DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

MCQs: [208] – [Start Up & New Venture Management]

UNIT-I Being an Entrepreneur

Sr. Question Answer

No.
1 A Struggles-Causes of failure–Product/ market _______ C
(A) Poor product quality
(B) Higher price
(C) No timing
(D) Inherent defect
2 Which of the following shows the process of creating something new? D
(A) Business model
(B) Modeling
(C) Creative flexibility
(D) Innovation
3 Entrepreneurs and strategic decisions does not include ………. A
(A) Non Recognizing a problem
(B) Generating alternatives
(C) Evaluating various alternatives
(D) Selecting the alternative that best satisfies
4 Adhering to labour laws does not includes D
(A) The Industrial Employment (Standing Orders) Act, 1946
(B) The Inter-State Migrant Workmen (Regulation of Employment and
(C) Conditions of Service) Act, 1979
(D) Companies Act
5 Which one of the following is an important source of idea generation due to their B
familiarity with the needs of market?
(A) Existing products and services
(B) Distribution channels
(C) Federal government
(D) Consumers
6 Financing an Entrepreneurs includes D
(A) Lack of Personal Capital
(B) Fewer Networking contact
(C) Poor credit history
(D) All the above
7 ……………..improves your ability to handle the pressures of the business world. If you
wait for stress to arrive before you take action, you are going to experience
unnecessary pain.
(A) Managerial resilience
(B) Agreement
(C) Management
(D) Selection
8 Opportunities for social innovation are greatest when: A
(A) CSR is aligned with a firm's core skills and capabilities.

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(B) CSR spending of a firm is larger than that of its competitors.

(C) CSR is pursued by a firm to improve its reputation.

(D) CSR is pursued by a firm to enhance human capital.

9 What is a key obstacle to the success of non-traditional partnerships? B
(A) Lack of investment by a multinational firm
(B) Lack of trust between partners
(C) Lack of expertise within a multinational firm
(D) Lack of government support
10 What are the four generic strategies of social responsiveness? D
(A) Pro action , Defensive, Reinvestment, Reaction
(B) Reaction, Defense, Investment, Withdrawal
(C) Reaction, Defense, Reinvestment, Pro action
(D) Reaction, Defense, Accommodation, Pro action
11 The organization will never be able to make the necessary changes without_________ A
(A) Top management commitment
(B) Employees
(C) Workers
(D) None of the mentioned
12 Licensing arrangements have D
(A) Low risk process involved
(B) Easy way to generate incremental income
(C) Several pitfalls
(D) All of the above
13 locus of control is C
(A) feeling
(B) Attitude
(C) Attribute
(D) None of the above
14 ___________________ is the combination of at least two firms doing similarbusinesses B
at the same market level.
(A) Diversified activity Merger
(B) Horizontal Merger
(C) Joint Venture
(D) Vertical Merger
15 An entrepreneur into the hosiery business found out the reason his hosiery was B
not selling was due to its color. What could be the best source of this information?
(A) Supplier
(B) Retailer
(C) Competition
(D) Government bureau
16 Entrepreneurial success has been significant because of the culture and the B
political and economic systems in _________.
(A) European countries
(B) Asian countries
(C) Transition economies
(D) Middle east

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17 When the multiplicity of environments become too complex to handle, C

the international entrepreneurs often __________.
(A) Go for mergers.
(B) Diversify.
(C) Decentralize operations.
(D) Sale out the foreign business

18 Which of the following factors has allowed small companies to act like they are big C
ones ? Select correct option:
(A) Competition
(B) Economic development
(C) Technology
(D) Customers

19 What are the three levels of innovation? B

(A) New product creation, new market creation, leadership
(B) In-market innovation, new market creation, leadership
(C) New product creation, new market creation, new reputation
(D) New product creation, new market creation, pioneering

20 The entrepreneur’s_______________ depends on his perception of the opportunity. A

(A) Commitment to opportunity
(B) Commitment of resources
(C) Control of resources
(D) Strategic orientation

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

MCQs: [208] – [Start Up & New Venture Management]

UNIT-II: Customer Discovery

Que. Question Ans.

