Crash Course Business: Entrepreneurship Quiz

What is one of the most common reasons startups fail?

• Lack of a business plan

• Running out of money

• Excessive marketing

• Too many employees

What are direct costs also known as?

• Variable costs

• SG&A costs

• Cost of goods sold

• Fixed costs

Which of the following is an example of a fixed cost?

• Cost of raw materials

• Shipping costs

• Employee wages

• Rent for office space

What is a characteristic of a cost-driven business structure?

• Focus on high-quality service

• Minimizing costs wherever possible

• Offering luxury products

• Providing personalized customer experiences

Which company is known for its cost-driven structure?

• Tesla

• The Ritz-Carlton

• Apple

• No Frills

What is a value-driven business structure more concerned with?

• Reducing employee numbers

• Creating customer value

• Lowering product quality

• Cutting marketing expenses

What is an economy of scale?

• A method to reduce employee wages

• A way to decrease marketing efforts

• A strategy to increase product prices

• A cost advantage from producing larger quantities

What did Piper overlook in her painting business?

• The cost of advertising

• The cost of hiring employees

• The time to plan projects

• The cost of paint

What is a characteristic of social entrepreneurship?

• Ignoring environmental concerns

• Balancing profit with social impact

• Focusing solely on product quality

• Maximizing profits at all costs

Which company donates a pair of glasses for every pair sold?

• Oakley

• Gucci

• Ray-Ban

• Warby Parker