1.1.1 - The Dynamic Nature of Business

Question 1

Why do new business ideas come about?

Answer 1

• Changes in technology
• Changes in customer wants
• Products and services becoming obsolete

Question 2

How do new business ideas come about?

Answer 2

• Original ideas
• Adapting previous ideas

Question 3

How do changes in technology provide business oppurtunies

Answer 3

• Making expensive technology affordable to increase quality without increasing costs
• Usage of e-commerce and m-commerce for greater convenience
• Usage of social media for promotion

Question 4

Why do products/services become obsolete?

Answer 4

• Changes in technology
• Changes in fashion, tastes or trends

Question 5

What are the advantages and disadvantages of adapting ideas over making original ideas?

Answer 5

• Less risky
• Easier
• Usually has instantly higher demand
• May be perceived as unnecessary
• Possible loss of previous, sentimental customers