Entrepreneurship
What is the percentage of the U.S population that is actively involved in starting a new business
10%
what are the four forms of management
planning, organizing, leading, controlling
what are the three levels of management
top management (ceos, cfos, cmos)
middle management (division managers, plant managers)
supervisory managers
what are the three main forms of business
Sole proprietorship
partnership
corporation
how many teeth does an adult have
32
Define intrapenuership
People who focus on innovation and creativity while they are employed by an established company
what does a SWOT analysis look at
strength, weaknesses, opportunity, threats
what do the three levels of management do
top management: develop strategic plans
middle management: they are responsible for tactical planning and controlling
supervisory: they overview the employees daily work preformance
what are the two types of stock, and how are the different
common stock: voting rights, residual claims to assets
preferred stock: no voting, priority claims to income (they can get dividends first), first claim to assets after debt is paid
are cats or dogs better
dogs are, cats are stinky
what are the two areas of focus in an opportunity analysis plan
1) determine if the market your business is going into is "safe"
2) if there are any niches in the market that can be profitable as a new company
True or false
operational planning covers specific, short-term planning that lists organizational objectives
false. that is tactical planning.
operational planning covers specific timetables and standards
what skills do each level of management use
top: rely heavily on personal relationship skills, and conceptual skills, don't really use technical
middle: heavy use of all three
supervisory: rely heavily on personal relationship skills, and technical skills, doesn't really use conceptual skills
what is the legal requirement for a corporation
to create wealth for its owners
what is the inventory turnover ratio
cost of goods sold / average inventory
what are the main sources of equity financing
1) personal savings
2) friends and family
3) angle investors
4) partnerships
5) corporations
6) public stock sale
goals are long-term achievments the company wants to achieve, objectives are short term plans created to achieve these goals
what is the difference between managing and leadership
managing focuses on planning, organizing, and controlling the functions of the business
leadership focuses on creating a vision, and inspiring others to follow that vision
what are some advantages of an LLC
avoids double taxation, limited liability, flexibility
what are the 4Ps of marketing
price, product, place, promotion
advantages: lots of money!, improved access to future financing, using stock for aquisitions
disadvantages: dilution of ownership, pressure to perform in the short run, More government regulation, like the SEC
what are the six steps in decisions making
1) define the situation
2) describe and collect needed information
3) develop alternatives
4) decide which alternative is best
5) begin implementation
6) determining where the decision was a good one
what are the 5 steps of the control function
1) setting clear standards
2) monitoring and recording performance
3) comparing performance with plans and standards
4) communicating results to employees
5) providing feedback on the job
what are the disadvantages of a franchise
high start-up cost, shared profit, restrictions on selling
what is the highest rating for a bond Standard & Poor gives out
AAA