Question 1

Effectuation:

Accepted Answer

A)  is driven by goals and planning 
B)  is driven by resources and actions

Question 2

A few fundamental factors in our discussion of the process is if it is………? Select those which fit within the context of the process.

Accepted Answer

A)  Linear or non-linear 
B)  Planned or improvised 
C)  Causal or effectual 
D)  Found or created 
E)  Imitative or innovative
F) Needs-driven or opportunity-driven
G) Fixed or dynamic

Question 3

Sarasvathy calls her process - the entrepreneurial method - :

Accepted Answer

A)  causation 
B)  cause-and-effect 
C)  effectuation 
D)  entrepreneurialism 
E)  liberation

Question 4

The Lean Startup school believes that the business model is the product, and states that the client values and responds to the business model, not only the specific product or service.

Accepted Answer

A) True 
 B)False

Question 5

Taking advantage of contingencies that occur along the way is emphasized in the effectual school of thought. Which of the five principles is this connected to?

Accepted Answer

A)  Lemonade principle 
B)  Affordable loss principle 
C)  Bird-in-hand principle 
D)  Patchwork principle 
E)  Pilot-in-the-plane principle

Question 6

The book expresses opportunity as both an input and an output in the entrepreneurial process. The effectual process is an example of viewing opportunity as an output.
B. False

Accepted Answer

A) True 
 B)False

Question 7

Assign the following as examples of causal or effectual reasoning.
-One invests only what one (and interested parties) are willing to lose. Focus on limiting the downsides.

Accepted Answer

A)  Effectual 
B)  Causal

Question 8

A startup is a temporary organization designed for finding and elaborating a sustainable business model in situations of extreme uncertainty. What ideas constitute the Lean Startup school of thinking? Which conclusion does NOT fit in this context?

Accepted Answer

A)  When a viable business model is achieved, the start-up process is over. 
B)  The startup process is unique/specific and differs from later stages in the business process. 
C)  Once the business model has proven itself to work, one enters the next stage - development stage. 
D)  The development stage is clearly of a different nature - not characterized by extreme uncertainty. 
E)  The development stage is not defined by "search, find and form a business model" and related processes.
F) A business can be a startup forever.

Question 9

The Lean Startup school says that "the business model is the product!"

Accepted Answer

A) True 
 B)False

Question 10

What can I achieve with the means at my disposal? is connected to one of the five principles within the effectual school of thought. Which of the five?

Accepted Answer

A)  Patchwork 
B)  Pilot-in-the-plane 
C)  Bird-in-hand 
D)  Affordable loss 
E)  Lemonade

Question 11

Start with your basic resources, as prescribed by both Sarasvathy and the effectual model. Basic resources are:

Accepted Answer

A)  both immaterial and material supplies 
B)  who you are, what you have and what you can do 
C)  your business plan, office, telephone, etc. (proof of concept) 
D)  who you know, what you have and what you can do

Question 12

Criticism of the business plan and its prevalence state that it:
(choose the correct alternatives, those which have been criticized)

Accepted Answer

A)  lays out a plan A in great detail - when a plan B and C are also necessary 
B)  can easily become focused on "me and my idea," forgetting the customer 
C)  only covers issues relevant to banks and other creditors 
D)  is poorly structured and demands too much of readers 
E) passivates and diverts one's focus away from action
F) takes time away from important activities
G) is far too vague and does not go into enough detail
H)amounts to useless pen-pushing and is neither read nor used

Question 13

The following is a potential definition of a process: "a series or flow of activities that lead to a result over time."

Accepted Answer

A) True 
 B)False

Question 14

The Lean Startup school's principle that through a series of learning loops, the uncertainties in the start-up process are reduced. With each round vis-à-vis the customer, the entrepreneur(s) advances to a higher degree of insight and certainty.

Accepted Answer

A) True 
 B)False

Question 15

The causal and the effectual - to play with both hands is a heading in the book. In other words:

Accepted Answer

A)  that effectual and causal are like fire and water 
B)  that considering entrepreneurship to be a play with two hands is a fruitful approach 
C)  a person should employ all of his/her ability, not only parts of it 
D)  the two forms of logic complement one another - they are both necessary, just at different stages

Question 16

A strategic analysis in a business plan typically includes the following: (four are correct)

Accepted Answer

A)  Offering 
B)  Competition analysis 
C)  Market analysis 
D)  Milestone planning 
E)  Target group analysis
F) PESTEL analysis
G) Our unique value-creating components - value curve

Exam 5: The Process

Effectuation:

A few fundamental factors in our discussion of the process is if it is………? Select those which fit within the context of the process.

Sarasvathy calls her process - the entrepreneurial method - :

The Lean Startup school believes that the business model is the product, and states that the client values and responds to the business model, not only the specific product or service.

Taking advantage of contingencies that occur along the way is emphasized in the effectual school of thought. Which of the five principles is this connected to?

The book expresses opportunity as both an input and an output in the entrepreneurial process. The effectual process is an example of viewing opportunity as an output. B. False

Assign the following as examples of causal or effectual reasoning. -One invests only what one (and interested parties) are willing to lose. Focus on limiting the downsides.

A startup is a temporary organization designed for finding and elaborating a sustainable business model in situations of extreme uncertainty. What ideas constitute the Lean Startup school of thinking? Which conclusion does NOT fit in this context?

The Lean Startup school says that "the business model is the product!"

What can I achieve with the means at my disposal? is connected to one of the five principles within the effectual school of thought. Which of the five?

Start with your basic resources, as prescribed by both Sarasvathy and the effectual model. Basic resources are:

Criticism of the business plan and its prevalence state that it: (choose the correct alternatives, those which have been criticized)

The following is a potential definition of a process: "a series or flow of activities that lead to a result over time."

The Lean Startup school's principle that through a series of learning loops, the uncertainties in the start-up process are reduced. With each round vis-à-vis the customer, the entrepreneur(s) advances to a higher degree of insight and certainty.

The causal and the effectual - to play with both hands is a heading in the book. In other words:

A strategic analysis in a business plan typically includes the following: (four are correct)