SOLVED PAST PAPERS (Short Questions Only)

Course: Entrepreneurship (4rth Semester BS-IT)

Credits: Sir Arqam (MD Sialkot College of Physical Therapy)
Prepared by: Osama Naseer 

1. What is opportunity identification?

Opportunity identification is the process by which an entrepreneur comes up with the
opportunity for a new venture.
2. What is entrepreneurial mind set?
Entrepreneurial mind-set has the ability to rapidly sense, act, and mobilize, even under
uncertain conditions.
3. Define cognitive adaptability?
The Cognitive adaptability describes the extent to which entrepreneurs are:
Dynamic, flexible, self-regulating and engaged in the process of generating multiple
decision frameworks focused on sensing and processing changes in their environments
and then acting on them.
4. Define corporate entrepreneurship?
Corporate Entrepreneurship is a process used to develop new businesses, products,
services or processes inside of an existing organization to create value and generate
new revenue growth through entrepreneurial thought and action.
5. Define external environment?
The external environment is everything outside an organization that might affect it. It
consists of competitors, customers, suppliers, regulators, unions and owners.
6. Define entrepreneurial strategy?
Entrepreneurial strategy is the set of decisions, actions, and reactions that first
generate, and then exploit over time, a new entry.
7. What is product evolution process?
Process through which innovation is developed and commercialized is called product
evolution process.
8. What is entrepreneurial process?
Entrepreneurial process involves four steps:
i. Opportunity identification
j. Market size and length of window of opportunity
k. Window of opportunity
l. Business plan
9. Define brainstorming and reverse brainstorming?
Reverse Brainstorming is a group method that focuses on the negative aspects of a
product, service, or idea as well as ways to overcome these problems while
Brainstorming is a way to generate ideas within a group setting. It is usually used in the
beginning stages of a project, where the possibilities for the project are not clearly
understood or defined.
10.Define certainty, uncertainty and risk?
Certainty: Implies perfect information. All relevant information to the problem is known.
Uncertainty: Implies incomplete information. Some of all the relevant information to the
problem is missing.
Risk: Implies partial information. Some of all the relevant information to the problem is
stochastic.
11.What is Gordon method for developing new ideas?
Gordon method is a method for developing new ideas when the individuals are unaware
of the problem. In this method, solutions are not clouded by preconceived ideas and
behavioral patterns.
12.What is international entrepreneurship?
International entrepreneurship is the process of an entrepreneur conducting business
activity across the national boundaries.
13.What are the motivations to go for global market?
i. Profits.
ii. Competitive pressures.
iii. Unique product(s) or service(s).
iv. Excess production capacity.
v. Declining home country sales.
vi. Unique market opportunity.
vii. Economies of scale.
viii. Technological advantage.
ix. Tax benefits.
14.Define lead time?
Lead time is the grace period in which the first mover operates in the industry under
conditions of limited competition.
15.Define “me too” strategy?
“Me-too” strategy is copying products that already exist and attempting to build an
advantage through minor variations.
16.What is market plan?
 A written statement of marketing objectives, strategies, and activities to be followed in
business plan is called market plan.
17.Define innovation?
Innovation can be simply defined as a "new idea, creative thoughts, new imaginations in
form of device or method.
18.Define financial plan?
It provides the entrepreneur with a complete picture of:
i. The amount funds and when they are coming into the organization.
j. Where funds are going and how much cash is available.
k. The projected financial position of the firm.
19.Who is entrepreneur?
Entrepreneur is an individual who takes initiative to bundle resources in innovative ways
and is willing to bear the risk and/or uncertainty to act.
20.Define pro forma/projected financial statements?
A pro forma financial statement is one based on certain assumptions and projections.
For example, a corporation might want to see the effects of three different financing
options. Therefore, it prepares projected balance sheets, income statements, and
statements of cash flows.
21.What is window of opportunity?
Window of opportunity is the time period available for creating the new venture.
22.What is intellectual property?
It includes patents, trademarks, copyrights, and trade secrets. These represent
important assets to the entrepreneur.
23.What is mission statement?
A formal summary of the aims and values of a company, organization, or individual is
called mission statement.
24.Define indirect competitors?
Indirect competition is the conflict between vendors whose products or services are not
the same but that could satisfy the same consumer need.
25. What is switching cost?
Switching costs are the costs that a consumer incurs as a result of changing brands, suppliers
or products.
26.Define industry analysis?
Industry analysis is a tool that facilitates a company's understanding of its position
relative to other companies that produce similar products or services.
27.What is service pro type?
 Individuals who provide your company with specialized service, including but not
restricted to lawyers, accountants and management consultants. After you've owned
your own business for a while, you know how to run it.
28.Define cost leadership strategy?
Cost leadership means a company that reduces production costs relative to its
competitors and thus can charge lower prices for its products than other companies in
the industry.
29.Define high tech products?
A product that is made using the most modern technical knowledge and methods is
called high tech product.
30.What is vendor credit?
Vendor credits are credits that you receive from your vendor, and is treated as an
equivalent of physical cash that the vendor owes you.
31.Define core competency?
A harmonized combination of multiple resources and skills that distinguish a firm in the
marketplace is called core competency.
32.What is feasibility plan?
A feasibility business plan is the process of determining if a business idea is possible or
not.

LONG QUESTIONS FROM PAST PAPERS

1. Discuss entrepreneurial process in detail.

Solution at Chapter # 1 (slides provided by Sir Arqam).
2. Write a detailed note on managerial verses entrepreneurial decision making.
Solution at chapter # 2 (slides provided by Sir Arqam).
3. Discuss advantages and disadvantages of first mover to enter the market?
Solution at chapter # 3 (slides provided by Sir Arqam).
4. Write a note on trend of next decay?
Answer is conceptual.
5. Write characteristics of entrepreneurial environment?
Solution at Chapter #2 (slides provided by Sir Arqam).
6. Discuss internal and external growth strategies available to a firm?
Solution at Chapter # 13 (internal) & 14 (external) -- (slides provided by Sir Arqam).
7. Explain techniques for idea generation?
Solution at Chapter # 4 (slides provided by Sir Arqam).
8. Identify a business model’s four major components?
A business concept comprises four major components: Core Strategy, Strategic
Resources, Customer Interface, Value Network.
9. Define entrepreneur? What are characteristics for successful entrepreneur?
 Self-Belief/Motivation/Determination/Passion
 Decisiveness
 Risk Tolerance
 Flexibility
 Constant Learning
 Resourcefulness
 Vision and Focus
 Creativity and Innovation
 Expert networking skills
 Optimism
10.Explain various steps of growth faces by majority of organizations?
Below are the five stages of business growth every company goes through:
a) Development stage
b) Start-up stage
c) Growth stage
d) Expansion stage
e) Maturity stage