Question 1

Risk taking can lead to competitive advantage,but it needs to be managed carefully.

Accepted Answer

A) True 
 B)False

Question 2

Incremental innovations

Accepted Answer

A)   are usually highly disruptive.
B)   usually represent technological breakthroughs.
C)   are usually small improvements in products and processes.
D)   nearly always can be patented.E) C) and D)
F) B) and D)

Question 3

Dispersed approaches to corporate entrepreneurship are often found in organizations with a strong spirit of entrepreneurship.

Accepted Answer

A) True 
 B)False

Question 4

Some of the most common applications of real options are with property and insurance.A real estate option grants the holder the right to buy or sell a piece of property at an established price sometime in the future.If the price of the property goes _____,the owner of the option is likely to buy it.If the market value of the property ______ the strike price,the option holder is unlikely to execute the purchase.

Accepted Answer

A)   down; goes above
B)   down; drops below
C)   up; drops below
D)   up; goes aboveE) B) and C)
F) A) and B)

Question 5

New technology is an important source of new ideas because it

Accepted Answer

A)   is seen by the customer as being important.
B)   provides the manpower that firms need to make new products and services.
C)   automatically reduces organizational waste.
D)   provides the raw material that firms use to make innovative products and services.E) A) and B)
F) All of the above

Question 6

Real options logic is useful when corporations consider stock options as a way to finance entrepreneurial ventures.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following statements about skunkworks is false?

Accepted Answer

A)   They are independent work units.
B)   They are used to encourage creative thinking and brainstorming.
C)   They refer to a specialized type of outside contractor that corporations use to develop entrepreneurial ideas.
D)   They help managers set aside their usual routines and practices.E) A) and B)
F) A) and C)

Question 8

First movers in an industry often capture above-average profits,but usually find it difficult to maintain early market share gains.

Accepted Answer

A) True 
 B)False

Question 9

Innovation involves introducing or changing to something

Accepted Answer

A)   less costly.
B)   with broader marketplace appeal.
C)   new.
D)   different.E) A) and B)
F) B) and D)

Question 10

Common features of a dispersed approach to corporate entrepreneurship include all of the following except

Accepted Answer

A)   semi-autonomous new venture groups.
B)   use of product champions.
C)   a top-down approach to supporting entrepreneurial behavior.
D)   an entrepreneurial culture.E) B) and C)
F) A) and B)

Question 11

One of the following statements about innovativeness is false.Which is it?

Accepted Answer

A)   It refers to making decisions and taking risks without certain knowledge of probable outcomes.
B)   It refers to efforts of a firm to find new opportunities and novel solutions.
C)   It involves creativity and experimentation.
D)   It is aimed at developing new products, services, and processes.E) A) and D)
F) B) and C)

Question 12

Radical innovation often involves open-ended experimentation which can be very time consuming.

Accepted Answer

A) True 
 B)False

Question 13

The costly Motorola global satellite telecom project known as Iridium provides a useful illustration of the _________.Even though problems with the project existed during the lengthy development process,Motorola refused to pull the plug.Only after investing 5 billion USD and years of effort was the project abandoned.

Accepted Answer

A)   overdependence on the exit champion
B)   lack of a product champion
C)   overdependence on the product champion
D)   lack of an exit championE) None of the above
F) A) and B)

Question 14

Exit champions are often reluctant to gather hard data about a venture because it might kill the project.

Accepted Answer

A) True 
 B)False

Question 15

Only about 50 percent of corporate venturing efforts reach profitability within six years of their launch.

Accepted Answer

A) True 
 B)False

Question 16

One of the following is not a question that should be answered when evaluating the performance of corporate venturing efforts.Which is it?

Accepted Answer

A)   Is the venture attracting external venture funding?
B)   Is the venture considered to be a market success?
C)   Does the venture add to the worth of the firm internally?
D)   Does the value proposition offered by the venture insulate it from competitive attack?E) All of the above
F) None of the above

Question 17

Business incubators are designed to support fledgling entrepreneurial ventures until they can operate as stand-alone businesses.

Accepted Answer

A) True 
 B)False

Question 18

______________ produce fundamental changes that can transform a company or even revolutionize an industry,while ______________ enhance existing practices and often represent evolutionary applications of fundamental breakthroughs.

Accepted Answer

A)   Technological breakthroughs; product-market breakthroughs
B)   New technologies; new paradigms
C)   Incremental innovations; radical innovations
D)   Radical innovations; incremental innovationsE) B) and C)
F) None of the above

Question 19

The Taco Bell Waffle Taco was the result of a team development effort.This is an example of a new venture group (NVG)identifying,evaluating,and cultivating a venture opportunity.