No.
1 This is not one of the steps in arriving at business opportunity D
(A) Generating ideas
(B) Screening process
(C) Formulating concept of the business
(D) Formulating a business strategy
2 For generating ideas an entrepreneur must focus on C
(A) Society
(B) Business Objective
(C) Needs & wants of people
(D) All of the above
3 In the screening process step of business opportunity identification, an A
entrepreneur should take a____
(A) Macro perspective
(B) Micro perspective
(C) Broader perspective
(D) None of the above
4 Which of the following is not the macro-environmental factor to be B
considered during the screening process of business opportunity
identification?
(A) Technological
(B) Educational
(C) Political
(D) Social
5 Which of the following is not one of the ways of scanning the environment B
for identification of business opportunity?
(A) Looking closely at the market
(B) Looking at the available physical resources
(C) Looking at People’s skills
(D) Looking at Available Business Assistance Program
6 While scanning the environment for identifying the business opportunity an D
entrepreneur must look closely at the market to_______
(A) Identify demand supply gap
(B) Possibility of product substitution
(C) Find out forward-backward industry linkage
(D) All of the above

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7 The most appropriate reason why a budding entrepreneur must visit A

Government & private institutions or NGO’s while doing screening of the
environment is_____
(A) To find out the available business assistance programs
(B) To check the possibility of getting financial assistance
(C) To check the availability of training & capability building programmes
(D) To get the assistance for resource building & development
8 Which of the following is not one of the methods of scanning environment C
for collecting information?
(A) Ad Hoc Scanning
(B) Regular Scanning
(C) Intermittent Scanning
(D) Continuous Scanning
9 A method of environmental scanning which is short-term, infrequent & C
initiated by crisis is called as
(A) Intermittent Scanning
(B) Irregular Scanning
(C) Ad-hoc Scanning
(D) None of the above
10 A method of environmental scanning which entails regular collection or A
processing of data on a wide range of factors from business environment is
called as
(A) Continuous Scanning
(B) Regular Scanning
(C) Ad Hoc Scanning
(D) Intermittent Scanning
11 Which of the following are the means of collecting information while D
scanning the environment for identifying business opportunity?
(A) Trade Fairs
(B) Public Meetings
(C) In-Depth Interviews
(D) All of the above
12 Which of the following is not one of the personal-level screening parameter B
while doing opportunity search & identification?
(A) Educational & Training background
(B) Morale values & ethics
(C) Work experience
(D) Business networks & contacts
13 Which of the following is not one of the Firm-level screening parameter while D
doing opportunity search & identification?
(A) Availability of raw material
(B) Capital requirement
(C) Government support
(D) Family support

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14 Which of the following is not one of the ‘M’ of the resources to be considered A
while doing ‘Resource analysis’ for opportunity search & identification?
(A) Merchandise
(B) Method
(C) Moment
(D) Management
15 Resource analysis needs to be done at the time of opportunity search & D
identification, to_________
(A) Identify the firm’s strengths & weaknesses
(B) find out firm’s capabilities at the start of the business
(C) identify distinctive competencies of the firm
(D) All of the above
16 The environmental analysis at the start of the business indicates______ C
(A) The strengths & weaknesses of the firm
(B) The competencies & capabilities of the firm
(C) Whether the business will survive or not
(D) None of the above
17 “People have developed the habit of eating out in multi-cuisine & fast-food B
restaurants preferring to eat instant, processed food.” What type
environmental opportunity is this?
(A) Economic
(B) Socio-cultural
(C) Technological
(D) Population trend
18 “The Covid-19 Pandemic has severely hampered the supply of raw materials, C
manufacturing & trading activities & service sector resulting into the global
economic slowdown.” What kind of environmental threat is this?
(A) Economic
(B) Global environment
(C) Natural
(D) Socio-cultural
19 “An unstable & coalition Government in power would adversely influence the D
State / Nation’s economy.” What type of environmental threat is this?
(A) Economic
(B) Government program
(C) Peace & Order
(D) Political
20 “The Government provides Financial, Technical & Marketing assistance to the C
MSME’s.” What kind of environmental opportunity does this indicate?
(A) Economic
(B) Political
(C) Government program
(D) Technological & Technical
21 “During the Covid-19 pandemic crisis when the entire world was facing an A

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acute shortage of the medicine ‘Chloroquine’, which is used in this disease;

India exported it to many countries.” Which environmental factor does this
speak about?
(A) Global environment
(B) Economic
(C) Political
(D) Natural
22 Market intelligence is the everyday information gathered & analyzed for the D
purpose of accurate decision making in determining__________
(A) market opportunity
(B) market strategy
(C) market development
(D) All of the above
23 Which one of the following is not the source of marketing intelligence? B
(A) Trade publications
(B) Causal research report
(C) Books
(D) Newspapers
24 Market intelligence is necessary to_______________ D
(A) determine the current and future needs and preferences
(B) determine attitudes and behavior of the market
(C) enter a foreign market
(D) All of the above
25 Which one of the following is not one of the objectives of market C
intelligence?
(A) Minimizing investment risks, to detect threats and early market
trends
(B) Early warning of competitor moves to enable counter measures
(C) To identify firm’s own resources & capabilities
(D) Information for better market selection & positioning and to
understand and discover untapped or under-served potential
26 Online platforms like chat rooms, blogs, discussion forums etc. can be D
effectively used as tools of market intelligence to better understand the
(A) Competitors
(B) Market
(C) Opportunities
(D) Customers
27 What measure should a company take to improve its marketing intelligence? D
(A) Training & motivating the sales force
(B) Motivating the channel partners
(C) Setting up a customer advisory panel
(D) All of the above
28 Which one of the following is the most credible source of market intelligence A
to know about the competitors, customers, channel partners & market?

