Entrepreneurship And Innovation — Part 2 MCQs with Explanations
Practice high-yield Management Sciences MCQs on Entrepreneurship And Innovation — Part 2 with worked academic solutions for CSS, PMS, FPSC, PPSC, NTS.
Questions
40
Difficulty Level
Exam-Level
Target Exams
CSS, PMS, FPSC...
Estimated Time
48 mins
Exam-Level CSS PMS FPSC PPSC NTS
Verified for Commission Syllabus • Oct 14, 2026
40
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🎉 Set complete! All 40 questions answered.
Question 1 of 40
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Match the following List-I (Types of Debentures) List-II (Features) a. Registered debentures 1. Nomination b. Bearer debentures 2. Transfer by delivery c. Partly convertible 3. Semi-option d. Non-redeemable 4. Payment at windup of the firm
Correct Answer: Option B — a-1, b-2, c-3, d-4
Detailed Academic Explanation:
a-1, b-2, c-3, d-4 is the correct answer to “Match the following List-I (Types of Debentures) List-II (Features) a. Registered debentures 1. Nomination b. Bearer debentures 2. Transfer by delivery c. Partly convertible 3. Semi-option d. Non-redeemable 4. Payment at windup of the firm”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 2 of 40
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Which one of the following is not the element of entrepreneurship?
Correct Answer: Option B — Accounting
Detailed Academic Explanation:
Accounting is the correct answer to “Which one of the following is not the element of entrepreneurship”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 3 of 40
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Match the items of List-I with List-II. List-I List-II a. A promotion assistance for development of khadi 1. SFURTI b. A scheme of fund for registration of traditional industries 2. ISEC c. Interest subsidy eligibility for all institutions registered under KVIC 3. MDA
Correct Answer: Option A — a-3, b-1, c-2
Detailed Academic Explanation:
a-3, b-1, c-2 is the correct answer to “Match the items of List-I with List-II. List-I List-II a. A promotion assistance for development of khadi 1. SFURTI b. A scheme of fund for registration of traditional industries 2. ISEC c. Interest subsidy eligibility for all institutions registered under KVIC 3. MDA”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 4 of 40
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Which one of the following is the most insignificant reason for sickness in SSI sector?
Correct Answer: Option C — Management problems
Detailed Academic Explanation:
Management problems is the correct answer to “Which one of the following is the most insignificant reason for sickness in SSI sector”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 5 of 40
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Match the items given in List-I and List-II. List-I List-II a. Market research 1. Sales promotion b. Financial plan 2. From of business c. Ownership 3. Budgeting d. Marketing plan 4. Exploring market opportunity
Correct Answer: Option C — a-4, b-3, c-2, d-1
Detailed Academic Explanation:
a-4, b-3, c-2, d-1 is the correct answer to “Match the items given in List-I and List-II. List-I List-II a. Market research 1. Sales promotion b. Financial plan 2. From of business c. Ownership 3. Budgeting d. Marketing plan 4. Exploring market opportunity”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 6 of 40
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All India Small Scale Industries Board is a
Correct Answer: Option B — advisory board
Detailed Academic Explanation:
advisory board is the correct answer to “All India Small Scale Industries Board is a”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 7 of 40
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Which is the preliminary preparation stage of new unit?
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “Which is the preliminary preparation stage of new unit”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 8 of 40
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Which is the objects of Entrepreneurial Development Programmes?
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “Which is the objects of Entrepreneurial Development Programmes”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 9 of 40
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Match the following List-I (Type of Law) List-II (Features) a. Business Law 1. Insurance Act b. Economic Law 2. Social Control c. Labour Law 3. Air Pollution Control Act d. Pollution Control Law 4. FERA 5. Provident Fund Act
Correct Answer: Option D — a-1, b-4, c-5, d-3
Detailed Academic Explanation:
a-1, b-4, c-5, d-3 is the correct answer to “Match the following List-I (Type of Law) List-II (Features) a. Business Law 1. Insurance Act b. Economic Law 2. Social Control c. Labour Law 3. Air Pollution Control Act d. Pollution Control Law 4. FERA 5. Provident Fund Act”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 10 of 40
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Which is the characteristics of an entrepreneur?
