Unit 4 Entrepreneurship

Question Bank

1. Entrepreneurs discover an idea to seize on an opportunity, mobilize money,

generate resources, and take calculated risks in order to expand the market or start
a new business for _____________.
a. Products
b. Processes
c. Services
d. All of the above
Ans
d. All of the above
2. Entrepreneurship development refers to the process of enhancing
entrepreneurial skills and knowledge through _______________ programs.
a. Structured training
b. Institution building
c. Both a) and b)
d. None of the above
Ans
c. Both a) and b)
3. To determine the market potential, it is useful to _______________ before program
formulation.
a. Need Assessment
b. Need Survey
c. Both a) and b)
d. None of the above
Ans
c. Both a) and b)
4. Training in entrepreneurship development needs to include support for___________.
a. Entrepreneurship Orientation and awareness
b. Development of competencies
c. Improvement of business performance for growth and competitiveness
d. All of the above
Ans
d. All of the above
5. The ______________________ is a premier organization of the Ministry of Skill
Development and Entrepreneurship, Government of India, engaged in training,
consultancy, and research to promote entrepreneurship and skill development.
a. National Institute for Entrepreneurship
b. Small Business Development
c. Both a) and b)
d. None of the above
 Ans
c. Both a) and b)
6. What are the training programs given by the Ministry of Skill Development and
Entrepreneurship, Government of India, from the last 15 years?
a. Management Development Programmes
b. Entrepreneurship cum skill development programmes
c. Cluster Intervention
d. All of the above
Ans
d. All of the above
7. The word ‘entrepreneur’ is derived from the _________________ Entreprendre.
a. French word
b. Austrian Word
c. Greek Word
d. None of the above
Ans
a. French word
8. The word ‘entrepreneur’ is derived from the French word Entreprendre, which
means ‘to undertake’.
a. Undergoing
b. Undertaking
c. Underworking
d. All of the above
Ans
b. Undertaking
9. Who told, “The process by which individuals pursue opportunities without regard
to the resources they currently control.”
a. Stevenson
b. Jarillo
c. Both a) and b)
d. None of the above
Ans
c. Both a) and b)
10. Characteristics of entrepreneurship?
a. It is an economic activity done to create, develop, and maintain a profit-oriented
organization.
b. It begins with identifying an opportunity as a potential to sell and make a profit in
the market.
c. It deals with optimization in the utilization of resources.
d. All of the above
Ans
d. All of the above
11. Qualities of a successful entrepreneur?
a. Initiative & Self confidence
b. Willingness to take risks & Hard work
c. Ability to learn from experience & Decision-making ability
d. All of the above
Ans
d. All of the above
12. What are the different types of entrepreneurs?
a. Service entrepreneurs & Agricultural entrepreneurs
b. Business entrepreneurs & Non-technical entrepreneurs
c. Industrial entrepreneurs & Technical entrepreneurs
d. All of the above
Ans
d. All of the above
13. _________________ entrepreneurs either create a new market for their services or
provide a service in an existing market.
a. Service entrepreneurs
b. Business entrepreneurs
c. Industrial entrepreneurs
d. Agricultural entrepreneurs
Ans
a. Service entrepreneurs
14. ________________ entrepreneurs, who undertake business and trading activities and
are not concerned with manufacturing work.
a. Service entrepreneurs
b. Business entrepreneurs
c. Industrial entrepreneurs
d. Agricultural entrepreneurs
Ans
b. Business entrepreneurs
15. ______________ entrepreneur is, essentially, a manufacturer, who identifies the
needs of customers and creates products or services to serve them.
a. Service entrepreneurs
b. Business entrepreneurs
c. Industrial entrepreneurs
d. Agricultural entrepreneurs
Ans
c. Industrial entrepreneurs
16. Agriculture has always been considered as a low-yielding entrepreneurship.
______________ have now introduced new and innovative technology to maximize the
yield, giving birth to agriculture entrepreneurship.
a. Service entrepreneurs
b. Business entrepreneurs
c. Industrial entrepreneurs
d. Agricultural entrepreneurs
Ans
d. Agricultural entrepreneurs
17. The Industrial Revolution gave birth to ____________ entrepreneurs, who used
their technical expertise to create and offer machines, tools and methods.
a. Technical entrepreneurs
b. Non-technical entrepreneurs
c. Professional entrepreneurs
d. IT entrepreneurs
Ans
a. Technical entrepreneurs
18. These entrepreneurs use their expertise in providing services to create a market
for ______________ entrepreneurs.
a. Technical entrepreneurs
b. Non-technical entrepreneurs
c. Professional entrepreneurs
d. IT entrepreneurs
Ans
b. Non-technical entrepreneurs
19. People who take up entrepreneurship in the field of Information Technology (IT)
are called _________________ entrepreneurs.
a. Technical entrepreneurs
b. Non-technical entrepreneurs
c. Professional entrepreneurs
d. IT entrepreneurs
Ans
d. IT entrepreneurs
20. Individuals, who focus on developing solutions that benefit society, are called
_______________ entrepreneurs.
a. Technical entrepreneurs
b. Non-technical entrepreneurs
c. Social entrepreneurs
d. IT entrepreneurs
Ans
c. Social entrepreneurs
21. When a family or an individual runs a business successfully and passes it on to
the next generation, then such an entrepreneur is, generally, termed a family
____________ entrepreneur.
a. Technical entrepreneurs
b. Non-technical entrepreneurs
c. Social entrepreneurs
d. Family business entrepreneurs
Ans
d. Family business entrepreneurs
22. Who are the 5th generation entrepreneurs?
a. Different age groups without any entrepreneurship background.
b. An individual who starts at the age of 50 years without any entrepreneurship
background.
c. Both a and b.
d. None of the above.
Ans
c. Both a and b
23. What are the roles and functions of an entrepreneur?
a. Identifying entrepreneurial opportunity
b. Turning ideas into action & Setting up an enterprise
c. Feasibility Study & Resourcing
d. All of the above
Ans
d. All of the above
24. What motivates an entrepreneur?
a. Standard of excellence
b. Uniqueness & Need to influence
c. Focus on long–term goals
d. All of the above
Ans
d. All of the above
25. What are the ways by which aspiring entrepreneurs can identify new business
opportunities and evaluate their potential and risks?
a. Community concerns
b. Personal experiences
c. Research with others
d. All of the above
Ans
d. All of the above

