SR College of Professional Studies, Jhansi

Department of Business Administration

BBA 3rd Yr (6th Sem)
Practice MCQs (2024-25){EVEN SEM}
Subject- Name- Entrepreneurial Development
Subject Code- BBA 3081

1. An entrepreneur is someone who:

a) Manages only existing businesses
b) Takes risks to start and manage a business
c) Always works under someone
d) Avoids innovation
Answer: b

2. Entrepreneurship involves:
a) Copying ideas
b) Avoiding challenges
c) Innovation, risk-taking, and business creation
d) Only government jobs
Answer: c

3. The word "entrepreneur" is derived from:

a) Latin
b) Spanish
c) French
d) Greek
Answer: c

4. Which of the following is not a characteristic of an entrepreneur?

a) Creativity
b) Risk-taking
c) Laziness
d) Initiative
Answer: c

5. Intrapreneurship means:
a) Managing a shop
b) Entrepreneurship within an existing organization
c) Running a personal business
d) Government service
Answer: b

6. Entrepreneurs are often described as:

a) Passive
b) Risk avoiders
c) Change agents
d) Routine workers
Answer: c

7. A successful entrepreneur must have:

a) High IQ only
b) Leadership, vision, and problem-solving skills
c) Family business
d) Free time
Answer: b
8. Innovation refers to:
a) Copying products
b) Doing old things
c) Introducing something new or improved
d) Selling existing goods only
Answer: c

9. Which is a type of innovation?

a) Product innovation
b) Process innovation
c) Marketing innovation
d) All of the above
Answer: d

10. Entrepreneurial motivation is influenced by:

a) Economic rewards
b) Independence
c) Achievement drive
d) All of the above
Answer: d

11. A serial entrepreneur is one who:

a) Watches TV
b) Starts one business and sticks to it
c) Starts multiple ventures continuously
d) Avoids risk
Answer: c

12. A technopreneur focuses on:

a) Agriculture
b) Traditional crafts
c) Technology-based businesses
d) Manual work
Answer: c

13. A social entrepreneur primarily aims to:

a) Earn profit
b) Create social value and impact
c) Avoid risk
d) Work for private companies
Answer: b

14. Which entrepreneur operates in rural areas with limited resources?

a) Corporate entrepreneur
b) Rural entrepreneur
c) Technopreneur
d) Serial entrepreneur
Answer: b

15. Women entrepreneurs are defined as:

a) Men in disguise
b) Women managing businesses or enterprises
c) Girls in school
d) Housewives only
Answer: b
16. The first step in the entrepreneurial process is:
a) Business expansion
b) Idea generation
c) Hiring
d) Selling
Answer: b

17. Business planning involves:

a) Sleeping
b) Guesswork
c) Setting goals, strategy, resources, and forecasts
d) Copying others
Answer: c

18. Market research helps an entrepreneur:

a) Make blind decisions
b) Avoid data
c) Understand customer needs and market trends
d) Waste money
Answer: c

19. Risk management in entrepreneurship includes:

a) Ignoring risks
b) Identifying, assessing, and mitigating potential threats
c) Making losses
d) Waiting
Answer: b

20. Feasibility study means:

a) Daydreaming
b) Assessing if a business idea is practical and profitable
c) Copying ideas
d) Risk avoidance
Answer: b

21. Which of these is not a type of entrepreneurship?

a) Small business entrepreneurship
b) Scalable entrepreneurship
c) Large scale entrepreneurship
d) Intrapreneurship
Answer: d

22. Which of these actions of an entrepreneur will most likely result in creative destruction?
a) Developing a new product
b) Taking over a competitor’s business
c) Issuing shares to individuals and institutions
d) Lowering prices of your product or service
Answer: a

23. According to Schumpeter, innovative entrepreneurs would:

a) Thrive in the market
b) Not survive and disappear from the market.
c) Get absorbed within larger innovative businesses
d) Get absorbed within non-innovative businesses
Answer: c

24. Which of these is not a challenge for the entrepreneur?

a) Managing the cash flow of their business
b) Recruiting new employees
c) Choosing the product or service to sell in the market
d) Formulating rules and regulations relating to conducting entrepreneurship in their country
Answer: d

25. Which of these theories involve taking a moderate amount of risk as a function of skill and not chance?
a) Need for achievement
b) Need for affiliation
c) Need for authority
d) Need for independence
Answer: b

26. Which of these is not a category of external forces that affects a business?
a) Competitive forces
b) Technological forces.
c) Economic forces
d) Socio-economic forces
Answer: b

27. Which among these is a money manager who is involved in making risk investments from equity capital with the
objective of gaining better returns?
a) Entrepreneur
b) Businessperson
c) Buyer
d) Venture capitalist
Answer: d

28. Andrew Carnegie belonged to this century:

a) 16th to 17th Century
b) 20th to 21st Century.
c) 17th to 18th Century
d) 19th to 20th Century
Answer: d

29. Which of these is the first activity of a new business?

a) Departure point
b) Goal Orientation
c) Business skill development
d) None of the above
Answer: a

30. Who should be involved in preparing a firm’s business plan?

a) Accountant
b) Engineer
 c) Entrepreneur
d) None of the above
Answer: c
31. What should be the main worry of a company’s founder who asks for capital in exchange for equity shares in
their venture?
a) Valuation
b) Control
c) Capitalisation
d) Legal formalities
Answer: c

32. The process of creating something new is called:

a) Creative flexibility
b) Management
c) Business
d) Innovation
Answer: d

33. Ownership position of less than 50 per cent in a business is known as:
a) Majority Interest
b) Joint Venture
c) Minority Interest
d) None of the above
Answer: c

34. Which of these is also known as corporate venturing?

a) Intrapreneurship
b) Mergers
c) Entrepreneurship
d) Acquisition
Answer: a

35. If an entrepreneur takes decisions on behalf of their enterprise, it is known as ______:

a) Routine decisions
b) Strategic decisions
c) Organisational decisions
d) Personal decisions
Answer: c

