In Nigeria today, The rate of unemployment among graduates is alarming. To reverse the ugly trend, the government has devised various policy measures. Among them is the introduction of this course Business Creation and Growth that is geared towards self-reliance among graduates.
This course touches on various aspects of Business, ranging from opportunity identification, business planning, financing, e-business, e-commerce, business ethics, social responsibility, etc.
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This summary was derived from the Draft Training Manual for General Entrepreneurship Courses in Universities (Editor: Prof. Murtala S. Sagagi, Prof. Sarah Anyanwu, Dr Sola Aliu and Dr Oluremi Abimbola).
Business Creation and Growth Summary & FAQ
A business is an activity or entity, normally engaged in the provision of products and or services, for commercial gain, extending to non-commercial organizations that may or may not be profit oriented.
· a small company;
· a large company
· a corner shop
· a local business
· a regional business
· a multi-million naira business
· multi-national corporation
· a charity organization, etc
Business plan therefore could be referred to as the activities and aims of any entity, individual, group or organization with the purpose of converting efforts to results.
* Research
* Strategize
* Calculate
* Draft
* Revisitation and Proof-reading to finalize
I. Executive Summary
a. What is the business?
b. What is the market?
c. What is the potential for the business?
d. What are the forecast profit figures?
e. What are the Funding requirements?
f. What are the prospects for investors and lender?
II. Business Description
III. Business Environment Analysis
IV. Market Analysis
V. Marketing Plan
VI. Management and Organization
· Road Map/Guide For The Business
· Assurance of potentiality
· Define of a Business
· Serves as Résumé for the Business
· Regular Business Review and Course Corrections
· Review Current Progress Against The Initial Forecast
· Support For A Loan Application Or Raise Equity Funding
· Proper Allocation of Resources
· Sets a Value on a Business For Sale or Other Legal Purposes
* Joblessness
* Financial Ambition
* Desire to Control the Economy
* Desire to pursue a business idea
* Advantage of an opportunity in the market
* Inherited Family Business
* Desire to be their own boss
* Replicating a Business Idea found in Another Environment
* Frustration with low Pay
* Preference for a Smaller Company Environment
* Lack of opportunity in previous employer
* Desire to be involved in Operations
* Exposure to Some Available Fund
* Spirit of returning to the society
* Life After Retirement
* Favourable Government Policies and Procedures
Opportunity identification is the collection of three main factors, which are the entrepreneur’s background, the business influence and the general business environment.
a. preparation
b. incubation
c. insight
d. evaluation
e. elaboration
I. Recognition Type
II. Discovered Type
III. Creation/Enactment Type
a. Entrepreneurial Alertness
b. Prior Knowledge
c. Discovery versus Purposeful Search
d. Networking versus Solo Entrepreneur
e. Creativity
Business growth means expanding firm’s products and services or expanding its target markets, or some combination of each. Any increase in the volume of activities of enterprises is a clear indication of growth.
1. Internal Growth
2. External Growth
1. Opening new branches/division
2. Expanding Product Line or Service Offerings
3. Exporting
4. Innovation
5. Creating and Maintaining Online Presence
6. Franchising and Licensing
7. Merger and Acquisition
8. Competition
i. Lack of coherent economic empowerment policy
ii. Technical constraints:
iii. Deteriorating economic condition
iv. Lack of productive culture
v. Weak Investment climate and Doing Business Indicators
a. Low Access to finance
b. Access to Business Development Services
c. Low Access to infrastructure
d. Low Access to Investments
· Clarity
· Competence
· Reputation
· Resilience
· Creativity
· Concentration
· Courage
· Learning from failure and moving on
· Financial discipline
· Investment people
(i) Personal Savings
(ii) Borrowing from Friends and Relations
(iii) Trade Credit
(iv) Accrual Accounts
(v) Retained Earnings
(vi) Equity Financing
(vii) Bank Loans
(viii) Project Financing
(ix) Venture Capital
(x) Debt Financing
(xi) Commercial Draft
(xii) Banker’s Acceptance
(xiii) Bills Discounting
(xiv) Commercial Paper
(xv) Inventory Financing
(xvi) Bank Overdraft
(xvii) Loans from Corporative Societies
(xviii) Hire Purchase
(xix) Leasing
(xx) Factoring
(xxi) Microfinance Bank
(xxii) Public Offerings
(xxiii) Small Business Investment Organizations
Internal financing is the term for a firm using its profits as a source of capital for new investment, rather than distributing them to firm’s owners or other investors and obtaining capital elsewhere while external financing consists of new money from outside of the firm brought in for investment.
