Business Studies Q2 Test

In the context of a business, why would a company want to “pivot”?

• To rotate.

• To increase the buyer power of its business.

• To change something that your business is doing.

• To make changes to a product based on negative reviews.

 If a person registers their company to get limited liability and owns all stock but cannot sell that stock publicly, what type of business did they register their company as?  

• A c-corp.

• A limited liability company.

• A sole proprietorship

• A general partnership

If a person registered their company to both get limited liability and be able to sell their company’s stocks publicly, and the company was legally bound to operate solely on a profit motive, what type of business would they have registered their company as?

• A c-corp.

• A limited liability company.

• A sole proprietorship

• A general partnership

If a person did not do anything to register their company other than buy a business license and declare self-employment on their taxes, what type of business would the government consider them?

• A c-corp.

• A limited liability company.

• A sole proprietorship

• A general partnership

What is the point of producing a minimum viable product?

• To get positive feedback from consumers.

• To see if a product should be completely abandoned.

• To see if it is possible to produce as much products as humanly possible.

• To test and improve the product’s market potential.

What is a “minimum viable product”? 

• A bad product.

• A good product.

• A product with enough features to attract customers.

• A product at the end of its development cycle

In the context of business registration, what is the benefit of “limited liability”?

• Being morally responsible for anything the company does.

• Being able to say that you are better than other companies.

• Having to pay less tax.

• If your company goes bankrupt you won’t have to pay for it.

If you had a business whose stock was publicly traded and run by a CEO and board of directors, but whose operation was guided by a charter of values so that it would not be forced by its shareholders to make decisions solely based on profit, what sort of business would you have?

• A general partnership

• A limited partnership

• A sole proprietorship

• A b-corp

What should happen to a company's products after it pivots?

• The company’s products should be discontinued.

• The company should produce more competitive products.

• The company’s products should change based on the creator’s opinions.

• The company’s products should change in a random way.

Should a minimum viable product be perfect?  Why/why not?

• Yes: an MVP is the “most viable product”.

• Yes: an MVP represents a product at the end of its design cycle.

• No: an MVP exists to gain feedback for future improvement.

• No: an MVP is supposed to be bad.