) Improved service
  • 8. Which of the following statement about
    Entrepreneurship is TRUE?
A) Entrepreneurs requires specific know how in the ventures day to day operations.
B) Entrepreneurs des by creating and managing organizations to give long term benefits to the investors
C) Entrepreneurs must take divided control and direct the venture towards a maximum position.
D) An Entrepreneurs need bosses to motivate them.
  • 9. One of the part of business plan wherein the
    venture can achieve the sales indicated in
    the financial forecast.
A) The market
B) The business
C) The management
D) The industry
  • 10. To an Entrepreneur, relevant competitive
    strategy generally falls into three categories
    EXCEPT:
A) Beating the competition
B) Assessing the competition
C) Countering the competition
D) Meeting the competition
  • 11. A group of products that have similar
    characteristics and uses.
A) Product mix
B) Product segmentation
C) Product line
D) Product strategy
  • 12. Despite all the benefits, there are a number
    of disadvantages to franchise such as:
A) The cost of national advertising
B) Strict adherence to standardized operations
C) The time consumed by the management training and support the franchisor provides
D) Territory limitations
  • 13. The success of Franchising is largely due to:
A) The economic growth in the commercially developed market
B) The mutual benefits it provides to the franchisor and franchisee
C) None of these
D) More job hunters choose to work for franchise firm rather that big corporations
  • 14. The word "Franchising" derived from the
    French word that means:
A) Free from government
B) Free from standardization
C) Free from independent business
D) Free from competition
  • 15. The following are the advantages when an
    Entrepreneur engages in Franchising
    EXCEPT:
A) Less advertising cost
B) Low risk
C) Customer loyalty and preference
D) Controlled operations
  • 16. A type of franchising whereby the
    wholesaler is the franchisor that grants the
    retailer the right to retail the product but use the wholesaler's name, trademark, logo, and other identifying marks.
A) Manufacturer-Wholesaler Franchise
B) Retailer-Wholesaler Franchise
C) Manufacturer-Retailer Franchise
D) Wholesaler-Retailer Franchise
  • 17. All of the following are the benefits of Franchiser EXCEPT:
A) Greater market penetration
B) Guarantees faster expansion
C) Wider brand recognition and promotion
D) Lower operating cost
  • 18. All of the following are the basic steps in
    determining your market EXCEPT:
A) Determine the competitive products
B) Estimate the sales
C) Assess the competition
D) Identify your customer profile
  • 19. Which component of the business plan requires considerable time and external research?
A) Market analysis
B) SWOT analysis
C) Strategic analysis
D) Product analysis
  • 20. XYZ Company is interested in developing,
    producing, and selling a new product. Before
    it does so, the company spends six months conducting marketing research. What are the primary advantages of this course of action?
A) To determine customer mindset
B) To discover customer comfort
C) None of the above
D) To determine customer preferences and  minimize losses
  • 21. What is one reason that it is easier than ever for small businesses to engage in
    international trade?
A) Lower tariffs
B) Integrated marketing mix
C) Free trade
D) Technological advances
  • 22. Why are all small businesses important to a country's economy? EXCEPT
A) They can be innovators of new products and services
B) They can influence the market prices and trends
C) They give an outlet for Entrepreneurs
D) They can provide specialist support to larger companies
  • 23. Which of the following is the reason for business failure?

