2. Business Models Flashcards
Successful technology entrepreneurs change their business models as ___ ______ __________.
The market evolves
What do all business models have? What does this involve?
A route to market. This usually involves a chain of firms.
What is the best way to develop a business model?
- Develop it early on.
- Base it on quantitative reviews of past performance and qualitative judgements of value.
- Change the model if it starts to fail.
- Have an appropriate checklist of ‘failure’ criteria.
What 5 questions need to be asked to predict whether an idea will be successful?
- What will the impact upon society be?
- Is the market attractive?
- Can it be made, will it work, will it pay for itself?
- Has the company got the necessary experience?
- What is the appropriate strategy?
What needs to be considered when thinking about the societal impact of a product?
- What is the effect upon people’s welfare? (welfare)
- Does it meet current laws/regulations? (laws/regulations)
- What will the impact of this innovation be upon the environment when it is in use and when obsolete? (environment)
- What are the safety implications of using or abusing this innovation? (safety)
What 5 questions need to be asked to figure out whether a product has market attractiveness?
- What are the size and dynamics of the potential market?
- How does it compare with the competition?
- Are there any barriers to acceptance?
- Can it be made and will it work?
- Will it make money?
When making a scientific claim about a product in an advertisement it needs to be backed by ________.
Research
What are 5 common marketing strategies for new products?
- Social media
- Influencers
- TV
- Paper-based
- Word of mouth
What 4 things do investors want to see when they’re being pitched a product?
- Backing of claims with science.
- Profit and loss forecasting (best, worst and average profit margins).
- Explanation of why it will out-perform competitors.
- Market size and growth data.
What 6 sectors of a business need team members with specialised experience?
- Marketing
- Technology
- Finances
- Management
- Production
- Distribution
What are the two types of marketing?
- Mass marketing
- Niche marketing
What are the two departments of the technology sector?
- Development
- Manufacturing
What does the finance department deal with in a business?
Equity and cash flow
What are the two types of management?
- Partner management
- Employee management
What are the 3 parameters that have to be considered by a production department?
- Quality
- Price
- Volume