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(A) Sales force

(B) Channel partners
(C) External network
(D) Customer advisory panel
29 The market intelligence information from which source can be referred as B
base data which would help in planning & formulating policies for the
companies?
(A) External networks
(B) Government published reports
(C) Online customer feedbacks
(D) Channel partners
30 Which one of the following is not one of the objectives of the marketing C
analysis?
(A) Targeting and dividing the market into niche
(B) Understand the dynamics of the market
(C) To identify the firm’s strengths & weaknesses
(D) Positioning the products or brands in the mind of customers
31 Which one of the following questions about the customers is irrelevant while D
doing market analysis?
(A) Where are they?
(B) Where do they buy?
(C) How do you reach them with your marketing and sales messages?
(D) None of the above
32 Total annual sales in the market served indicates___________ C
(A) Market profitability
(B) Market growth rate
(C) Market size
(D) Market trends
33 Which one of the following would not be helpful to determine market size? A
(A) Historical data
(B) Govt. data
(C) Financial data from major players
(D) Trade associations
34 If the results of market analysis shows that there is a rising demand for new C
products as compared to the older products, it is called as ____________
(A) Market size
(B) Market growth rate
(C) Market trend
(D) Market segments
35 A study of market growth rate helps to __________________ D
(A) Keep a track of the market condition
(B) Find out Sales growth of complementary products
(C) Understand Product life cycle phases
(D) All of the above

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36 Market growth rate could not be estimated with the help of A

(A) Customer survey
(A) Historical data
(B) Demographic information
(C) None of the above
37 ________________ study can be used as a guideline to determine how B
difficult it is to make money in the market
(A) Market trends
(B) Market profitability
(C) Market segments
(D) Market growth rate
38 Which one of the following is not one of the Porter’s five forces of that affect A
the market profitability?
(A) Bargaining power of marketer
(B) Threat of entry
(C) Bargaining power of vendors
(D) Threat of substitutes
39 Which one of the following is not the benefit of studying industry cost D
structure?
(A) Identifying key factors for success
(B) Determining where value is added and for isolating the costs
(C) Formulating strategies to develop a competitive advantage
(D) Identifying the right target customers with effective market
segmentation
40 Market research process starts with defining the problem & its ultimate B
outcome should be ________________
(A) To reach to a conclusion
(B) To solve the problem
(C) To collect the data & analyze it
(D) To analyze & interpret the data
41 The information collected from the sources like industry statistics, market C
research reports, news paper articles, etc. is a part of
(A) Qualitative research
(B) Primary research
(C) Secondary research
(D) Quantitative research
42 A researcher stopping a shoppers and asking them the reason for buying a A
particular product or brand is called as a
(A) Qualitative research
(B) Quantitative research
(C) Secondary research
(D) None of the above
43 A bank asking consumers to rate their service on a scale of one to ten is a C
__________________

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

(A) Secondary research

(B) Qualitative research
(C) Quantitative research
(D) None of the above
44 A distinct discipline for gathering and synthesizing representative customer C
feedback to produce a more successful product is called as
(A) Customer discovery
(B) Customer Creation
(C) Customer Validation
(D) Customer feedback
45 MVP in customer validation means A
(A) Minimum Viable Product
(B) Minimum Value Product
(C) Minimum Validation Product
(D) Maximum Value Product
46 For customer validation which category of customers of most potential user C
segment would be identified?
(A) Early majority
(B) Laggards
(C) Early adopters
(D) Innovators
47 Value proposition is D
(A) information about the company
(B) A glowing description of company’s unique products or services
(C) A glowing description of company’s passion for excellence or leading-
edge technology
(D) A belief from the customers about how value will be delivered,
experienced & acquired
48 “Setting a goal to quickly resolve the issues found as a result of the release so B
that they do not impede your revenue or customer-related goals.” What type
of product launch goal is it?
(A) Customer goals
(B) Product defect goals
(C) Sales goals
(D) Prospect goals
49 “We will identify 200 potential customers within two months of launch.” C
What type of product launch goal is it?
(A) Product awareness goals
(B) Sales goals
(C) Prospect goals
(D) Customer goals

50 “Within the first week after launch, we will see 20 outlets pick up our press A
release, 50 re-tweets of our launch announcement and 1000 visits on the

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

website.” What type of product launch goal is it?

