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What is the definition of bootstrapping in the context of entrepreneurship?

  • A situation where a company is started with little capital and without relying on outside investments (correct)
  • A situation where a company is started with no capital at all
  • A situation where a company is started with significant outside investment
  • A situation where a company is started with a large amount of personal savings
  • Which of the following best describes the role of outside investments in bootstrapping?

  • They are essential for a company to get off the ground
  • They are only helpful in certain industries
  • They are always the preferred method of financing for entrepreneurs
  • They are not necessary for a company to succeed (correct)
  • What is the main advantage of bootstrapping for entrepreneurs?

  • They are able to launch the company with more capital
  • They have more control over the company's direction and decision-making (correct)
  • They can quickly scale the company with outside investment
  • They have access to more resources and expertise
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