Chapter 5 Flashcards
What is a business model?
A plan for how a venture will be funded, how it creates value for stakeholders, how offerings are made and distributed, and how income will be generated.
What is competitive advantage?
Describes your venture’s unique benefits that poise it for growth.
What is creative destruction?
A theory developed by Joseph Schumpeter stating that entrepreneurial innovation is the disruptive force that creates and sustains economic growth, while destroying established companies and disrupting employment.
Who are customers in a business context?
People the business will be serving, including potential customers from one or more market segments.
What is demand?
The need or desire for the outputs, the product or services.
What are demographics?
Statistical factors of a population or group, such as information about age, gender, income, race, or ethnicity.
What is entrepreneurial opportunity?
The point at which identifiable consumer demand meets the feasibility of satisfying the requested product or service, with significant market demand, structure, size, margins, and resources.
What is financial viability?
The long-term financial sustainability of an organization to fulfill its mission.
What is the gig economy?
A market system in which independent contractors fill a variety of positions.
What is infrastructure in a business context?
All resources the entrepreneur will need in order to launch and sustain a business venture.
What is an offering?
The actual product or service, its value proposition, and how you will reach and communicate with your target customers.
What is opportunity screening?
The process used to evaluate innovative product ideas, strategies, and marketing trends, focusing on financial resources, skills of the entrepreneurial team, and competition.
What is primary research?
Research that involves gathering new data.
What is secondary research?
Research that uses existing data.
What is the shared economy?
An economy in which some assets are not in use, presenting an entrepreneurial opportunity.
