Exam 3: Starting a Small Business

Which of the following statements about a macro-level and micro-level analysis is true?

Which of the following is a disadvantage of using a cost-based strategy?

Which of the following is an example of an idea for a new startup coming from an accidental discovery?

Match the term with its definition. -The basic inputs that an entrepreneur can use to start and/or operate a business

Mark is the owner of Delectable Delights, a specialty store offering chocolates, candies, and fruit baskets. After a recent analysis of the competitive environment, Mark concluded that three distinct consumer segments exist for his products: A, B, and C consumers. In an effort to maximize the effectiveness of his strategy, Mark has decided to limit his efforts to fulfilling the needs of A consumers. He is employing a _____ strategy.

When Jeff Bezos launched Amazon, his idea of selling items he did not own from a website was unique. Which type of idea was Amazon based on?

As China's production of exportable goods increases, Chinese workers have more money to spend on consumer items. Other developing countries are experiencing the same growth. Which of the following types of trends does this represent?

According to strategy guru Michael Porter, a segmented market can erode when

The two broad-based strategies for capturing opportunities are the _____ and _____ strategies.

Select one of the ways of innovative thinking, explain it, and give an example of a business idea this type of thinking might generate.

If a startup budget is tight, a business idea's promise is likely to be determined by the entrepreneur's ability to

Richard could see the demand for towable recreational vehicles declining, so beginning in the early 1970s he used his equipment, employees, and professional network to design and build utility trucks-a more recession-resistant industry. This is an example of

Verlin worked in a cabinet shop until he became frustrated that his ideas for improving efficiency were falling on deaf ears. So he left and started his own cabinet shop where he could implement those ideas. From which of the following sources did his ideas for his startup come?

Which of the following would be classified as an opportunity when conducting a SWOT analysis?

Research has revealed that startups based on a personal pastime are less likely than others to generate early sales and reach profitability.

An inside-out analysis identifies a company's strengths and the competition's weaknesses.

_____ refers to the identification of new products or services that may lead to promising businesses.

A differentiation-based strategy requires that a firm

Match the term with its definition. -The broad environment, encompassing factors that influence most businesses in a society

Which of the following is an example of an idea for a new startup coming from a hobby?