Entrepreneurs
A person who starts and runs their own business is called ….
an entrepreneur
What do the 4Ps of marketing stand for?
Product, Price, Place, Promotion
What is a “target market”?
The group of customers a business aims to sell to.
What is a business “logo”?
A symbol/image representing the brand.
The money earned from selling goods or services is called what?
Revenue
Name an Australian entrepreneur.
Janine Alice (Boost Juice), Ruslan Kogan (Kogan), Andrew Bassat (SEEK), …
In the 4Ps, “Place” refers to what?
How and where a product is distributed to customers.
All distribution channels
Name two demographic factors businesses use to define target markets.
Age, gender, income, education, occupation, etc.
Name 3 different types of promotion.
Advertising, sales promotion, social media marketing, sponsorship
What is the difference between a fixed cost and a variable cost? Give an example of each
Fixed = stays the same (e.g., rent); Variable = changes with production (e.g., ingredients).
What does innovation mean in Business?
Creating or improving products, services, or processes.
What’s the difference between a “product” and a “service”?
Product = tangible good; Service = intangible experience or action.
What is a “niche market”? Give an example.
A small, specialised segment of the market.
Example: gourmet organic pet food, vegan face wash,…
Why do businesses use social media for promotion? Give at least 3 reasons
Low-cost, wide reach, direct customer engagement
If fixed costs = $1,000 and profit per unit = $5, how many units to break even?
200 units.
What is the most important difference between an entrepreneur and a business manager?
An entrepreneur creates and owns a business, taking significant risks to innovate and grow the business.
A business manager runs and maintains an existing business, focusing on minimising risks.
What is a SWOT analysis?
a strategic planning technique used to understand a business's Strengths, Weaknesses, Opportunities, and Threats.
Why is it important to know your target market before launching a product?
So marketing and products meet customer needs and increase sales.
What is the difference between “brand loyalty” and “brand recognition”?
Loyalty = repeat customers; Recognition = ability to identify the brand.
What is “cash flow” in a business? And why is it important?
The money coming in (inflows) and going out (outflows) of a business.
It provides the actual cash needed to pay employees, suppliers, and operating expenses, allowing a business to operate day-to-day and invest in growth.
What are two rewards and two risks of becoming an entrepreneur that are not financially related?
You can make your own decisions and set your own direction.
You develop leadership, problem-solving, and resilience skills.
Managing a business can be emotionally and mentally demanding.
Long hours or high responsibility may impact personal life and relationships.
A start-up is launching a bubble tea food truck in Melbourne. Explain how the 4Ps could be used to differentiate the business from competitors.
Give an example of psychographic segmentation.
Lifestyle (e.g., health-conscious), interests, values, attitudes.
Starbucks targets distinct customer segments based on their psychological traits, such as "socializers" who use the cafe as a community hub for meetups and work, or "coffee connoisseurs" who appreciate the quality and variety of brews,
Name and explain one advantage of celebrity endorsement in marketing.
Builds trust, attracts fans, increases visibility.
List two ways a start-up can reduce financial risk.
Keep costs low, secure funding, test the product, diversify revenue streams.