External financing is the funds that firms obtain from outside of the firm. It is contrasted to internal financing which consists mainly of profits retained by the firm for investment.
i. capital is immediately available; ii there is no interest payable on such fund; iii. there is no control procedures regarding the credit worthiness of the owners; and iv there is no third party’s influence.
i. It is somehow expensive.
ii. It does not easily increase capital. iii. It is not as flexible as external financing. iv. It is not tax-deductible. v . It is limited in volume because it is subject to the capability of the owner(s) to raise fund internally.
Formal sources of funds represent those institutions that are registered with appropriate authorities to transact the business of finance with entrepreneurs. Examples of formal sources of funds include loans from commercial banks, insurance company etc.
Informal sources of funds are provided outside the structure of government regulations and supervision. Examples of informal sources of funds include those groups or individuals that are involved in loan disbursement with little or no formal regulations e.g. Esusu, thrift savings scheme, cooperative society etc.
Marketing can be conceptualized as a process that enables people obtain their needs or wants from organizations that have developed products or services that will help satisfy these needs or wants of people.
· Budget Constraints
· Staffing
· Differences in Creativity
· Differences in Strategy
· Customer interaction
a) Product
b) Price
c) Promotion, and
d) Place
Electronic Business or e-Business refers broadly to the use of technologies, particularly the Information and Communication Technologies (ICTs), to conduct business or facilitate improved business activities and processes, including procurement, operation, manufacturing, marketing and sales, logistics, human resources management, finance, and research and development.
Electronic commerce (e-Commerce) describes the process of buying, selling, transferring, or exchanging products, services, and/or information through computer networks, principally the Internet
* E-Commerce refers to online transactions – buying and selling of goods and/or services over the electronic medium especially the Internet while Electronic business transactions involving money are “e-Commerce” activities.
* E-business goes far beyond e-Commerce or buying and selling over the Internet, and deep into the processes and cultures of an enterprise.
* E-business allows for more efficient and effective linking between departments, development of a closer relationship with suppliers and partners and better meets the needs and expectations of clients, leading to improvements in the overall business performance processes.
A. Business Models based on Market Relationship
a. Business-to-Consumer (B2C)
b. Business-to-Business (B2B)
c. Consumer-to-Consumer (C2C)
d. Business-to-Government (B2G)
e. Business to Employee (B2E)
B. Business Models based on Technology Used
a. Peer-to-Peer (P2P)
b. Mobile commerce (M-commerce)
a. Cost Reduction Benefits
i. Reduced cost of establishment
ii. Reduced running cost
iii. Reduced travel costs
iv. Reduced cost of materials
v. Reduced marketing and distribution costs
vi. Reduced sales costs
vii.
b. Market Benefits
i. Greater reach
ii. Improved customer service and brand awareness
iii. Increased market awareness
c. Increased Efficiency
i. Provide substantial benefits to small enterprises via improved efficiencies and raised revenues
ii. More efficient supply chain management
iii. Improved internal functions
iv. Improved processes of activity
d. Better Service Delivery
e. Competitive advantage.
