ENTREPRENEURIAL SKILLS Revision Questions
What is the primary purpose of conducting market research for a small-scale business?
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- A. To reduce operational costs
- B. To understand customer needs and preferences
- C. To increase product prices
- D. To evaluate employee performance
Which strategy is effective for small-scale businesses to retain their existing customer base?
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- A. Reducing product quality
- B. Offering loyalty programs
- C. Increasing prices without notice
- D. Limiting customer service hours
How can small-scale businesses use social media to engage with their customer base?
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- A. By posting irrelevant content
- B. By ignoring customer comments
- C. By sharing updates and promotions
- D. By only using paid advertisements
What is an example of secondary data used to understand a small-scale business’s customer base?
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- A. Direct interviews with customers
- B. Surveys conducted by the business
- C. Industry reports and market studies
- D. In-store observations
What is the best approach for a small-scale business to attract new customers?
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- A. Focusing only on existing customer satisfaction
- B. Expanding product lines without research
- C. Implementing targeted marketing campaigns
- D. Reducing advertising efforts
What should a risk management plan for a small business include to address cybersecurity threats?
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- A) Infrequent system updates
- B) Basic data protection measures
- C) Advanced security protocols and regular monitoring
- D) No cybersecurity measures
Define the key components necessary for creating a small-scale business.
Explain the significance of a business plan in the startup phase of a small business.
Identify the legal and regulatory requirements for starting a small business.
Describe the steps involved in conducting a market survey for a new business.
Which of the following is a typical environmental concern for small businesses?
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- A. Office location
- B. Employee turnover
- C. Waste management
- D. Customer service
Evaluate the importance of matching competencies with business opportunities.
Compare different forms of business ownership and their advantages and disadvantages.
Discuss the factors that influence the location choice for a small business.
Develop a sample quality assurance policy for a small business
Illustrate the process of generating and evaluating business ideas.
Assess the resources required for starting a small-scale business.
Analyze the impact of entrepreneurial culture on small business success.
Formulate policies and procedures for occupational safety and health in a small business.
Outline the common myths associated with entrepreneurship and their implications.
Summarize the theories of entrepreneurship and their relevance to small business creation.
Design a plan for integrating environmental concerns into small business operations.
Construct a SWOT analysis for a new small business.
Justify the need for self-employment and its benefits compared to traditional employment.
Demonstrate how to match business competencies with available opportunities.
Explain the role of training in maintaining quality assurance within a small business.
Identify the types of risks that small businesses face and suggest strategies for managing them.
Analyze the advantages and challenges of formal versus informal employment in a small business setting.
Assess the role of networking and professional relationships in the success of small businesses.
Create a checklist for ensuring compliance with legal and regulatory requirements for small businesses.
Evaluate the effectiveness of various business models for small-scale enterprises.
Review the historical development of entrepreneurship and its impact on modern business practices.
Which of the following is the primary purpose of a business plan?
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- A. To outline financial projections
- B. To secure funding and guide business operations
- C. To market products and services
- D. To hire employees
What is a key advantage of sole proprietorship?
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- A. Limited liability
- B. Easy to establish and manage
- C. Access to extensive capital
- D. Complex tax regulations
Which of the following is a common myth about entrepreneurship?
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- A. Entrepreneurs are born, not made
- B. Entrepreneurship requires substantial capital investment
- C. All entrepreneurs are risk-takers
- D. Entrepreneurs need advanced degrees
What should be included in a market survey?
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- A. Competitor analysis
- B. Employee satisfaction
- C. Office layout
- D. Product development costs
Which form of business ownership offers the advantage of limited liability?
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- A. Sole Proprietorship
- B. Partnership
- C. Limited Liability Company (LLC)
- D. General Partnership
Which resource is essential for starting a small business?
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- A. Office furniture
- B. Skilled labor
- C. Marketing strategy
- D. Capital and financing
What is the primary focus of quality assurance in a small business?
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- A. Increasing sales
- B. Maintaining consistent product or service quality
- C. Expanding the business
- D. Recruiting new employees
Which theory emphasizes the role of innovation in entrepreneurship?
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- A. Trait Theory
- B. Resource-Based Theory
- C. Schumpeterian Theory
- D. Economic Theory
Which type of employment typically involves a more structured work environment?
