ESB 1
Which statement defines entrepreneurship?
Setting up a business with the aim to make a profit.
Place the stages of the business life cycle in the correct order.
Survival of the fittest, Take-off, Success, Existence, Maturity
Existence, Survival of the fittest, Success, Take-off, Maturity
The owner of a landscaping business has noticed that none of his competitors are including ponds or other water features in the gardens they create. The landscaper wants to determine the viability of this business opportunity.
What should this entrepreneur do FIRST before offering to design and build water features as part of his landscaping business?
Ask the customers in the area if they are interested in adding a water feature to their gardens.
In the context of interpreting market research, classify the following data as either Primary or Secondary.
1. Facts you collected from professional journal articles.
2. Demographic data you obtained from the government.
3. Information collected from your company focus group.
4. A marketing survey you posted on Facebook.
Primary Data:3, 4
Secondary Data: 1, 2
A DJ wants to analyze market reactions to the new music selections played at his dance last weekend. He advertises his weekly dances using social media and email.
Which would be the most effective way to gather reactions from those who attended the dance?
Surveys
You've been asked to classify several businesses as either B2B or B2C.
Wholesale flooring distributor.
Chain of Local Grocery Stores.
Purchases requiring a tax exemption certificate.
Motorcycle repair shop.
B2B:
• Wholesale flooring distributor because the transaction implies the materials purchased will be resold thru a retail business, such as an installer, or a store open to the general public.
• Purchases requiring a tax exemption certificate are B2B because the transaction states the buyer is reselling the goods and that is why the purchase is tax exempt.
B2C:
• Chain of local grocery stores because purchases at the store are typically made by buyers for personal use. The number of grocery stores managed by the owner is irrelevant.
• Motorcycle repair shop because the service provided is typically for personal use.
Match each Element of the Design Thinking Process to its corresponding description.
Test, Empathize, Ideate, Define, Prototype
Research Users' needs, State your users' needs and problems, Challenge assumptions and create ideas, Create solutions, try your solutions.
Empathize - Research your users' needs
Define - State your users' needs and problems
Ideate - Challenge assumptions and crate ideas
Prototype - Create solutions
Test - Try your solutions
Which two documents summarize the business plan of a company? (Choose two)
Lean canvas, pitch deck
For each statement about Direct Competition and Indirect Competition, select True or False.
1. Abusiness is not affected by knowing the strengths and weaknesses of competitors.
2. Direct competition is a company that offers the same thing you offer.
3. All companies that sell goods and services are indirect competitors.
4. Indirect competition is a busienss whose services are different from yours but satisfy the same need.
1. false
2. true
3. false
4. true
A hair salon acquired 100 new customers last year.
Costs in the marketing and sales areas were the following:
• Marketing costs = $1,000
• Sales costs = $10,000
• Salaries = $96,000
What was the customer acquisition cost?
$110
You need to create a legal structure for your small business. You would like some of the benefits enjoyed by large corporations, but do not want to be taxed twice. You have four partners who will be shareholders. None of you plan to sell your ownership shares to the public, but do want to be protected from business liabilities.
Which legal structure should you set up for your business?
S-Corporation
Successful entrepreneurs have mindsets that typically possess which three characteristics? (Choose three)
True or False.
1. A pitch deck is a visual slide presentation
2. Business Plans are text-based documents
3. The goal of a Business Plan is to get investors' buy-in
4. Business Plans are highly visual
5. The goal of a Pitch Deck is to get investors' attention
6. A typical pitch deck has between 20-100 slides
1. true
2. true
3. true
4. false
5. true
false
Setup a SWOT analysis with the characteristics provided about this business by matching the company characteristic with the appropriate SWOT element.
1. Increase in weddings expected as COVID restrictions ease.
2. Large gallery of stock photos
3. COVID pandemic restrictions disallow large family gatherings
4. Working alone, no skilled help
1. opportunities
2. strengths
3. threats
4. weaknesses
Which element of a marketing plan provides a synopsis of details to be outlined later in the plan?
Executive Summary/Business Description
For each role and responsibility for a business, categorize the role or responsibility as belonging to either a founder or a stakeholder.
Starts a company around an idea.
Part of company activities, including decision-making.
Can include both customers and employees.
The main driver for a vision of a startup.
Founder:
Founders start companies around ideas and are the main drivers for the vision of a startup.
Stakeholder:
Stakeholders are affected by company activities and a company's financial picture. Stakeholders can include customers, employees, investors, and suppliers.
Which is one of the greatest benefits of being an entrepreneur?
Schedule Control
Which three elements are required to have a Trade Secret? (Choose three)
Subject to reasonable effors to maintain its secrecy
Others cannot legitimately obtain the information
Information has economic value not generally known
Which two marketing platforms are offline marketing platforms? (Choose two)
Flyers and panphlets, and TV ads
For each statement about the Sales Process, select True or False.
1. Determining if the potential customer can afford your product is part of Prospecting.
2. Closing the deal is the last and final element in the Sales Process.
3. Handling Objections involves listenign to the potential customer's concerns and addressing them
4. Presentation is best done with a powerpoint slide deck that is the same for each presentation
5. Prospecting is usually the first step in the sales process.
1. true
2. False
3. True
4. False
5. True
1. An example of ________ compensation is paying field laborers for the amount of fruit they pick.
2. A ________ employee receives a set amount of pay each month without overtime compensation for extra hours worked.
3. Employees most affected by minimum wage laws are compensated ________.
4. An employee who is paid a percentage of a sale is paid by ________.
1. Piece work
2. Salary
3. Hourly
4. Commission
Which three characteristics help identify a business opportunity? (Choose three)
Service, price, quality
A cooking company wants to identify a target market for a new, AI-enabled toaster oven. Which types of behaviors are analyzed when defining a target market? (Choose two)
Geographic and demographic
Your company manufactures 72 hr. emergency kits and sells them for a low profit margin. You want to expand your customer base to increase your sales volume, but you have a limited budget. What marketing method would be the best choice?
Social Media
Which Sales Channel has been opened to manufacturers because of digital tools?
Direct-to-Consumer