Reading Passage Question
Employees with entrepreneurial backgrounds understand the importance of risk-taking in innovation. They are persistent and dependable go-getters. They are driven by motivation, independence, and reward. Because of their unique attributes, many people with an entrepreneurial education do not end up as business owners, because they are so highly valued by employers.
An employer that creates the right kind of environment can keep entrepreneurs on board and help them produce their best work. Offers of equity and large bonuses for work well done keep employees working hard. Rewards get at the heart of what the entrepreneur’s mind needs: challenge and incentive.
Entrepreneurs often choose to work for someone other than themselves because an employer may offer learning opportunities unavailable otherwise. Working for a company that allows flexibility, while at the same time teaching invaluable business skills, can be rewarding. For many graduates of entrepreneurship programs, this combination is difficult to pass up.
At the entrepreneurial studies institute at the University of Michigan, Ann Arbor most graduates do not start their own companies, but instead take jobs out of school. After a decade of working, more than half still do not own their own businesses.
Though some business owners shy away from hiring entrepreneurial-minded employees, the ingenuity and flexibility of these workers make them valuable assets to any business. An employer that provides proper incentives to an entrepreneur can be assured of reaping the benefits of an innovative workforce.
“Employees with entrepreneurial backgrounds understand the importance”- is a GMAT reading comprehension passage with answers. Candidates need a strong knowledge of English GMAT reading comprehension.
This GMAT Reading Comprehension consists of 3 comprehension questions. The GMAT Reading Comprehension questions are designed for the purpose of testing candidates’ abilities in understanding, analyzing, and applying information or concepts. Candidates can actively prepare with the help of GMAT Reading Comprehension Practice Questions.
Solution and Explanation
Question 1
Which of the following is a purpose of the passage?
- To defend entrepreneurs as valuable employees.
- To criticize employers who do not hire entrepreneurs.
- To explain what motivates entrepreneurs to work.
- I only
- I and II only.
- I and III only
- II and III only.
- I, II, and III
Answer: C
Explanation: Entrepreneurs, as indicated in the passage, are tenacious, dependable go-getters. Motivation, freedom, and reward are what propel them. Entrepreneurs can be retained by an employer that provides the ideal environment and supports them in doing their best job. Entrepreneurs sometimes decide to work for someone else since their employer may provide educational chances that they wouldn't otherwise have. It may be gratifying to work for a firm that values flexibility and imparts essential business skills.
Question 2
We can infer from the passage that graduates of the entrepreneurial program at the University of Michigan (highlighted text) are still working for companies after 10 years because:
- they did not learn the correct skills to become business owners.
- they choose to remain employees due to the benefits they receive.
- the skills they learned in school were unimpressive to employers.
- they develop company pride.
- they have given up being innovative.
Answer: B
Explanation: The passage's third paragraph says. Entrepreneurs sometimes decide to work for someone else since their employer may provide educational chances that they wouldn't otherwise have. It may be gratifying to work for a firm that values flexibility and imparts essential business skills. The majority of graduates at the University of Michigan's Ann Arbor entrepreneurial studies programme don't launch their own businesses. Take employment instead of going to school. More than half still don't run their own enterprises after ten years of employment.
Question 3
The passage might come from which section of a business magazine?
- technology
- marketing
- finance
- news
- management
Answer: E
Explanation: As the passage discusses managing and defending an employee with entrepreneurs backgrounds. The passage most probably came from a “management” business magazine.
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