Exam 3: Starting a Small Business

Jane wants to open a restaurant.She is not interested in a franchise; she wants to build her business literally from the ground up.When she does, her business will be classified as a:

O-MY-U once had a winning team in every college sport.But athletes graduate and fortunes change.Attendance at the games dropped when the team had a losing season.Bob and Shirley found it difficult to attract enough guests to their bed-and-breakfast to cover their costs.How would Michael Porter explain this?

Wilma needed wine glasses but all she had were candlestick holders and 250-millilitre canning jars.Gluing the two together, she created what she called "mountain crystal" which became a big hit.The local crafters' association asked her to make enough for them to sell and her business took off.This is an example of building a business from:

When screening new business ideas, the entrepreneur need not focus on the size of the targeted market.

The general environment includes rival companies and products.

A "rain tax" is based on the amount of non-water-absorbing surfaces on real estate.Which type of trend does this represent?

A SWOT analysis can be described best as:

Drs James and Janet Baker saw that many people experienced difficulty and frustration when typing, some because of physical disabilities.So they invented voice recognition software to allow users to talk to the computer.Their ideas have become Dragon Naturally Speaking, a popular talk-to-type software application.Which of these statements describes their start-up?

Lisa listens whenever someone says "Someone ought to make a ...".She expects one of these ideas to develop into a profitable business.Lisa possesses:

When conducting an outside-in analysis, one should consider the _____ environment followed by the _____ environment.

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

Based on William A.Sahlman's suggestions, which question about competitors should be answered by the business plan?

Julie, owner of a bed and breakfast inn, had been asked repeatedly to cater for events.Once she realised her kitchen was not being used during the latter part of the day, she started the catering company.This change is an example of:

When Sally realised her vintage clothing pieces were being bought by the local college students and not just their parents, she started adding more vintage pieces to her inventory.Sally is:

Ling Song noticed significant growth in the Asian population in Johannesburg.The local supermarkets carried mostly traditional South African products.She knew her neighbours would want familiar foods so she decided to open a food market catering to their preferences.Which kind of start-up will her store be?

Which statement is an example of an economic trend?

A computer technician recognising a need for more aesthetically pleasing computers would be said to have entrepreneurial _____.

A focus strategy is best described as

Many direct sales organisations suggest that the new "member" begin selling the product part-time while continuing to work at his/her regular job.Which explanation best fits this recommendation?

Generally speaking, a strategy is: