Business Models
A plan for how a company creates, delivers, and earns revenue from value.
What is a business model?
Target market.
What is the group of customers most likely to buy a product called?
Capital.
Money needed to start and run a business is called what?
Creating something new or improving an existing idea.
What is innovation?
Risk-taking.
A willingness to take risks is known as what entrepreneurial trait?
Freemium model.
What business model involves giving a product for free, but charging for premium features?
Search Engine Optimization.
What does SEO stand for?
Funding a business using personal savings instead of outside investors.
What is bootstrapping?
Brainstorming.
What is the term for generating many new ideas quickly?
The ability to bounce back after failure.
What is resilience?
Subscription model.
What model charges customers a recurring fee—weekly, monthly, or annually?
A statement that explains why a customer should choose your product over competitors.
What is a value proposition?
Angel investor.
What type of investor provides early funding in exchange for equity?
What does prototype mean?
An early model used to test concepts and ideas.
Perseverance.
Entrepreneurs who keep trying new solutions until something works show what quality?
Marketplace/platform model.
What business model connects buyers and sellers without owning inventory
Sales conversion.
The process of turning leads into paying customers is called what?
Assets = what you own; liabilities = what you owe.
What is the difference between an asset and a liability?
Experimentation / market testing.
The process of testing a new idea with real customers to learn what works is called what?
Opportunity recognition.
The ability to see opportunities where others see problems is called what?
Franchise model.
A business model that expands by allowing others to operate locations under the company name is called what?
Market segmentation.
What strategy focuses on narrowing down markets and tailoring messages toward small, specific groups?
Venture capital.
Funding that comes from professional investment firms in exchange for ownership is known as what?
Incremental innovation.
Innovation that improves existing products or processes (not completely new) is called what?
Growth mindset.
What mindset involves believing that abilities can be developed through learning and effort?