✅ Multiple Choice Questions
1. Business is a (an) __________________ activity.
(a) Social
(b) Economic
(c) Hazardous
(d) Selling
Answer: (b) Economic
2. What is the aim of entrepreneurship?
(a) Earn a profit
(b) Solve customers’ needs innovatively
(c) Both of the above
(d) None of the above
Answer: (c) Both of the above
Fill in the Blanks
(Entrepreneur or Employee)
- Rahul starts a shop to sell Chaat and special Paani Puri.
→ He is an Entrepreneur. - Shahid becomes the manager of a dealership selling food products.
→ He is an Employee. - Ritu leaves the company she worked for and starts catering food for marriage programmes.
→ She is an Entrepreneur.
Product / Service / Hybrid (P, S, H)
- Ice-cream seller → P (Product)
- Restaurant/Cafeteria Owner → H (Hybrid)
- Car-driving School owner → S (Service)
✍️ Short Answer Questions
- What is Entrepreneurship?
- Entrepreneurship is the process of starting and managing a business.
- It involves innovation to meet customer needs.
- The main aim of entrepreneurship is to earn profit.
2️. What is an Enterprise?
- An enterprise is a bold project or undertaking.
- It fulfils a need of society.
- It introduces something new or innovative.
3️. What is the Role of Entrepreneurship?
- Entrepreneurship promotes economic development.
- It creates job opportunities.
- It increases money circulation in the economy.
- It provides better products and services to society.
4️. What are the Qualities of a Successful Entrepreneur?
- A successful entrepreneur has the ability to take risks.
- A successful entrepreneur believes in hard work and discipline.
- A successful entrepreneur is adaptable and flexible.
- A successful entrepreneur has knowledge of the market.
- A successful entrepreneur has financial management skills.
5️. What are the Distinguishing Characteristics of Entrepreneurship and Wage Employment?
- An entrepreneur works for himself or herself, while an employee works for an employer.
- An entrepreneur takes risks, while an employee faces less risk.
- An entrepreneur earns profit, while an employee earns a fixed salary.
- An entrepreneur decides his or her own work, while an employee follows instructions.
6️. What are the Characteristics of Entrepreneurship?
- Entrepreneurship involves taking calculated risks.
- Entrepreneurship requires hard work and discipline.
- Entrepreneurship involves innovation and creativity.
- Entrepreneurship requires effective planning and execution.
- Entrepreneurship requires knowledge of customer needs.
7️. What are the Benefits of Entrepreneurship?
- Entrepreneurship allows a person to work independently.
- Entrepreneurship allows a person to earn profit.
- Entrepreneurship gives freedom to make decisions.
- Entrepreneurship offers higher profit with higher risk.
8️. What are the Types of Business Activities?
· A Product-based business is a business in which goods that can be seen and touched are sold to customers.
· A Service-based business is a business in which services are provided to customers instead of physical goods.
· A Hybrid business is a business that provides both products and services to customers.
9️. What are the Types of Product-Based Business?
- Manufacturing business produces goods and sells them.
- Trading business buys goods and sells them to customers.
10. What are the Different Steps of Starting a Business?
- The first step is to identify a business idea.
- The second step is to arrange money and materials.
- The third step is to understand customer needs.
- The fourth step is to improve the product or service based on feedback.
11. What are the Characteristics of Business?
- Business is an economic activity.
- Business involves buying and selling of goods and services.
- Business is done to earn profit.
- Business involves risk.
- Business is a continuous activity.