GMetrix Test 2

A local restaurant prides itself in having a high number of return customers. To build loyalty, the owner of the restaurant offers a free Prime Rib dinner (value $20) to any customer who purchases a meal during 10 previous visits. Meals purchased are tracked by stamps on a Loyalty Card. At the end of a month, the owner decides to calculate the customer retention cost. Number of Customers at Start of Month = 100 Number of Customers at End of Month = 120 Number of New Customers = 40 Value of Free Dinners Redeemed = $240 What was the Customer Retention Cost?

$3

What is the correct order of the Elements of a Sales Process?

1. Prospecting 2. Preparation 3. Approach 4. Presentation 5. Handling Objections 6. Closing 7. Follow-up

The owner of an organic pet food store would like to analyze the sales data to determine if the business is growing, declining, or remaining flat. Sales Revenue Last Year = $350,00 Sales Revenue Current Year = $402,500 What is the Sales Growth?

15%

A rancher is preparing to retire. He is considering selling half of his land and giving the other half to his children. He hears that development for a ski resort was just approved on land adjacent to his property. Which viable business opportunity does the retiring rancher foresee?

An increase in land value

You need to create a legal structure for your small business. You have plans for it to grow and hope in the future to sell shares to the public. Your startup partners are citizens of Mexico and Japan. You do not want to be personally responsible for the business liabilities. Which legal structure should you set up for your business?

C-Corporation

What tool is most useful in helping Customer Service support sales strategies?

CRM

What is a primary characteristic of all physical and digital sales channels?

Closing sales

What is a primary benefit of starting a new business without purchasing a franchise or buying an existing business.

Developing your own rules

you own a mobile taco truck. you have a short list of competitors. Classify some direct and indirect competition.

Direct Competition: A local Taco Bell franchise; Walk-up Mexican Food stnad Indirect Competition: A local Burger King franchise; Mobile Fish and Chips Truck

What is a characteristics of a successful entrepreneur mindset?

Doesn't give up easily

What are three online marketing platforms?

Email; Google ads; Social Media

Which two characteristics define a "small business"

Fewer than 1,500 employees; Less than $35.5 million revenue

What is one of the greatest risks to being an entrepreneur?

Financial Instability

You create strategy for lawncare services that involves assessing lawn health, applying correct herbicides and pesticides and other necessary solutions to quickly bring a lawn back to health. What are three things you will need to consider regarding the mass delivery of your service

Finding a source of materials to support your service; Training employees with the knowledge to consistently deliver the service; Creating an effective demonstration of your service for potential customers

You have an idea for a new service. Market research suggests the service is needed to solve a problem and will be enthusiastically embraced by customers. What is one of the first steps you must do before offering a new service?

Identify knowledge required

What is an example of Primary Data?

Information collected from a poll of your company Facebook followers

You have opened a for-profit adult technical school an you want to advertise it to potential students throughout your state. What marketing method would be most appropriate?

Local Television Ad

A bakery has developed a new artisan bread. The staff are giving away taste samples to customers as they enter the store. What are two criteria the bakery can use to determine the quality of their new product?

Measure sales of the new bread after customers have sampled it; Observe customer reactions while they taste the product

What are two segments in a Marketing Plan?

Psychographic; Demographic

You downloaded several of your favorite songs and used them in an ad to promote your product on social media sites. The ad was rejected because of the songs you chose. You are told that you violated Fair Use Copyright. What are three factors used to evaluate Fair Used Copyright?

Purpose of your use; Effect of your use on the potential market of the work copied; Amount of the work copied

Your company is manufacturing a new product. You need to establish a Product Quality Control Process. What are three things you must do to establish your Product Quality Control Process?

Review the results of internal quality assurance testing; Determine what standards have to be met based on the product and industry; Establish the method to use for testing product quality

You own a lawn care business. You have employees who work long hours laboring in good weather, often exceeding 40 hours per week. They also work short hours when the weather is bad, sometimes they can't work at all. You do all of the sales for your business. Which two types of compensation would be appropriate for these landscape employees?

Salary; Hourly

True/False about Product/Market Fit

True: A fit exists when people need your product rather than just seeing a potential benefit of using it; Before hypothesizing a solution, first determine if there is a problem worth solving; When users love your product so much they tell other people to use it, you have product/market fit False: Startups should develop a growth hypothesis before testing their value hypothesis

Statements about the Design Thinking Process

True: Assumptions are challenged and ideas are created in the Ideate Phase; Problem statements are written in the Define phase False: The Empathize phase tests solutions to users' problems; Building Prototypes is the final phase of the Design Thinking Process

True/False about Distribution Channels

True: Products that are bulky or large in size are usually sold directly by the company to their consumers; Technical and complex products are best sold through direct distribution False: Product price has no affect on the length of a distribution channel; The geographic location of customers does not require different distribution channels

True and False Statements about SWOT Analysis

True: Threats identified in a SWOT Analysis are the most difficult element to mitigate; Acting on weaknesses identified in a SWOT Analysis can be challenging but often can be necessary to grow your business False: Opportunities identified in a SWOT Analysis are not meant to be actionable; Strengths identified in a SWOT Analysis are new actions a business should implement

True or False about trademarks, trade secrets, copyrights, and patents

True: Trade Secrets are confidential information which made be sold or licensed; A Trademark protects a brand name False: A Copyright is used to protect a company logo; A Patent is used to protect an original work, like music

What are three characteristics of a Pitch Deck

Used to get investors attention; 10-20 slides; Highly visual

What two types of Sales Channels sell primarily to other businesses?

Wholesale; B2B

A __X__ is a multi-page document describing and detailing a business. A slide presentation for potential investors that summarizes of the key items of a business is called a __Y__ A __Z__ is a single-page business summary template that was created by Ash Maurya

X = Business Plan Y = Pitch Deck Z = Lean Canvas