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “Which is the characteristics of an entrepreneur”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 11 of 40
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Match the following. List-I (Form of innovation) List-II (Change) a. Initial expansion 1. New production b. Subsequent expansion 2. Additional production c. Factor innovation 3. Upgrading d. Product innovation 4. New processing technique
Correct Answer: Option A — a-1, b-2, c-3, d-4
Detailed Academic Explanation:
a-1, b-2, c-3, d-4 is the correct answer to “Match the following. List-I (Form of innovation) List-II (Change) a. Initial expansion 1. New production b. Subsequent expansion 2. Additional production c. Factor innovation 3. Upgrading d. Product innovation 4. New processing technique”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 12 of 40
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Match the following List-I (Type of Assets) List-II (Classification/Nature of assets) a. Stock 1. Current asset b. Plant 2. Fixed asset c. Goodwill 3. Intangible asset d. Development Expenses 4. Fictitious asset
Correct Answer: Option A — a-1, b-2, c-3, d-4
Detailed Academic Explanation:
a-1, b-2, c-3, d-4 is the correct answer to “Match the following List-I (Type of Assets) List-II (Classification/Nature of assets) a. Stock 1. Current asset b. Plant 2. Fixed asset c. Goodwill 3. Intangible asset d. Development Expenses 4. Fictitious asset”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 13 of 40
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Which of the following statement is correct with regard to SICA?
Correct Answer: Option A — SICA deals with identifying the sick industrial units
Detailed Academic Explanation:
SICA deals with identifying the sick industrial units is the correct answer to “Which of the following statement is correct with regard to SICA”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 14 of 40
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Match the following. List-I List-II a. Central Manufacturing Institute 1. Deals with paper industry b. Central Pulp and Paper Research Institute 2. Deals with pollution control in Indian Tanneries c. Central Leather Research Institute 3. Deals with machine tools d. Electronic Service and Training Centre 4. Deals with training, technical and consultancy services
Correct Answer: Option B — a-3, b-1, c-2, c-4
Detailed Academic Explanation:
a-3, b-1, c-2, c-4 is the correct answer to “Match the following. List-I List-II a. Central Manufacturing Institute 1. Deals with paper industry b. Central Pulp and Paper Research Institute 2. Deals with pollution control in Indian Tanneries c. Central Leather Research Institute 3. Deals with machine tools d. Electronic Service and Training Centre 4. Deals with training, technical and consultancy services”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 15 of 40
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The difference in the entrepreneurial and managerial domains has contributed towards an increase interest in
Correct Answer: Option A — Forming new firms
Detailed Academic Explanation:
Forming new firms is the correct answer to “The difference in the entrepreneurial and managerial domains has contributed towards an increase interest in”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 16 of 40
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According to the Tiwari Committee report, which one of the following is not an internal cause of industrial sickness in India?
Correct Answer: Option D — Excessive tax policies
Detailed Academic Explanation:
Excessive tax policies is the correct answer to “According to the Tiwari Committee report, which one of the following is not an internal cause of industrial sickness in India”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 17 of 40
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All of the following are suitable questions to ascertain product /service desirability except
Correct Answer: Option B — Is the product or service financially feasible?
Detailed Academic Explanation:
Is the product or service financially feasible? is the correct answer to “All of the following are suitable questions to ascertain product /service desirability except”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 18 of 40
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Which of the following is not a possible route to market entry for a small business owner/entrepreneur?
Correct Answer: Option B — Corporate venture
Detailed Academic Explanation:
Corporate venture is the correct answer to “Which of the following is not a possible route to market entry for a small business owner/entrepreneur”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 19 of 40
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Which is not the object of 'Entrepreneurial Development Programmes'?