(A) Product awareness goals
(B) Prospect goals
(C) Sales goals
(D) Customer goals
51 The way in which a company brings a product to market which includes a C
business plan, outlining the target audience, marketing plan, and sales
strategy is called as
(A) Sales strategy
(B) Product launch strategy
(C) Go-to-market strategy
(D) None of the above
52 A sales strategy helps the company to D
(A) address the needs of customers at every stage
(B) improve the ROI of the sales team
(C) to hire the right people
(D) All of the above
53 The term “ Buyer response modes” describes a potential customer’s A
___________ towards a sales proposition
(A) Behaviour
(B) Attitude
(C) Response
(D) action
54 Which one of the following is not one of the potential buyer response modes C
to change:
(A) Trouble mode
(B) Even keel mode
(C) Confident mode
(D) Growth mode
55 Buyers in this response mode do not perceive a large enough gap between B
their position and their goal to warrant change
(A) Growth mode
(B) Even keel mode
(C) Overconfident mode
(D) Trouble mode
56 Buyers in this response mode believe that they are doing so well that the D
suggestion that your offering might improve their situation is practically an
insult
(A) Confident mode
(B) Even keel mode
(C) Trouble mode
(D) Overconfident mode
57 The buyers in this mode perceive that the business is failing and feel that D
something must change

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

(A) Growth mode

(B) Overconfident mode
(C) Even keel mode
(D) Trouble mode
58 The most important benefit of using social media platforms as promotion D
tools in today’s context is it
(A) Improves site traffic
(B) Helps businesses reach more customers
(C) Gives a platform to build company image & goodwill
(D) Provides a valuable venue for better understanding and learning from
your target audiences

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

MCQs: [208] – [Start Up & New Venture Management]

UNIT-III: The Financial Road Map

Sr. Question Answer

No.
1 Financial plan for the business should include D
(A) Projected balance sheet
(B) Profit forecast
(C) Cash flow forecast
(D) All of the above
2 Which one of the following forms of analysis can NOT be used as a ‘financial B
tool’ to serve different business requirements?
(A) Stock analysis
(B) Market analysis
(C) Sales forecast
(D) Break-even analysis
3 Which one of the following is the major objective of developing a financial D
roadmap of the business?
(A) To identify the benchmarks that the company wants to hit in future
course of time
(B) To quantify the resources that will be required to meet the milestones
or goals set initially
(C) To help & guide in navigating the smaller steps & stages along the way
of realizing the business dream visualized
(D) All of the above

4 Financial statements are useful for this reason: D

(A) To determine whether a business has the capability to pay back its
debts
(B) To determine the ability of a business to generate cash, and the sources
and uses of that cash
(C) To investigate the details of certain business transactions, as outlined in
the disclosures that accompany the statements
(D) All of the above
5 This is one of the four components of financial statements which shows the A
results of the entity's operations and financial activities for the reporting period
(A) Income statement
(B) Supplementary notes
(C) Balance sheet
(D) Statement of cash flows
6 This is one of the four components of financial statements which shows the C
entity's assets, liabilities, and stockholders' equity as of the report date
(A) Statement of cash flows

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(B) Income statement

(C) Balance sheet
(D) Supplementary notes
7 This component of financial statements includes explanations of various B
activities, additional detail on some accounts, and other items as mandated by
the applicable accounting framework
(A) Statement of cash flows
(B) Supplementary notes
(C) Balance sheet
(D) Income statement
8 This is one of the four components of financial statements which shows the A
entity's assets, liabilities, and stockholders' equity as of the report date
(A) Balance sheet
(B) Supplementary notes
(C) Income statement
(D) Statement of cash flows
9 This component of financial statements does not show information that covers D
a span of time
(A) Statement of cash flows
(B) Supplementary notes
(C) Income statement
(D) Balance sheet
10 This component of financial statements includes revenues, expenses, gains, and C
losses
(A) Balance sheet
(B) Statement of cash flows
(C) Income statement
(D) Supplementary notes
11 What would be the best approach of budgeting for startup success? B
(A) Calculating every cost in the present and future
(B) Mapping out specific costs & setting aside funds for emergencies
(C) Estimating the startup budget from staffing to machinery & stick to it
(D) All of the above
12 The startup budget C
(A) Should be rigid and stuck to for achieving an intended initial goal
(B) Should be flexible & can be readjusted multiple times if required
(C) Can be changed but readjusting the focus to the revamped budget is
necessary
(D) None of the above
13 It is said that startup is like building a ship which should sail through the sea of B
uncertain market & environmental conditions, so startup budgeting becomes
the key to success. Which of the following option about startup budget is more
apt in this regard?
(A) The budget should be limited & raised with caution to avoid

