Business Fundamentals and Entrepreneurial Concepts Quiz

Businesses aim to generate value for customers, meeting their needs and desires.

Entrepreneurship involves taking risks to pursue innovative opportunities and achieve success.

Products are physical items, while services are intangible actions or experiences provided to customers.

SWOT analysis evaluates a business's internal strengths and weaknesses, along with external opportunities and threats.

A balance sheet presents a snapshot of a company's assets, liabilities, and equity at a given moment, aiding financial analysis.

ROI measures the profitability of an investment by calculating the ratio of return to the initial cost.

A marketing plan outlines goals, target audiences, and strategies to promote products or services.

A business model outlines the core aspects of how a company creates, delivers, and captures value.

Monopoly is a market structure, not a form of business ownership, which typically includes sole proprietorship, partnership, and corporation.

Disruptive innovation introduces groundbreaking changes, often transforming entire industries with new approaches.

Market segmentation involves dividing the target market into distinct groups based on common characteristics for more effective marketing.

Brand equity reflects the value and perception consumers associate with a brand, influencing their choices.

Venture capitalists invest in early-stage companies, offering funding in exchange for ownership stakes and potential returns.

Cash flow tracks the inflow and outflow of money within a business, ensuring liquidity and financial stability.

Bootstrapping involves self-funding a business, relying on personal resources instead of external financing.

A business plan outlines specific actions for achieving short-term objectives, while a strategic plan sets overall, long-term direction.

Economies of scale occur as production volume rises, leading to lower average costs per unit.

A feasibility study assesses the viability and potential success of a project, helping decision-making.

Agile methodology in project management promotes flexibility, collaboration, and iterative development for better adaptation to changing requirements.