test

Question 1

different types of entrepreneurs

Answer 1

the inventor, the hustler, the imitator, the buyer

Question 2

the inventor

Answer 2

Have a vision
They often create their own crowd
First to market
Ex. Pierre Omidyar, CEO of Ebay

Question 3

the hustler

Answer 3

Start small and work hard
Focus on current task with the goal of growing it in the future
Focused and remove distractions
Favour risks over short term comfort
Ex. Mark Cuban

Question 4

the imitator

Answer 4

Copy existing ideas and improve them
Make the product/service better to gain market share
Mix of innovator and hustler
Using their knowledge to gain momentum in the market
Ex. Instagram stories and snapchat

Question 5

the buyer

Answer 5

Use their money to buy or fund an already existing company
They can buy the company outright and hire someone to run it or be a part owner
Ex. Warren Buffett
He buys underpriced businesses and holds them for the long term

Question 6

6 leadership styles

Answer 6

Directive, Authoritative, Affiliative, participative, pacesetting, coaching

Question 7

directive leadership style

Answer 7

Primary objective is to achieve complete compliance from employees
Manager tells everyone what to do
Actions of employees are closely watched
Motivates employees with threats/discipline

Question 8

authoritative leadership style

Answer 8

Primary objective is to provide long-term direction and vision for employees
Strict, but fair management style
Gives employees clear instruction and steps to follow
Motivates by feedback and persuasion

Question 9

affiliative leadership style

Answer 9

Primary objective is to create harmony and peace between managers and employees
Needs of people are placed above task
Strives to achieve good relationships among employees and tries to avoid conflict
Motivates by keeping people happy

Question 10

participative leadership style

Answer 10

Primary objective is to build commitment and allow employees to have a voice
Manager ensures that everyone will be heard
Encourages employee opinions when coming to decisions
Motivates by rewarding employees for team effort

Question 11

pacesetting leadership style

Answer 11

Primary objective is to complete tasks to a high standard above anything else
Manager will do it themselves if needed
Manager will perform a lot of the tasks, but expects employees to follow suit
Motivates by setting high standards for employees and expects independence

Question 12

coaching leadership style

Answer 12

Primary objective is to give long-term professional experience and direction for employees
Manager who wants to help employees develop their skills
Helps and encourages employees to improve and become better
Motivates with opportunities for professional development

Question 13

4 main types of business models and 2 others

Answer 13

main: B2B, B2C, C2B, C2C
others: B2A, C2A

Question 14

B2C business model

Answer 14

Most common business model
Buying clothes, household supplies, entertainment, is usually a B2C model
Typically spends less money marketing
PRO: easy to buy from
CON: lots of competition

Question 15

B2B business model

Answer 15

A business sells products/service to another business who typically will sell to consumers
Typically has higher order value and more repeating purchases
This model is currently growing and B2B businesses are becoming more important online
PRO: Businesses will buy supplies in bulk from these businesses
CON: Limited market since businesses find one vendor and stick with them

Question 16

C2B business model

Answer 16

An individual/consumer who offers a product/service to a business
Common with social media and influencers (ex. sponsorships)
Influencers use their platform to promote products which helps marketing of business
PRO: Allows businesses to see products through consumer views
CON: Unpredictable

Question 17

C2C business model

Answer 17

Common in online marketplaces like Facebook Marketplace, and Ebay
Allows consumers to sell products/services to other consumers
PRO: Lower cost (typically)
CON: Quality control and scams

Question 18

B2A business model

Answer 18

E-commerce specific business model
Example: business providing an employment site/portal for government
PRO: Direct communication between government and business
CON: Security breaches can affect business and government

Question 19

C2A business model

Answer 19

Includes all electronic transactions between consumer and government
Examples: filing taxes, payment of health services
PRO: Money goes directly from consumer to government
CON: Government Administration could be corrupted

Question 20

invention vs innovation

Answer 20

Invention: Creating something that has never been done before
Innovation: Improving something that already exists with different features/fixes

Question 21

example strengths in SWOT analysis

Answer 21

Experience, Special Marketing, Location, Quality, etc.

Question 22

example weaknesses in SWOT analysis

Answer 22

Lack of marketing, Location, High prices, Lack of quality, etc.

Question 23

example opportunities in SWOT analysis

Answer 23

Merges, Joint Alliances, New international market, Technology, etc.

Question 24

example threats in SWOT analysis

Answer 24

Eg. New competitors, Price wars, Weather, Taxation, etc.

Question 25

rules when creating SWOT

Answer 25

Be realistic
It should distinguish where your business is today vs where it could be in the future
Be specific
Always apply SWOT to your competitors (i.e. are you better or worse than your competition)

Question 26

smart goals, what does it stand for

Answer 26

specific, measurable, achievability, relevant, time-bound

Question 27

parts of a venture plan

Answer 27

executive summary, business overview, market analysis/market plan, physical+ human resources, operating strategies, financial strategy

Question 28

executive summary, venture plan

Answer 28

Arguably most important part of venture plan
Write last as ideas change
Brief overview of contents of venture plan, including brief description of business (name, product/service, industry)
Should captivate reader and make them want to read the rest of the venture plan

Question 29

business overview, venture plan

Answer 29

Describe business (product/service, industry, uniqueness ect)
Also clarify if your business is completely new or an extension of existing
Use simple terms to make it easy to understand

