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business
small business management

Questions and Answers of Small Business Management

How does the owner rate his or her chances for success in the future, using a scale of 1 (low) to 10 (high)?
Compare your evaluation with those of your classmates.
What, if any, generalizations can you draw from the interview?
Explain the advantages and disadvantages of sole proprietorships and partnerships.
Describe the similarities and differences between C corporations and S corporations.
Understand the characteristics of a limited liability company.
Explain the process of creating a legal entity for a business.
Research relationships between partners and add at least three guidelines to those listed here.
Which type of business ownership generates the largest portion of business sales?
Define the concept of partnership. Why do we need partnership agreement?
Explain why one partner can commit another to a business deal without the other’s consent.
Describe the similarities between a C Corporation and an S Corporation.
What advantages does an LLC offer over an S corporation?
Why is double taxation a distinct disadvantage of the C Corporation form of ownership?
Interview four local small business owners.
What form of ownership did each of the business owners choose?
Why did the business owners you interviewed choose the forms of ownership they did?
Prepare a brief report summarizing your findings and explaining the advantages and disadvantages those owners face because of their choices.
Explain why you think these business owners have or have not chosen the form of ownership that is best for their particular situations.
Invite entrepreneurs who operate as partners to your classroom.
Do they have a written partnership agreement?
Are their skills complementary?
How do they divide responsibility for running their company?
How do they handle decision making?
What do they do when disputes and disagreements arise?
Define the role of the entrepreneur in business in the United States and around the world.
Describe the entrepreneurial profile.
Describe the benefits of entrepreneurship.
Describe the drawbacks of entrepreneurship.
Explain the forces that are driving the growth of entrepreneurship.
Explain the cultural diversity of entrepreneurship
Describe the important role that small businesses play in our nation’s economy.
Put failure into the proper perspective.
Explain how an entrepreneur can avoid becoming another failure statistic.
Discover how the skills of entrepreneurship, including critical thinking and problem solving, written and oral communication, teamwork and collaboration, leadership, creativity, and ethics and social
What benefits do these entrepreneurs gain from owning their businesses? What risks did these entrepreneurs take when they started their companies?
Explain how these entrepreneurs exhibit the entrepreneurial spirit.
How do both Sihah and Khalid display entrepreneurial skills that do not only focus on the profitability of the businesses but also on other goals? Explain your answer.
What is the worst that could happen if I open my business and it fails?
How likely is the worst to happen?
What can I do to lower the risk of my business failing?
If my business were to fail, what is my contingency plan for coping?
In addition to the normal obstacles of starting a business, what other barriers do collegiate entrepreneurs face?
What advantages do collegiate entrepreneurs have when launching a business?
What advice would you offer a fellow college student who is about to start a business?
Work with a team of your classmates to develop ideas about what your college or university could do to create a culture that supports entrepreneurship on your campus or in your community.
Briefly describe the role of the following groups in entrepreneurship: young people, women, minorities, immigrants, part-timers, home-based business owners, family business owners, copreneurs,
What forces have led to the boom in entrepreneurship in the United States and around the globe?
Coming up with great business ideas may seem easy, but only a true entrepreneur capitalizes on them to turn them into reality. Why are they considered an important agent of change in this global
One hallmark of successful entrepreneurs is the ability to “fail intelligently.” How can an entrepreneur do so?
Identify the different types of entrepreneurs.
How can a small business owner avoid the common pitfalls that often lead to business failures?
Assuming that they are aware of all the aspects of their business, how can small business owners study a business in depth?
Who are serial entrepreneurs?
How does cloud computing allow an entrepreneur to build their company without incurring high overhead costs?
What might be one of the main reasons for youngsters to be involved in business?
If one is planning to venture into business, what is the most crucial ingredient for preparing for a successful business?
Choose an entrepreneur in your community and interview him or her. What’s the “story” behind the business?
How well does the entrepreneur fit the entrepreneurial profile described in this chapter?
What advantages and disadvantages does the entrepreneur see in owning a business?
What advice would he or she offer to someone considering launching a business?
Select one of the categories under the section “The Cultural Diversity of Entrepreneurship” in this chapter and research it in more detail. Find examples of business owners in that category and
