Entrepreneurship Study Guide

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. The owner has the following data: Sales Revenue last year: $350,000 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

Which is the primary characteristic of all physical and digital sales channel?

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

Which of these is a characteristic of a successful entrepreneur mindset?

Doesn't give up easily

Match each Pricing Strategy to its corresponding description. To answer, move each strategy from the list on the left to its description on the right?

Economy Pricing: prices that targeting customers looking to save as much money as possible. Bundle Pricing: pair several products together and selling them for less money than each would be individually. Market Penetration: setting prices low until after a reliable customer base is established, then raising prices. Price Skimming: Setting high prices when a product is introduced and then gradually lowering the price. Premium Pricing: high quality products marketed to high income individuals.

What are characteristics of Entrepreneurs?

Entrepreneurs are their own bosses, they can choose a business that interests them, they can create their own schedule.

Which is one of the greatest risks of being an entrepreneur?

Financial instability

Which three are online marketing platforms?

Google ads, Email, Social Media

Which expense is a variable cost?

Hourly wages for an office employee

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 customer. What is one of the first steps you must do before offering a new service?

Identify knowledge required

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. Which three are factors used to evaluate fair use 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 create 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 employee's who work long hours laboring in good weather, other 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 the sales for your business?

Salary, hourly

Which three components are characteristic of a pitch deck?

Used to get investors' attention, Highly Visual

Which are two characteristics of fulfillment centers differ from direct distribution?

Warehousing is a primary role, fulfilment centers pack and ship for a manufacturer

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

Wholesale, B2B

Which two are benefits of using angel investors to help start a business

angels often accept a lower return on investment compared to other sources of equity capital, angel investors typically do not expect to be paid until the business begins making money.