Q.An entrepreneurial competency is best described as:

The whole basis of entrepreneurship training is that competency is a developable blend of qualities shown as behaviour, not a fixed inborn gift.

Eliminate the options that treat competency as inborn, as mere money, or as a legal document.

An entrepreneurial competency is an underlying characteristic of a person — a combination of knowledge, skill, motive, trait, self-image and attitude — that results in the successful setting-up and running of an enterprise. It is expressed as observable behaviour and, importantly, can be developed through training.

Option-by-option analysis:

• (a) Incorrect — the central finding of entrepreneurship research is precisely that competencies are NOT rare inborn gifts; they can be learned and developed.
• (b) Correct — this is the standard definition of an entrepreneurial competency.
• (c) Incorrect — capital is one resource, but competency is about the person's abilities and behaviour, not the money they own.
• (d) Incorrect — a licence is a legal permission, not a personal characteristic that produces superior performance.