Chapter 2 - Small Business Ideas Flashcards
What is opportunity recognition
Searching and capturing new ideas that lead to business opportunities. This process often involves creative thinking that leads to discovery of new and useful ideas.
What is entrepreneurial alertness?
A special set of observational and thinking skills that help entrepreneurs identify good opportunities; the ability to notice things that have been overlooked, without actually launching a formal search for opportunities, and the motivation to look for opportunities.
What is a license?
A legale agreement granting you rights to use a particular piece of intellectual property.
What is a licensee?
the person or firm which is obtaining the rights to use a particular piece of intellectual property.
What is the licensor?
The person or organization which is offering the rights to use a particular piece of intellectual property.
What is a royalty?
A payment to a licensor based on the number or value of licensed items sold.
What is creativity?
A process producing an ideas or opportunity that is novel and useful, frequently derived from making connections among distinct ideas or opportunities.
What are elements to the creative process?
SCAMPER - Substitute, combine, adapt, magnify, put to other uses, eliminate, rearrange.
What is a radical innovation strategy?
rejecting existing ideas, and presenting a way to do things differently.
What is an imitative strategy?
an overall strategic approach in which the entrepreneur does more or less what others are already doing.
What is incremental strategy?
taking an idea and offering a way to do something slightly better than it is done presently.
What is feasibility?
The extent to which an idea is viable and realistic and the extent to which you are aware of internal to your business and external industry, market, and regulatory environment forces that could affect your business.
What is a pilot test?
A preliminary run of a business sales effort, program, or web site with the goal of assessing how well the overall approach works and what problems it might have.
What is conversion rate?
the measure of how many visitors to your web site (or people who click on your online ) advertisement actually make a purchase from you.
