Question 1

His job, according to Doug Hall, head of a Cincinnati?based idea factory, is to help executives get their creative juices flowing.

Accepted Answer

This is stated in the sentence.

Question 2

All of the following are characteristics of a typical entrepreneurial start-up :
A)the start-up focuses on new opportunities.
B)its owners are willing to take risks.
C)it creates innovative products and/or practices.
D)it focus on growth rather than profits.

Accepted Answer

D

Question 3

Which of the following venture is riskiest?
A)Starting up a store to sell improved versions of existing surfboards.
B)Starting a business to sell the first motorized surfboard.
C)Setting up a store to sell fireworks.
D)Buying an existing skydiving school.

Accepted Answer

Starting a business to sell the first motorized surfboard is the riskiest venture. It involves introducing a completely new product to the market, which may or may not be successful. The other options involve either selling existing products or buying an established business with an existing customer base. The selling of fireworks may have legal restrictions and challenges, but it is still not as risky as introducing a product that is entirely new to the market.

Question 4

In an effort to make its food healthier, McDonald's changed the way it made its french fries.This is an example of a:
A)new-to-the-company product.
B)extension to an existing product line.
C)"new-to-the-market" health conscious product.
D)improvement in an existing product.

Accepted Answer

McDonald's changing the way it made its french fries represents an improvement in an existing product. They did not create a completely new product or add to their existing product line, and the focus of the change was to make the existing product healthier.

Question 5

Launching a "new-to-the-market" product is very risky but can be very profitable.

Accepted Answer

Launching a new-to-the-market product involves a high level of uncertainty and risk, but it can also result in high profits if successful. However, there is always a chance of failure, which can result in significant losses.

Question 6

When Just Born came out with its Peeps marshmallow Easter decorating kits the company was releasing a "new-to-the-market" product.

Accepted Answer

The answer of When Just Born came out with its...

Question 7

In addition to being creative people, entrepreneurs are generally also ______
A)only moderately intelligent
B)willing to take risks
C)from poor backgrounds
D)from large families

Accepted Answer

Entrepreneurs are known for their willingness to take risks, which is a key characteristic needed in order to start and run a successful business. While intelligence may be helpful, it is not a defining characteristic of entrepreneurship. Similarly, background and family size do not necessarily impact one's ability to become an entrepreneur.

Question 8

An example of a "new-to-the-company" product sold by Just Born is _____.
A)Marshmallow Peeps
B)Peers marshmallow Easter decorating kits
C)change in ingredients and packaging for Mike & Ike's
D)Peeps chocolate eggs

Accepted Answer

The answer of An example of a "new-to-the-company" product sold...

Question 9

Most companies constantly look for ways to make ________improvements in existing products by adding features that will broaden their consumer appeal.
A)incremental
B)marketable
C)social
D)industrial

Accepted Answer

The word "incremental" refers to small, gradual improvements. Therefore, companies that are seeking to make improvements in existing products by adding features are likely looking to make incremental improvements rather than large-scale or drastic changes.

Question 10

Most entrepreneurial decision making can be improved by using knowledge gained from personal experience.

Accepted Answer

Personal experience can provide valuable insights and lessons that can inform and improve decision making in entrepreneurship. However, it is important to also consider other sources of knowledge such as market research, industry trends, and expert advice.

Question 11

The PowerSki Jetboard is best characterized as a(n) _____.
A)service
B)physical good
C)component
D)intangible item

Accepted Answer

The PowerSki Jetboard is a physical good as it is a tangible product that can be touched and used for recreational purposes.

Question 12

A _____ business offers such products as haircuts or taxi rides.
A)goods producing
B)soft goods
C)service producing
D)low tech

Accepted Answer

A service producing business provides intangible services such as haircuts or taxi rides for customers.

Question 13

Which of the following statement(s) about entrepreneurs is true?
A)they take carefully calculated risks
B)They take unnecessary risks
C)They can minimize their risk by drawing on personal experience and conducting research
D)Both a and c

Accepted Answer

Entrepreneurs take risks, but they do so by making careful, calculated decisions. They also use personal experience and conduct research to minimize their risks, indicating that both option A and C are correct.

Question 14

If no product existed prior to its invention, then the product is a(n) _____.
A)improvement in an existing product
B)new-to-the-company product
C)extension to an existing product line
D)"new-to-the-market" product

Accepted Answer

If no product existed prior to its invention, then the product is a "new-to-the-market" product. This means it is the first of its kind, and not an improvement, extension, or new-to-the-company product.

Question 15

A product is something that can be marketed to customers because it provides them with a benefit and satisfies a need.

Accepted Answer

A product is typically created to fulfill a customer's need or solve a problem, and it should deliver some benefit to the customer.

Question 16

When Just Born reduced the piece size, added some new ingredients, and put its Mike & Ike's in pouches, this was an extension to an existing product.

Accepted Answer

The answer of When Just Born reduced the piece size,...

Question 17

Products are either physical goods or services and can't be both.

Accepted Answer

There are products that can be a combination of physical goods and services, such as a tablet that comes with pre-installed apps and a warranty or a haircut that includes a consultation and styling.

Question 18

A goal of an entrepreneurial start-up includes profitability and growth.

Accepted Answer

A goal of most entrepreneurial start-ups is to become profitable and grow their business.

Question 19

Woody Allen once said, "If you're not failing every now and again, it's a sign you're not going to be very profitable."

Accepted Answer

The quote is misattributed to Woody Allen; it does not accurately reflect any of his well-documented statements or philosophies.

Question 20

When Just Born extended its product line to include "Peeps in a chocolate egg," this was considered an extension to an existing product line.

Accepted Answer

An extension to an existing product line refers to adding new variations or products that are related to the existing products. In this case, Just Born already had Peeps as a product, and they introduced a new variation by adding them in a chocolate egg form. Therefore, Peeps in a chocolate egg is an extension to an existing product line.

Quiz 7: Product Design and Development

His job, according to Doug Hall, head of a Cincinnati?based idea factory, is to help executives get their creative juices flowing.

All of the following are characteristics of a typical entrepreneurial start-up :

Which of the following venture is riskiest?

In an effort to make its food healthier, McDonald's changed the way it made its french fries.This is an example of a:

Launching a "new-to-the-market" product is very risky but can be very profitable.

When Just Born came out with its Peeps marshmallow Easter decorating kits the company was releasing a "new-to-the-market" product.

In addition to being creative people, entrepreneurs are generally also ______

An example of a "new-to-the-company" product sold by Just Born is _____.

Most companies constantly look for ways to make ________improvements in existing products by adding features that will broaden their consumer appeal.

Most entrepreneurial decision making can be improved by using knowledge gained from personal experience.

The PowerSki Jetboard is best characterized as a(n) _____.

A _____ business offers such products as haircuts or taxi rides.

Which of the following statement(s) about entrepreneurs is true?

If no product existed prior to its invention, then the product is a(n) _____.