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- A. Self-employment
- B. Informal employment
- C. Formal employment
- D. Contract work
What is a common characteristic of entrepreneurial culture?
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- A. Risk aversion
- B. Resistance to change
- C. Innovation and creativity
- D. Strict hierarchy
What does a SWOT analysis evaluate?
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- A. Market trends
- B. Strengths, Weaknesses, Opportunities, Threats
- C. Financial performance
- D. Employee skills
Which of the following best describes the role of an OSH policy in a business?
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- A. To increase production efficiency
- B. To ensure a safe and healthy work environment
- C. To manage financial resources
- D. To develop marketing strategies
What is a primary benefit of networking for small businesses?
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- A. Access to financial resources
- B. Increased product prices
- C. Expanded customer base and business opportunities
- D. Reduced operational costs
Which factor is crucial when choosing a location for a small business?
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- A. Proximity to suppliers and customers
- B. Personal preference of the owner
- C. Size of the office space
- D. Availability of parking spaces
Compare the approaches of two different small-scale businesses in building their customer base.
Explain the significance of understanding the customer base for small-scale businesses.
Discuss the methods a small-scale business can use to identify its target customer base.
Describe the key characteristics that define a small-scale business customer base.
Analyze how demographic factors influence the customer base of a small-scale business.
Evaluate the role of customer feedback in shaping the customer base for small-scale businesses.
Assess the impact of market research on expanding a small-scale business’s customer base.
Illustrate the strategies a small-scale business can implement to retain its customer base.
Differentiate between primary and secondary data sources for understanding a small-scale business’s customer base.
Identify the challenges faced by small-scale businesses in maintaining a diverse customer base.
Propose methods for small-scale businesses to attract new customers to their existing base.
Summarize how social media can be used to engage with the customer base of a small-scale business.
Outline the steps involved in conducting a customer satisfaction survey for a small-scale business.
Recommend strategies for small-scale businesses to adapt their customer base in response to changing market conditions.
Justify the importance of building a loyal customer base for the long-term success of a small-scale business.
Which of the following is a primary method for identifying a small-scale business’s target customer base?
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- A. Reviewing competitors’ annual reports
- B. Conducting customer surveys
- C. Analyzing industry trends
- D. Reading financial statements
What is a key characteristic of a small-scale business customer base?
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- A. Large geographical scope
- B. Diverse product range
- C. High level of personal interaction
- D. Extensive market segmentation
Which factor is most likely to influence the customer base of a small-scale business?
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- A. Global economic conditions
- B. Local demographics
- C. International trade agreements
- D. Stock market performance
What role does customer feedback play in managing a small-scale business’s customer base?
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- A. It helps in setting stock prices
- B. It provides insights into product development
- C. It influences investment decisions
- D. It dictates supply chain logistics
Which of the following is a common challenge for small-scale businesses in maintaining their customer base?
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- A. High production costs
- B. Limited market research resources
- C. Excessive inventory levels
- D. Large scale marketing budgets
Define the key components of a business plan for a small-scale business.
Explain how small businesses can effectively manage their finances.
Describe the role of marketing in the success of a small-scale business.
Outline the steps involved in the production or operation process for goods and services in a small business.
What is a key benefit of using word processing software in business management?
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- A) Improved customer service
- B) Enhanced document creation and formatting
- C) Increased product production speed
- D) Better supply chain management
Discuss the importance of record management in small-scale business operations.
Illustrate how a small business can use word processing software for efficient document management.
Analyze the impact of effective bookkeeping and auditing on small business management.
Evaluate different business support services available to small businesses and their benefits.
Which of the following is NOT typically considered a business support service?
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- A) Legal advice
- B) Marketing strategy
- C) IT support
- D) Personal fitness training
Compare various methods of mobilizing and utilizing resources in a small business.
Assess the basic principles of social responsibility for small businesses and their impact on community relations.
Develop a management strategy for a small-scale business that includes key operational controls and performance monitoring.
Implement a process for monitoring and controlling business operations in a small-scale business.
What does resource mobilization in a small business involve?
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- A) Hiring new employees
- B) Allocating and utilizing financial, human, and physical resources
- C) Increasing product prices
- D) Reducing office space
Design a simple record-keeping system suitable for a small business.