f. Continous Trading
g. Human Capital Development
a. Extra Cost
b. Risk of Failure
c. Risk of Losing Focus
d. Opportunity Cost
e. Risks of Ignoring e-Commerce
f. Sustainability
(1) lack of adequate infrastructure;
(2)lack of technical know-how;
(3) information processing about the economy;
(4) Lack of legal and regulatory framework; and
(5)The lack of adequate banking infrastructure is also considered as one of the problems faced by developing countries in building e-Commerce solutions
Step 1. Starting Out: Simple messaging using mobile communications
Step 2. Getting Online: Email messaging
Step 3. Web Publishing
Step 4. Web Interacting
Step 5. Web Transacting
Step 6. Web Integration
1. Take a careful look at the business
2. Start the preliminary research
3. Define the goals
4. Research the industry
5. Research the customer
6. Research the competition
7. Establish the marketing strategy
8. Establish the implementation and operations plan
9. Create the financial schedules
10. Format and assess the e-business plan
Ethics, in the simplest term, involves learning what is right or wrong.
Business ethics involves knowing what is right or wrong in a business environment and doing what is right with regard to effects of products or services and in relationships with stakeholder
social responsibility is an aspect of business ethics concerned with the need for business to try and serve their local community and help its employees lead better life. Social responsibility requires that the entrepreneur looks beyond making profits alone but pays attention also to how to relate with the host community of his venture and his employees in a way that promotes good will. This may take the form of sinking water borehole within the company’s premises and extending the taps outside the walls of the company so that members of the community can source their drinking water there from.
corporate social responsibility (CSR) is a strategy for demonstrating good faith, social legitimacy, and a commitment that goes beyond the financial bottom line.
1. Code of conduct
2. Based on moral and social values
3. Gives protection to social groups
4. Provides basic framework
5. Voluntary
6. Requires education and guidance
7. Relative Term
i. To Stop business malpractices
ii. Improve customers’ confidence
iii. Survival of business
iv. Protecting employees and shareholders
v. Develops good relations
vi. Creates good image
vii. Smooth functioning
viii. Consumer satisfaction
ix. Importance of labour
x. Healthy competition
1. Honesty
2. Integrity
3. Promise-keeping and trustworthiness
4. Loyalty
5. Fairness
6. Concern for Others
7. Respect for Others
8. Law abiding
9. Commitment to Excellence
10. Leadership
11. Reputation and morale
12. Accountability
1. Provision of moral compass
2. Ethics implicitly regulate area and details of behaviour that lie beyond governmental control
3. To meet stakeholder’s expectation
4. Definition of the rights and duties between a company and significant others
5. Enhancement of business performance
6. Building long – term shareholder value, corporate financial stability and sustainability.
7. Consumer and customer approval and loyalty
8. Promoting self-regulation and deterring government regulatory intervention
9. Enhancing corporate reputation
* Phase one: Start up/infancy (growth through creativity); An overview for this phase is that the entrepreneurs who founded the firm are busy creating products and opening up markets.
* Phase two: Fast growth/childhood (growth through direction); An overview for this phase is that growth continues in an environment of more formal communications, budgets and focus on separate activities like marketing and production. Incentive schemes replace stock as a financial reward.
* Phase three: Adolescent (growth through delegation); Phase 3 of business growth is the Adolescent phase. This is characterized by more employees and revenue.
* Phase four: Maturity (growth through coordination and monitoring); An overview for this phase is that growth continues with the previously isolated business units re-organized into product groups or service practices.
* Phase 5: Growth through collaboration; The formal controls of phases 2-4 are replaced by professional good sense as staff group and re-group flexibly in teams to deliver projects in a matrix structure supported by sophisticated information systems and team-based financial rewards. This phase ends with a crisis of Internal Growth.
* Phase 6: Growth through extra-organizational solutions; This sixth phase suggests that growth may continue through merger, outsourcing, networks and other solutions involving other companies.
It is important to note that there is a difference between change and transition.
· Change is an observable event that often occurs very quickly – e.g. you get a major promotion to a new level of responsibility. Transitions are challenging due to the amount of energy it takes to learn new behaviours and make emotional re-adjustments
· Transition is defined as the process in which something changes from one state to another. Real change is about doing something about it. It is not the failure to identify change that hurts organizations. It is the failure to implement change that hurts organizations. And implementing change is a transition.
