Business Management Semester 2 Exam

The purpose of a business plan is to:

• Give you business ideas

• Guarantee that you will get capital from investors

• Help you hire employees

• Describe the intent or purpose of a new business idea

Why should someone looking to start a business create a business plan?

• Obtain financing

• Makes you think about all aspects of your business

• Helps you communicate your ideas to others

• All of the above

"To inspire and nurture the human spirit - one person, one cup, one neighborhood at a time" is an example of:

• Vision statement

• Goal statement

• Mission statement

• Value statement

This section of the business plan is where you highlight the background and main idea of your business

• Executive summary

• Financial

• Market Analysis

• Company description

This section of the business plan is where you describe who your competition is and what the industry outlook is for your type of business:

• Management

• Financial

• Market analysis

• Company description

This section of the business plan is where you explain who your target market is and how you will get customers:

• Marketing

• Financial

• Market analysis

• Company description

Who should write a business plan?

• Everyone that works in the business field

• Only people that enter the business field

• Only people who want to start their own business

• Everyone that operates an existing business

All of the following are reasons to research your competition except...

• Helps determine your competitive advantage

• Helps you understand your competitors

• Tells you all about your industry

• Allows you to what you do and don't want to do

Your competitive advantage is _____________ for success

• Stregnth

• Weakness

• Strategy

• Operation

Which is NOT one of the six ways you can have a competitive advantage

• Employees

• Location

• Quality

• Price