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unnecessary debts
(B) Calculate each expense multiple times, if required & determine the
more realistic budget
(C) The budget should not have limits or it will restrict the initial push that is
very much needed in current competitive scenario
(D) None of the above
14 What would the best approach of budget allocation in case of a debt ridden A
startup?
(A) It’s better to catch costly expenses in the beginning rather than in the
end
(B) The small expenses should be done away with at the first instance
followed by the costly expenses
(C) Both small & costly expenses should be cleared simultaneously
(D) None of the above
15 Which one of the following is NOT one of the sources of own finance for the D
business?
(A) Credit cards
(B) Savings
(C) Personal loans
(D) Crowd funding
16 Bootstrapping is the only option of funding for _____ B
(A) The entrepreneurs who want to have a full control or ownership over
their company
(B) Companies that won’t grow quickly or provide a significant ROI to
investors
(C) The companies which first need to reach certain milestones on their
own to get the investments later
(D) All of the above
17 Bootstrapping is the way of raising funds or capital for your business by _____ D
(A) Using your own finances like savings, credit card, loans or from ‘friends,
family and fools’
(B) Selling an early product to fund company development
(C) Selling your time & expertise for consulting
(D) All of the above
18 Raising business funds through crowd funding is NOT, C
(A) Reward based
(B) Equity based
(C) Request based
(D) Donation based
19 Which of the following statements about government grants & subsidies for A
business is NOT true?
(A) It is an unconditional grant to support an entrepreneur’s personal &
business expenses
(B) It is not expected to be paid back

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(C) It may be used for research, business development, education or other

endeavors that are anticipated to support a common cause
(D) It is the grant which includes conditions that must be met, such as
reporting performance or results
20 Which one of the following is an informal way of raising funds for business? B
(A) Loans
(B) Family & friends
(C) Loans
(D) All of the above
21 This government scheme will help people in securing a job after successful C
completion of training & assessment
(A) STAR
(B) PMEGP
(C) PMKVY
(D) SANKALP
22 Ministry of MSME has launched this scheme in the year 2005 with the view to B
promote Cluster development
(A) MPDA
(B) SFURTI
(C) MPEGP
(D) STAR
23 Which one of the following is NOT one of the seven training courses under D
STAR (Standard Training Assessment and Reward) scheme by MSDE?
(A) Security
(B) Telecom
(C) Construction
(D) Manufacturing
24 Which one of the following is a centrally sponsored scheme which is C
collaborated with the World Bank and aims to implement the mandate of the
National Skill Development Mission (NSDM)?
(A) STAR
(B) PMKVY
(C) SANKALP
(D) PMEGP
25 Which government programme is implemented through KVIC and DICs and A
helps in establishing new self-employment ventures / projects and micro
enterprises?
(A) MPEGP
(B) MPDA
(C) CGTMSE
(D) SFURTI
26 Through this government scheme, an assistance is provided for visiting and B
exhibiting in domestic & international trade fairs
(A) SFURTI

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(B) MPDA
(C) SANKALP
(D) None of the above
27 Which one of the following is NOT one of the main objectives of SANKALP, an A
outcome-oriented programme of Ministry of Skill Development &
Entrepreneurship?
(A) Coverage
(B) Quality
(C) Inclusiveness & Opportunity
(D) Evaluation System
28 Which one of the following measure won’t work to attract crowd while C
launching a crowd funding drive?
(A) Choosing a right platform and creating an online profile
(B) Creating interest for fund raising goals
(C) Making an emotional appeal to the public at large including your peers,
relatives & friends
(D) Getting your content ready and explaining your project
29 In this model of crowd funding no obligation is incurred by the recipient to the C
donor
(A) Reward based
(B) Equity based
(C) Donation based
(D) Lending based
30 In which crowd funding model a non-monetary obligation is incurred by the B
recipient to the donor?
(A) Lending based
(B) Reward based
(C) Donation based
(D) Equity based
31 Which crowd funding model will not be ideal for the entrepreneurs who want D
to have a full control or ownership over their company?
(A) Reward based
(B) Lending based
(C) Donation based
(D) Equity based
32 Which one of the following is NOT one of the features of ‘Venture Capital’? B
(A) Long-time horizon
(B) High liquidity
(C) Participation in management
(D) Equity participation and capital gains
33 Which one of the following is NOT an advantage of venture capital? C
(A) Can bring wealth and expertise to your company
(B) The business is not obligated to repay the money
(C) Detailed business plan, financial projections are needed

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(D) Can secure future funding from other sources

34 Which one of the following is NOT a disadvantage of venture capital? A
(A) Get large sum of equity finance
(B) Lengthy and complex process
(C) Payment for legal and accounting fees in the deal negotiation stage
(D) Investors become part owners of the business

