Question 1

On average,approximately what percentage of corporate ventures reaches profitability within six years?

Accepted Answer

A)   80 percent
B)   65 percent
C)   50 percent
D)   35 percentE) All of the above
F) B) and C)

Question 2

The term skunkworks is used to refer to a type of in-house facility that corporations use to develop entrepreneurial ideas.

Accepted Answer

A) True 
 B)False

Question 3

______________ refers to efforts to create designs and applications of technology to develop new products,while ______________ refers to efforts to improve the efficiency of organizational systems such as manufacturing and operations.

Accepted Answer

A)   Radical innovation; incremental innovation
B)   Breakthrough innovation; instrumental innovation
C)   Product innovation; process innovation
D)   Product innovation; service innovationE) B) and C)
F) A) and D)

Question 4

According to Peter Drucker,successful entrepreneurs typically are risk takers.

Accepted Answer

A) True 
 B)False

Question 5

What are the five types of support that corporate business incubators provide to entrepreneurial ventures?

Accepted Answer

1. Financial Support: Corporate business...

Question 6

Competitive aggressiveness is a response to threats whereas proactiveness is a response to opportunities.

Accepted Answer

A) True 
 B)False

Question 7

According to the text,new venture ideas must pass through two critical stages to be implemented by corporations: project definition and project impetus.

Accepted Answer

A) True 
 B)False

Question 8

Corporate business incubators often provide physical space and business services to internal ventures,but not funding.

Accepted Answer

A) True 
 B)False

Question 9

One of the pitfalls of real options analysis is that managers may have an incentive and know-how to game the system and back-solve a formula to get a proposal approved.This can give rise to _____________.

Accepted Answer

A)   managerial conceit
B)   the illusion of control
C)   escalation of commitment
D)   agency problemsE) A) and B)
F) B) and C)

Question 10

Financial risk taking involves the risk an executive assumes in taking a stand in favor of a strategic course of action.

Accepted Answer

A) True 
 B)False

Question 11

Financial reasons for undertaking internal corporate venturing include _____________.

Accepted Answer

A)   strengthening competitive position
B)   obtaining above average returns
C)   adding to the resource base of the corporation
D)   reducing stakeholder commitmentE) All of the above
F) A) and C)

Question 12

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

Accepted Answer

A) True 
 B)False

Question 13

Compare and contrast the concepts of focused versus dispersed approaches to corporate entrepreneurship.Provide examples of each approach.

Accepted Answer

The concept of focused corporate entrepr...

Question 14

McGrath and Keil researched the types of human resource management practices that effective firms use to capture value from their innovation efforts.Which of the following is not one of their findings?

Accepted Answer

A)   Create innovation teams with experienced players.
B)   Require that employees serve in the new venture group as part of their career climb.
C)   Transfer people to mainstream management positions after they have experience in the new venture group.
D)   Integrate the performance of individuals with the performance of the innovation.E) B) and C)
F) All of the above

Question 15

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 16

What are the five dilemmas that most firms face,when trying to determine the best way to manage the innovation process?

Accepted Answer

Managing the innovation process is a com...

Question 17

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) None of the above
F) A) and B)

Question 18

Disruptive innovations are those that overturn markets by providing an altogether new approach to meeting customer needs.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is not an advantage of collaborating with strategic partners in order to innovate?

Accepted Answer

A)   obtaining skills and new knowledge from outside sources
B)   making firms identify their own strengths and weaknesses
C)   managers clarifying what an innovation project requires to be successful and who will accomplish it
D)   decreasing economies of scaleE) A) and B)
F) A) and D)

Question 20

One of the following is not a type of risk that executives must address.Which is it?

Accepted Answer

A)   business risk taking
B)   financial risk taking
C)   personal risk taking
D)   product-market risk takingE) None of the above
F) B) and C)

Exam 12: Managing Innovation and Fosteringcorporate Entrepreneurship

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

Correct AnswerverifiedShow Answer

Corporate business incubators often provide physical space and business services to internal ventures,but not funding.

Correct AnswerverifiedShow Answer

According to Peter Drucker,successful entrepreneurs typically are risk takers.

Correct AnswerverifiedShow Answer

Compare and contrast the concepts of focused versus dispersed approaches to corporate entrepreneurship.Provide examples of each approach.

Correct AnswerAnswered by ExamLex AIThe concept of focused corporate entrepr...View AnswerShow Answer

What are the five dilemmas that most firms face,when trying to determine the best way to manage the innovation process?

Correct AnswerAnswered by ExamLex AIManaging the innovation process is a com...View AnswerShow Answer

McGrath and Keil researched the types of human resource management practices that effective firms use to capture value from their innovation efforts.Which of the following is not one of their findings?

Correct AnswerverifiedShow Answer

According to the text,new venture ideas must pass through two critical stages to be implemented by corporations: project definition and project impetus.

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

Competitive aggressiveness is a response to threats whereas proactiveness is a response to opportunities.

Correct AnswerverifiedShow Answer

The term skunkworks is used to refer to a type of in-house facility that corporations use to develop entrepreneurial ideas.

Correct AnswerverifiedShow Answer

Financial risk taking involves the risk an executive assumes in taking a stand in favor of a strategic course of action.

Correct AnswerverifiedShow Answer

One of the pitfalls of real options analysis is that managers may have an incentive and know-how to game the system and back-solve a formula to get a proposal approved.This can give rise to _____________.

Correct AnswerverifiedShow Answer

On average,approximately what percentage of corporate ventures reaches profitability within six years?

Correct AnswerverifiedShow Answer

Which of the following is not an advantage of collaborating with strategic partners in order to innovate?

Correct AnswerverifiedShow Answer

______________ refers to efforts to create designs and applications of technology to develop new products,while ______________ refers to efforts to improve the efficiency of organizational systems such as manufacturing and operations.

Correct AnswerverifiedShow Answer

Disruptive innovations are those that overturn markets by providing an altogether new approach to meeting customer needs.

Correct AnswerverifiedShow Answer

What are the five types of support that corporate business incubators provide to entrepreneurial ventures?

Correct AnswerAnswered by ExamLex AI1. Financial Support: Corporate business...View AnswerShow Answer

Financial reasons for undertaking internal corporate venturing include _____________.

Correct AnswerverifiedShow Answer

One of the following is not a type of risk that executives must address.Which is it?

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

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Answered by ExamLex AI
The concept of focused corporate entrepr...
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Managing the innovation process is a com...
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refers to efforts to create designs and applications of technology to develop new products,while refers to efforts to improve the efficiency of organizational systems such as manufacturing and operations.

Correct Answer
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Correct Answer
verified

Correct Answer
Answered by ExamLex AI
1. Financial Support: Corporate business...
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