Exam 3: Getting Started

Some possibilities for new startup ideas based on knowledge gleaned from a present or recent job are modifying an existing product, improving a service, or duplicating a business concept in a different location.

In analyzing the industry environment of the particular field into which Charles was about to enter in business, he found that there existed a fierce rivalry between the competitors that were currently in the business. This would offset the desirability of entering the industry in which of the following ways?

Small firms are pursuing a focus strategy if they adapt their efforts to concentrating on a specific niche within the market.

Substitute products

Market segmentation and niche marketing are similar in that they both utilize a top-down approach that breaks the market into smaller, more manageable sub-markets.

The two broad strategies for building a competitive advantage are the _____ strategies.

Which of the following is one of the factors that determines the nature and degree of competition in an industry, as identified by Michael Porter in his book Competitive Advantage?

The industry environment can best be defined as the combined forces that directly impact a given firms and its competitors.

Serendipity is the faculty for making desirable discoveries by accident.

Generally speaking, a strategy is

A SWOT analysis encompasses both the inside-out and outside-in approaches in determining an overview of a venture's strategic situation.

Following a cost-based strategy can give a small firm a competitive advantage.

The general environment profiles a number of important trends, among which are economic trends including the rate of inflation, interest rates and even currency exchange rates, all of which promote or discourage business growth.

All of the following are specified by Michael Porter as factors that determine the nature and degree of competition in an industry except

An example of a Type B startup idea is

A(n) _____ exists when multiple resources are integrated and then deployed to the firm's advantage.

Marketplace Farms is a regional cooperative of apple and orange growers. In order to compete against larger regional growers, Marketplace Farms relies on low-cost migrant workers instead of machines and inexpensive packaging processes. (That is, it uses individual hand-packaging instead of assembly lines.) Marketplace Farms is relying on a

Focus strategies can be implemented in any of the following ways except

Resources are best described as

An increase in the bargaining power of suppliers