CPI CPI Corporate Entrepreneurship & Intrapreneurship 1 — Questions and Answers
Question 1: What is the primary distinction between entrepreneurship and intrapreneurship?
- Intrapreneurship involves entrepreneurial activity within an existing organization (Correct answer)
- Intrapreneurship always requires external venture capital
- Entrepreneurship occurs only in non-profit settings
- Intrapreneurship is limited to technology companies
Correct answer: Intrapreneurship involves entrepreneurial activity within an existing organization
Intrapreneurship is entrepreneurial behavior exercised by employees inside an established company, using corporate resources to build new ventures.
Question 2: Which organizational structure best supports intrapreneurial initiatives in a large US corporation?
- Autonomous innovation units or skunkworks teams (Correct answer)
- Rigid functional hierarchies
- Centralized command-and-control management
- Single-department ownership of all projects
Correct answer: Autonomous innovation units or skunkworks teams
Autonomous units like skunkworks teams operate with reduced bureaucracy and dedicated resources, enabling rapid experimentation away from the core business.
Question 3: What does 'organizational ambidexterity' mean in the context of corporate entrepreneurship?
- The ability to simultaneously exploit existing capabilities and explore new opportunities (Correct answer)
- Managing two product lines at once
- Hiring employees with dual skill sets
- Operating in two geographic markets
Correct answer: The ability to simultaneously exploit existing capabilities and explore new opportunities
Organizational ambidexterity describes a firm's capacity to efficiently run its core business while simultaneously pursuing exploratory innovation initiatives.
Question 4: Which corporate venturing model involves a company creating a separate internal startup with dedicated funding and autonomy?
- Internal corporate venture (ICV) (Correct answer)
- Joint venture with a supplier
- Licensing agreement
- Mergers and acquisitions
Correct answer: Internal corporate venture (ICV)
An internal corporate venture is a semi-autonomous unit funded by the parent company to develop a new business concept independently of existing operations.
Question 5: What role does psychological safety play in fostering intrapreneurship?
- It allows employees to propose and test ideas without fear of punishment for failure (Correct answer)
- It enforces mandatory idea submission quotas
- It restricts idea sharing to senior leadership only
- It eliminates the need for innovation budgets
Correct answer: It allows employees to propose and test ideas without fear of punishment for failure
Psychological safety creates an environment where employees feel secure enough to voice unconventional ideas and experiment without risking career penalties.
Question 6: How does a corporate accelerator differ from a traditional corporate R&D department?
- A corporate accelerator supports external or internal startups with time-limited, mentorship-driven programs (Correct answer)
- A corporate accelerator only manages patent filings
- A corporate accelerator is a rebranded marketing team
- A corporate accelerator operates without any connection to the parent company
Correct answer: A corporate accelerator supports external or internal startups with time-limited, mentorship-driven programs
Corporate accelerators run cohort-based programs that rapidly develop early-stage ventures through mentorship, resources, and milestone-driven timelines.
CPI CPI Corporate Entrepreneurship & Intrapreneurship 1
What is the primary distinction between entrepreneurship and intrapreneurship?