Chapter 3.2

Question 1

Viability study

Answer 1

An in-depth investigation into the profitability of the idea, which is to be converted into a business enterprise

Question 2

Before evaluating the ideas 2 things must be clear

Answer 2

-What will be the chief activities of the business?

-Who will the customers be?

Question 3

Activities of the business will consist of two or more of the following:

Answer 3

-Manufacture of a product
-Provision of a service
-Sale of other people’s products/ services

Question 4

Your customers will consist of

Answer 4

-Individuals and or organisations

Question 5

Bow-Tie diagram can be used to develop your business idea in terms of

Answer 5

-The essence of the idea
-The possible combination of ideas
-The possibility of taking of new direction with ideas

Question 6

To determine whether your business idea is feasible you must answer the following questions:

Answer 6

-Do you want to do what the idea suggests?

-Is there a market for your idea?

-Can you meet the needs of your customer?

-Can you advertise the idea to your customer?