Top 50 CMAT Innovation and Entrepreneurship Questions

Taxes do not come under the four recognized factors of production: The four factors of production are Land, Labour, Capital and Organization, Entrpreneurship.

An intrapreneur is an employee in a company working on innovating as a part of the organization. Managers are expected to be intrapreneurs.

Switzerland is the most innovative economy in 2023 followed by Sweden, the United States, the United Kingdom and Singapore. India secured the 40th position in the latest GII 2023

Klarna is headquartered in Sweden

Certification Mark is issued to indicate the existence of an accepted product standard and compliance with the standard is maintained by a product.

Design Specification comes under embodiment design which comes after the concept design process.

The concept design includes the features like Idea generation, evaluation, Information gathering, Problem definition.

There is a clear difference between an entrepreneur and a businessman in terms of the risk factor, competition, and business idea. But both are the key decision-makers in their respective organizations.

The risk factor is high for an Entrepreneur in comparison with a businessman. A businessman competes in an already existing market whereas the same is not the case with an Entrepreneur, An entrepreneur comes with a new business idea while a businessman works on an already existing business idea. 

A person or a company who is in a position where they can no longer pay the debts they owe is officially termed as the state of Insolvency.

Zepto solidified its unicorn status by raising $200 million in a Series E round of funding, attaining a valuation of $1.4 billion. This achievement made Zepto India's first unicorn of 2023.

SWOT analysis is usually conducted in the early stages of a business plan to get better insights on how to move forward.

A Minicorn is a startup with a valuation of $ 1 million and over.

The earliest round of funding is called Seed funding

Joseph Schumpeter is regarded as the father of entrepreneurship

An innovation that only changes the core design concepts of a technology is called modular innovation

The startup that are built as a part of well established companies are called internal startups.

Hectocorn is a startup with a valuation of $100 billion and over.

Innovation is a common characteristic for both entrepreneurs and Intrapreneur. An entrepreneur works independently while Intrapreneur works as a part of an organization.

Niti Aayog releases the Indian Innovation Index every year.

Girish Matrubootham is the co-founder and CEO of fresh works who is also an angel investor.

'2023 Nobel economics prize awarded to Claudia Goldin.  Claudia Goldin became the third woman to receive the Nobel Prize in economics as the US professor was awarded for her research into the factors that explain pay gaps between men and women. Claudia Goldin, provided the first comprehensive account of women's earnings and labour market participation through the centuries. Her research reveals the causes of change, as well as the main sources of the remaining gender gap."

The invention of first ship created an entire shipping industry for transportation and other purposes. Hence is a radical innovation

Staying flexible and being able to adapt to the circumstances is a key characteristic of innovation.

One of the key advantages of a free market economy is the high number of choices the market offers.

The term drive-by-deal refers to a venture capitalist who invests in a company and plans for a quick exit strategy.

The tagline of the companies are:

L’OREAL - "Because you are worth it."

Gatorade - "Is it in you?"

Airbnb - "Belong anywhere."

VISA - "Everywhere you want to be."

Thus, the correct option is B.

Accel Partners is a venture capital firm.

The correct option is A.

MobiKwik is a Fintech company.

The correct option is B.

Amartya Sen is famous for his significant contributions to welfare economics including his development of more sophisticated measures of poverty, and for his work on the causes and prevention of famines.

Thus, the correct option is C.

Sales is converting prospective customers into paying customers.

Thus, the correct option is A.

Under Pradhan Mantri Mudra Yojana, Micro Units Development and Refinance Agency Ltd. (“MUDRA”) is a non-banking financial company which supports the development of the micro-enterprise sector in India.

The correct option is A.

Enterprise value (EV) measures a company's total value, often used as a more comprehensive alternative to equity market capitalization that includes debt.

The correct option is C.

Fiscal policy refers to the use of government spending and tax policies to influence economic conditions.

The correct option is B.

A Giffen good is a low-income, non-luxury product that defies standard economic and consumer demand theory. Demand for Giffen goods rises when the price rises and falls when the price falls.

The correct option is D.

Government of India has defined women entrepreneurs as an enterprise owned and controlled by a woman should have minimum financial interest of 51% of the capital and give at least 51% of employment generated in the enterprise to women.

Fiat money is a government-issued currency that is not backed by a physical commodity, such as gold or silver, but rather by the government that issued it.

The correct option is A.

A venture capitalist (VC) is an investor who offers capital to startups that are believed to have long-term growth potential.

The correct option is C.

An endowment is a donation of money or property to a nonprofit organization, which uses the resulting investment income for a specific purpose.

The correct option is A

A Ponzi scheme is a fraudulent investing scam promising high rates of return with little risk to investors.

The correct option is D.

A debenture is a type of bond or other debt instruments that is unsecured by collateral.

The correct option is D.

Nalin Negi is the newly appointed Chief Financial Officer (CFO) of the Fintech startup BharatPe.

The correct option is B

She is the chairperson emeritus of OP Jindal Group and inherited the empire after her husband O.P. Jindal's death in 2005. With her wealth soaring by a whopping $9.6 billion in 2023, India's richest woman Savitri Jindal has seen the highest net worth increase in the calendar year, much more than even the Ambanis and Birlas.

The Ministry of Skill Development and Entrepreneurship launched the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) in 2015 administered by the National Skill Development Corporation (NSDC).

The correct option is C.

Architectural innovation occurs when new products or services use existing technology to create new markets and/or new consumers that did not purchase that item before.
The correct option is D.

In a mixed economy, the price is influenced by market forces of demand and supply, as well as government forces.

The correct option is B.

IMAX : " Think Big "

Skittles : " Taste the rainbow "

Gillette : " The Best a Man Can Get "

Burger King : " Have it your way "

The correct option is B.

A sudden explosive growth experienced by a startup that follows a period of plateau, represented by a graph in the shape of a hockey stick.

The correct option is A.

The strategy involving making small investments in a large number of startups and hoping that one of them is a hit is called the spray and pray strategy.

The correct option is C.

The above table gives the lists of companies and their respective CEOs.

Aditya Birla Group : Kumar Mangalam Birla

ITC Ltd. : Sanjiv Puri

 boAt : Vivek Gambhir

Star India : Uday Shankar

The correct option is B.

Matrix Partners is a venture capital firm.

The correct option is A.