36. Entrepreneurship Development Program is helpful for:

a) First-generation entrepreneurs
b) Future generation entrepreneurs
c) Existing Entrepreneurs
d) None of the above
Answer: a

37. These decisions are concerned with policy matters and they influence the goals and objectives of a business
venture:
a) Routine decisions
 b) Strategic decisions
c) Organizational decisions
d) Personal decisions
Answer: b

38. Ownership position of more than 50 per cent in a business is known as:
a) Minority Interest
b) Joint Venture
c) Majority Interest
d) None of the above
Answer: c

39. What is the purpose of a feasibility study for starting a new venture?
a) Exploring for potential customers
b) Estimate sales
c) To understand if there are any barriers to success
d) None of the above
Answer: c

40.An entrepreneur who is the owner of more than one business is called:
a) Portfolio Entrepreneur
b) Intrapreneur
c) Corporate Entrepreneur
d) None of the above
Answer: a

41. Entrepreneurship is useful to the organization because of __________

a. Development of managerial capabilities
b. Creation of organization
c. Improving standard of living & economic development
d. All of these
Answer: d

42. What are 6 Cs that motivate entrepreneur to establish their own business are ________________
a) Change, challenge, creativity, control, curiosity and cash
b) Customer, challenge, creation, control, curiosity and cash
c) Contact, connect, conversation, consideration, consumption and community.
d) Commitment, culture, continuous, cooperation, customer and control
Answer: a

43. Why are small business important to a country’s economy?

a) They give an outlet to entrepreneurs
b) They can provide specialist support to larger companies
c) They can be innovators of new product
d) All of these
Answer: d

44. Which of these statements best describes the context for entrepreneurship?
a. Entrepreneurship takes place in small business
b. Entrepreneurship takes place in large business
c. Entrepreneurship takes place in a wide variety of context (small, medium & large)
d. Entrepreneurship takes place in social enterprises
Answer: c

45 Entrepreneurial Guidance Bureau (EGB) was set up by

a) SISI
b) SIPCOT
c) IIC
d) SIDCO
Answer: c

46 Which of the following is not considered as one of the following blocks of the model entrepreneur?
a. Technical skills
b. Managerial competencies
c. Business competencies
d. Personal attributes
Answer: c

47. “Think big, Think fast, Think Ahead. Ideas are no one’s monopoly” is given by _________________
a. Azim Premjee
b. Mukesh Ambani
c. Vijay Mallya
d. Dhirajlal Hirachand Ambani
Answer: d

48. “I really believe that entrepreneurship is about being able to face failure and succeed after failure”. Who said
this?
a. Kiran Mazumdar Shaw
b. Ekta Kapoor
c. Dr. Swati Piramal
d. Aishwarya Nair
Answer: a

49 “The best way to predict the future is to create it”, said by __________
a. F.W. Taylor
b. Flippo
c. Ruskin Bond
d. Peter F. Drucker
Answer: d

50. “Winners never quit and quitters never win”. Who said this?
a. Kalpana Saroj
b. Harsh Bhaskar
c. Adam Smith
d. Vince Lombard
Answer: d

51. The entrepreneurial ecosystem includes:

a) Only entrepreneurs
b) Infrastructure, support institutions, markets, etc.
c) Schools only
d) Foreign policies only
Answer: b

52. Government policies affect entrepreneurship by:

a) Having no impact
b) Limiting growth
c) Encouraging or discouraging entrepreneurial activity
d) Controlling prices only
Answer: c

53. Which of the following supports entrepreneurs?

a) Banks
b) Incubators
c) Government schemes
d) All of the above
Answer: d

54. Startup India is a:

a) Foreign program
b) Government initiative to support startups in India
c) Private policy
d) Retirement plan
Answer: b

55. SIDBI supports:

a) Large industries
b) Exporters
c) Small-scale enterprises
d) Schools
Answer: c

56. MSME stands for:

a) Medium, Small, and Micro Enterprises
b) Market Services for Middle Enterprises
c) Mega Services for Entrepreneurs
d) Marketing Strategy for Medium Enterprises
Answer: a

57. Which of the following is not a factor in the entrepreneurial environment?

a) Legal regulations
b) Cultural attitudes
c) Weather changes
d) Economic conditions
Answer: c

58. Entrepreneurship flourishes in:

a) Bureaucratic societies
b) Innovation-driven and supportive environments
c) Highly restricted economies
d) Dictatorships
Answer: b

59. Industrial Policy in India aims to:

a) Discourage entrepreneurs
b) Provide a framework for industrial growth and entrepreneurship
c) Only control imports
d) Tax small businesses
Answer: b

60. The role of infrastructure in entrepreneurship is:

a) Irrelevant
b) Provides support systems like transport and communication
c) Makes business harder
d) Only aesthetic
Answer: b

61. A business plan is:

a) A resume
b) A detailed document outlining a business idea, operations, goals, and strategy
c) A license
d) Irrelevant paperwork
Answer: b

62. A business model describes:

a) A company’s logo
b) How a company creates, delivers, and captures value
c) The number of employees
d) Random decisions
Answer: b

63. Which is not a key component of a business plan?

a) Executive summary
b) Marketing strategy
c) Product packaging
d) Financial projections
Answer: c

64. SWOT analysis identifies:

a) Stocks
b) Strengths, Weaknesses, Opportunities, and Threats
c) Sales targets
d) Supplies
Answer: b

65. The marketing mix is also called:

a) The 3Ps
b) The 4Ps (Product, Price, Place, Promotion)
c) The 2Cs
d) Market matrix
Answer: b

66. A lean canvas is used for:

a) Drawing
b) Planning and visualizing business models quickly
c) Making posters
d) None of the above
Answer: b

67. A value proposition defines:

a) Employee salary
b) Unique value a business offers to customers
c) Sales tax
d) Business registration
Answer: b

68. Customer segments help to:

a) Categorize different types of customers
b) Avoid people
c) Lower sales
d) Copy competitors
Answer: a

69. Channels in a business model refer to:

a) TV ads only
b) Ways to reach and deliver value to customers
c) Drainage systems
d) Legal departments
Answer: b

