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ESB EXAM Study Guide Seraphin- -with with100% verified CORRECT answers BEST REVIEW
1). Flexibility
Ans: Ability to adapt, willingness to change
2). Courage
Ans: Takes risks in spite of possible losses
3). Empathy
Ans: Sensitive to thoughts and feelings of others
4). What are three characteristics of entrepreneurs?
Ans: Creativity, Determination, Enthusiasm
5). After a self-assessment, a potential entrepreneur has learned that she has a very low risk
tolerance. based upon this finding, which approach might be less stressful for the
entrepreneur to have her own business?
Ans: Buy an existing business that is already successful.
6). An entrepreneur moves into a small town and notices several stores selling guns and
ammunition. the entrepreneur loves to compete in competitive shooting events. based on
the scenario provided, what should be emphasized in marketing to attract customers?
Ans: Location
7). An entrepreneur has been working for a flooring business in a neighboring town. he feels
he is ready to open his own flooring business in his local community. which should be
emphasized in marketing to attract customers to his new business?
Ans: Lower Prices
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, 8). Which is one of the greatest benefits of entrepreneurship?
Ans: Being your own boss
9). Which are three risks of entrepreneurship?
Ans: Long hours, potential business failure, financial insecurity
10). Gabe has worked as a journeyman electrician for an employer for the past 16 years. he is
paid a good salary. his only dissatisfaction is the hours are long and often when he
requests time off he is denied because of customer workload.
which benefit of entrepreneurship will gabe most enjoy?
Ans: Autonomy
11). What is a primary benefit of starting a new business without purchasing a franchise or
buying an existing business?
Ans: Developing your own rules
12). A mechanic just graduated from motorcycle repair school and wants to start a business
because there is a lack of motorcycle repair shops in the local town. given the facts
provided, which opportunity would be the best choice for the motorcycle mechanic to open
a business?
Ans: Start a new business and invest $50,000 in modern diagnostic tools.
13). An entrepreneur who has a hobby in leathercraft wants to turn it into a business. she
wants to sell purses, belts, and other leathercrafts from her home. which opportunity for
starting a leathercraft business would have the highest probability of success?
Ans: Build an online storefront
14). Based upon the education and skills gained from the years of vocational training as an
auto mechanic, as well as having grown up in a family of entrepreneurs, a young adult
decides to open an auto mechanic shop. which customer group will this new auto
mechanic business support?
Ans: Businesses
15).
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, The owner of a pizza delivery business is seeking new customers. the owner has identified
a group of potential customers that have moved into some new housing within reaches of
his drivers. which method of segmentation is the owner using?
Ans: Geographic
16). A child daycare center needs to identify a value of proposition that will help parents feel
secure about using their services. which two initiatives meets this objective?
Ans: Providing live web cams parents can access from the Internet by using a secure
logon. Offering a list of references from other parents
17). The owner of a pet daycare is presenting a plan to investors to expand the facility and
promises the center will meet the needs of customers with a variety of schedules. what is
a legitimate value proposition for potential customers?
Ans: Providing extended hours to pickup and drop off pets before and after work
18). Which two groups benefit most from a well-written business plan?
Ans: Business owner
Investors
19). Which of the following should be addressed in the description section of a business plan?
Ans: Target Markets
20). Easy to setup, but has unlimited liability.
Ans: Sole Proprietorship
21). Terminates upon death of a partner
Ans: General or Limited Partnership
22). Double-taxed, but best for international businesses
Ans: C Corporation
23). Similar to a c corporation, but taxed at a lower rate
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