    I. Lack of market research

    II. Poor financial control

    III. Poor management
A) Both I and III
B) Both II and III
C) Both I and II
D) Both I, II and III
  • 24. Which of the following statements is FALSE?
A) A benefit is the value of a product feature to a customer.
B) Market segmentation is a useful process for small businesses to undertake.
C) It is a good idea for small businesses to compete solely in price.
D) Selling is essentially a matching process.
  • 25. Which is NOT a disadvantage of
    Entrepreneurship?
A) Uncertain income
B) You are the boss
C) Work long hours
D) Risk taker
  • 26. According to Joseph Schumpeter (an Economist), innovative Entrepreneurs would:
A) Not survive and disappear from the market
B) Thrive in the market
C) Get absorb within non-innovative businesse
D) Get absorb within larger innovative businesses
  • 27. Which of the following is the least likely to influence the timing of new business births?
A) Consumer expenditures
B) Profitability
C) Government policies
D) Weather conditions
  • 28. A new venture's business plan is important because:
A) Can help demonstrate the viability of the venture
B) It helps to persuade others to commit funding to the venture
C) All of these
D) Provide a guide for business activities by defining objectives
  • 29. Why firm's Vision Statement is important?
    EXCEPT
A) Helps to prioritize tasks, focus energy, and maximize impact on target customers
B) Building a strong organizational culture
C) Help motivate employees to work toward shared goals
D) Serves as a strategic plan for success
  • 30. This is refers to the lists of general tasks, functions and responsibilities of a position.
A) Job descriptions
B) Job requirements
C) Job catalogue
D) Job specifications
  • 31. The idea and actions that explain how a firm will make its profits refers to:
A) Strategy
B) Objective
C) Goal
D) Mission
  • 32. Which of the following is NOT recognized as important component to organizational vision?
A) The vision should elaborate a purpose for the organization
B) The vision should be built on a foundation of the organization's core values and beliefs
C) The vision should specify detailed and short-term goals
D) The vision should include a brief summary of what the organization does
  • 33. All of the following are recognized as criticism of planning EXCEPT:
A) Planning focuses Entrepreneur's attention on tomorrow's survival but not today's competition
B) Planning may create rigidity
C) Planning can't be developed for a dynamic environment
D) Planning reinforces success, which may lead to failure
  • 34. Personal characteristics to be a successful entrepreneur includes the following EXCEPT:
A) When synergy is present
B) Encourage open discussion
C) Understanding environment
D) Creating management options
  • 35. The Entrepreneur is concerned about the
    same basic issues EXCEPT
A) Turnover
B) Costs
C) Sales
D) Profits
  • 36. XYZ Company is interested in developing,
    producing, and selling a new product. Before it does so, the company spends six months conducting marketing research. What are the primary advantages of this course of action?
A) To determine customer preferences and minimize losses
B) None of these
C) To determine customer mindset
D) To discover customer comfort
  • 37. Refers to the marketing system based on a
    legal agreement wherein the one party is
    given the right handle the business as an independent owner but is required to abide by the terms and conditions specified by the other party.
A) Franchising
B) Franchise
C) Franchising contract
D) Franchise buyer
  • 38. All of the following are the benefits of Franchiser EXCEPT:
A) Wider brand recognition and promotion
B) Guarantees faster expansion
C) Lower operating cost
D) Greater market penetration
  • 39. The following are the advantages when an Entrepreneur engages in Franchising EXCEPT:
A) Customer loyalty and preference
B) Controlled operations
C) Low risk
D) Less advertising cost
  • 40. Who is the renowned French Economist coined the concept of Entrepreneurship?
A) French Rebellion
B) French Economic Age
C) French Revolution
D) French Mutiny
  • 41. Filipinos are generally adventurous. It is
    common for us to see people coming from
    different provinces migrating to urban
    places. If you ask them why they decided to migrate, their common answer is they want to try their luck in the City. What Filipino trait that they portraying?
A) Risk taker
B) Bravery
C) Destiny
D) Bahala na attitude
  • 42. Refers to an individual who creates something for the first time and a highly driven individual motivated by his/her own work and personal ideas.
A) Inventor
B) Investor
C) Businessman
D) Salesman
  • 43. Who is the renowned French Economist coined the concept of Entrepreneurship?
A) Tony Mayer
B) Jean Baptiste Say
C) Adam Smith
D) Joseph Schumpeter
  • 44. An individual who starts, creates, and manages a new business can be called:
A) An Entrepreneur
B) A Manager
C) A Professional
D) A Leader
  • 45. If an Entrepreneur takes decisions on behalf of their enterprise, it is known as:
A) Routine decisions
B) Personal decisions
C) Strategic decisions
D) Organizational decisions
  • 46. Which of these is the first activity of a new business?
A) None of the above
B) Goal orientation
C) Departure point
D) Business skill development
  • 47. Refers to a plan that shows whether the business is economically feasible or not.
A) Marketing Plan
B) Financial Plan
C) Business Plan
D) Strategic Plan
  • 48. The term Entrepreneur came from:
A) Latin
B) English
C) French
D) Chinese
  • 49. One of the advantages to businesses of training staff is that it tends to increase
A) Employee satisfaction
B) Attract and retain more customers
C) Sales and profits
D) Career development
  • 50. Filipinos are generally adventurous. It is
    common for us to see people coming from
    different provinces migrating to urban
    places. If you ask them why they decided to migrate, their common answer is they want to try their luck in the City. What Filipino trait that they portraying?
A) Bayanihan
B) Smooth Interpersonal Relationship or SIR
C) Delicadeza
D) Pakikisama
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