70. Revenue streams are:

a) Customer traffic
b) Sources of income for the business
c) Business locations
d) Raw materials
Answer: b

71. Bootstrapping means:

a) External funding
b) Using personal savings and internal revenue for business
c) Government grants
d) Taking loans
Answer: b

72. Angel investors provide:

a) Grants
b) Equity funding at early stages
c) Donations
d) Bank loans
Answer: b

73. Venture capitalists:

a) Avoid startups
b) Invest in scalable startups for equity
c) Only fund NGOs
d) Never take risks
Answer: b

74. Seed funding is:

a) For agriculture only
b) Initial capital to start a business
c) Final round of investment
d) Bank loan
Answer: b

75. Debt financing involves:

a) Selling equity
b) Borrowing money to be repaid with interest
c) Free money
d) Buying raw materials
Answer: b

76. Equity financing involves:

a) Taking loans
b) Selling ownership stake for funds
c) Government subsidy
d) Renting land
Answer: b

77. Working capital is used for:

a) Long-term projects
b) Daily operations and short-term expenses
c) Buying land
d) Legal issues
Answer: b

78. Profit is calculated as:

a) Revenue - Expenses
b) Revenue + Expenses
c) Assets - Liabilities
d) Sales - Wages
Answer: a

79. Break-even point occurs when:

a) Losses exceed profits
b) Total cost = Total revenue
c) No expenses
d) Profits double
Answer: b

80. Cash flow measures:

a) Customer satisfaction
b) Inflow and outflow of money
c) Stock levels
d) Employee numbers
Answer: b
Entrepreneurial Development – MCQs (1–20)

81. Which of the following best defines a “unicorn startup”?

A. A startup that fails within a year
B. A startup valued at over $1 billion
C. A startup launched by a university student
D. A government-funded business
Answer: B

82. What is the primary purpose of a pitch deck?

A. To evaluate competitors
B. To attract investors by presenting the business model
C. To hire employees
D. To register the company
Answer: B

83. The term "bootstrapping" in entrepreneurship refers to:

A. Starting a business with external funding
B. Copying another business model
C. Starting a business with minimal personal resources
D. Using government grants
Answer: C

84. Which platform is widely used for crowdfunding entrepreneurial projects?

A. LinkedIn
B. Kickstarter
C. Google Ads
D. Upwork
Answer: B

85. The 'Lean Startup' methodology emphasizes:

A. Avoiding customer feedback
B. Detailed long-term planning
C. Rapid prototyping and iterative development
D. Sole focus on profitability
Answer: C

86. Which of the following is a key feature of a social entrepreneur?

A. Focus on short-term profits
B. Aim to solve societal problems sustainably
C. Ignoring scalability
D. Emphasizing stock market growth
Answer: B

87. A startup accelerator typically offers:

A. Long-term employment
B. Early-stage venture capital, mentorship, and resources
C. Loans with high interest
D. Government regulation guidance only
Answer: B

88. In SWOT analysis, “W” stands for:

A. Wealth
B. Weaknesses
C. Workforce
D. Wins
Answer: B

89. A Minimum Viable Product (MVP) is used to:

A. Maximize profit in the early stages
B. Reduce employee turnover
C. Launch a product with basic features to validate concept
D. Secure copyright
Answer: C

90. Which government initiative in India supports startup incubation and funding?
A. Startup Yatra
B. Make in India
C. StartUp India
D. Digital India
Answer: C

91. The term “pivot” in startup strategy refers to:

A. Selling the business
B. Changing direction based on market feedback
C. Hiring new staff
D. Ignoring product feedback
Answer: B

92. What does ESG stand for in sustainable entrepreneurship?

A. Environmental, Social, Governance
B. Enterprise, Strategy, Growth
C. Employment, Sales, Growth
D. Economic, Scientific, Global
Answer: A

93. A “business incubator” helps entrepreneurs by:

A. Conducting market research for them
B. Offering mentorship, space, and resources
C. Eliminating competition
D. Legalizing the business
Answer: B

94. IPO stands for:

A. Initial Product Offering
B. Internal Pricing Option
C. Initial Public Offering
D. Internal Production Order
Answer: C

95. The term “angel investor” refers to:

A. A loan shark
B. A government regulator
C. An individual who provides capital to startups early on
D. A marketing expert
Answer: C

96. Which document outlines the mission, goals, and financial plan of a startup?
A. Investment report
B. Business Plan
C. Work Contract
D. Pitch deck
Answer: B

97. The Gig Economy is most closely associated with which type of entrepreneurship?
A. Industrial
B. Corporate
C. Freelance and platform-based
D. Agricultural
Answer: C

98. Which of the following is a recent example of a green entrepreneurship trend?

A. Oil refineries
B. Plastic manufacturing
C. Solar-powered delivery drones
D. Brick kilns
Answer: C

99. “Scalability” in a startup context means:

A. Increasing employee benefits
B. Ability to grow revenue faster than costs
C. Decreasing expenses
D. Reducing production
Answer: B

100. Which technology is disrupting traditional financial services through entrepreneurship?

A. Biotechnology
B. FinTech
C. AgriTech
D. EdTech
Answer: B

101. Entrepreneurial marketing is:

a) Traditional large-scale marketing
b) Innovative, low-cost, and customer-focused marketing
c) Door-to-door sales only
d) Social media spamming
Answer: b

102. Guerrilla marketing focuses on:

a) High-budget promotions
b) Unconventional, creative, low-cost tactics
c) Market domination
d) Global trade
Answer: b

103. Market segmentation helps in:

a) Reducing quality
b) Dividing a broad market into subsets of consumers
c) Increasing cost
d) Copying competitors
Answer: b

104. Target marketing means:

a) Firing customers
b) Focusing on a specific group of customers
c) Selling to all
d) Exporting goods
Answer: b

105. Branding helps to:

a) Reduce value
b) Differentiate a product from competitors
c) Confuse customers
d) Lower prices
Answer: b

106. A unique selling proposition (USP) is:

a) Sales gimmick
b) A distinctive feature that makes a product stand out
c) Product duplication
d) Discount strategy
Answer: b