Accepted Answer

A) True 
 B)False

Question 20

After 15 teams created 128 different phones,Chris Galvin,former CEO of Motorola,eliminated the autonomous teams being used to develop new wireless phones.This was necessary because such teams

Accepted Answer

A)   often lack coordination.
B)   never waste resources on projects with questionable feasibility.
C)   always create inefficiencies through duplication of effort.
D)   never duplicate efforts of the rest of the firm.E) All of the above
F) A) and C)

Exam 12: Managing Innovation and Fostering Corporate Entrepreneurship

Radical innovation often involves open-ended experimentation which can be very time consuming.

Correct Answer
verified

After 15 teams created 128 different phones,Chris Galvin,former CEO of Motorola,eliminated the autonomous teams being used to develop new wireless phones.This was necessary because such teams

Correct Answer
verified

Business incubators are designed to support fledgling entrepreneurial ventures until they can operate as stand-alone businesses.

Correct Answer
verified

Incremental innovations

Correct Answer
verified

First movers in an industry often capture above-average profits,but usually find it difficult to maintain early market share gains.

Correct Answer
verified

produce fundamental changes that can transform a company or even revolutionize an industry,while enhance existing practices and often represent evolutionary applications of fundamental breakthroughs.

Correct Answer
verified

One of the following is not a question that should be answered when evaluating the performance of corporate venturing efforts.Which is it?

Correct Answer
verified

Correct Answer
verified

Only about 50 percent of corporate venturing efforts reach profitability within six years of their launch.

Correct Answer
verified

Common features of a dispersed approach to corporate entrepreneurship include all of the following except

Correct Answer
verified

Innovation involves introducing or changing to something

Correct Answer
verified

Risk taking can lead to competitive advantage,but it needs to be managed carefully.

Correct Answer
verified

Real options logic is useful when corporations consider stock options as a way to finance entrepreneurial ventures.

Correct Answer
verified

One of the following statements about innovativeness is false.Which is it?

Correct Answer
verified

Dispersed approaches to corporate entrepreneurship are often found in organizations with a strong spirit of entrepreneurship.

Correct Answer
verified

Correct Answer
verified

The Taco Bell Waffle Taco was the result of a team development effort.This is an example of a new venture group (NVG)identifying,evaluating,and cultivating a venture opportunity.

Correct Answer
verified

Exit champions are often reluctant to gather hard data about a venture because it might kill the project.

Correct Answer
verified

New technology is an important source of new ideas because it

Correct Answer
verified

Which of the following statements about skunkworks is false?

Correct Answer
verified

Exam 12: Managing Innovation and Fostering Corporate Entrepreneurship

Radical innovation often involves open-ended experimentation which can be very time consuming.

Correct AnswerverifiedShow Answer

After 15 teams created 128 different phones,Chris Galvin,former CEO of Motorola,eliminated the autonomous teams being used to develop new wireless phones.This was necessary because such teams

Correct AnswerverifiedShow Answer

Business incubators are designed to support fledgling entrepreneurial ventures until they can operate as stand-alone businesses.

Correct AnswerverifiedShow Answer

Incremental innovations

Correct AnswerverifiedShow Answer

First movers in an industry often capture above-average profits,but usually find it difficult to maintain early market share gains.

Correct AnswerverifiedShow Answer

______________ produce fundamental changes that can transform a company or even revolutionize an industry,while ______________ enhance existing practices and often represent evolutionary applications of fundamental breakthroughs.

Correct AnswerverifiedShow Answer

One of the following is not a question that should be answered when evaluating the performance of corporate venturing efforts.Which is it?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Only about 50 percent of corporate venturing efforts reach profitability within six years of their launch.

Correct AnswerverifiedShow Answer

Common features of a dispersed approach to corporate entrepreneurship include all of the following except

Correct AnswerverifiedShow Answer

Innovation involves introducing or changing to something

Correct AnswerverifiedShow Answer

Risk taking can lead to competitive advantage,but it needs to be managed carefully.

Correct AnswerverifiedShow Answer

Real options logic is useful when corporations consider stock options as a way to finance entrepreneurial ventures.

Correct AnswerverifiedShow Answer

One of the following statements about innovativeness is false.Which is it?

Correct AnswerverifiedShow Answer

Dispersed approaches to corporate entrepreneurship are often found in organizations with a strong spirit of entrepreneurship.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

The Taco Bell Waffle Taco was the result of a team development effort.This is an example of a new venture group (NVG)identifying,evaluating,and cultivating a venture opportunity.

Correct AnswerverifiedShow Answer

Exit champions are often reluctant to gather hard data about a venture because it might kill the project.

Correct AnswerverifiedShow Answer

New technology is an important source of new ideas because it

Correct AnswerverifiedShow Answer

Which of the following statements about skunkworks is false?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

produce fundamental changes that can transform a company or even revolutionize an industry,while enhance existing practices and often represent evolutionary applications of fundamental breakthroughs.

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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