WorksheetsUnit 2 Review
Total questions: 60
Worksheet time: 30mins
You can recognize potential business ideas from which of the following sources?
problems that need solving
new discoveries
changes in laws
all of the above
Which of the following describes creative thinking?
recognizing opportunities
brainstorming
looking at something in a new way
all of the above
Using an idea map can
help you put your ideas in order of importance
help you organize your business potential
help you explain the directions of a new idea
help you come up with multiple ideas at once
Which of the following is not a creative-thinking technique?
daydreaming
thinking backward
being flexible
being practical
Generating creative ideas
is an important part of being an entrepreneur
is helped by fear of failure
is not relevant to business in the real world
is for artists, not entrepreneurs
Creative thinking is also called
intelligent thinking
artistic thinking
entrepreneurial thinking
lateral thinking
Ideation is
the process of overcoming objections to a business idea
the way entrepreneurs evaluate business ideas
the process of forming new business opportunities
the process of forming new ideas
Critical thinking is the same as negative thinking.
T
F
Ideas for business opportunities can be found in newspapers and magazines.
T
F
It’s better to brainstorm alone than with a group.
T
F
To generate business ideas, ask other people about their pain points.
T
F
Entrepreneurs sometimes come up with business ideas by challenging the unusual.
T
F
A manufacturer with whom you discuss a product idea should sign this type of agreement to
keep the information that is discussed confidential.
prototype agreement
privacy agreement
feasibility agreement
nondisclosure agreement
You can buy an independent business from a
franchisor
franchisee
business broker
all of the above
The time period for acting on a business opportunity before it is lost is called the
business window
window of opportunity
starting period
opportunity time frame
Which of the following is not a benefit of buying a franchise?
customer awareness
easier financing
proven system
more entrepreneurial freedom
A royalty fee is paid
based on a percentage of the franchise earnings
to the franchisor
on a regular, ongoing basis
all of the above
An idea might be a business opportunity
your friends like it
it is creative
it passes the entrepreneurship test
it meets a consumer need
A need is something people must have to
get along with each other
survive
make money
all of the above
Your favorite hobby is an example of an
internal source of business opportunity
idea generation
entrepreneurial mindset behavior
external source of business opportunity
A talent is an external source of opportunity
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F
A person who sells a franchise is called a franchisee.
T
F
A business broker is someone who is licensed to sell businesses.
T
F
A working prototype is a computer-aided drawing of an invention.
T
F
Which of the following is not part of a SWOT analysis?
threats
organizations
strengths
weaknesses
Which of the following is not a method for determining the feasibility of a business idea?
opportunity-cost analysis
cost/benefit analysis
SWOT analysis
intangibility analysis
Critical thinking is an entrepreneurial mindset skill that involves
using the creative part of your mind to analyze or evaluate a situation
being critical of your business associates
thinking like a critic
using logic to analyze and evaluate a situation or object
Critical thinking involves
objectivity
logic
subjectivity
all of the above
Making a judgment about another person based on how you feel about his or her favorite artist
is
fair
subjective
objective
balanced
To conduct an accurate cost/benefit analysis, don’t forget to include
calculated risk
threats
insurance benefits
opportunity cost
When performing a SWOT analysis of a business opportunity, your competitors would be
classified as a
threat
weakness
option
strength
Which of the following is not one of the four parts of a business canvas?
business model
critical thinking
competition
value proposition
If something is intangible, you can’t
see it
eat it
touch it
all of the above
A calculated risk is one that carefully considers the potential costs and benefits of an idea.
T
F
A SWOT analysis measures strengths, weaknesses, opportunities, and time frame.
T
F
An opportunity cost of going to college for four years is the money you could earn working at a
job instead for four years.
T
F
A market is
a step in the product planning process.
a group of potential customers for a particular product or service
a group of entrepreneurs.
a place where businesses are bought and sold.
Carrying capacity indicates
the buying patterns for a particular market
the maximum number of market segments
the limitations of a particular method of market research
the growth potential for a business entering a particular industry
Which of the following is not an example of data that would be included in a B2C customer profile?
age of customer
gender of customer
geographic location of customer
type of industry
Companies that sell to other companies are called
B2C
B2B
none of the above
C2C
UE testing stands for
user ending testing
user experience testing
user eagerness testing
utility experience testing
Which of the following is not a source for gathering secondary data?
Chamber of Commerce
focus group
Forbes Magazine
Census Bureau
Social media can be used as a free market research tool by
improving your product based on the feedback you get
seeing what kind of deals and pricing your competition is offering
testing offers for your product or service and see what kind of response you get
all of the above
To send a mailing to potential customers, you would buy names and addresses from a
customer profile company
secondary data source
list-rental company
primary data source
Potential customers in a market can include people or businesses.
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F
Demographics include age, marital status, and education.
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Secondary data includes information gathered by the U.S. federal and state governments.
T
F
A list-rental company provides lists of names and addresses for mass marketing of a product or service
T
F
Before performing market research, the first thing you should do is
analyze the competition
identify your target market
identify your research objective
determine the research method
The most important reason to do ongoing market research is
to help entrepreneurs find new ideas
to test assumptions about a business opportunity
to waste time in between sales
to throw out the work already done on an idea
How do you organize market research data?
create a competitive matrix of indirect competitors
create a grid that compares the characteristics of three or four direct competitors
group indirect competitors by demographics
all of the above
Which of the following is not one of the basic steps of market research?
identifying research objectives
obtaining finances
analyzing the data gathered
organizing the data gathered
Business model validation means
to disregard market research data that does not prove your business idea is valid
to use market research to prove that your business idea is a valid opportunity
to use modeling to prove that your business idea is a real (valid) business opportunity
to build a computer model of your business
Entrepreneurs using the lean startup methodology
usually fail
avoid using websites
skip market research altogether
use feedback from their customers to improve their businesses
Market research will help you validate a business idea before you invest too much money in it.
T
F
Deciding how much to charge for a product is one of the six steps of market research.
T
F
Make an effort to be subjective when analyzing market research you have collected
T
F
Lean startup methodology involves running your business while you conduct market research, instead of doing the market research before you open for business.
T
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Any data you find online you can assume to be accurate and true.
T
F
Conducting market research will help you avoid costly mistakes.
T
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