107. Pricing strategy in entrepreneurship considers:

a) Only competitors
b) Cost, value, and competition
c) Location only
d) Profit only
Answer: b

108. Social media helps entrepreneurs by:

a) Wasting time
b) Building brand awareness and customer engagement
c) Increasing costs
d) Harming brand image
Answer: b

109. Content marketing involves:

a) Creating and sharing valuable content to attract customers
b) Posting ads only
c) Spam emails
d) Hiring influencers
Answer: a

110. Word-of-mouth marketing depends on:

a) Advertising
b) Customer recommendations and satisfaction
c) Flyers
d) Price changes
Answer: b

111. An entrepreneur must comply with:

a) Rules in games
b) Business laws and regulations
c) Friends’ advice
d) Family rules
Answer: b

112. Business registration provides:

a) Ownership proof
b) Legal identity
c) Government recognition
d) All of the above
Answer: d

113. GST stands for:

a) General Standard Tax
b) Goods and Services Tax
c) General State Tax
d) Growth Scale Tax
Answer: b

114. A sole proprietorship is:

a) Owned by many
b) Owned and managed by a single person
c) A public company
d) Government-owned
Answer: b

115. Partnership firms are governed by:

a) Companies Act
b) Partnership Act
c) Labour Law
d) Income Tax Act
Answer: b

116. A private limited company must have:

a) Minimum 2 directors
b) Unlimited members
c) No tax
d) Government funding
Answer: a

117. Intellectual Property Rights (IPR) protect:

a) Physical property
b) Ideas and innovations
c) Real estate
d) Customer databases
Answer: b

118. A patent is granted for:

a) Copyright
b) Industrial designs
c) New inventions
d) Slogans
Answer: c

119. Copyright protects:

a) Designs
b) Literary and artistic works
c) Inventions
d) Brands
Answer: b

120. Trademark is used to protect:

a) Innovation
b) Business names, logos, and brands
c) Patents
d) Infrastructure
Answer: b

121. Scaling a business means:

a) Reducing operations
b) Expanding capacity and operations to handle growth
c) Selling off assets
d) Cutting marketing
Answer: b

122. Growth strategy focuses on:

a) Downsizing
b) Increasing market share and revenue
c) Customer complaints
d) Government grants
Answer: b

123. Franchising involves:

a) Creating a new product
b) Licensing rights to replicate a business model
c) Hiring staff
d) Exporting
Answer: b

124. Strategic partnerships offer:

a) Competition
b) Synergy and shared resources
c) Market confusion
d) Legal issues
Answer: b

125. Horizontal growth means:

a) Adding new products or entering new markets at the same level
b) Buying new offices
c) Government acquisition
d) Raising debt
Answer: a

126. Vertical integration means:

a) Hiring more staff
b) Expanding by taking over supply or distribution channels
c) Increasing salaries
d) Buying ads
Answer: b

127. Diversification as a growth strategy means:

a) Focusing only on core products
b) Entering into new products or markets
c) Avoiding innovation
d) Price reduction
Answer: b

128. Exit strategy refers to:

a) Ending marketing
b) Planning how an entrepreneur will leave the business
c) Legal shutdown
d) Staff firing
Answer: b

129. IPO stands for:

a) Indian Private Office
b) Initial Public Offering
c) Investment Plan Offer
d) Internet Public Option
Answer: b

130. Business valuation determines:

a) Business age
b) Market worth of a business
c) Manager’s salary
d) Annual tax
Answer: b

131. Which of the following is NOT a common stage in a startup lifecycle?

A. Ideation
B. Growth
C. Decline
D. Exit
Answer: C
132. Which metric is crucial for measuring user retention in digital startups?
A. Gross Margin
B. Churn Rate
C. Burn Rate
D. EBITDA
Answer: B

133. A ‘term sheet’ in startup funding is:

A. A loan application
B. A detailed financial report
C. A non-binding agreement outlining investment terms
D. A sales forecast
Answer: C

134. Entrepreneurial ecosystems thrive with the support of:

A. High taxation
B. Bureaucratic hurdles
C. Networks, funding, and policy support
D. Sole proprietorships
Answer: C

135. Which one is a key source of seed funding for startups?

A. IPO
B. Angel investors
C. Credit cards
D. Mergers
Answer: B

136. What is the primary role of venture capitalists?

A. Providing accounting services
B. Offering loans at high interest
C. Investing in high-potential startups for equity
D. Managing public shares
Answer: C

137. What is the primary benefit of registering a company as a Private Limited Company in India?
A. No need to pay taxes
B. Limited liability protection
C. Complete government control
D. Free advertisement
Answer: B

138. Which of the following is a common reason for startup failure?

A. Hiring too many people early
B. Lack of customer need
C. Government subsidies
D. Over-researching the market
Answer: B

139. A “serial entrepreneur” is one who:

A. Sells products serially
B. Starts and runs multiple businesses
C. Works for another startup
D. Is involved in TV serial production
Answer: B
140. The ‘burn rate’ of a startup refers to:
A. Sales rate of products
B. The rate at which a startup spends its capital
C. Number of employees hired
D. Tax paid
Answer: B

141. In the context of innovation, “disruptive innovation” refers to:

A. Destroying existing products
B. Radical changes in government policies
C. Innovations that displace established market leaders
D. Innovations within government organizations
Answer: C

142. Which of the following helps in protecting an entrepreneur’s invention?

A. Trademark
B. Patent
C. Copyright
D. NDA
Answer: B

143. Which one is a key characteristic of entrepreneurial mindset?

A. Risk aversion
B. Fixed routines
C. Adaptability and innovation
D. Bureaucratic thinking
Answer: C

144. A “co-founder” is someone who:

A. Funds the business
B. Manages employees
C. Shares responsibility of starting and growing the company
D. Owns a franchise
Answer: C

