Exam 2: Start-Up and the Need for Competitive Advantage

Jennifer can't wait to start her business.The excitement of running her own enterprise and the risks of failure are both thrilling to her.What is Jennifer experiencing?

Many new businesses are formed as a result of the entrepreneur's prior work experience,through which he or she sees ways to improve and/or modify a product.

A cardiologist creates a device that attaches to a smart phone to provide real-time information to a patient's doctor.The product outsells all other monitoring devices.Which factor most contributes to the competitive advantage of this product?

Folding bed sheets with elastic corners was difficult for Rose.She created a tool to help keep the corners straight.This tool worked so well she developed a web business to sell it on the Internet.What was the source of Rose's new business idea?

Niche marketing guarantees a sustainable competitive advantage.

In the textbook,Michael Porter is cited as having written about the five forces of determining the nature and degree of competition in an industry.

Which environment is very broad and includes factors that affect all businesses in society?

Define and briefly explain sustainable competitive advantage.

An effective marketing advantage can occur when the consumer is convinced of the uniqueness and desirability of the product or service-real or perceived.

Small businesses should always pursue a multisegmentation strategy as they can safely spread their resources out thinly.

According to Michael Porter,when can a focus strategy erode?

Though a number of paths can lead to competitive advantage,some of the more common ones include distinctions based on five core elements.Name these elements and provide one example of each of them.

Which component of a SWOT analysis is "lack of management skills or experience"?

Which of the following is an intangible organizational resource?

Once a competitive advantage is achieved,the entrepreneur can focus much less on the external environment to pay more attention to the internal environment.

Elle loves to cycle between small towns in Northern Ontario.This inspired her to use her own maps of safe cycling roads to create an Internet subscription business for other cycling enthusiasts.What was the source of Elle's new business idea?

Describe two reasons why the single-segmentation approach is probably the wisest strategy for small businesses to use during initial marketing efforts.

Compare the different approaches to deliberate search for new venture ideas.

Hobbies of retiring business executives can spawn start-up ideas.

The industry environment is very broad,comprising general factors that affect all,or at least most,businesses in a society.