211.Pete inherited a thriving dry cleaning business from his father
211.Pete inherited a thriving dry cleaning business from his father and mother. He continued the tradition of offering quality service to the customers he served. As the surrounding towns expanded, several people suggested that Pete expand the business to offer service in new locations. He chose to maintain only one operation, so as not to lose control and to keep his work life and home life balanced. Pete is a good example of a(n) ______________.
A. small business affiliate
D. enterprise zone participant
212.Located on Monsanto's world headquarters campus, the Nidus Center is a unique ___________ facility. The tenants are biotechnology companies who are at various stages of product development. The agricultural giant, Monsanto, the Danforth Foundation, Washington University St. Louis, St. Louis University, and several venture capital firms contribute seed money for these small start-up ventures that receive approval to further develop their ideas at the Nidus Center.
C. enterprise zone
A. deal with similar management issues that large companies face.
B. deal with very different management issues due to the very different management challenges experienced by small businesses.
C. do not seek government funding due to the fact that the federal government has made it very clear that it must support large operations before small operations.
D. concern themselves with state-of-the-art information and accounting technology but not employee relations due to their challenge to financially support employee benefits programs.
214.The Small Business Administration defines a small business as a firm that:
A. has fewer than 100 partners.
B. is independently owned but not dominant in its industry.
C. is dominant in its industry, but small in the number of workers it employs.
D. has annual receipts of more than a specified amount depending upon the industry.
215.Small businesses create about __________ percent of the new jobs in the United States.
216.A business's size is measured:
A. in relation to the number of competitors in its industry.
B. in relation to other firms in its industry.
C. in relation to the number of dominant competitors in its sector.
D. as small, if it participates in the services sector.
217.According to economist Bruce Kirchhoff, small business failures are:
A. lower than traditionally reported.
B. understated to keep small business creation enthusiasm.
C. accurate and alarming.
218.When comparing small businesses to their larger competitors, it is clear that:
A. bigger is always better.
B. small firms can always outperform big firms on a level playing field.
C. small firms often can offer more personalized customer services than big firms.
D. small firms are slower to respond to opportunities than are large firms.
219.Which of the following is not a reason stated for small business failure?
A. Managerial incompetence
B. Inadequate financial planning
C. Buying too little on credit and not being lenient enough with your credit paying customers
D. Borrowing money without a plan of how and when you will repay the debt
220.Which of the following will not help your small business succeed?
A. Services you perform are easily replicated by larger companies, such as online banking
B. You provide a unique service that requires a significant amount of personal attention such as a service that provides in-home care for seniors
C. Investing in a franchise
D. Your product is not easily mass produced, like professional photography