145. In which sector is AgriTech entrepreneurship growing rapidly?

A. Fashion
B. Food delivery
C. Agricultural innovation
D. Construction
Answer: C

146. Which document is legally required for incorporating a company in India?

A. Business proposal
B. Term sheet
C. Memorandum of Association (MoA)
D. Invoice
Answer: C

147. What does D2C stand for in modern business models?

A. Developer to Consumer
B. Direct to Consumer
C. Data to Cloud
D. Distributor to Customer
Answer: B
148. The main difference between an entrepreneur and an intrapreneur is:
A. Entrepreneurs work in NGOs, intrapreneurs in corporates
B. Entrepreneurs take external risks; intrapreneurs innovate within existing companies
C. Entrepreneurs are salaried; intrapreneurs are unpaid
D. No difference at all
Answer: B

149. Which of the following is a legal structure NOT commonly used by startups?
A. Sole proprietorship
B. Partnership
C. Public sector undertaking
D. Limited Liability Partnership (LLP)
Answer: C

150. In business terminology, a “pivot” is often associated with:

A. Financial accounting
B. Strategic change in product or market approach
C. Employee evaluation
D. Legal compliance
Answer: B

151. Creativity in entrepreneurship means:

a) Copying ideas
b) Producing original and useful ideas
c) Imitating competitors
d) Increasing budget
Answer: b

152. Innovation is important because it:

a) Slows down business
b) Creates competitive advantage
c) Reduces product quality
d) Replaces strategy
Answer: b

153. Design thinking is a:

a) Traditional theory
b) Human-centered approach to innovation
c) Financial method
d) Legal model
Answer: b

154. The first stage of design thinking is:

a) Prototype
b) Empathize
c) Market
d) Sell
Answer: b

155. Brainstorming is a technique to:

a) Criticize ideas
b) Generate creative ideas in a group
c) Analyze risk
d) Build reports
Answer: b
156. Prototyping is done to:
a) Avoid testing
b) Create early models for testing concepts
c) Finalize designs
d) Reduce value
Answer: b

157. MVP stands for:

a) Maximum Value Proposition
b) Minimum Viable Product
c) Market Value Plan
d) Main Venture Prototype
Answer: b

158. A disruptive innovation:

a) Makes no impact
b) Significantly changes or replaces existing products/services
c) Is illegal
d) Involves minor changes
Answer: b

159. Open innovation means:

a) Secrecy in R&D
b) Using external and internal ideas to innovate
c) Closed group thinking
d) Only using in-house experts
Answer: b

160. Incremental innovation involves:

a) Sudden changes
b) Minor improvements to existing products or processes
c) Breaking markets
d) Investing heavily
Answer: b

161. Social entrepreneurship aims to:

a) Maximize personal profit
b) Solve social issues through business
c) Build political careers
d) Avoid customers
Answer: b

162. Sustainable entrepreneurship focuses on:

a) Long-term environmental, economic, and social impact
b) Daily profits
c) Discount strategy
d) Employee turnover
Answer: a

163. Triple bottom line includes:

a) Profit, Process, Publicity
b) People, Planet, Profit
c) Price, Promotion, Product
d) Process, Planning, Performance
Answer: b
164. Green entrepreneurship focuses on:
a) Agriculture
b) Eco-friendly and sustainable business practices
c) Landscaping
d) Recycling waste only
Answer: b

165. Corporate Social Responsibility (CSR) means:

a) Business ignoring social impact
b) Business taking responsibility for its social/environmental effects
c) Social marketing
d) Giving discounts
Answer: b

166. B-Corp refers to:

a) Business Corporation
b) Certified companies balancing profit and purpose
c) Business Council
d) Bank Corporation
Answer: b

167. Ethical entrepreneurship is based on:

a) Avoiding taxes
b) Honesty, fairness, and transparency
c) Cost-cutting only
d) Political lobbying
Answer: b

168. A social enterprise is driven by:

a) Social impact
b) Profit only
c) Government policy
d) Marketing success
Answer: a

169. Impact investment is made to:

a) Generate only financial return
b) Create social/environmental impact alongside financial return
c) Avoid taxes
d) Sponsor events
Answer: b

170. Carbon footprint reduction is a goal of:

a) Profitable businesses
b) Green entrepreneurship
c) Marketing campaigns
d) Branding
Answer: b

171. The role of incubators is to:

a) Provide space only
b) Support early-stage startups with resources and mentoring
c) Sell shares
d) Offer loans
Answer: b
172. Accelerators help by:
a) Slowing growth
b) Rapidly growing startups with short-term programs
c) Hiring managers
d) Reducing investment
Answer: b

173. Entrepreneurship Development Institute of India (EDII) is located in:

a) Mumbai
b) Ahmedabad
c) Delhi
d) Bangalore
Answer: b

174. NIESBUD stands for:

a) National Institute for Environment
b) National Institute for Entrepreneurship and Small Business Development
c) New Indian Export Scheme
d) None of these
Answer: b

175. NSIC helps in:

a) Importing
b) Supporting MSMEs with marketing and finance
c) Legal matters
d) Hiring
Answer: b

176. The Ministry supporting MSMEs in India is:

a) Ministry of Commerce
b) Ministry of MSME
c) Ministry of Home Affairs
d) Ministry of HRD
Answer: b

177. Startup incubators are mostly found in:

a) Temples
b) Universities and tech parks
c) Police stations
d) Malls
Answer: b

178. Women entrepreneurs are supported by:

a) SIDBI
b) Mahila Coir Yojana
c) Stand-Up India
d) All of the above
Answer: d

179. MUDRA loan scheme supports:

a) Large industries
b) Micro and small entrepreneurs
c) Export businesses
d) NGOs only
Answer: b
180. Stand-Up India aims to:
a) Promote standing desks
b) Support SC/ST and women entrepreneurs with bank loans
c) Tax subsidies
d) Film industry
Answer: b

181. What does the term “exit strategy” refer to in entrepreneurship?

A. Leaving the office early
B. Hiring a CEO
C. A plan to sell or close the business profitably
D. Ending contracts with suppliers
Answer: C

182. What is the key benefit of an elevator pitch?

A. Saving advertising costs
B. Quickly convincing investors or stakeholders in a short time
C. Increasing production
D. Hiring new staff
Answer: B

