LET Reviewer 2017

TLE Major

Entrepreneurship

1) In the entrepreneurial world, new ideas and opportunities are

evolving. What is the ability to create new things, invest in new
enterprises and expand business?
a. Creativity
b. Entrepreneurship
c. Manufacturing
d. Producing

2) Alvin has transferred to a new locality. He observed that there is

an opportunity for him to put up his own business since he has enough
capital and very much interested to the idea. Which of these factors
must he possess so that he will not rely on the services of the
employees?
a. Markets
b. Manpower
c. Supply of resources
d. Knowledge/Skills

3) Management functions and principles play a very critical role in

running a business. What principle of planning specifies that the
objectives of an entrepreneur should match the needs of the society?
a. must be realistic
b. must be based on felt needs
c. must focus on dealing with a crisis
d. must start with a simple project

4) Entrepreneurs use various management tools to succeed in a

business. What management tool is used to analyze business
opportunities?
a. Environmental scanning
b. Market study
c. Market survey
d. SWOT

5) When an entrepreneur communicates with people through interviews,

observations and advertisement on what is new, what entrepreneurial
activity does he/she engage?
a. Statistical study
b. Marketing study
c. Entrepreneurial scanning
d. Environmental scanning
6) There are P's in preparing market research. Which P in marketing is
designed to communicate the product to customers?
a. Place
b. Price
c. People
d. Promotion

7) The site of the business enterprise is one of the requirements of

entrepreneurship. Which of the following is the most important in
choosing the best location for the business?
a. access to supplies and raw materials
b. clean, decent and peaceful environment
c. less competitors in the area
d. enough capital to pay space rental

8) Which term refers to people, institutions or organizations for whom

the business is designed?
a. sample
b. population
c. market
d. society

9) Which one is not included in planning a business?

a. how and when to do it
b. how to increase profits
c. what to expect in the future
d. what to do

10) What is the benefit of business planning wherein the entrepreneur

determines whether the business is profitable or not?
a. minimize cost production
b. detect the weakness of the business
c. eliminate business risk
d. estimate sales

11) What is thinking ahead of objectives, strategies, financing,

production, marketing, profit proposal and growth facilities?
a. forecasting
b. managing
c. planning
d. projecting

12) Business enterprises should operate in a dynamic environment in

order to survive. What kind of environment includes technological,
social and ethical/political factors?
a. Macro environment
b. Micro environment
c. Technological environment
d. Social environment
13) Mr. Silva purchased a right to operate an already established
business, what type of retail ownership is it?
a. Corporate
b. Franchise
c. Independent
d. Single-store-ownership

14) Who among the following is the principal actor of the production?
a. Entrepreneur
b. Customer
c. Production manager
d. Worker

15) These are the perishable tangible used in the production process.
a. Financial resources
b. Human resources
c. Information resources
d. Material resources

16) Which method of establishing a business starts from scratch?

a. buy-out
b. franchising
c. loan
d. start-up

17) What brief description of the market describes the buyers and
users of the product and the area of dispersion?
a. market analysis
b. market dispersion
c. marketing
d. market study

18) It is a type of organization wherein a superior delegates

authority to a subordinate.
a. committee type
b. functional type
c. line type
d. line and staff type

19) Which is one disadvantage of a functional type of organization?

a. Morale is likely to be low when discipline is weak.
b. Each manager is supreme in his own field.
c. It is difficult to secure executives and superiors with an all-
around knowledge.
d. There is greater flexibility.
20) What type of product, as designed, produced and marketed by the
seller?
a. Licensed brand
b. National brand
c. Private label brand
d. Trademark

21) Which of the following is the correct definition of the term

"entrepreneur"? A person who ________.
a. pursues opportunity without regard to resources
b. starts a new business with the aim of making a profit
c. seeks to create value for local communities, people or customer by
starting new ventures which exploit new products, processes or
markets.
d. seeks to generate value through creation or expansion of economic
activity, by identifying and exploiting new products, processes or
markets

22) Which of the following skills are NOT needed by an entrepreneur?

a. Technical skills
b. Personal entrepreneurial skills
c. Working skills
d. Business management skills

23) Which of the following statement is INAPPROPRIATE in starting a

business?
a. Study the concepts and principles of entrepreneurial skills.
b. Cope with failures of the business.
c. Undergo training on entrepreneurial skills.
d. Know what characteristics are needed to become an entrepreneur.

24) Which of the following is NOT a source of fund for Mr. Fajardo's
future business?
a. Seek assistance from Central Bank of the Philippines.
b. Borrow money from friends and relatives.
c. Avail of the government program on financing micro-macro business.
d. Use part of her retirement benefit.