· Change is made up of events, while transition is an on-going process.
· Change is visible and tangible, while transition is a psychological process that takes place inside of people.
· Change can happen quickly, but transition, like any organic process, has its own natural pace.
· Change is all about the outcome we are trying to achieve; transition is about how we will get there and how we will manage things while we are en route. Getting people through the transition is essential if the change is actually to work as planned.
• Startup: When starting a business, your focus should be on generating cash, gathering skilled labour for your business, product and marketing development, securing adequate inventory, and acquiring production technology.
• Turnaround: A turnaround is critical when there is a need to save a failing business. It is similar to radical surgery to save the life of the business.
• Accelerating growth: There are times when entrepreneurs have to deal with the challenges and opportunities of increasing demand.
• Realignment: To change the business to a new dimension.
• Sustaining success: Some businesses reach their desired level of growth/success but struggle to sustain it. Sales are adequate, and the business is performing well, with a strong and experienced team or teams and production lines.
Choosing a business that isn’t very profitable
· Inadequate cash reserves
· Failure to clearly define and understand your market, your customers, and your customers’ buying habits
· Failure to price your product or service correctly
· Failure to adequately anticipate cash flow
· Failure to anticipate or react to competition, technology, or other changes in the marketplace
· Over generalization
· Over reliance on a few key customers
· Putting up with inadequate management
· Lack of experience of managers
· Poor cash flow management
· Absence of performance monitoring
· Over borrowing and poor debtor management
· Lack of financial skills and planning
· Failure to innovate
· Poor inventory management
· Poor communications throughout the organization
· Competition
· Poor location and low sales
· Over investments in fixed assets
· Personal use of business funds and
· Unexpected growth
Planning can be defined as the process of setting objectives and putting up the necessary steps to achieve the objectives. It can also be define as the process of setting goals (targets) for the organization and developing strategies or approaches to accomplish them. Goal setting is very important to managers.
1. Analyzing the environment/identifying investment opportunity
2. Setting objectives
3. Forecasting the environment/developing the planning premise
4. Determining alternative courses of action
5. Evaluating the alternative courses of action
6. Selecting a course of action
7. Formulating support plans
8. Budgeting for the plan.
. Maximizes Company value
· Minimizes or defers estate and income taxes
· Controls how and when you exit
· Sets and helps establish actions to achieve your business and personal goals
· Determines the path for moving away from the day to day business responsibilities
· Ensures survival of the business and strategies for growth
· Preserves family harmony
· Reduces employee and family uncertainty
· Produces strategic options from which to choose.
Business Creation and Growth Exam Questions
Business organizations grow for a number of reasons except.
a) to enjoy economy of scale
b) to gain competitive advantage
c) to have more power over rivals
d) to divest their capital
d) to divest their capital
Opening new branch as a growth strategy, a new location can be only successful if one of the following is available.
a) consumers
b) demand
c) access road
d) product quality
b) demand
The recent takes over of former etisalat by some group of some banks is known as
a) merger
b) acquisition
c) consortium
d) licensing
b) acquisition
Companies engage in merger and acquisition in order to get facilities, get access to brand, trademarks, patent or technology, competent employees, etc. from the acquired firm but in most cases the most obvious reasons is to acquire.
a) capital
b) business model
c) customers
d) all of the above
c) customers
Businesses normally franchise their product offerings when they are
a) fully grown
b) growing
c) have no interest in the target market
d) outside the comfort zone
a) fully grown
Innovation signifies continues change in the way a business services its customers or conducts its business, this statement in the context of business growth is
a) true
b) false
c) ambiguous
d) none of the above
a) true
To successfully write a wining business plan one needs to follow the following steps sequentially
a) research-calculate-draft-strategize
b) research-draft-calculate-strategize
c) research-strategize-calculate-draft
d) research-calculate-strategize-draft
c) research-strategize-calculate-draft
One may need the service of business plan writer at one of the following steps.
