MGT602 Midterm Solved Papers with References by Afaaq Shani Bhai

MIDTERM EXAMINATION · Spring 2010 · MGT602- Entrepreneurship (Session - 3) · Time: 60 min · Marks: 47 · Asslam O Alikum · Islamabad

Q1. Individuals who help the entrepreneur in business activities are called: (1 marks)

1. Role models
2. Moral support networks
3. Professional support networks

Correct answer: Professional support networks

Page # 25

Professional-support network

Individuals who help the entrepreneur in business activities

1. Business support networks

Q2. Following are the problems in developing the economies EXCEPT: (1 marks)

1. Gap of knowledge
2. Variable rate of return
3. Same communication style

Correct answer: Same communication style

Page # 29

There are still many Difficulties in doing business in developing and transition economies due to: a. Gaps in the knowledge of the Western system regarding business plans, marketing and profits b. Widely variable rates of return. c. Non-convertibility of the ruble. d. Differences in the accounting system. e. Nightmarish communications.

1. Different accounting system

Q3. Which one the following is the best protection against product liability? (1 marks)

1. Avoid negligence
2. Warn consumers of any potential hazards

Correct answer: Warn consumers of any potential hazards

Page # 52

The best protection against product liability is to produce safe products and to warn consumers of any potential hazards

1. Give warranty
2. Avoid misrepresentation

Q4. Which one of the following reviews the trends and competitive strategies? (1 marks)

1. Environmental analysis
2. Product forecast
3. Contingency plan
4. Indu stry analysis

Correct answer: Indu stry analysis

Page # 65

Industry analysis should include information on market size, growth rate, suppliers, new entries, and economic conditions.

Q5. A utility patent has a term of: (1 marks)

1. 10 years
2. 40 years
3. 20 years

Correct answer: 20 years

Page # 46 NAFTA (North American Free Trade Agreement) establishes a minimum period of 20 years from the date of filing or 17 years from the date of the grant

1. 80 years

Q6. Which of the following body issues patents? (1 marks)

1. GATT
2. NAFTA
3. FTA
4. PTO

Correct answer: PTO

Page # 47 Patents are issued by the Patent and Trademark Office (PTO.)

Q7. Which of the following is a more structured method of problem solving, including principles and rules for concept formation, making observations and experiments, and finally validating the hypothesis? (1 marks)

1. Scientific method

Page # 41

Scientific method

This is a more structured method of problem solving, including principles and rules for concept formation, making observations and experiments, and finally validating the hypothesis

1. Heuristics
2. Attribute listing
3. Value analysis

Q8. Which one of the following gives suggestions for new product and also helps to market new products? (1 marks)

1. Existing products and services
2. Distribution channels

Correct answer: Distribution channels

Page # 38 Because they are familiar with the needs of the market, channel members often have suggestions for new products.

1. Federal government
2. Consumers

Q9. GATT is established in 1947, under: (1 marks)

1. German leadership
2. French leadership
3. U.S. leadership

Correct answer: U.S. leadership

Page # 47

GATT (General Agreement on Tariffs and Trade) that took effect on January 1, 1996, any application by a foreign company will be treated equally to an American firm.

1. U.K. leadership