25) If her business idea is a boutique, what quality of a future

entrepreneur is INAPPROPRIATE?
a. Relaxed
b. Hard worker
c. Risk taker
d. Innovative

26) Which of the following is NOT a characteristic of an entrepreneur?

a. Coping with failure
b. Irritated
c. Opportunity seeker
d. Persistent
27) Which among these characteristics of an entrepreneur is
UNDESIRABLE?
a. Opportunity seeker
b. Goal setter
c. Futuristic
d. Impassive

28) Which of the following is a primary cause of failure in small

business?
a. Poor financial control
b. Poor location
c. Management mistakes
d. Improper inventory control

29) Which of these traits gets an entrepreneur off of his feet and
puts him into action, turning daydream into reality?
a. Perseverance
b. Ambition
c. Creativity
d. Enthusiasm

30) Which entrepreneurial trait gives an entrepreneur a positive

outlook in life which gives the energy to pursue his endeavors?
a. Perseverance
b. Ambition
c. Creativity
d. Enthusiasm

31) Which trait is an entrepreneur able to withstand the troubles that

come with a starting business?
a. Perseverance
b. Ambition
c. Creativity
d. Enthusiasm

32) What is the general function of marketing, involves the physical

meeting point for buyers and sellers at the point of production or via
some other means of communication?
a. Specific functions
b. Exchange functions
c. Physical functions
d. Facilitating functions

33) Which type of marketing functions, enables the actual flow of

commodities through space and time from producer to consumer and their
transformation to a form desirable function to the consumers?
a. Specific functions
b. Exchange functions
c. Physical functions
d. Facilitating functions
34) From a social viewpoint, which of the following statements about
marketing objective is NOT true?
a. Assist in the efficient allocation of resources.
b. Create wealth and promote economic growth.
c. Improve income distribution among different sectors of the economy.
d. Maintain instability of supply and demand for marketed goods.

35) Which is considered a vehicle for informing target market about

the enterprise and the products or services?
a. Product
b. Price
c. Place
d. Promotion

36) At what stage of marketing effort does an entrepreneur concentrate

on targeting a new market of buyers and taking market share from
competitors by price cutting or relaunching the product?
a. Introduction
b. Growth
c. Maturity
d. Decline

37) Which of the following is NOT appropriate in running a small-scale

business?
a. Keeping clear records
b. Verifying profit and loss
c. Managing cash flow
d. Distribution channel

38) Which marketing channel operates with capital owned directly by

the operators and their partners, or in some cases by shareholders?
a. Cooperatives
b. Independent, locally based private enterprise
c. Marketing boards and other state enterprises
d. Transnational companies

39) At which stage of a product life cycle must an entrepreneur decide

whether he wants to try to rejuvenate the product by investing in
development and aggressive marketing or to quietly admit defeat and
exit the market?
a. Introduction
b. Growth
c. Maturity
d. Decline
40) A marketing mix that can have both tangible and intangible aspects
and is the thing you offer to satisfy your customers' wants and needs
is ________.
a. Product
b. Packaging
c. Price
d. Promotion

41) Which is considered to be the best way to assess entrepreneurial

projects or business ventures?
a. Environmental analysis
b. SWOT analysis
c. Competitor analysis
d. PEST analysis

42) An analysis that provides the details for opportunities and

threats of a business to make better decisions regarding marketing
plan is termed ________.
a. Environmental analysis
b. SWOT analysis
c. Competitor analysis
d. PEST analysis

43) The acronym SWOT stands for:

a. Strengths-Weaknesses-Options-Testing
b. Strengths-Weaknesses-Opportunities-Testing
c. Strengths-Weaknesses-Options-Threats
d. Strengths-Weaknesses-Opportunities-Threats

44) Which question is asked at the first stage in the marketing

planning process of an enterprise?
a. Where are we now?
b. Where are we heading?
c. Are we on course?
d. Where would we like to be?

45) Which of these stages is the final stage in the marketing planning
process flow chart?
a. Control
b. Marketing planning mix
c. Setting marketing objectives
d. Setting the product price

46) An entrepreneur might select a target market probably because the

target market ________.
a. is attractive to the business and matches its supply capabilities
b. is large and well-served with existing products
c. is fully understood by the entrepreneur
d. has a proven track record for buying product
47) A carefully thought structured formal commercial report that is
extraordinary well documented and clearly written to safeguard any
wastage of further investment project is called ________.
a. Portfolio
b. Business plan
c. Resume
d. Feasibility study

48) Which is considered as a comprehensive and effective blueprint to

guide an entrepreneur in a business venture?
a. Resume
b. Portfolio
c. Business plan
d. Insurance plan
ANSWERS:

1. B 25. A
2. D 26. B
3. B 27. D
4. D 28. B
5. B 29. B
6. D 30. D
7. A 31. A
8. C 32. B
9. B 33. C
10. C 34. D
11. C 35. C
12. A 36. C
13. B 37. C
14. C 38. B
15. D 39. D
16. D 40. A
17. D 41. B
18. C 42. D
19. A 43. D
20. C 44. A
21. C 45. A
22. C 46. A
23. B 47. D
24. A 48. C

1. Building Code of the Philippines

A. RA 6541
B. RA 1378
C. RA 7920
D. RA 7796

2. Plumbing Code of the Philippines

A. RA 6541
B. RA 1378
C. RA 7920
D. RA 7796