Quarter 1 Summative Exam No. 1.

2 ENTREPRENEURSHIP

Directions: Choose the letter of the correct answer.

1. It is the entrepreneurial environment which is composed of the natural elements that are
inherent in the Earth.
a. Physical Environment c. Industry Environment
b. Societal Environment d. Business Environment

2. The three important elements in the physical environment that must be critically evaluated by
entrepreneur before opening a new business are:
a. Social forces, wildlife, climate
b. Customers, climate, competitors
c. Climate, wildlife, physical resources
d. Physical resources, legal forces, suppliers

3. These are factors which are primarily caused by changes or movements in the Philippine
economy that have direct or indirect effects on the entrepreneurial venture.
a. Political forces c. Economic forces
b. Cultural forces d. Legal forces

4. All the following are the broad categories of External forces EXCEPT:
a. Economic forces c. Technological forces
b. Socioeconomic forces d. Competitive forces

5. Government can help in forming new venture by providing:

a. finance c. infrastructure
b. technology d. funds

6. Innovation can best defined as ________________.

a. The successful exploitation of new ideas.
b. The evolution of new ideas.
c. The opposite of creativity.
d. The generation of new ideas.

7. What are the social/demographic factors?

a. Education level, age, income, population, and expectations
b. A review of external sources to discover factors that impact business.
c. Looks at the strengths, weaknesses, opportunities and threats of the business and its
competition.
d. Paying attention to who is the most popular in the business world.
 8. In a SWOT analysis, which two elements are part of the internal environment?
a. Strengths and weaknesses c. strengths and opportunities
b. Opportunities and threats d. weaknesses and threats

9. Imagine if you are conducting a SWOT analysis for a Philippine manufacturer who exports to
Thailand. If the Thai currency become unstable, which category would you place that in for your
analysis?
a. Opportunity c. strength
b. Weakness d. threat

10. BCG in BCG Analysis Matrix stands for:

a. Boston Consulting Group c. Business Consulting Group
b. British Consulting Group d. Bureau Consulting Group

11. This quadrant represents the brands that require much closer consideration. They hold low
market share in high growing markets consuming large amount of cash and incurring losses.
a. dogs c. stars
b. question mark d. cash cows

12. Which of the following could be a threat?

a. Changes in technology
b. Location of your business
c. Lack of marketing expertise
d. A market vacated by an ineffective competitor

13. What is the function of BCG Matrix?

a. Produce a lot of money
b. The development cycle of product
c. To determine possible opportunities
d. Identify the relationship between products or services

14. It is a combination of entrepreneurial concepts and principles, entrepreneurial skills, and

entrepreneurial characteristics.
a. Business competency c. Business resources
b. Business structure d. Business culture

15. The common environmental forces in the internal environment are the following:
a. resources, climate, structure c. resources, political, economic
b. structure, resources, culture d. resources, culture, structure
16. It is the explicit communication strategy adapted by an enterprise to elicit the patronage, loyalty and
support not only of its customer but also of its other significant stakeholders.
a. place c. promotion
b. product d. Price

17. A tangible good or the intangible service that the enterprise offers its customers in order to satisfy
their needs and to produce their expected results.
a. place c. promotion
b. product d. Price

18. The performance benefits of this product may be close to existing products but there would be
additional benefits on special aspects of the products.
a. Breakthrough products c. Copycat products
b. Differentiated products d. Niche Products

19. They are products with lower reach, lower visibility, lower price and lower top of mind.
a. Breakthrough products c. Copycat products
b. Differentiated products d. Niche Products

20. This is the total number of people who can work to get something done.
a. Manpower c. Machines
b. Method d. Materials

21. These are the equipment used in order to produce the products or to make the job easier.
a. Manpower c. Machines
b. Method d. Materials

22. An entrepreneurial venture that possesses the characteristics and nature of combined types
of business entities.
a. Manufacturing c. Service
b. Hybrid d. Agricultural

23. A business that is engaged in the production of agricultural goods and animals.
a. Manufacturing c. Service
b. Hybrid d. Agricultural