Question 1

A franchise is the instrument used to protect the owner of the technology from people imitating the technology.

Accepted Answer

A) True 
 B)False

Question 2

First movers:

Accepted Answer

A) are not able to gain from moving down the experience curve. 
B) are better positioned to satisfy customers. 
C) face more competition than late movers. 
D) fail to secure important channels. 
A) are not able to gain from moving down the experience curve. 
B) are better positioned to satisfy customers. 
C) face more competition than late movers. 
D) fail to secure important channels.

Question 3

The knowledge needed to generate innovation cannot be easily learned from a textbook.

Accepted Answer

A) True 
 B)False

Question 4

When conducting research on a new entry:

Accepted Answer

A) the more information the entrepreneur has,the more difficult it is to focus on the consumer. 
B) the entrepreneur must rely upon surveys more that market knowledge. 
C) extensive research is expensive in terms of time and money. 
D) lesser prior knowledge is advantageous since it minimizes the risk of entrepreneurial bias. 
A) the more information the entrepreneur has,the more difficult it is to focus on the consumer. 
B) the entrepreneur must rely upon surveys more that market knowledge. 
C) extensive research is expensive in terms of time and money. 
D) lesser prior knowledge is advantageous since it minimizes the risk of entrepreneurial bias.

Question 5

Customers always embrace change in products and services.

Accepted Answer

A) True 
 B)False

Question 6

By being first to market a product,the venture:

Accepted Answer

A) can tends to lose customer loyalties to late entrants. 
B) loses out to switching costs. 
C) secures access to important sources of supply. 
D) can sell its products and services at a higher price. 
A) can tends to lose customer loyalties to late entrants. 
B) loses out to switching costs. 
C) secures access to important sources of supply. 
D) can sell its products and services at a higher price.

Question 7

Explain what constitutes a new entry.

Accepted Answer

New entry refers to (1)offering a new pr

Question 8

Frequent flier miles would be an example of which barrier to entry?

Accepted Answer

A) Building customer loyalties 
B) Securing access to supply of key resources 
C) Creating product uniqueness 
D) Building in switching costs 
A) Building customer loyalties 
B) Securing access to supply of key resources 
C) Creating product uniqueness 
D) Building in switching costs

Question 9

Identify and describe the three major risk reduction strategies.
A.Narrow scope - A narrow-scope strategy offers a small product range to a small number of customer groups to satisfy a particular need.The narrow scope can reduce the risk that the firm will face competition with larger,more established firms in a number of ways.A narrow-scope strategy focuses the firm on producing customized products,localized business operations,and high levels of product quality.By focusing on a specific group of customers,the entrepreneur can build up specialized expertise and knowledge that provide an advantage over companies that are competing more broadly.The high end of the market typically represents a highly profitable niche.
B.Broad scope - broad-scope strategy can be thought of as taking a "portfolio" approach to dealing with uncertainties about the attractiveness of different market segments.By offering a range of products across many different market segments,the entrepreneur can gain an understanding of the whole market by determining which products are the most profitable.Unsuccessful products (and market segments)can then be dropped and resources concentrated on those product markets that show the greatest promise.In essence,the entrepreneur can cope with market uncertainty by using a broad-scope strategy to learn about the market through a process of trial and error.
C.Imitation strategies - Imitation is another strategy for minimizing the risk of downside loss associated with new entry.Imitation involves copying the practices of other firms,whether those other firms are in the industry being entered or from related industries.Entrepreneurs may simply find it easier to imitate the practices of a successful firm than to go through the process of a systematic and expensive search that still requires a decision based on imperfect information.In essence,imitation represents a substitute for individual learning.Imitating some of the practices of established successful firms can help the entrepreneur develop the skills necessary to be successful in the industry,rather than attempting to work out which skills are required and develop these skills from scratch.Imitation also provides organizational legitimacy.If the entrepreneur acts like a well established firm,it is likely to be perceived by customers as well established.Imitation is a means of gaining status and prestige.Customers feel more comfortable doing business with firms that they perceive to be established and prestigious.

Accepted Answer

The three major risk reduction strategie

Question 10

Identify and briefly explain the 4 ways that lead time can be extended by creating barriers to entry.Give examples where appropriate.

Accepted Answer

Building customer loyalties by trying to

Question 11

Key success factors are the requirements that any firm must meet to successfully compete in a particular industry.

Accepted Answer

A) True 
 B)False

Question 12

The longer the entrepreneur takes to research a new entry,the less accurate customer demand estimates are.

Accepted Answer

A) True 
 B)False

Question 13

Changes needed to adapt to environmental changes:

Accepted Answer

A) are easier in established organizations because of inertiA. 
B) can be avoided by late entry. 
C) are more difficult because of the entrepreneur's tendency to escalate commitment. 
D) don't affect smaller organizations. 
A) are easier in established organizations because of inertiA. 
B) can be avoided by late entry. 
C) are more difficult because of the entrepreneur's tendency to escalate commitment. 
D) don't affect smaller organizations.

A franchise is the instrument used to protect the owner of the technology from people imitating the technology.

First movers:

The knowledge needed to generate innovation cannot be easily learned from a textbook.

When conducting research on a new entry:

Customers always embrace change in products and services.

By being first to market a product,the venture:

Explain what constitutes a new entry.

Frequent flier miles would be an example of which barrier to entry?

Identify and briefly explain the 4 ways that lead time can be extended by creating barriers to entry.Give examples where appropriate.

Key success factors are the requirements that any firm must meet to successfully compete in a particular industry.

The longer the entrepreneur takes to research a new entry,the less accurate customer demand estimates are.

Changes needed to adapt to environmental changes:

Entrepreneurship and the Entrepreneurial Mind-Set

Entrepreneurial Intentions and Corporate Entrepreneurship

Creativity and the Business Idea

Identifying and Analyzing Domestic and International Opportunities

Intellectual Property and Other Legal Issues for the Entrepreneur

The Business Plan: Creating and Starting the Venture

The Marketing Plan

The Organizational Plan

The Financial Plan

Sources of Capital

Informal Risk Capital, venture Capital, and Going Public

Strategies for Growth and Managing the Implication of Growth

Accessing Resources for Growth From External Sources

Succession Planning and Strategies for Harvesting and Ending the Venture

Filters

Exam 3: Entrepreneurial Strategy: Generating and Exploiting New Entries

A franchise is the instrument used to protect the owner of the technology from people imitating the technology.

First movers:

The knowledge needed to generate innovation cannot be easily learned from a textbook.

When conducting research on a new entry:

Customers always embrace change in products and services.

By being first to market a product,the venture:

Explain what constitutes a new entry.

Frequent flier miles would be an example of which barrier to entry?

Identify and briefly explain the 4 ways that lead time can be extended by creating barriers to entry.Give examples where appropriate.

Key success factors are the requirements that any firm must meet to successfully compete in a particular industry.

The longer the entrepreneur takes to research a new entry,the less accurate customer demand estimates are.

Changes needed to adapt to environmental changes:

Entrepreneurship and the Entrepreneurial Mind-Set

Entrepreneurial Intentions and Corporate Entrepreneurship

Creativity and the Business Idea

Identifying and Analyzing Domestic and International Opportunities

Intellectual Property and Other Legal Issues for the Entrepreneur

The Business Plan: Creating and Starting the Venture

The Marketing Plan

The Organizational Plan

The Financial Plan

Sources of Capital

Informal Risk Capital, venture Capital, and Going Public

Strategies for Growth and Managing the Implication of Growth

Accessing Resources for Growth From External Sources

Succession Planning and Strategies for Harvesting and Ending the Venture

Filters