35 Private equity funds can be used for ____ D

(A) funding new technologies
(B) making acquisitions
(C) strengthening a balance sheet
(D) All of the above
36 Investors and funds that make investments directly into private companies or B
conduct buyouts of public companies is called as
(A) Venture capital
(B) Private equity
(C) Public equity
(D) None of the above
37 The advantage of equity financing over debt financing is D
(A) You don’t have to repay it
(B) You don’t have to use your cash flow to repay the money you borrowed,
you can use that money to reinvest in your business and pursue growth
(C) A low debt-to-equity ratio also makes it easier to borrow money in the
future if you need to
(D) All of the above
38 Typical vesting schedule plan is of A
(A) 4 Years
(B) 5 Years
(C) 6 Years
(D) None of the above
39 What is the benefit of cliff vesting for a start up? D
(A) a provision to offer vested benefits to its valuable employees
(B) allows time to vest staff before fully committing them into the system
(C) a gesture showing that the company is attaching value to its employees
by giving back a token of the profits they’ve labored hard for
(D) All of the above
40 Which one of the following is NOT a kind of decision which would relate to the C
relative importance of operational involvement?
(A) the processes by which goods and services are produced
(B) the stock of materials (inventory) needed to produce goods or services
(C) the supply chain of the finished goods or services
(D) the management of human resources
41 A preferable format of sending investment ‘Pitch deck’ to the prospective B
investors in advance of a meeting, is ___________

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

(A) Google Docs

(B) PDF
(C) Drop box
(D) Other online service
42 Which of the following topic is NOT needed in your investment pitch deck? D
(A) Company Overview
(B) The Market Opportunity
(C) Mission/Vision of the Company
(D) Your journey & life Story
43 Which one of the following is not one of the purposes Government promotes B
entrepreneurship?
(A) Promote Balanced Regional Development
(B) Concentration of Economic Power
(C) Attainment of Economic Development
(D) Create Large Scale Employment Opportunities
44 The objective of Insolvency and Bankruptcy Code, 2015 (Bill) as a part of D
financial sector reforms is____
(A) Promote entrepreneurship and availability of credit
(B) Maximize the asset value of insolvent and bankrupt firms
(C) Establishing an Insolvency and Bankruptcy Fund
(D) All of the above
45 Which of the following statement about the Tax reforms that is GST is not true? C
(A) Uniform GST registration
(B) Subsume all indirect taxes at Centre and State level
(C) Uniform taxation for all products & services
(D) One Nation- One Tax
46 All State and Central taxes subsumed into GST under tax reforms B
except_______
(A) Octroi & Entry Tax
(B) Stamp Duty
(C) State Cesses/Surcharges
(D) Central excise duty

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

MCQs: [208] – [Start Up & New Venture Management]

UNIT-IV: ENTREPRENEURIAL LEADERSHIP

Sr. No. Question Answer

1 The one who set a new direction or vision for a group and a spearhead for C
that new direction is called as a _________
(A) Entrepreneur
(B) Manager
(C) Leader
(D) Motivator
2 The one who controls resources and directs people in a group according to A
the principles or values that have already been established is __________
(A) Manager
(B) Entrepreneur
(C) Leader
(D) Supervisor
3 The most needed quality of good leadership is B
(A) Excellent skills
(B) Deep human quality
(C) Good knowledge
(D) A charismatic personality
4 In modern age good leaders are an enabling force who___________ D
(A) Help people to perform
(B) Help organizations to develop
(C) Sets vision & ensures to achieve the goals by whatever means
(D) Align people’s needs with the organizational goals
5 This attribute is not pivotal for an effective leadership D
(A) People skills & human qualities
(B) Management skills
(C) Good communication skills
(D) Technical & intellectual expertise
6 Which of the following statement about partnership is NOT true C
(A) The relationship of partners depends on contract among them
(B) Two or more than two persons involve with the illegal business is
not a partnership
(C) The profit which is earned from the partnership business must be
equally shared among the partners
(D) This is the mutual organization where each and every member
freely involves with the business
7 Which is the simplest form of business providing maximum control and A
minimum government interference?
(A) Sole proprietorship
(B) Partnership

