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Chap 10 Business Model and Start-up Quiz

Total questions: 10

Worksheet time: 10mins

Name
Class
Date
1.

What are the four essential elements of a business concept?

a)

The value proposition, the customer definition, the distribution channel, the product/service

b)

The product/service, the customer, the distribution channel, the value proposition

c)

The customer definition, the value proposition, the product/service, the distribution channel

d)

The distribution channel, the value proposition, the customer definition, the product/service

2.

What are the three essential elements required to test a potential business idea?

a)

What is the product and/or service, who is the customer likely to be, what is the benefit of your product/service

b)

Who is the customer likely to be, what is the benefit of your product/service, what is the product and/or service

c)

Who is the customer likely to be, what is the product and/or service, what is the benefit of your product/service

d)

What is the benefit of your product/service, what is the product and/or service, who is the customer likely to be

3.

What are the most popular legal structures for start-ups?

a)

Sole trader, Partnership, Limited liability companies

b)

Sole trader, Partnership, Corporation

c)

Sole trader, Corporation, Limited liability companies

d)

Sole trader, Franchise, Limited liability companies

4.

What is the primary purpose of a social enterprise?

a)

To compete with other businesses

b)

To reinvest profit for social purposes of the business or community

c)

To maximize profit for the owners

d)

To provide employment opportunities

5.

What are the sources of funding for a start-up?

a)

Personal savings, Venture capital, Bank loans

b)

Personal savings, Angel investors, Bank loans

c)

Personal savings, Money from family and friends, Bank loans

d)

Personal savings, Crowdfunding, Bank loans

6.

What is the legal structure in which two or more individuals invest money, skills, and other resources, and share profit and loss?

a)

Franchise

b)

Limited liability company

c)

Sole trader

d)

Partnership

7.

What is an enterprise in its early stage of operations or trading called?

a)

A mature enterprise

b)

A declining enterprise

c)

A start up enterprise

d)

A rebirth enterprise

8.

What is a business that operates under a license granted by a company to market its products or service in a particular territory called?

a)

A partnership

b)

A franchise

c)

A sole trader

d)

A corporation

9.

What is the process of using creative skills to identify a new innovation called?

a)

Opportunity recognition

b)

Market research

c)

Feasibility analysis

d)

Financial projections

10.

What are the three key issues in the start-up phase of a business?

a)

Finding customers, Building a structure, Financing

b)

Developing a business plan, Acquiring resources and personnel, Testing concept feasibility

c)

Opportunity recognition, Testing concept feasibility, Developing a business plan

d)

Market research, Feasibility analysis, Financial projections