Question 1

The two primary issues to consider in organizational feasibility analysis are resource sufficiency and:

Accepted Answer

A)  market timeliness 
B)  concept testing 
C)  management prowess 
D)  target market attractiveness 
E)  total start-up cash needed 
A)  market timeliness 
B)  concept testing 
C)  management prowess 
D)  target market attractiveness 
E)  total start-up cash needed

Question 2

The two components of product/service feasibility analysis are product/service desirability and:

Accepted Answer

A)  product/service value 
B)  product/service durability 
C)  market timeliness 
D)  product/service affordability 
E)  product/service demand 
A)  product/service value 
B)  product/service durability 
C)  market timeliness 
D)  product/service affordability 
E)  product/service demand

Question 3

A ________ market is a place within a larger market segment that represents a narrower group of customers with similar needs.

Accepted Answer

A)  secondary 
B)  primary 
C)  target 
D)  parallel 
E)  minor 
A)  secondary 
B)  primary 
C)  target 
D)  parallel 
E)  minor

Question 4

The focus in organizational feasibility analysis is on financial resources.

Accepted Answer

A) True 
 B)False

Question 5

________ feasibility is an assessment of the overall appeal of the product or service being proposed.

Accepted Answer

A)  Consumer 
B)  Industry/market segment 
C)  Industry/market 
D)  Product/service 
E)  Purchaser/end-user 
A)  Consumer 
B)  Industry/market segment 
C)  Industry/market 
D)  Product/service 
E)  Purchaser/end-user

Question 6

Think Gum, the company profiled in the opening feature for Chapter 3, produces gum. The idea behind Think Gum is to produce a gum that includes ingredients that improve concentration and memory. Think Gum initial target market was:

Accepted Answer

A)  electronic game enthusiasts 
B)  extreme sports enthusiasts 
C)  college students 
D)  athletics 
E)  business professionals 
A)  electronic game enthusiasts 
B)  extreme sports enthusiasts 
C)  college students 
D)  athletics 
E)  business professionals

Question 7

Which of the following statements about target markets is incorrect?

Accepted Answer

A)  There is a distinct difference between a firm's industry and its target market. 
B)  The challenge in identifying an attractive target market is to find a market that's large enough for the proposed business but is yet small enough to avoid attracting larger competitors. 
C)  By focusing on a target market, a firm can usually avoid head-to-head competition with industry leaders and can focus on serving a specialized market very well. 
D)  A target market is a place within a larger market segment that represents a narrower group of customers with similar needs. 
E)  Its generally easier to find good information about a target market than an industry as a whole. 
A)  There is a distinct difference between a firm's industry and its target market. 
B)  The challenge in identifying an attractive target market is to find a market that's large enough for the proposed business but is yet small enough to avoid attracting larger competitors. 
C)  By focusing on a target market, a firm can usually avoid head-to-head competition with industry leaders and can focus on serving a specialized market very well. 
D)  A target market is a place within a larger market segment that represents a narrower group of customers with similar needs. 
E)  Its generally easier to find good information about a target market than an industry as a whole.

Question 8

The two components of product/service feasibility analysis are:

Accepted Answer

A)  product/service desirability and product/service demand for similar products 
B)  product/service demand and total start-up cash needed 
C)  product/service desirability and management prowess 
D)  product/service desirability and product/service demand 
E)  product/service demand and target market attractiveness 
A)  product/service desirability and product/service demand for similar products 
B)  product/service demand and total start-up cash needed 
C)  product/service desirability and management prowess 
D)  product/service desirability and product/service demand 
E)  product/service demand and target market attractiveness

Question 9

Which of the following is not a part of assessing the product/service feasibility of a business idea?

Accepted Answer

A)  buying intentions survey 
B)  gumshoe research 
C)  library research 
D)  assessment of total start-up cash needed 
E)  concept test 
A)  buying intentions survey 
B)  gumshoe research 
C)  library research 
D)  assessment of total start-up cash needed 
E)  concept test

Question 10

Which of the following is an example of a resource that normally would not be evaluated as part of the "resource sufficiency" stage of organizational feasibility analysis?