26. Startups come up with an innovative idea. At the same time, they like to get
guidance and mentoring from an expert.
a. Startups
b. Customer
c. Both a) and b)
d. None of the above
 Ans
a. Startups
27. Salman tries new ideas as a tailor in a garment factory. Salman is a/an
______________.
a. Entrepreneur
b. Wage employed person
c. Laborer
d. Unskilled worker
Ans
b. Wage employed person
28. Prashant works for Surabhi, who is a businesswoman. Prashant is an
___________________.
a. Entrepreneur
b. Wage employed person
c. Skilled worker
d. Businessman
Ans
b. Wage employed person

29. What are the barriers that entrepreneurs may face while running their
businesses?
a. Lack of adequate resources or raw material
b. Non – Non-availability of skilled labor
c. Lack of requisite machinery and other infrastructure
d. All of the above
Ans
d. All of the above
30. What are the various schemes to help small–scale entrepreneurs gain capital
a. Government Mudra Yojana
b. Credit Guarantee Scheme
c. Stand–Up India Scheme
d. All of the above
Ans
d. All of the above
31. Mary believes that she will not have the ability to work with a team when she
starts her business. The barrier she is facing is _____________________.
a. getting capital
b. self-doubt
c. risk-taking
Ans
b. self-doubt
32. Sayed knows what business he wants to do but does not know what steps he has
to take to get it running. The barrier stopping him is _____________________.
a. building the right team
b. lack of plan
c. risk-taking
Ans
b. lack of plan
33. Harish has a rug business in India. He wants to start exporting rugs to Canada
but does not know if they would sell there. The barrier he is facing is _____________.
a. self-doubt
b. lack of plan
c. selecting the right business idea
Ans
a. self-doubt
34. What attitudes make a successful entrepreneur?
a. Decisiveness
b. Taking initiative & Interpersonal Skills
c. Organizational Skills & Perseverance
d. All of the above
Ans
d. All of the above
35. The ability to continue to do something, even when it is difficult, is called
_________________.
a. Initiative
b. Organizational skills
c. Perseverance
Ans
c. Perseverance
36. The ability to act in a situation before others do is ______________.
a. Interpersonal skills
b. Initiative
c. Perseverance
Ans
b. Initiative
37. The ability to work with others is ______________.
a. Organizational skills
b. Interpersonal skills
c. Initiative
Ans
a. Organizational skills
38. ________________ is the ability to make profitable and quick decisions.
a. Decisiveness
b. Initiative
c. Interpersonal Skills
d. Perseverance
Ans
a. Decisiveness
39. Identify the process where decisiveness can be developed.
a. Knowing yourself
b. Problem-solving
c. Analyze the opportunity
d. All of the above
Ans
d. All of the above
40. ____________ is the ability to take charge and act in a situation before others.
a. Decisiveness
b. Initiative
c. Interpersonal Skills
d. Perseverance
Ans
b. Initiative
41. Identify the process where Initiative can be developed in the entrepreneur.
a. Realize that you can take action
b. Believe you can take action
c. Take action
d. All of the above
Ans
d. All of the above
42. ______________ meAns dealing with relationships. It is between two or more
persons.
a. Decisiveness
b. Initiative
c. Interpersonal Skills
d. Perseverance
Ans
c. Interpersonal Skills
43. Entrepreneurs want to develop their entrepreneurship skills and suggest some
ways to do that.
a. Listening
b. Body Language
c. Positive Attitude
d. All of the above
Ans
d. All of the above
44. That state of mental pressure or tension is called ___________.
a. Stress
b. Headache
c. Mental disturbed
d. None of the above
Ans
a. Stress
45. How you can deal with stress.
a. Taking a walk in nature
b. Doing a physical activity like running, swimming, etc.
c. Practicing deep breathing exercises & Practicing meditation or yoga
d. All of the above
Ans
d. All of the above
46. _______________ is the ability to continue to do something, even when it is difficult.
a. Perseverance
b. Meditation
c. Stress
d. None of the above
Ans
a. Perseverance
47. How can you build perseverance in your daily life?
a. Not giving up when there is a difficult situation
b. Working hard to achieve the goal
c. Analyzing failures and learning from them
d. All of the above
Ans
d. All of the above
48. Time management is the process of planning and following a conscious control
of time spent on specific activities. Time management includes__________.
a. Planning well
b. Setting goals
c. Setting deadlines
d. All of the above
Ans
d. All of the above
49. A goal is something we want to reach. It is the aim or result that we want from
an activity. Goal makes us ____________ to complete the work.
a. Work harder
b. Motivates us
c. Both a) and b)
d. None of the above
 Ans
c. Both a) and b)

