BUS410_Ch05_Teacher: Dao Cong Tuan

What is the first criterion that indicates an idea may be recognized as an opportunity?

• It has been discussed with friends.

• It addresses a specific need or problem.

• It has potential funding sources.

• It is similar to existing products.

What does "Significant Market Demand" refer to when recognizing an opportunity?

• The number of competitors in the market.

• The total revenue generated by existing businesses.

• A strong desire or need for a product or service among consumers.

• The availability of raw materials.

Which criterion assesses the overall potential size and structure of a market?

• Significant Market Structure and Size

• Significant Market Demand

• Significant Margins and Resources

• Market Saturation

What is meant by "Significant Margins and Resources"?

• The amount of marketing budget available.

• The number of employees in a company.

• The geographical reach of the product.

• The profitability of the business model and the resources needed to operate.

Why is "Insufficient Capital" a critical reason for small business failure?

• It leads to low product quality.

• It prevents the business from covering unexpected expenses.

• It causes problems with customer relations.

• It results in decreased employee motivation.

Which factor can significantly impact the success of a business but may be less important for home-based businesses?

• Location

• Product quality

• Customer service

• Marketing strategy

Why is poor credit management a critical issue for small businesses?

• It affects the business's location.

• It can limit access to funding.

• It improves employee morale.

• It increases sales potential.

What is the main goal of the three circles competitive analysis?

• To increase production efficiency.

• To identify market gaps and competitive advantages.

• To reduce operational costs.

• To analyze employee performance.

How do the three circles of competitive analysis help a new venture?

• By detailing employee roles and responsibilities.

• By outlining production timelines.

• By setting marketing budgets.

• By identifying areas of unmet customer needs.

Which component of the business model focuses on the products or services offered?

• Customers

• Financial Viability

• Offering

• Infrastructure