a) research
b) draft
c) strategize
d) calculate
b) draft
Executive summary is normally written last but appears at the ……. of the business plan document
a) end
b) middle
c) beginning
d) all of the above
c) beginning
Ratio analysis falls into one of the following business plan segment
a) market analysis
b) financial plan
c) operation plan
d) organizational plan
b) financial plan
Physical location and quality control should be under
a) business description
b) organizational plan
c) business environment analysis
d) operation plan
a) business description
A business achieves competitive advantage through one of the following except
a) publicity
b) differentiation
c) focus strategy
d) low cost operation
d) low cost operation
One of the reasons people start up business is
a) socio-cultural factors
b) preference for smaller company
c) opportunity of the present job
d) none of the above
b) preference for smaller company
Opportunity is a perceived means generating income that has been exploited by others. This statement is
a) true
b) false
c) ambiguous
d) none of the above
b) false
An analysis that help one to determine his/her area of competence and weakness and the available support and hindrances in his/her environment is called
a) PESTEL analysis
b) PEST analysis
c) CWSH analysis
d) SWOT analysis
d) SWOT analysis
Opportunity identification stages include all the following, except
a) preparation
b) incubation
c) determination
d) evaluation
c) determination
The four main marketing-mix elements are
a) service/product, price, promotion, and distribution
b) product, price, location and place
c) product, place, promotion, and location
d) none of the above
:
d) none of the above
……………… is any intangible thing offered to satisfy a need or want
a) product
b) activity
c) service
d) price
d) price
All are examples of product support service except
a) before sale advice
b) installation
c) delivery
d) repeat purchase
d) repeat purchase
One of the business principles that requires an entrepreneur to look beyond profit making alone, but should pay attention to community’s development is
a) market orientation
b) social responsibility
c) social entrepreneurship
d) profit
b) social responsibility
Adulteration is against
a) market ethics
b) unethical business conduct
c) business ethics
d) market operation
c) business ethics
One of the following applies to business ethics, except
a) it is code of conduct
b) it is voluntary
c) it is relational term
d) it is mandatory
b) it is voluntary
Unethical principles for entrepreneurs includes
a) fairness
b) loyalty
c) reputation
d) salutation
d) salutation
A component of market mix that is relevant to some businesses and irrelevant to others is ……………
a) location
b) distribution
c) price
d) product
a) location
………….. is a face –to-face promotion of products and services
a) advertising
b) personal selling
c) sales promotion
d) publicity
b) personal selling
In marketing discourse ……………….. is another name for differentiation
a) comparative advantage
b) unique selling proposition
c) branding
d) loyalty
b) unique selling proposition
The use of electronics and communication technology in entrepreneurship has
a) reduced distance and market
b) reduced distance and fixed costs
c) stunt business development
d) none of the above
a) reduced distance and market
During times of structural and fundamental changes, values that were taken for granted tend to be strongly questioned unless an entrepreneur is
a) accountable
b) ethical
c) result oriented
d) committed
b) ethical
With development of ICT online-businesses use different technologies now, excluding
a) electronic cataloguing
b) video-conferencing
c) facsimile
d) fedex
d) fedex
In managing transition in business deciding what to do in advance is known as
a) succession planning
b) directing
c) controlling
d)planning
d)planning
Dangotes and Bill Gates. Had no business plan when they started their businesses, so does that mean business plan really translate to business success?
a) yes
b) no
c) not sure
b) no
All the following are among the many reasons behind people going into business except………..
a) exposure to some available fund or program
b) favorable government policies
c) inherited family business
d) political ambition
b) favorable government policies
A ……………. Could be schools, hospitals, NGOs club and associations, government agencies and parastatals
a) business
b) venture
c) conglomerate
d) none of the above
b) venture
Yahuza suya’s growth by investing its profit acquiring more assets and employing more staff is a typical example of an
a) internal growth
b) external growth
c) competition growth
d) bulk-passing growth
a) internal growth
AZMAN has an airline, established beauty company and oil company is about to open a filling station in the old campus of BUK. Specifically what type of strategy did the company use in growing the business?