Accepted Answer

A)  the availability of office space 
B)  financial resources 
C)  the quality of the labor pool in the area where the business will be located 
D)  the possibility of obtaining intellectual property protection on key aspects of the business 
E)  the possibility of locating in a university or community sponsored incubator 
A)  the availability of office space 
B)  financial resources 
C)  the quality of the labor pool in the area where the business will be located 
D)  the possibility of obtaining intellectual property protection on key aspects of the business 
E)  the possibility of locating in a university or community sponsored incubator

Question 11

A concept statement should be two-three pages long.

Accepted Answer

A) True 
 B)False

Question 12

A(n) ________ is the group of founders, key employees, and advisers that either manage or help manage a new business in its start-up years.

Accepted Answer

A)  opening team 
B)  entrepreneurial team 
C)  scout team 
D)  launch team 
E)  new venture team 
A)  opening team 
B)  entrepreneurial team 
C)  scout team 
D)  launch team 
E)  new venture team

Question 13

John Kite is investigating the feasibility of a new type of electronic game targeting middle school and high school-age boys. Which of the following is an example of "gumshoe research" that John could conduct to get a sense of the likely demand for his game?

Accepted Answer

A)  Leaf through several electronic games industry trade journals. 
B)  Administer a buying intentions survey. 
C)  Administer a concept test. 
D)  Look at the Web sites of a number of companies that sell electronic games. 
E)  Spend several days in electronic games arcades and stores to observe the types of games that attract the interest of middle school age and high school age boys. 
A)  Leaf through several electronic games industry trade journals. 
B)  Administer a buying intentions survey. 
C)  Administer a concept test. 
D)  Look at the Web sites of a number of companies that sell electronic games. 
E)  Spend several days in electronic games arcades and stores to observe the types of games that attract the interest of middle school age and high school age boys.

Question 14

For financial feasibility analysis, a very detailed and comprehensive financial analysis is required.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is not an attribute of an attractive industry?

Accepted Answer

A)  is large and growing 
B)  is not crowded 
C)  is fairly old rather than young and less mature 
D)  is important to the customer 
E)  has high operating margins 
A)  is large and growing 
B)  is not crowded 
C)  is fairly old rather than young and less mature 
D)  is important to the customer 
E)  has high operating margins

Question 16

Primary research is research that is collected by the person or persons completing the analysis.

Accepted Answer

A) True 
 B)False

Question 17

To test resource sufficiency, a firm should list the ________ most critical non-financial resources that it will need to move its business idea forward and determine if those resources are available.

Accepted Answer

A)  1 to 2 
B)  3 to 5 
C)  6 to 12 
D)  10 to 16 
E)  15 to 25 
A)  1 to 2 
B)  3 to 5 
C)  6 to 12 
D)  10 to 16 
E)  15 to 25

Question 18

The two primary issues to consider in organizational feasibility analysis are:

Accepted Answer

A)  target market attractiveness and financial rate of return 
B)  management prowess and resource sufficiency 
C)  capital requirements and industry attractiveness 
D)  concept testing and financial rate of return 
E)  industry attractiveness and overall attractiveness of the investment 
A)  target market attractiveness and financial rate of return 
B)  management prowess and resource sufficiency 
C)  capital requirements and industry attractiveness 
D)  concept testing and financial rate of return 
E)  industry attractiveness and overall attractiveness of the investment

Question 19

What is gumshoe research and why is it important?

Accepted Answer

Gumshoe research is simply doing what it

Question 20

________ feasibility analysis is an assessment of the overall appeal of the industry and market for the product or service being proposed.

Accepted Answer

A)  Institutional 
B)  Financial 
C)  Organizational 
D)  Product/service 
E)  Industry/target market 
A)  Institutional 
B)  Financial 
C)  Organizational 
D)  Product/service 
E)  Industry/target market

The two primary issues to consider in organizational feasibility analysis are resource sufficiency and:

The two components of product/service feasibility analysis are product/service desirability and:

A ________ market is a place within a larger market segment that represents a narrower group of customers with similar needs.

The focus in organizational feasibility analysis is on financial resources.

