Chapter 7 & 8
summary
A key employee/partner plan is also called a _____ plan.
potential customers
Service or product quality is most likely to be crucial in a business plan for _____.
four
Standard industrial classification system (SIC) codes have _____ digits.
maturity stage
The _____ is marked by a stabilization of demand, with firms in the industry moving to stabilize or improve profits through cost strategies.
company
The _____ section of a classic business plan contains the vision statement, mission statement, objectives, and background of a firm.
patterning a business on existing firms.
Imitation plus one degree of similarity results in:
it helps business owners to decide where to focus their sales and advertising efforts.
Market scope is important because:
customers
The market section of a business plan primarily focuses on _____.
New distribution channels
Which of the following is a tactical action?
Technology
Which of the following is a value benefit?
It results in a new product or service.
Which of the following is true of a blue ocean strategy?
Handouts are mailed or distributed when the business plan changes frequently.
Which of the following statements is true of a business plan presentation?
External legitimacy for a firm is best established by creating business plans.
Which of the following statements is true of business plans?
The growth plan talks about markets to be pursued and ways to leverage the firm's assets.
Which of the following statements is true of the market section of a business plan?
Informational plan
Which of the following types of plans describes a company and its product or service to potential customers or suppliers?
Shake-out
_____ is a type of life cycle stage following a boom in which there is a rapid decrease in the number of firms in an industry.
Net profit
_____ is the amount of money left after deducting the operating expenses of the business.
Compliance with regulations and laws
A law firm needs to present a business plan to government officials. Which of the following is most likely to be expected by the officials in the business plan?
concept
A(n) _____ plan provides information on the company, product/service, market, and critical risks to prospective business or marketing partners or to prospective key employees.
an incremental innovation
Amy plans to open a laundromat with a gym. She got the idea from the laundromat with a bar and game rooms, which she visits regularly. She wants to test her idea by starting out in a small space with the focus on the laundromat and a small space allocated for gym equipments. Amy's idea is an example of _____.
