Bus 210 - 01 Chapter 2

market strategy

A ________ specifically details how you plan to find customers and sell your product.

revenue model

A firm's ________ describes how a firm will produce a return on invested capital.

there are no competitive advantages or asymmetries because all firms have equal access to all the factors to production.

A perfect market is one in which:

focus

A strategy designed to compete within a narrow market or product segment is called a ________ strategy.

fewer products.

All of the following may lead to a competitive advantage except:

disruptors

Innovative entrepreneurs and their business firms that destroy existing business models are referred to as ________.

incubators.

Organizations that typically provide an array of services to start-up companies along with a small amount of funding are referred to as:

advertising revenue model

Stickiness is an important attribute for which of the following revenue models?

the market is saturated.

The existence of many competitors in any one market segment may indicate:

leverage

The use of a company's competitive advantage to penetrate surrounding markets is known as ________.

strategy of cost competition

Which business strategy involves implementing a new, more efficient set of business processes that other firms cannot yet obtain?

value proposition

Which element of the business model addresses what a firm provides that other firms cannot?

competitive environment

Which element of the business model refers to the presence of substitute products in the market?

the firm's management team

Which of the following gives a business model the most credibility with outside investors?

freemium strategy

Which of the following involves a company giving away a certain level of product or services without charge, but then charging a fee for premium levels of the product or service?

financial model

Which of the following is another name for a revenue model?

legal structure

Which of the following is not a key element of an elevator pitch?

the availability of supportive organizational structures

Which of the following is not a significant influence on a company's competitive environment?

venture capital investors

Which type of investor typically becomes interested in a start-up company after it has begun generating revenue?

Value proposition; revenue model

________ and ________ are typically the most easily identifiable aspects of a company's business model.