Identify common challenges faced by small businesses in managing their operations and suggest potential solutions.
Prepare a basic business plan outline that includes financial projections, marketing strategies, and operational plans.
Which of the following is a primary component of a small business plan?
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- A) Personal hobbies
- B) Financial projections
- C) Employee satisfaction
- D) Vacation plans
What is the main purpose of monitoring business operations?
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- A) To increase employee salaries
- B) To ensure alignment with business goals
- C) To expand the business location
- D) To reduce inventory levels
Which software tool is commonly used for managing business finances?
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- A) Adobe Photoshop
- B) Microsoft Excel
- C) Google Docs
- D) Trello
Which of the following is an example of a performance metric used in business management?
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- A) Number of customer complaints
- B) Office decoration
- C) Employee personal preferences
- D) Amount of office supplies
What is a common method for controlling business operations?
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- A) Ignoring performance issues
- B) Regularly reviewing performance data and implementing corrective actions
- C) Increasing production quotas
- D) Expanding the product line
What is the purpose of internal audits in small businesses?
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- A) To evaluate employee satisfaction
- B) To ensure compliance and identify areas for improvement
- C) To enhance marketing strategies
- D) To manage customer complaints
Which document would most likely be created using desktop publishing software?
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- A) Financial report
- B) Employee timesheet
- C) Brochure or flyer
- D) Sales invoice
Analyze the impact of automation on small business productivity and provide examples of tools that can be used.
Evaluate the role of market research in identifying growth opportunities for a small business.
What is a key consideration when integrating an ERP system into a small business?
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- A) Minimizing employee training
- B) Ensuring system compatibility with existing processes
- C) Ignoring data accuracy
- D) Avoiding system customization
Develop a growth strategy for a small business looking to expand into a new geographic market. Include key steps and considerations.
Discuss the advantages and disadvantages of using digital marketing versus traditional marketing for small businesses.
Explain how a Customer Relationship Management (CRM) system can enhance customer engagement and support business growth.
Identify three key factors that contribute to the success of e-commerce platforms for small businesses.
Create a plan for utilizing Business Intelligence (BI) tools to improve decision-making in a small business.
Assess the benefits and risks associated with seeking external funding for business expansion.
Outline the steps involved in integrating an Enterprise Resource Planning (ERP) system into a small business’s operations.
Justify the use of cloud computing solutions for managing a small business’s financial and operational data.
Compare the effectiveness of various project management software tools for managing small business projects.
Formulate a strategy for leveraging social media to increase brand awareness and customer acquisition for a small business.
Illustrate how collaboration tools can improve team productivity and project outcomes in a growing small business.
Propose a risk management plan that incorporates ICT solutions to protect a small business from cybersecurity threats.
Review the impact of flexible work arrangements enabled by ICT on employee satisfaction and business growth.
Which of the following is a benefit of using Customer Relationship Management (CRM) software?
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- A) Increased manual data entry
- B) Improved customer engagement
- C) Reduced marketing effectiveness
- D) Decreased sales tracking accuracy
What is one advantage of cloud computing for small businesses?
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- A) High infrastructure costs
- B) Limited scalability
- C) Flexible resource management
- D) Reduced data security
Which tool is commonly used for automating marketing tasks?
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- A) Project management software
- B) Business Intelligence (BI) tools
- C) Marketing automation software
- D) Enterprise Resource Planning (ERP) systems
What is a key feature of an Enterprise Resource Planning (ERP) system?
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- A) Integration of various business functions
- B) Limited data analysis capabilities
- C) Exclusive focus on customer support
- D) High cost with minimal benefits
Which software is designed to manage financial transactions and reporting?
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- A) Collaboration tools
- B) Accounting software
- C) E-commerce platforms
- D) Customer feedback tools
What is a major benefit of using e-commerce platforms for a small business?
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- A) Restriction to local markets
- B) Increased physical store costs
- C) Expanded global market reach
- D) Reduced online sales opportunities
Which type of software helps analyze and visualize business data for decision-making?
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- A) Project management software
- B) Business Intelligence (BI) software
- C) Human Resources Management System (HRMS)
- D) Document Management Systems
Which of the following is a common feature of collaboration tools?
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- A) Financial reporting
- B) Task management
- C) Inventory control
- D) Customer support ticketing