Question 30

market analysis/market plan, venture plan

Answer 30

Describe service/product
Outline plans regarding marketing (goals, budgets, in-depth target market analysis, marketing strategies ect)
Provide future roadmap + vision of company (in-depth sales forecast, possible competitors)

Question 31

physical + human resources, venture plan

Answer 31

Introduce the team
Explain job roles in company (hiring process, job descriptions, training plans, ect)
Detailed description of product (cost of production, source of materials ect)

Question 32

operating strategy, venture plan

Answer 32

Outline daily operational requirements (ex. facility, information ect)
Prove why location of business is the ideal location
Add information about assets/production/suppliers
Provide risk assessment

Question 33

financial strategy, venture plan

Answer 33

Monthly cash flow forecast ← important
Add financial statements(balance sheet, cash flow statement ect
Outline possible financial risks
Develop contingency plans

Question 34

who needs venture plans

Answer 34

• most if not all investors want to see before giving money
• helps owner understand business better

Question 35

different types of investors that need venture plans

Answer 35

venture capitalists, bankers, angel investors, potencial partners, strategic allies, managers

Question 36

venture capitalists

Answer 36

Need a venture plan to evaluate the profitability of a business
Investors making small/limited investments typically when a startup starts to earn money
This money gives them a stake in the business and gives startup a boost
Investors can give mentorship and guidance + has connections to grow business
Ex. Dragons in Dragon’s Den

Question 37

bankers

Answer 37

Need a venture plan to evaluate the risks before investing with the bank’s money/giving loans
Without a plan, bankers don’t know if the business is serious
Can provide both personal and commercial financial advice + give information about industries
Bankers are incredibly valuable when it comes to financials ← can help structure business deals, navigate markets, provide insight on future industry trends

Question 38

angel investors

Answer 38

Needs a venture plan to see when they can earn their money back, to look for potential success, and plan an exit strategy
Provides money at early stages of business in exchange for equity
Could be main source of money for entrepreneurs who don’t want bank loans
Can be found through family, mutual connections, or startup event

Question 39

potential partners

Answer 39

Needs a venture plan to ensure partners that business isn’t just idea, but a well thought out and worthy investment
Usually an entrepreneur who sees potential in a business and profit
Usually provides financial help or advice
Typically, these people will reach out to you for partnerships

Question 40

strategic allies

Answer 40

Needs venture plan so that the other business can know what this alliance will entail
An arrangement that allows businesses to benefit from each other while remaining independent
Companies give each other opportunities, businesses can access new markets, share information
Some types of strategic allies are joint venture, equity strategic alliance, and non-equity strategic alliance

Question 41

managers

Answer 41

Needs business plan to guide business in the right direction and to quickly make decisions based on company goals
Management is the group of leaders who takes on the leadership role in a business
Can help make decisions, hire new employees, build company culture

Question 42

common mistakes in venture plans

Answer 42

poorly written, unprofessional look, details are too vague, doesn’t touch on potential risks, doesn’t consider competition, no future plans

Question 43

csr, what it stand for and 3 ps it follows

Answer 43

corporate social responsibility
- people
- planet
- profit

Question 44

4 categories of CSR

Answer 44

environmental responsibility
- belief that business should take care of environment
philanthropic responsibility
- business actively makes world better (donating)
economic responsibility
- make financial decisions wanting to do good (investing in clean energy)
ethic responsibility
- ensures all stakeholder are treated fairly

Question 45

what does it mean to have competitive advantage

Answer 45

to have an edge over competitors in any aspect of business

Question 46

examples of competitive advantages

Answer 46

cost
- low cost vs high cost
quality
- good quality vs bad quality
niche
- niche vs broad

Question 47

what is a mission statement, what should it reveal

Answer 47

A mission statement is a written, easy-to-remember sentence; a short list of bullet points; or paragraph illustrating a business’ goals and purpose.

should reveal:
What a company want to be and whom it want to serve
Action-oriented vision statement, declaring the purpose an organization serves to its audience.
Its purpose revolves on what we need to do now to get to our goal in our future

Question 48

what should a mission statement include

Answer 48

General description of business
Function
Objectives
What, Who, Why

Question 49

what does a good mission statement have

Answer 49

The product of services it delivers
The overall philosophy or purpose of your company
Explains how the venture will meet the needs and wants of customers
Distinguishes a given organization from others

Question 50

what is a vision statement, what should it be

Answer 50

An answer to the question; “What do we want to become?”

should be:
short(one sentence), created with managers

Question 51

types of businesses

Answer 51

service providers, retailers, merchandisers, manufacturers

Question 52

types of business ownership

Answer 52

sole proprietorship, partnership, corporation, franchise

Question 53

sole proprietorship

Answer 53

• owned by single person
  pro: owner keeps profit, easy to end/start
  cons: owner responsible for all debts, time commitment

Question 54

partnership

Answer 54

• verbal or written agreement b/w 2 +ppl
  pros: more resources, share responsibilities
  cons: conflict, share profit + debts

Question 55

coporate

Answer 55

• owners are shareholders
• owners let others operate business
  pros: lost of money, owner die = keeps going
  cons: complicated to start, expensive

Question 56

3 types of corporate

Answer 56

crown, public, private