1. What training needs entrepreneurship to develop a business?

Training in entrepreneurship development needs to include –

a. Entrepreneurship Orientation and awareness
b. Development of competencies
c. Improvement of business performance for growth and competitiveness

2. What do you mean by entrepreneur?

The word “entrepreneur” is derived from the French word “entrepreneur,” which
means ‘to undertake’.

3. What are the different characteristics of entrepreneurship?

Some of the characteristics of entrepreneurship are –

a. It is an economic activity done to create, develop, and maintain a profit-oriented
organization.

b. It all starts with recognizing an opportunity as a way to sell and profit in the
market.

c. It deals with optimization in the utilization of resources.

d. an enterprise and an entrepreneur can take risks.

4. What is the quality of a successful entrepreneur?

There are many qualities needed to successfully run an enterprise.

a. Initiative – An entrepreneur must be able to take initiative and take advantage of

an opportunity.

b. Willingness to take risks – There is a certain amount of risk in any firm. Not
every business needs to earn a profit. The entrepreneur takes risks and starts a
business.

c. Ability to learn from experience – It is possible for an entrepreneur to make

mistakes. Once an error is committed, it must be ensured that it is not repeated in
the future otherwise it may lead to heavy losses.
d. Motivation – When you’re inspired to do anything, you won’t stop until you’ve
finished it.

e. Self-confidence – A person must have faith in himself or herself to succeed in life.

f. Hard work – In life, there is no replacement for hard work. Every day, while
running a business, one or more problems may develop. The entrepreneur must be
vigilant to recognize and resolve difficulties as soon as possible.

g. Decision-making ability – An entrepreneur must make many decisions when

running a business. As a result, the individual must be capable of making
appropriate and timely decisions.

5. What are the different types of entrepreneurs?

There are many types of entrepreneurs, which include the following.

a. Service entrepreneurs – These entrepreneurs either develop a new market for
their services or serve an existing one. They recognize an opportunity and turn it
into a service.

b. Business entrepreneurs – These are entrepreneurs who engage in commercial

and marketing operations but do not engage in production. A business entrepreneur
identifies a product’s market potential.

c. Industrial entrepreneurs – An industrial entrepreneur is simply a manufacturer

that recognizes client needs and develops products or services to meet those
demands.

d. Agricultural entrepreneurs – Agriculture has always been thought of as a low-

returning business. Agriculturists have now implemented new and innovative
technology to increase productivity.

e. Technical entrepreneurs – The Industrial Revolution gave birth to technical

entrepreneurs, and they used their technical expertise to build and sell machinery,
tools, and procedures.

f. Non–technical entrepreneurs – These entrepreneurs use their expertise in

providing services to create a market for technical entrepreneurs.

g. Professional entrepreneurs – Such an entrepreneur starts a business, nurtures

it, and makes it reach a point of self-sustenance.
h. IT entrepreneurs – IT entrepreneurs are people who start businesses in the field
of information technology (IT).

i. Women entrepreneurs – Women entrepreneurs, as the term suggests, are

women who start their businesses.

j. Social Entrepreneurs – Social entrepreneurs are those who focus on generating

solutions that benefit society.

k. Family business entrepreneurs – When a family or a person successfully

operates a firm and passes it on to the next generation, such an entrepreneur is
referred to as a family business entrepreneur.

l. First-generation entrepreneurs – First-generation entrepreneurs are those who

have never worked in the business world before. They can be of various ages and
come from various backgrounds.