183. Which of the following is considered a low-capital business idea?

A. Manufacturing unit
B. SaaS startup
C. E-commerce dropshipping
D. Automobile showroom
Answer: C

184. What is the role of “design thinking” in entrepreneurship?

A. Ignoring user experience
B. Reducing innovation costs
C. Solving problems creatively with user-centered design
D. Maximizing marketing budget
Answer: C

185. The term "freemium" business model refers to:

A. Free services with government subsidies
B. Free basic services with paid premium features
C. Fully free services
D. Subscription-based model only
Answer: B

186. Which of the following factors contributes most to entrepreneurial success?

A. Inheritance
B. Networking and market insight
C. Government inspection
D. Working alone
Answer: B

187. What is a key feature of family-run businesses in India?

A. Outsider management
B. High R&D spending
C. Centralized decision-making within the family
D. Franchise expansion
Answer: C
188. In startup valuation, which method uses projected future earnings?
A. Asset-based valuation
B. Cost-based method
C. Discounted Cash Flow (DCF)
D. Market comparables
Answer: C

189. Which of the following is a successful Indian startup in the EdTech space?
A. Ola
B. Zomato
C. Byju’s
D. Paytm
Answer: C

190. A “business canvas model” helps entrepreneurs to:

A. Design websites
B. Outline key elements of a business on a single page
C. Perform legal registration
D. Create employee contracts
Answer: B

191. An entrepreneur who buys and manages an existing business is known as:
A. Intrapreneur
B. Franchisee
C. Buyout entrepreneur
D. Employee entrepreneur
Answer: C

192. Which government platform helps MSMEs in India with credit access?
A. GSTN
B. UDYAM Portal
C. Skill India
D. Startup Dashboard
Answer: B

193. What is an IPO a common sign of in a startup’s journey?

A. Startup closure
B. Early ideation
C. Exit and public listing
D. Internal audit
Answer: C

194. The biggest challenge in rural entrepreneurship is usually:

A. Oversupply of capital
B. Lack of market access and infrastructure
C. Government interference
D. High inflation
Answer: B

195. What is the primary function of a startup incubator?

A. Provide funding only
B. Offer temporary office space
C. Nurture startups with mentorship, networking, and resources
D. File patents for startups
Answer: C
196. Which startup concept focuses on recurring revenue through subscriptions?
A. D2C
B. SaaS
C. B2B Trading
D. Retail Chain
Answer: B

197. Which of the following is a common KPI (Key Performance Indicator) for startups?
A. Employee birthdays
B. Customer Acquisition Cost (CAC)
C. Government regulations
D. Parking space usage
Answer: B

198. The key to effective delegation in a growing startup is:

A. Avoiding responsibility
B. Micromanaging
C. Trusting capable team members
D. Outsourcing all decisions
Answer: C

199. A “market gap” refers to:

A. Saturated industries
B. Unmet customer need that presents an opportunity
C. A black-market business
D. Import-export loopholes
Answer: B

200. What is the primary goal of a “proof of concept” (PoC)?

A. Legal approval
B. Demonstrate feasibility of a business idea
C. Raise IPO
D. Conduct employee training
Answer: B

201. Risk-taking is a key trait of:

a) Managers
b) Entrepreneurs
c) Teachers
d) Investors
Answer: b

202. Decision-making involves:

a) Random choices
b) Choosing the best option after evaluating alternatives
c) Guesswork
d) Copying others
Answer: b

203. Leadership in entrepreneurship includes:

a) Delegating tasks only
b) Influencing and guiding others toward a goal
c) Avoiding responsibility
d) Following orders
Answer: b
204. Time management is important to:
a) Waste time
b) Improve productivity and efficiency
c) Hire more staff
d) Create delays
Answer: b

205. Negotiation skills are used to:

a) Avoid deals
b) Reach beneficial agreements
c) Fight competitors
d) Ignore customer needs
Answer: b

206. Communication skills help entrepreneurs to:

a) Write reports only
b) Convey ideas, build relationships, and inspire others
c) Reduce marketing
d) Cut costs
Answer: b

207. Financial literacy allows entrepreneurs to:

a) Make poor investments
b) Understand, manage, and plan finances
c) Avoid taxes
d) Reduce business size
Answer: b

208. Creativity can be improved by:

a) Limiting imagination
b) Practicing divergent thinking and exploring ideas
c) Following fixed routines
d) Avoiding risks
Answer: b

209. Emotional intelligence is the ability to:

a) Memorize laws
b) Understand and manage emotions effectively
c) Avoid feelings
d) Ignore criticism
Answer: b

210. Self-confidence in entrepreneurship:

a) Is unnecessary
b) Helps in taking bold steps and convincing others
c) Leads to mistakes
d) Is harmful
Answer: b

211. Women entrepreneurs face challenges like:

a) Access to finance
b) Social restrictions
c) Work-life balance
d) All of the above
Answer: d
212. SHGs (Self Help Groups) promote:
a) Competition
b) Collective entrepreneurship in rural areas
c) Import
d) Politics
Answer: b

213. Rural entrepreneurship is based on:

a) Urban models
b) Local resources and community needs
c) IT services
d) Global supply chain
Answer: b

214. Women entrepreneurship can be supported through:

a) Training programs
b) Access to microfinance
c) Policy reforms
d) All of the above
Answer: d

215. Rural entrepreneurs contribute to:

a) Urbanization
b) Rural development and employment
c) Export
d) Political growth
Answer: b

216. Mahila E-Haat is an initiative for:

a) Tax collection
b) Online marketing platform for women entrepreneurs
c) Student training
d) IT jobs
Answer: b

217. Digital literacy helps rural entrepreneurs by:

a) Increasing expenses
b) Enabling access to markets and financial services
c) Confusing users
d) Lowering income
Answer: b

218. Women-led startups often excel in:

a) Technology
b) Health & wellness
c) Education
d) All of the above
Answer: d

219. One challenge rural entrepreneurs face is:

a) High education
b) Easy transport
c) Lack of infrastructure
d) Global competition
Answer: c
220. Rural entrepreneurship promotes:
a) Industrial pollution
b) Self-reliance and economic inclusion
c) Foreign trade
d) Import dependence
Answer: b

