Business plan Entrepreneurship Bamford Chapter 3

Which of the following statements are true regarding education as it relates to skill sets? (Check all that apply.)

-Technology skills acquired through education can be particularly valuable. -Knowledge gained from formal education provides a skill set. -An opportunity that uses your education is another source of a business.

Which of the following steps are important to the development of a quality business idea? (Check all that apply.)

Analyze the market and look for a gap or need not being met effectively. List and evaluate one's personal skill sets. Compare one's ability to fill the gaps with the opportunity available.

What is the suggested starting point for generating business ideas?

Analyzing the skill set of the potential founders

Which of the following are required in the initial analysis of a business opportunity? (Check all that apply.)

Focus Financial investments Time

In the context of nonfinancial resources, which of the following are to be considered in a gap analysis for a new business? (Check all that apply.)

Physical location of the business Special contacts with suppliers Special contacts with customers

Which category of the gap analysis is typically grossly underestimated by entrepreneurs?

Time

Research suggests that successful new business ideas are NOT determined by your: (Check all that apply.)

religion. parents. gender. race.

Examining ______ around the region, nation, or world that may not have reached a particular location is one way of identifying business opportunities or gaps.

trends

True or false: Family experiences are an often overlooked source of skills for a new venture. True false question.

true

A founder or founding team must have synergy, which is a combination of: (Check all that apply.)

understanding of an industry skill set competitive advantage

The nature of the effort required for an entrepreneur to carry out an effective due diligence analysis necessitates _____.

a focus on a single business idea

The finance category on the gap analysis chart examines the: (Check all that apply.)

amount of money required to operate a business. amount of money required to start a business. amount of family resources that could be committed.

Once a skill analysis has been completed, the next step is to:

examine the marketplace for opportunities.

Which of the following contribute to personal skill sets? (Check all that apply.)

hobbies, family history, past work experience, current work experience

Successful business ideas are determined by the following

the creativity of the entrepreneur.

Entrepreneurs can examine business risk by considering three threats to business success. Those three threats are: (Check all that apply.)

threats to operational financing. threats to sales generation schemes. threats to the profit margin

The initial analysis is a process of:

moving from three to five ideas to a single idea.

Identify the characteristics of a gap analysis for a new venture using a chart. (Check all that apply.)

It requires minimal or no research. It is a reasonably quick analysis.

List the steps that are important to the development of a quality business idea. Start from the first or initial step.

1. List and evaluate one's personal skill sets 2. Analyze the market and look for a gap or need that is nothing met effectively 3.Compare ones ability to fill the identified gaps with an opportunity available

Along with the business idea, what else should be included in the first column of the gap analysis chart?

A brief explanation of the business idea

What are included in the first column of the chart used in the gap analysis? (Check all that apply.)

A brief explanation of the idea The business idea

What is included in the second column of the chart used in the gap analysis?

Categories of analysis

Why are hobbies a good skill source? (Check all that apply.)

Individuals are passionate about their hobbies. Hobbies require the development of specific skills.

Which of the following statements make interviewing key successful entrepreneurs an attractive way to identify opportunities or gaps? (Check all that apply.)

Most successful entrepreneurs have great ideas. Entrepreneurs have a keen eye for what businesses are needed in an area. Most successful entrepreneurs are too busy with their own business to pursue new ventures.

What are the typical categories used to analyze a business idea? (Check all that apply.)

Nonfinancial resources Risk Competitors Time Finance

Which of the following support the rationale for starting a business idea generation process by analyzing the skill sets of the potential founders? (Check all that apply.)

Pursuing opportunities without the requisite skill set wastes money. Pursuing opportunities without the requisite skill set wastes time. There are literally millions of opportunities.

What is the connection between the entrepreneur's skills, understanding of an industry, and the ability to create a competitive advantage such that the sum of the parts of the new business is greater than the individual parts alone?

Synergy

Which of the following are true regarding the process of generating ideas? (Check all that apply.)

The process typically requires consideration. The process typically requires interaction. The process typically requires iteration.

Which of the following are questions an entrepreneur should answer regarding work experience? (Check all that apply.)

What aspects of the job were most enjoyable? In what areas would you be considered an expert? In what businesses have you worked? What skills were critical to the jobs you performed?

Which of the following are questions an entrepreneur should address regarding education? (Check all that apply.)

What courses taken were particularly enjoyable? Have you taken specialized training in any specific area? Have you attended any unusual education programs?

Identify the questions that should be considered by an entrepreneur when analyzing the nonfinancial resources category of a gap analysis for a new business. (Check all that apply.)

What unique skills will be needed to run the business? What peculiar capabilities offer the entrepreneur a competitive advantage?

Which source of skills typically has direct applicability to the pursuit of a new business?

Work experience

What are the typical categories used to analyze a business idea? (Check all that apply.)

Competitors Time Nonfinancial resources Finance Risk