Search through recent business publications or their Web sites (especially those focusing on small companies, such as Inc. and Entrepreneur) and find an example of an entrepreneur, past or present,
A telecommunication network is a set of nodes and directed arcs on which data packets flow. We assume that the flow between each pair of nodes is known and constant over time; please note that the
In the portfolio optimization models that we considered in this chapter, risk is represented by variance or standard deviation of portfolio return.An alternative is using MAD (mean absolute
In the minimum cost lot-sizing problem, we assumed that demand must be satisfied immediately; by a similar token, in the maximum profit lotsizing model, we assumed that any demand which is not
In Section 12.4.2 we have illustrated a few ways to represent logical constraints. Suppose that activity i must be started if and only if both activities j and k are started. By introducing customary
Extend the knapsack problem to cope with logical precedence between activities. For instance, say that activity 1 can be selected only if activities 2, 3, and 4 are selected. Consider alternative
Extend the production planning model (12.27)in order to take maintenance activities into account. More precisely, we have M resource centers, and each one must be shut down for exactly one time
In Example 12.12 we considered a single-period blending problem with limited availability of raw materials. In practice, we should account for the possibility of purchasing raw materials at a
Consider the constrained problem:min a:3— 3xy s.t. 2x — y = — 5 5x + 2y> 37 x,y > 0• Is the objective function convex?• Apply the KKT conditions; do we find the true minimizer?
Solve the optimization problem max xyz s.t. x + y + z < 1 x,y,z>0 How can you justify intuitively the solution you find?
Consider the domain defined by the intersection of planes:3x + y + z = 5 x + y + z — 1 Find the point on this domain which is closest to the origin.
Is the function f(x) = xe 2x convex? Does the function feature local minima? What can you conclude?
Assume that functions /¿(x), i = 1,..., m, are convex. Prove that the function mi=l where Q¿ > 0, is convex.
In Example 5.9 we assumed that the presenter opens box C knowing where the prize is. Now, let us assume that he has no information on where the prize is. Does this change our conclusions?
Assume that P(^4) = P(-B) for two events A and B. Then prove that, given another event E V{A\E) _ Ρ(Ε|Λ)P{B\E) ~ P(E\B)Find an interpretation of the result as a probability inversion formula.
Consider two events E and G, such that E Ç G. Then prove that P(£) < P(G).
Consider a moving-average algorithm with time window n. Assume that the observed values are i.i.d. variables. Show that the autocorrelation function for two forecasts that are k time buckets apart is
Prove Eqs. (11.31) and (11.32).
Prove that the weights in Eq. (11.18) add up to one. (Hint: Use the geometric series.)
We want to apply the Holt-Winter method, assuming a cycle of one year and a quarterly time bucket, corresponding to ordinary seasons. We are at the beginning of summer and the current parameter
In the table below, "-" indicates missing information and "??" is a placeholder for a future and unknown demand:Quarter Year I II III IV 2008 - - 40 28 2009 21 37 46 30 2010 29 43 ?? ??Initialize a
The following table shows quarterly demand data for 3 consecutive years:Quarter Year I II III IV 2008 21 27 41 13 2009 19 32 42 12 2010 22 33 38 10 Choose smoothing coefficients and apply exponential
Consider the demand data in the table below:t 1 2 3 4 5 6 Yt 35 50 60 72 83 90 We want to apply exponential smoothing with trend:• Using a fit sample of size 3, initialize the smoother using linear
Prove that, for a symmetric matrix A, we haveΣ Σ4 = Σ*fc = l where λ&, k = 1,..., n, are the eigenvalues of A.
Show that, if the eigenvalues of A are positive, those of A + A - 1 are not less than 2.
Show that if λ is an eigenvalue of A, then 1/(1 + λ) is an eigenvalue of (I + A)- 1.
Prove that two orthogonal vectors are linearly independent.
Prove that hh T— h T h I is singular.
For a square matrix A, suppose that there is a vector x φ 0 such that Ax = 0. Prove that A is singular.
Find the inverse of each of the following matrices Ai 6 0 0 2 0 0 00- 5, A2 =0 0 5 0 2 0 3 0 0, A3 =1 1 0 0 1 1 1 0 1
Check that the determinant of diagonal and triangular matrices is the product of elements on the diagonal.
Consider the matrix C = I„ — -J n , where I„ € M.n'n is the identity matrix and Jn G Rn , n is a matrix consisting of 1. This matrix is called a centering matrix, since x TC = {xi — x},
Consider the matrix H = I —hhT, where h is a column vector in M.n and I is the properly sized identity matrix. Prove that H is orthogonal, provided that h T h = 1. This matrix is known as the
Unlike usual algebra, in matrix algebra we may have AX though A^BandX/0 . Check with BX, even 1 0 2 0 1 1 2 0 2 B =1 3 0 4 2 3 0- 1 0x =6 5 7 2 2 4 3 3 6
Let A e Rm'n, and let D be a diagonal matrix in W""n. Prove that the product AD is obtained by multiplying each element in a row of A by the corresponding element in the diagonal of D. Check with A =
Prove that the representation of a vector using a basis is unique.
Express the derivative of polynomials as a linear mapping using a matrix.
Solve the system of linear equations:xi + 2x2 - X3 — - 3 ari + 4x3 = 9 2ar2 + ar3 = 0 using both Gaussian elimination and Cramer's rule.

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