________ feasibility is an assessment of the overall appeal of the product or service being proposed.

Think Gum, the company profiled in the opening feature for Chapter 3, produces gum. The idea behind Think Gum is to produce a gum that includes ingredients that improve concentration and memory. Think Gum initial target market was:

Which of the following statements about target markets is incorrect?

The two components of product/service feasibility analysis are:

Which of the following is not a part of assessing the product/service feasibility of a business idea?

Which of the following is an example of a resource that normally would not be evaluated as part of the "resource sufficiency" stage of organizational feasibility analysis?

A concept statement should be two-three pages long.

A(n) ________ is the group of founders, key employees, and advisers that either manage or help manage a new business in its start-up years.

John Kite is investigating the feasibility of a new type of electronic game targeting middle school and high school-age boys. Which of the following is an example of "gumshoe research" that John could conduct to get a sense of the likely demand for his game?

For financial feasibility analysis, a very detailed and comprehensive financial analysis is required.

Which of the following is not an attribute of an attractive industry?

Primary research is research that is collected by the person or persons completing the analysis.

To test resource sufficiency, a firm should list the ________ most critical non-financial resources that it will need to move its business idea forward and determine if those resources are available.

The two primary issues to consider in organizational feasibility analysis are:

What is gumshoe research and why is it important?

________ feasibility analysis is an assessment of the overall appeal of the industry and market for the product or service being proposed.

Introduction to Entrepreneurship

Recognizing Opportunities and Generating Ideas

Writing a Business Plan

Industry and Competitor Analysis

Developing an Effective Business Model

Preparing the Proper Ethical and Legal Foundation

Assessing a New Venture's Financial Strength and Viability

Building a New Venture Team

Getting Financing or Funding

Unique Marketing Issues

The Importance of Intellectual Property

Preparing for and Evaluating the Challenges of Growth

Strategies for Firm Growth

Franchising

Filters

Exam 3: Feasibility Analysis

The two primary issues to consider in organizational feasibility analysis are resource sufficiency and:

The two components of product/service feasibility analysis are product/service desirability and:

A ________ market is a place within a larger market segment that represents a narrower group of customers with similar needs.

The focus in organizational feasibility analysis is on financial resources.

________ feasibility is an assessment of the overall appeal of the product or service being proposed.

Think Gum, the company profiled in the opening feature for Chapter 3, produces gum. The idea behind Think Gum is to produce a gum that includes ingredients that improve concentration and memory. Think Gum initial target market was:

Which of the following statements about target markets is incorrect?

The two components of product/service feasibility analysis are:

Which of the following is not a part of assessing the product/service feasibility of a business idea?

Which of the following is an example of a resource that normally would not be evaluated as part of the "resource sufficiency" stage of organizational feasibility analysis?

A concept statement should be two-three pages long.

A(n) ________ is the group of founders, key employees, and advisers that either manage or help manage a new business in its start-up years.

John Kite is investigating the feasibility of a new type of electronic game targeting middle school and high school-age boys. Which of the following is an example of "gumshoe research" that John could conduct to get a sense of the likely demand for his game?

For financial feasibility analysis, a very detailed and comprehensive financial analysis is required.

Which of the following is not an attribute of an attractive industry?

Primary research is research that is collected by the person or persons completing the analysis.

To test resource sufficiency, a firm should list the ________ most critical non-financial resources that it will need to move its business idea forward and determine if those resources are available.

The two primary issues to consider in organizational feasibility analysis are:

What is gumshoe research and why is it important?

________ feasibility analysis is an assessment of the overall appeal of the industry and market for the product or service being proposed.

Introduction to Entrepreneurship

Recognizing Opportunities and Generating Ideas

Writing a Business Plan

Industry and Competitor Analysis

Developing an Effective Business Model

Preparing the Proper Ethical and Legal Foundation

Assessing a New Venture's Financial Strength and Viability

Building a New Venture Team

Getting Financing or Funding

Unique Marketing Issues

The Importance of Intellectual Property

Preparing for and Evaluating the Challenges of Growth

Strategies for Firm Growth

Franchising

Filters