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

(C) Limited liability partnership

(D) A registered company
8 Currently around 70% businesses in India are registered under this legal B
form of business
(A) A registered company
(B) Sole proprietorship
(C) Limited liability partnership
(D) Partnership
9 In sole proprietorship the owner needs to secure the necessary licenses, A
certifications and ________________ in his name to start a business
(A) Tax Identification Number (TIN)
(B) Permanent Account Number (PAN)
(C) AADHAR
(D) Value Added Tax (VAT) Registration
10 Which one of the following is NOT one of the objectives of Employee D
Management System (EMS)?
(A) To simplify the task of maintaining records of the employees of
Company
(B) To develop an well-designed database to store employee
information
(C) To provides full functional reports to management of Company
(D) To keep a vigilance on employee movement and performance
11 Which one of the following is an advantage of Employee Management D
System (EMS)?
(A) Create new users to the system accordingly
(B) Computerized Events & Requests Management
(C) Easy calculation of various leave in categories
(D) All of the above
12 A leadership will work in a workforce if a leader can keep a group together, C
he can make the group productive and ____________________
(A) Keep the group motivated
(B) Train & guide the group if needed
(C) Maintain a good deal of job satisfaction among the group members
(D) Help them in their needs
13 A focus based leadership style where the leader defines clearly & closely B
what subordinates should be doing, how they should be doing it & actively
schedules work for them is called as_______
(A) Relationship-oriented leadership
(B) Task-oriented leadership
(C) Job-oriented leadership
(D) Work-oriented leadership
14 A leader who issue orders & tell employees what to do and never invite A
opinions is
(A) Autocratic

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

(B) Democratic
(C) laissez faire
(D) None of the above
15 A leader who leave employees to themselves after giving initial C
instructions and offer assistance only when asked is
(A) Democratic
(B) Autocratic
(C) laissez faire
(D) None of the above
16 A leader who discuss possible projects and involve employees in decisions B
about tasks is
(A) laissez faire
(B) Democratic
(C) Autocratic
(D) None of the above
17 Recruitment makes it possible to acquire the number and type of people A
necessary to ensure the ________________of the organization
(A) continued operation
(B) functioning
(C) efficient working
(D) running
18 This is NOT one of the stage of recruitment process D
(A) Evaluation and Control
(B) Planning
(C) Strategy Development
(D) Rejecting
19 This stage of recruitment process involves the translation of likely job C
vacancies and information about the nature of these jobs into a set of
objectives
(A) Strategy Development
(B) Screening
(C) Planning
(D) Searching
20 Technological Sophistication of recruitment and Selection Devices is a part B
of which stage of recruitment process?
(A) Evaluation and Control
(B) Strategy Development
(C) Planning
(D) Screening
21 One of the major care which must be exercised at the screening stage of C
recruitment process is
(A) Short listing applicants who are visibly unqualified for the job
(B) Effective screening to save a great deal of time
(C) to assure that potentially good employees are not lost

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

(D) Effective screening to save a great deal of money

22 Selection is the process of differentiating between applicants in order to B
identify and hire those with the _____________________
(A) best potential
(B) greater likelihood of success
(C) better skills & knowledge
(D) ability to perform
23 Hiring is the practice of finding, evaluating, and establishing __________ D
with future employees, interns, contractors or consultants
(A) a good rapport
(B) a communication
(C) a bonding
(D) a working relationship
24 The one who controls the company's direction, vision and culture is A
(A) CEO
(B) CTO
(C) CFO
(D) COO
25 The one who is primarily focused on the day-to-day operations to keep C
your business running is
(A) CTO
(B) CEO
(C) COO
(D) CFO
26 Discuss possible projects; involve employees in decisions about tasks; give B
and explain feedback
(A) Autocratic
(B) Democratic
(C) laissez Fair
(D) leader

27 issue orders & tell employees what to do; do not invite opinions; A
sometimes praise or blame but no explanation of feedback
(A) Autocratic
(B) Democratic
(C) laissez Fair
(D) leader

28 leave employees to themselves after giving initial instructions; offer C

assistance only when asked; no praise or blame given
a) Autocratic
b) Democratic
c) laissez Fair

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

d) leader

29 Income from business is taxed as personal income A

a) Sole proprietorship
b) Joint stock
c) Partnership
d) Hindu family
30 Partners pay only personal income tax. C
a) Sole proprietorship
b) Joint stock
c) Partnership
e) Hindu family
31 setting a new direction or vision for a group that they follow A
a) Leadership
b) Management
c) staff
d) Employees
32 Controls or directs people/resources in a group according to principles or B
values that have already been established.
a) Leadership
b) Management
c) staff
d) Employees

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

MCQs: [208] – [Start Up & New Venture Management]

UNIT-V : Business Plan

Que. Question Ans.

No.
1. Which section of a business plan is generally first but written last? C
a) Business description and vision
b) Appendices
c) Executive summary
d) Organization and management
e) Description of market

2. Market survey is important because it tells you: D

a) How many & what types of people are shopping at a store.
b) Tells you what the customer will buy.
c) Tells you how much the customer will pay for the product.
d) All of the above.