a) increase in service product line
b) branch opening
c) going internationally
d) none of the above
a) increase in service product line
International market has certain mode of entry which include all the following except
a) exporting
b) joint venturing
c) foreign branding
d) direct investment
c) foreign branding
Honorarium, tariff, fees fare and rent are all called ……..
a) services
b) price
c) promotion
d) all of the above
b) price
. ……….. is used when purchasing assert such as plant and equipment where an initial deposit may be required followed by a series of instalment payments with an attached interest.
a) hire purchase
b) leasing
c) borrowing
d) lending
a) hire purchase
Is an agreement whereby the owner-manager undertakes to make regular monthly payments the financial institution in return for the use of equipment belonging legally to the latter
a) hire purchase
b) leasing
c) borrowing
d) lending
b) leasing
In order to sustain growth/ success, an entrepreneur needs to …………
a) focus on the most productive areas for innovation
b) pursue higher potential business model improvements
c) expand business model innovation
d) all of the above
d) all of the above
Which of the following is not a common cause of failure in business transitions?
a) inadequate cash reserves
b) failure to innovate
c) inadequate investments in fixed assets
d) personal use of business funds
c) inadequate investments in fixed assets
Chicken and chips started issuing meal tickets and as a result, the number of its customers increased because of ………
a) their unique selling proposition
b) there is no restaurant selling chips
c) they are opening by sum
d) B and C
a) their unique selling proposition
Indomie noodles did not stop advertising and sales promotion because they are expecting
a) monopolistic market
b) competition
c) government cooperatives
d) none of the above
d) none of the above
A stage of business planning process where one determines competitive distinctiveness for his business is …………………
a) research
b) strategize
c) calculate
d) draft
a) research
Commitment to excellence, leadership, concern for others and loyalty are not part of ethical principles of business
a) true
b) false
c) ambiguous
b) false
…………….. is a financial source that allows a business owner to raise fund based on the value of his or her invoices yet to be paid
a) hire purchase
b) factoring
c) borrowing
d) leasing
Before a company decides to use public offerings financing means, he following factors need to be considered except
a) the cost of the security
b) other financial obligation of the business
c) the prospect of the money market
d) the profitability of the issues
d) the profitability of the issues
What is accepted in Enugu as business might be prohibited in Kano. This is a clear challenge of
a) business of technology
b) business registration
c) business ethics
d) business social responsibility
c) business ethics
Albarka restaurant now agrees to allow another firm to operate using their business model in ABU Zaria for a fee. What is that called?
a) franchising
b) merger
c) licensing
d) acquisition
a) franchising
……………….. is an expansion money
a) first-round
b) second-round
c) third-round
d) forth-round
c) third-round
Nigeria LNG is giving scholarship to students who pass EEP wit A grades, the giving is called
a) corporate social responsibility
b) company reprisal
c) corporate social collaboration
d) company social character
a) corporate social responsibility
. ………. Provides basic frame work for doing business in very profession
a) business name registration
b) business organizations
c) business enterprise
d) business ethics
d) business ethics
All the following are not ethical principles of successful business men/women except …….
a) bold
b) self-centred
c) honesty
d) trust everyone
c) honesty
Who among the following has the right to appoint a proxy during annual general meeting?
a) preference shareholders
b) ordinary shareholders
c) debenture holders
d) commercial paper Holders
b) ordinary shareholders
A growth strategy where an organization discover a new market for its existing products is ……………..
a) opening new branches
b) exporting
c) innovation
d) none of the above
a) opening new branches
………………. Stage covers early sales and manufacturing funds of firms
a) opening new branches
b) exporting
c) innovation
d) none of the above
a) opening new branches
Business growth critical success factors include the following except
a) start-up capital
b) seed money
c) first round
d) second round
b) seed money
The type of amalgamation between Eco bank and Oceaning bank when the latter was in distress is better known in business as
a) merger
b) joint venture
c) acquisition
d) alliance
a) merger
Business growth critical success factors include the following except
a) clarity
b) competence
c) contentment
d) resilience
c) contentment
The focus of an entrepreneur at the adolescent phase is fostering growth through ……..