Correct Answer: Option D — None of the above
Detailed Academic Explanation:
None of the above is the correct answer to “Which is not the object of 'Entrepreneurial Development Programmes'”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 20 of 40
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Match the following List-I (Methods of creativity) List-II (Features) a. Brainstorming 1. New product or services b. General group processing 2. Creativity of ideas c. Synectics method 3. Backstop creativity process d. Creative decision-making 4. Discussion about innovation 5. Ranking of ideas
Correct Answer: Option D — a-2, b-5, c-3, d-4
Detailed Academic Explanation:
a-2, b-5, c-3, d-4 is the correct answer to “Match the following List-I (Methods of creativity) List-II (Features) a. Brainstorming 1. New product or services b. General group processing 2. Creativity of ideas c. Synectics method 3. Backstop creativity process d. Creative decision-making 4. Discussion about innovation 5. Ranking of ideas”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 21 of 40
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The SSI is a unit employing . . . . . . . . employees when using power and . . . . . . . . employees when not using power and with capital asset not exceeding Rs. . . . . . . . . lakh.
Correct Answer: Option A — 50, 100, 5
Detailed Academic Explanation:
50, 100, 5 is the correct answer to “The SSI is a unit employing . . . . . . . . employees when using power and . . . . . . . . employees when not using power and with capital asset not exceeding Rs. . . . . . . . . lakh.”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 22 of 40
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Which one of the following best represents the environment of an entrepreneurial oriented organization?
Correct Answer: Option B — Entrepreneurial culture
Detailed Academic Explanation:
Entrepreneurial culture is the correct answer to “Which one of the following best represents the environment of an entrepreneurial oriented organization”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 23 of 40
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An entrepreneur who is dominated more by customs, religions, traditions and past practices and he is not ready to take any risk is called as
Correct Answer: Option C — fabian entrepreneur
Detailed Academic Explanation:
fabian entrepreneur is the correct answer to “An entrepreneur who is dominated more by customs, religions, traditions and past practices and he is not ready to take any risk is called as”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 24 of 40
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Personal characteristics to be a successful entrepreneur includes
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “Personal characteristics to be a successful entrepreneur includes”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 25 of 40
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. . . . . . . . is thought as a creative capital which is exercised to perform economic functions different from other investment vehicles which primarily serve as expansion capital.
Correct Answer: Option C — Venture capital
Detailed Academic Explanation:
Venture capital is the correct answer to “. . . . . . . . is thought as a creative capital which is exercised to perform economic functions different from other investment vehicles which primarily serve as expansion capital.”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 26 of 40
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The factors of development of Entrepreneurship is based on
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “The factors of development of Entrepreneurship is based on”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 27 of 40
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Innovation theory includes
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “Innovation theory includes”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 28 of 40
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Match the following List-I (Type of Enterpreneurship) List-II (Feature) a. Private Enterpreneurship 1. Centre-State role b. State Enterpreneurship 2. Socialists c. Joint Enterpreneurship 3. Mutual cooperation d. Co-operate Enterpreneurship 4. Capitalists
Correct Answer: Option C — a-4, b-2, c-1, d-3
Detailed Academic Explanation:
a-4, b-2, c-1, d-3 is the correct answer to “Match the following List-I (Type of Enterpreneurship) List-II (Feature) a. Private Enterpreneurship 1. Centre-State role b. State Enterpreneurship 2. Socialists c. Joint Enterpreneurship 3. Mutual cooperation d. Co-operate Enterpreneurship 4. Capitalists”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 29 of 40
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Which of the following. are correct for an entrepreneur? 1. He is an independent person. 2. He makes hislher own decisions. 3. He has the opportunity of realising dreams. 4. He has good financial strength. 5. He has undergone a systematic business training. 6. He has immense job satisfaction.
Correct Answer: Option C — 1, 2, 3 and 6
Detailed Academic Explanation:
1, 2, 3 and 6 is the correct answer to “Which of the following. are correct for an entrepreneur? 1. He is an independent person. 2. He makes hislher own decisions. 3. He has the opportunity of realising dreams. 4. He has good financial strength. 5. He has undergone a systematic business training. 6. He has immense job satisfaction.”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 30 of 40
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. . . . . . . . is the practice of starting new organisations or revitalising nature organisations particularly new business generally in response to identified opportunities.