221. Elon Musk is known for:

a) Microsoft
b) Tesla and SpaceX
c) Google
d) Netflix
Answer: b

222. Ratan Tata is associated with:

a) Tata Group
b) Infosys
c) Adani Group
d) IBM
Answer: a

223. Kiran Mazumdar-Shaw founded:

a) Biocon
b) Wipro
c) Paytm
d) Swiggy
Answer: a

224. Narayana Murthy is a founder of:

a) Flipkart
b) Infosys
c) Zomato
d) TCS
Answer: b

225. Falguni Nayar founded:

a) Nykaa
b) Lenskart
c) Ola
d) Meesho
Answer: a

226. The story of Flipkart shows:

a) Government ownership
b) Power of innovation and e-commerce
c) Traditional business
d) MNC strategy
Answer: b

227. Mark Zuckerberg founded:

a) YouTube
b) Facebook
c) Amazon
d) Reddit
Answer: b
228. The Shark Tank India show promotes:
a) Fashion
b) Movies
c) Entrepreneurship and startup investment
d) News
Answer: c

229. Jeff Bezos started:

a) Microsoft
b) Amazon
c) Google
d) Walmart
Answer: b

230. Nandan Nilekani is associated with:

a) Aadhaar and Infosys
b) Ola
c) Google India
d) IBM
Answer: a

231. Digital transformation helps entrepreneurs by:

a) Increasing paperwork
b) Automating processes and enhancing reach
c) Reducing staff
d) Complicating operations
Answer: b

232. E-commerce enables:

a) Local selling only
b) Selling goods/services via online platforms
c) Avoiding tax
d) Import/export only
Answer: b

233. Cloud computing offers:

a) Weather reports
b) Scalable and remote access to business data
c) Loan schemes
d) HR management only
Answer: b

234. IoT (Internet of Things) in business is used for:

a) Gaming
b) Real-time data collection and automation
c) Billing only
d) Import duties
Answer: b

235. AI in entrepreneurship helps in:

a) Manual tasks
b) Customer service automation and data analysis
c) Legal issues
d) Cash flow management
Answer: b
236. Fintech startups deal with:
a) Health
b) Fashion
c) Financial technology and services
d) Agriculture
Answer: c

237. Digital payment systems include:

a) Cash only
b) UPI, wallets, net banking
c) Coins
d) Cheques
Answer: b

238. CRM software is used for:

a) Customer relationship management
b) Sales tax
c) HR
d) Office rent
Answer: a

239. ERP systems help in:

a) Hiring
b) Integrating core business processes
c) Customer complaints
d) Legal updates
Answer: b

240. Cybersecurity is important for entrepreneurs because:

a) It slows down the internet
b) It protects digital assets and sensitive data
c) It increases profit
d) It creates apps
Answer: b

241. The gig economy supports:

a) Traditional jobs only
b) Freelancers and independent workers
c) Government employees
d) Factory workers
Answer: b

242. Social media influencers are:

a) Politicians
b) Entrepreneurs using personal branding to market products
c) Sports stars only
d) Stock analysts
Answer: b

243. The startup ecosystem includes:

a) Only entrepreneurs
b) Startups, investors, incubators, mentors, and government bodies
c) Only banks
d) Only government
Answer: b
244. Blockchain technology offers:
a) Centralized control
b) Decentralized and secure record-keeping
c) Manual processes
d) Marketing solutions
Answer: b

245. Crowdfunding involves:

a) Loans from banks
b) Raising small amounts of money from many people online
c) Government grants
d) Foreign investments only
Answer: b

246. Digital entrepreneurship is driven by:

a) Physical markets
b) Internet-based platforms and tools
c) Post offices
d) Traditional advertising
Answer: b

247. Subscription-based models provide:

a) One-time sales
b) Recurring revenue from periodic payments
c) Annual bonuses
d) Debt finance
Answer: b

248. Entrepreneurs in the metaverse focus on:

a) Real estate
b) Virtual experiences and digital assets
c) Agriculture
d) Transportation
Answer: b

249. Future skills for entrepreneurs include:

a) Typewriting
b) Critical thinking, adaptability, digital literacy
c) Calligraphy
d) Speed reading
Answer: b

250. A "unicorn" startup is one valued at:

a) $100,000
b) $1 million
c) $1 billion or more
d) ₹1 crore
Answer: c

251. Business ethics promote:

a) Fraud
b) Honesty, transparency, and accountability
c) Self-interest
d) Bribery
Answer: b
252. Integrity in entrepreneurship means:
a) Changing facts
b) Doing the right thing even when no one is watching
c) Marketing aggressively
d) Avoiding taxes
Answer: b

253. Ethical dilemmas occur when:

a) There is a clear right or wrong
b) Choices conflict with personal or business values
c) Sales increase
d) Customers complain
Answer: b

254. Code of conduct refers to:

a) Legal punishment
b) Guidelines for ethical behavior in a business
c) Hiring policy
d) Income tax
Answer: b

255. Conflict of interest occurs when:

a) There is mutual understanding
b) Personal interests interfere with professional duties
c) Business is booming
d) Customers agree
Answer: b

256. Whistleblowing is the act of:

a) Selling secrets
b) Reporting unethical or illegal activities
c) Marketing
d) Promoting products
Answer: b

257. Corporate governance ensures:

a) Random decisions
b) Transparent and accountable business management
c) Hidden ownership
d) Maximum advertising
Answer: b

258. Sustainability reporting involves:

a) Profit sharing
b) Disclosing environmental and social performance
c) Reducing audits
d) Avoiding laws
Answer: b

259. Ethical entrepreneurs focus on:

a) Only making money
b) Doing good while doing business
c) Firing employees
d) Cutting salaries
Answer: b
260. Stakeholders in a business include:
a) Only shareholders
b) All parties affected by the business – employees, customers, suppliers, etc.
c) Only customers
d) Bankers
Answer: b