a) institution ownership
b) delegation
c) innovation
d) creativity
b) delegation
Which is NOT an example of Electronic payment mechanisms ?
a) electronic catalogues
b) electronic cards
c) person-to-person payments (M-pesa)
d) stored-value money cards
c) person-to-person payments (M-pesa)
A ……….. is a critical when there is a need to save a falling business
a) turnaround
b) start-up
c) realignment
d) accelerating growth.
a) turnaround
Difficult decisions typically involve issues like all the following except ……………
a) uncertainty
b) complexity
c) randomness
d) alternatives
c) randomness
……… are routine and repetitive decisions that are associated with standardized decision rules
a) programmed decision
b) non-programmed decision
c) difficult decisions
d) one of the above
a) programmed decision
Having a …… allows you to monitor, measure and adjust where necessary, your organization’s performance
a) planning system
b) control system
c) monitoring system
d) innovative system
b) control system
At ……. Stage based on the STARS model focus should be on generating cash, gathering skilled labour, securing adequate inventory and acquiring production technology
a) turnaround
b) start-up
c) realignment
d) accelerating growth
b) start-up
Reasons for sourcing business finance other than for regular liabilities include the following except
a) upgrading facilities
b) acquiring new technology
c) upgrading new competitors
d) building up inventory
c) upgrading new competitors
There are three broad strategies for foreign market entry and each one involves its own level of commitment. One of the following is not among the strategie
a) exporting
b) joint venturing
c) direct investment
d) privatizing
d) privatizing
Financial production in cases where there is significant lag between when cost are incurred and when payments are received is too dangerous for business owner
a) true
b) false
a) true
…………….. encompasses everything to do with the way an organization communicates persuasively with people to influence them towards making a purchase
a) promotion
b) canvassing
c) transfer
d) rebelling
a) promotion
One of the following is not a factor motivating people to began new businesses
a) joblessness
b) financial ambition
c) desire to control the economy
d) frustration with educational system
d) frustration with educational system
The demand for published text on entrepreneurship education in Nigeria in without a supply, is the best example of one of the following types of opportunity
a) enacted/creation type
b) recognition type
c) discovery type
d) none of the above
c) discovery type
Assuming a new policy was put forward by the government and you perceived an opportunity from that you further decided to analyze the internal factors within your control that would define your position in the market. What are you analyzing here?
a) threads
b)strength
c) SWOT
d) political environment
c) SWOT
Time is an economic resource that cannot be expanded, yet imperishable
a) true
b) false
c) ambiguous
b) false
‘Adashe’ is a very common ………… for starting a busines
a) source of capital
b) source of friendship
c) source of problem
d) source of challenges
a) source of capital
. …………….. is one of the cheapest and easy go source of funds for business starters
a)equity financing
b) bank loans
c) project financing
d) personal savings
d) personal savings
When sahad and jiffatu store makes arrangement with a seller to buy goods and pay after resale, they are said to be using ………
a) trade credit
b) buyers acceptance
c) payment after sale
d) selling before sale
a) trade credit
The money invested by a wealthy individual into a small business of high risk profile with a promising reward in the future is called
a) venture capital
b) venture money
c) venture borrowing
d) venture cash
a) venture capital
Rarely do companies deal directly with the final user of their products, instead they deal with ……..
a) market intermediaries
b) consumer protection agency
c) professional bodies
d) none of the above
a) market intermediaries
CSR in module 6 means
a) corporate social responsibility
b) consumer special rebate
c) customer special rebate
d) none of the above
a) corporate social responsibility
One of the following government agencies in kano has gone online and now accepts point of sales (POS)
a) karota
b) road safety
c) hisbah
d) police force
a) karota
A child in Nigeria is normally exposed to all the following values except:
a)community life
b) individuation
c) religion
d) family openness
b) individuation
……………. Consists of dividing a market into distinct group of buyers who might require separate products or marketing mixes:
a)product differentiation
b) market segment
c) market targeting
d) market position
b) market segment
Between e-commerce and e-business, which deals with intra-business tasks of an organization?