Correct Answer: Option D — Entrepreneurship
Detailed Academic Explanation:
Entrepreneurship is the correct answer to “. . . . . . . . is the practice of starting new organisations or revitalising nature organisations particularly new business generally in response to identified opportunities.”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 31 of 40
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All of the following are essential to maintain secrecy EXCEPT
Correct Answer: Option B — Discuss business in public place
Detailed Academic Explanation:
Discuss business in public place is the correct answer to “All of the following are essential to maintain secrecy EXCEPT”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 32 of 40
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The social responsibility towards business includes
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “The social responsibility towards business includes”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 33 of 40
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Which of the following statements are correct? Statement I The first stage in project development process is feasibility. Statement II Feasibility analysis is done after the preparation of business plan. Statement III Feasibility analysis comparison of market, technical operational, organisational and financial analysis.
Correct Answer: Option C — Both Statements I and III
Detailed Academic Explanation:
Both Statements I and III is the correct answer to “Which of the following statements are correct? Statement I The first stage in project development process is feasibility. Statement II Feasibility analysis is done after the preparation of business plan. Statement III Feasibility analysis comparison of market, technical operational, organisational and financial analysis.”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 34 of 40
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What are the response of the business in respect of social responsibility?
Correct Answer: Option D — All of the above
Detailed Academic Explanation:
All of the above is the correct answer to “What are the response of the business in respect of social responsibility”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 35 of 40
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Micro or Small Enterprise (as defined in the MSMED Act, 2006) may be said to have become sick, if
Correct Answer: Option D — any of the borrowal account of the enterprise remains NPA for three months or more
Detailed Academic Explanation:
any of the borrowal account of the enterprise remains NPA for three months or more is the correct answer to “Micro or Small Enterprise (as defined in the MSMED Act, 2006) may be said to have become sick, if”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 36 of 40
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Which is the concept of entrepreneurship as per 'Thomas Begley' and 'David P. Boyd'?
Correct Answer: Option D — All of these
Detailed Academic Explanation:
All of these is the correct answer to “Which is the concept of entrepreneurship as per 'Thomas Begley' and 'David P. Boyd'”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 37 of 40
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In some countries, point of purchase displays are not allowed in retail stores. Such differences are studied by international entrepreneurs under . . . . . . . .
Correct Answer: Option D — Technological Environment
Detailed Academic Explanation:
Technological Environment is the correct answer to “In some countries, point of purchase displays are not allowed in retail stores. Such differences are studied by international entrepreneurs under . . . . . . . .”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 38 of 40
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Who among the following are associated with the concept of 'Entrepreneurship'? 1. Richard Cantillon 2. Lionel Robbins 3. Adam Smith 4. Jean Baptiste Say 5. Joseph Schumpeter Choose the correct answer
Correct Answer: Option B — 2, 3, 4 and 5
Detailed Academic Explanation:
2, 3, 4 and 5 is the correct answer to “Who among the following are associated with the concept of 'Entrepreneurship'? 1. Richard Cantillon 2. Lionel Robbins 3. Adam Smith 4. Jean Baptiste Say 5. Joseph Schumpeter Choose the correct answer”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 39 of 40
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Preparation of a business plan as a pre-requisite to a promotion of a business enterprise, relates to which one of the following?
Correct Answer: Option A — There is no flaws in the business idea, the fashion, conviction and tenacity of the entrepreneur
Detailed Academic Explanation:
There is no flaws in the business idea, the fashion, conviction and tenacity of the entrepreneur is the correct answer to “Preparation of a business plan as a pre-requisite to a promotion of a business enterprise, relates to which one of the following”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
Question 40 of 40
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Entrepreneurial experience becomes increasingly important as
Correct Answer: Option B — Complexity of venture increases
Detailed Academic Explanation:
Complexity of venture increases is the correct answer to “Entrepreneurial experience becomes increasingly important as”. This question is standard in competitive examination syllabi for Entrepreneurship And Innovation.
💡Key Conceptual Anchor:Entrepreneurship And Innovation
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Business Communication — Part 1
Master the next curriculum module with 40 exam-standard MCQs.
In competitive commission exams (FPSC, PPSC, KPPSC, SPSC, CSS, PMS), questions are frequently phrased with distractor options designed to catch rote learners. Whenever you answer an MCQ, read the Detailed Academic Explanation and Conceptual Anchor to understand why the remaining options are incorrect.