EE Final Exam

Only major strategic decisions need to be supported through marketing research.

False

A variable cost ____.

changes in the same direction and in direct proportion to changes in operation activity

A key concept in developing an expense budget is that of ______.

fixed costs

When developing a survey you should consider

including questions only pertaining to the study.

A market is____

a group of consumers who have purchasing power and unsatisfied needs

The completed business plan provides the entrepreneur with ______

a tool for communicating with financial sources

An indicator of the planning pitfall of "failure to anticipate roadblocks" is

making no admission of possible flaws in the plan.

the 4ps of marketing include all of the following except

principle (price, product, promotion, place)

Social media marketing is the application of online collaborative media for marketing purposes

True

A budget that is a statement of estimated income and expenses over a specified period of time is referred to as an an ______.

operating budget

To effectively pursue a patent violation, experts recommend that the entrepreneur _____

prepare a realistic budget for infringement

The owner of a copyright may do all of the following except

deduct the intrinsic value of the rights from one's taxes

what is meant by pricing for the life cycle?

describes the stages a new product goes through in the marketplace: introduction, growth, maturity, and decline.

Because of the ____ doctrine, it is sometimes difficult to establish infringement

fair use

That part of a patent application which identifies the features that are protected is known as the ______

the claim

A business plan is

A written document that describes all the steps necessary in opening and operating a successful business.

Skimming is setting prices at such a low level that products are sold at a loss

False (a pricing strategy that sets new product prices high and subsequently lowers them as competitors enter the market)

It is usually more expensive to gather secondary data than primary data.

False (primary is more expensive)

Which of the following is not a benefit of a business plan to the entrepreneur?

Provides a comprehensive product-launch time table

Financial information is important to entrepreneurs because it pulls together all the information presented in other segments of the business and ____.

it quantifies all the assumptions concerning business operations.