a)E-commerce
b) E-business
c) all of the above
d) none of the above
b) E-business
Among the e-commerce hitters which one deals more with auctions?
a)konga
b) jumia
c) amazon
d) Bbay
d) Bbay
Commercial draft may be a sight or time draft. The type depends on the ……….
a) duration
b) acceptability
c) negotiation terms
d) financial regulation
c) negotiation terms
……… is a need that is sufficiently pressing to direct the person to seek satisfaction
a)motive
b) want
c) demand
d) requirement
b) want
To gain customers and provide potential customers with knowledge of the product or service, companies must partake in this ….
a) marketing
b) net income
c) infrastructure
d) organization
a) marketing
An entrepreneur who has patience, motivation and determination is said to have
a) business planning
b) corporate governance
c) self-discipline
d) sound education
c) self-discipline
The Nigerian online stores like Jumia, Konga, Dealdey, etc, have a unique concept peculiar to Nigeria that is called:
a) payment on delivery
b) online payment
c) online auction
d) online booking
a) payment on delivery
If a sick person waited 2hrs and another person who is a friend to the doctor spent less than 30 min and was attended to first. This amount to violation of which principle under ethics?
a)honesty
b) integrity
c) accountability
d) none of the above
b) integrity
. …….. require an entrepreneur to constantly learn new skills and acquire experience decisions
a)clarity
b) competence
c) reputation
d) resilience
b) competence
In a new location is to ensure that a …………. already exist
a)products
b) demand
c) supply
d) service
b) demand
Digital divide syndrome that affects the full utilization of e-commerce services in Nigeria are caused by the following except
a)lack of adequate banking infrastructure
b) lack of electricity
c) lack of technical know-how
d) network reliability
d) network reliability
The following are business planning process except
a)research
b) strategizing
c) budget
d) draft
c) budget
One of the following is not among the small business investment organizations
a)SMEIS
b) CBN
c) SSICS
d) NDIC
d) NDIC
The acronym NACRDB means
a)Nigerian agricultural community and rural development bank
b) national agricultural cooperative and rural development bank
c) national agricultural company return deposit bank
d) Nigeria agricultural cooperative and rural development bank
d) Nigeria agricultural cooperative and rural development bank
A decision is a choice made from at least
a)one alternatives
b) two alternatives
c) three alternatives
d) all of the above
b) two alternatives
Market mix elements include
a)service, location, value, publicity
b) product, price, publicity, promotion
c) product, promotion, position, price
d) none of the above
d) none of the above
Consumers / customers never buy products; they buy value
True or false
True
Service are intangible, thus, customers would always look at
a)the features of services being sought
b) the availability of service providers
c) the quantity of services
d) none of the above
d) none of the above
Akrani (2011) identified seven features of business ethics, one of which is
a)moral philosophy
b) code of conduct
c) legal autonomy
d) none of the above
b) code of conduct
Before a venture capital firm can invest in any business, information on the following are important except
a)good business plan
b) technical know-how of the promoters of the business
c) potential spread of the business
d) product commercial viability
c) potential spread of the business
Promotion is ………….
a) one of the aspects of marketing
b) a specialist activity that determines organizational strategy
c) a marketing strategy without which business survival could be hampered
d) A and C
.
a) one of the aspects of marketing
Organizations explore international markets because they
a) are more profitable
b) require less capital and are less risky
c) becoming less dependent on a single market
d) none of the above
a) are more profitable
The amount paid in exchange for value received is called
a)honorarium
b) price
c) charges
d) all of the above
b) price
Metaphoric, E-commerce is like a forest, while E-business is like a tree in the forest
True or false
false