261. Make in India promotes:

a) Imports
b) Manufacturing in India
c) Exports only
d) Foreign dependency
Answer: b

262. Digital India initiative aims to:

a) Remove digital tools
b) Empower citizens through digital access and services
c) Promote newspapers
d) Stop online business
Answer: b

263. Skill India is intended to:

a) Support foreign workers
b) Develop vocational skills for youth
c) Eliminate education
d) Promote sports only
Answer: b

264. Atmanirbhar Bharat promotes:

a) Foreign trade
b) Self-reliance and local entrepreneurship
c) Imports
d) Outsourcing
Answer: b

265. PMEGP stands for:

a) Prime Minister’s Employment Guarantee Plan
b) Prime Minister’s Employment Generation Programme
c) Public Manufacturing and Export Growth Policy
d) Private Market Expansion Grant
Answer: b

266. Startup India provides:

a) High taxes
b) Support for startup registration, funding, and growth
c) Only advertising
d) Loans only
Answer: b

267. Stand-Up India promotes:

a) Women and SC/ST entrepreneurs
b) Large corporations
c) NRIs
d) Online shoppers
Answer: a
268. SIDBI helps in:
a) Foreign investment
b) Financing MSMEs
c) Agricultural subsidies
d) Foreign trade policy
Answer: b

269. TREAD scheme supports:

a) Exporters
b) Women entrepreneurs through training and credit
c) IT startups
d) Auto manufacturers
Answer: b

270. UDYAM registration is for:

a) Large companies
b) MSMEs to get formal recognition and benefits
c) NGOs
d) Startups abroad
Answer: b

271. Entrepreneurial mindset involves:

a) Fixed thinking
b) Growth-oriented and opportunity-seeking thinking
c) Laziness
d) Delegation
Answer: b

272. Pivoting means:

a) Shutting down
b) Changing business strategy based on feedback or market
c) Firing employees
d) Closing outlets
Answer: b

273. Serial entrepreneurs:

a) Start one business only
b) Launch multiple ventures
c) Never start
d) Avoid risks
Answer: b

274. Bootstrapping is:

a) External funding
b) Starting a business with personal savings
c) Borrowing heavily
d) Hiring investors
Answer: b

275. Exit strategy is:

a) Marketing plan
b) Method of leaving a business profitably
c) Shutdown notice
d) Staff layoff
Answer: b
276. Angel investors provide:
a) Large loans
b) Early-stage capital
c) Machinery
d) Building lease
Answer: b

277. Venture capitalists fund:

a) Early and growth-stage businesses with high potential
b) Retired businesses
c) Sole proprietorships only
d) Public sector units
Answer: a

278. Elevator pitch refers to:

a) Building layout
b) A quick, compelling summary of a business idea
c) Investment notice
d) Pricing model
Answer: b

279. Branding is about:

a) Legal policies
b) Creating a unique identity and perception in the market
c) Licensing
d) Packaging only
Answer: b

280. Networking helps entrepreneurs:

a) Stay isolated
b) Build relationships, partnerships, and opportunities
c) Compete only
d) Outsource hiring
Answer: b

281. Key components of a business model include:

a) Logo, website, brand
b) Value proposition, revenue streams, customer segments
c) Tax strategy
d) Advertisement only
Answer: b

282. SWOT analysis helps in:

a) Advertising
b) Identifying strengths, weaknesses, opportunities, and threats
c) Market dominance
d) Tax reduction
Answer: b

283. Business sustainability means:

a) Focusing only on short-term profits
b) Operating in a socially, environmentally, and economically responsible way
c) Hiring fast
d) Copying competitors
Answer: b
284. Mission statement describes:
a) Legal structure
b) Purpose and core values of the business
c) Income tax
d) Business losses
Answer: b

285. Vision statement describes:

a) Future aspirations and goals
b) Current income
c) Tax structure
d) Product line
Answer: a

286. Entrepreneurship education helps in:

a) Avoiding startups
b) Developing entrepreneurial skills and mindset
c) Teaching only finance
d) Copying business models
Answer: b

287. Business forecasting involves:

a) Astrology
b) Predicting future trends and performance
c) Market gossip
d) Budget cuts
Answer: b

288. Entrepreneurship is a process of:

a) Making losses
b) Creating and managing a new business venture
c) Staying employed
d) Reducing opportunities
Answer: b

289. An entrepreneur is a person who:

a) Manages only
b) Takes initiative, organizes resources, and takes risks
c) Waits for instructions
d) Avoids competition
Answer: b

290. Entrepreneurship ecosystem includes:

a) Only policies
b) Institutions, policies, culture, finance, human capital
c) Import rules only
d) Staff salaries
Answer: b

291. Customer validation ensures:

a) Unnecessary surveys
b) Real market need for a product
c) Overdesign
d) Delayed testing
Answer: b
292. Lean startup methodology focuses on:
a) Heavy investment upfront
b) Fast experimentation and customer feedback
c) Legal research
d) Staffing first
Answer: b

293. A good elevator pitch should be:

a) Lengthy
b) Clear, concise, and compelling
c) Data-heavy
d) Boring
Answer: b

294. ROI stands for:

a) Return on Investment
b) Revenue of India
c) Real Option Income
d) Rate of Information
Answer: a

295. Break-even point is when:

a) Business is failing
b) Total revenue equals total cost
c) Loss is maximum
d) Tax is zero
Answer: b

296. Cash flow measures:

a) Profits
b) Inflow and outflow of money
c) Staff count
d) Inventory
Answer: b

297. Business incubation provides:

a) Hospitals
b) Support services for early-stage startups
c) Government audits
d) Advertisement grants
Answer: b

298. Entrepreneurs learn from:

a) Only success
b) Both success and failure
c) Ignoring trends
d) Staff complaints
Answer: b

299. A franchisee:
a) Buys rights to operate a business model
b) Owns a new invention
c) Imports goods
d) Only manages marketing
Answer: a
300. Intrapreneurship refers to:
a) Entrepreneurship within an existing organization
b) Family business
c) Government projects
d) Street vending
Answer: a