6. What is the role of an entrepreneur?

Some of the major roles of an entrepreneur are –

a. Identifying entrepreneurial opportunity – Entrepreneurs must have
imagination, creativity, and innovation.

b. Turning ideas into action – Entrepreneurs must be able to bring their ideas to
life. To meet market demand, they should be able to gather information on ideas,
products, and methods.

c. Feasibility study – Entrepreneurs conduct studies to assess the market feasibility

of a proposed product or service.

d. Resourcing – To establish a successful business, an entrepreneur requires a

variety of resources such as money, machinery, raw materials, and labor.

e. Setting up an enterprise – Some legal requirements may be required of the

entrepreneur. In addition, the person must try to find a good place, design the
premises, install machinery, and do a variety of other tasks.

f. Managing the enterprise – The person is responsible for managing the labor,
materials, finances, and the organization of goods and services production.

7. What motivates an entrepreneur?

Some of the qualities that motivate an entrepreneur

a. Standard of excellence – An entrepreneur always sets high goals for himself and
works to meet them by working hard and being creative.

b. Uniqueness – one of the most important qualities is to remain unique in

everything the person does and the way it is done.

c. Focus on long-term goals – An entrepreneur is more concerned with what will

be accomplished in the distant future than with what will be accomplished shortly.

d. Need to influence – The entrepreneur perceives one’s ideas as revolutionary and

expects them to influence the world substantially.

e. Identifying opportunities and risk-taking – Finding the perfect business

opportunity for you is a major concern for young entrepreneurs.

8. What are environmental barriers?

One of the biggest barriers that entrepreneurs face is environmental factors.

a. Lack of adequate resources or raw material
b. Nonavailability of skilled labor
c. Lack of requisite machinery and other infrastructure
d. Unavailability of monetary resources on time

9. What are personal barriers?

Any new enterprise is risky because people are always afraid of what could go
wrong, and these worries create personal boundaries.
Some of the personal barriers are –
a. Self-doubt
b. Forming a team and teamwork

10. Which attitudes make a person a successful entrepreneur?

The attitudes that make a successful entrepreneur are –

a. Decisiveness – Ability to make quick and profitable decisions

b. Taking Initiative – Ability to take charge and act in a situation before others

c. Organizational Skills – Ability to make the optimum use of time, energy, and
resources to achieve the desired goals.

d. Interpersonal Skills – Ability to work with others

e. Perseverance – Ability to continue to do something, even when it is difficult.

11. What is decisiveness?

Decisiveness is defined as the ability to make quick and profitable decisions.

The following steps can help you develop your decisiveness.

a. Knowing yourself – You must first choose what is important to you and the type
of problem you want to solve.

b. Identify opportunities – It is important to identify the best way and location for
a business to operate.

c. Analyze the opportunity – What do customers think of the idea and what is the
competition for that idea?

d. Problem-solving – You might make changes to your idea after researching the
clients and the market.

12. What do you mean by interpersonal skills?

Interpersonal means dealing with relationships. It is between two or more persons.

Some of the ways to develop interpersonal skills are –

a. Listening – It is important to listen when someone talks.

b. Body Language – When working with people or listening, our facial expressions,
gestures, and postures are important.

c. Positive attitude – People with a positive attitude are hopeful and see the best
even in difficult situations.

d. Stress management – When various personalities work together in a team, it can

lead to tension for everyone. In such situations, stress management becomes
important for everyone’s health and well-being.

13. What is perseverance?

Perseverance is the capacity to keep going even when things are challenging.
Perseverance can be developed in a variety of ways.
a. Not giving up when there is a difficult situation
b. Working hard to achieve the goal
c. Analyzing failures and learning from them

14. Why organizational skills are important?

The capacity to make the best use of one’s time, energy, and resources to achieve
one’s objectives is referred to as organizational skills.

Organizational Skills include the following –

a. Time management – Time management is the process of planning and following

a conscious control of time spent on specific activities.

b. Goal Setting – A goal is something we want to reach. It is the aim or result that
we want from an activity. The goal makes us work harder and motivates us to
complete what we start and achieve the target.

c. Efficiency – Efficiency is the ability to do things well, and successfully, without

wasting time.

d. Managing quality – Managing quality in a business means setting and

maintaining a standard of excellence for products or services being provided to
customers.

15. what do you understand by attitude?

Attitude can be defined as how a person views and evaluates something or someone,
a predisposition or a tendency to respond positively or negatively toward a certain
idea, object, person, or situation.