3 What makes a good advertisement? (Choose the best combination) B

a) Color, Attracts attention, ingredients in product.
b) Name of product, price, location, attractive.
c) Easy to read, price, color, location, why customers should buy it.
d) Nutritional information, price, color, where to buy it, easy to read.

4 What's a typical timeframe that a business plan addresses? A

a) One year
b) The anticipated life of the business
c) At least ten years
d) At least five years
e) Three to five years

5 Business Plan provides details about the business owners and their B
_________________, as well as a description of the goods or services to be
produced.
a) Plan
b) Objectives
c) Forecast
d) Finance
e) Investors
6 What's the biggest mistake you can make when preparing a business plan? E
a) Not telling a compelling story
b) Forgetting the executive summary
c) Failing to include at least one appendix

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

d) Misrepresenting facts
e) Failing to have a clear vision of the business

7. The money (capital) that a business needs in order to carry out its plans. E
a) Break-even
b) Business plan
c) Cash flow forecast
d) Entrepreneur
e) Finance
f) Investors
g) Objective
h) Profit
8. Generating a level of revenue that is greater than the costs incurred by a H
business over a period of time.
a) Break-even
b) Business plan
c) Cash flow forecast
d) Entrepreneur
e) Finance
f) Investors
g) Objective
h) Profit
9 An individual who is good at spotting business opportunities and taking risks. D
a) Break-even
b) Business plan
c) Cash flow forecast
d) Entrepreneur
e) Finance
f) Investors
g) Objective
h) Profit
10 A document that sets out a business opportunity and how it will be achieved. B
a) Break-even
b) Business plan
c) Cash flow forecast
d) Entrepreneur
e) Finance
f) Investors
g) Objective
h) Profit

11 A document showing the expected cash inflows and outflows in the coming C
months
a) Break-even

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

b) Business plan
c) Cash flow forecast
d) Entrepreneur
e) Finance
f) Investors
g) Objective
h) Profit
12 An entrepreneur will need to ____________ carefully how to put the idea A
into practice.
a) Plan
b) Objectives
c) Forecast
d) Finance
e) Investors
13 Business Plan will contain a great deal of financial information including a C
cash-flow _________________.
a) Plan
b) Objectives
c) Forecast
d) Finance
e) Investors
14 This should also identify how much __________ is needed to get the business D
started.
a) Plan
b) Objectives
c) Forecast
d) Finance
e) Investors
15 Producing a business plan is vital for raising funds from E
_____________________or the bank.
a) Plan
b) Objectives
c) Forecast
d) Finance
e) Investors
16 Which of the following is not one of the purposes of a business model? A
a) serves as an ongoing extension of feasibility analysis
b) serves as a template for conducting industry analysis
c) serves as a Financial for conducting industry analysis
d) serves as a operational for conducting industry analysis
e) Investors
17 An entrepreneur is someone who assumes the major risks of a new business D
by committing which of the following?
a) Equity.

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

b) time.
c) career.
d) all of the above.
18 It is estimated that approximately _____ percent of small businesses fail D
within the first five years.
a) 10.
b) 25.
c) 50.
d) 75.
19 Which of the following is usually included in a business plan? D
a) detailed description of the product or service.
b) marketing and promotional plans.
c) management and staffing.
d) all of the above.

20 Which of the following are risks for entrepreneurs in small business? D

a) interference with personal lives.
b) psychological stress.
c) social and family pressure.
d) all of the above.
21 Which of the following is a purpose of a business plan? D
a) to attract financing .
b) to inform competitors of plans.
c) to discipline the entrepreneur to think of all aspects of the proposed
venture.
d) a & c.

22 Which of the following is a reason why a person might prefer to purchase a C

franchise rather than open a completely new business?
a) higher failure rate .
b) increased independence .
c) ability to benefit from previous experience.
d) reduced royalty fees.

23 The following are included in a business plan C

a) Financial information, production plans, personnel policies.
b) Goals of the business and how they will be achieved.
c) A step by step plan for the success of your business.
d) Alll of the above
24 What things could you change to adjust your profit? D
a) Price
b) Number
c) Less expensive supply sources.
d) All of the above.

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 DNYANSAGAR INSTITUTE OF MANAGEMENT AND RESEARCH

25 The purpose of the competitive analysis is to determine. D

a) the strengths and weaknesses of the competitors within your market.
b) strategies that will provide you with a distinct advantage.
c) Only a
d) Both a & b
26 Executive summary or statement should touch on the following key C
elements.
a) Financial features include financial highlights, such as sales and
profits.
b) Financial requirements state how much capital is needed for startup
or expansion, how it will be used and what collateral is available
c) Both a & b
d) None of the above

Prof. Sameer Patil www.dimr.edu.in