Question 1

A specialty tour company markets its service as offering "an experience of a lifetime." Which of the following would be the most likely pricing strategy?

Accepted Answer

A) customer-led pricing 
B) psychological pricing 
C) value-based pricing 
D) bundled pricing 
A) customer-led pricing 
B) psychological pricing 
C) value-based pricing 
D) bundled pricing C

Question 2

Different revenue streams may affect which of the following:

Accepted Answer

A) the industry your company operates in 
B) the geography your company will operate in 
C) who your customers will be 
D) all of these 
A) the industry your company operates in 
B) the geography your company will operate in 
C) who your customers will be 
D) all of these C

Question 3

Cost-led pricing refers to which of the following pricing calculations:

Accepted Answer

A) calculating the cost of manufacturing and delivering the product and adding a profit margin 
B) calculating the cost based on how much profit you have targeted in your business plan 
C) calculating the price based on the maximum price a customer will pay 
D) calculating the price based on competitive products 
A) calculating the cost of manufacturing and delivering the product and adding a profit margin 
B) calculating the cost based on how much profit you have targeted in your business plan 
C) calculating the price based on the maximum price a customer will pay 
D) calculating the price based on competitive products A

Question 4

This revenue model measures the amount of revenue generated by the number of items sold by the company.

Accepted Answer

A) razor and razor blade 
B) unit sales 
C) data revenue 
D) intermediation 
A) razor and razor blade 
B) unit sales 
C) data revenue 
D) intermediation

Question 5

A business model:

Accepted Answer

A) means the same thing as a revenue model 
B) focuses on how the product or service will serve a market need 
C) determines how profits will be made 
D) determines how revenue will be earned 
A) means the same thing as a revenue model 
B) focuses on how the product or service will serve a market need 
C) determines how profits will be made 
D) determines how revenue will be earned

Question 6

This revenue model charges customers fees based on how often goods or services are used:

Accepted Answer

A) contractor revenue model 
B) utility and usage revenue model 
C) professional revenue model 
D) franchising revenue model 
A) contractor revenue model 
B) utility and usage revenue model 
C) professional revenue model 
D) franchising revenue model

Question 7

A form of pricing high, this strategy is used for new products that have no competition:

Accepted Answer

A) customer-led 
B) competition-led 
C) skimming 
D) loss-leader 
A) customer-led 
B) competition-led 
C) skimming 
D) loss-leader

Question 8

Tony owns a bicycle shop where he sells bicycles, repairs them, and sells accessories.How many revenue streams does Tony's business have?

Accepted Answer

A) one 
B) three 
C) two 
D) it cannot be determined 
A) one 
B) three 
C) two 
D) it cannot be determined

Question 9

In this pricing strategy, a product or service is offered at or below cost in order to attract more customers:

Accepted Answer

A) skimming 
B) loss-leader 
C) customer-led 
D) competition-led 
A) skimming 
B) loss-leader 
C) customer-led 
D) competition-led

Question 10

Imagine that you help organize a car pool organization that helps connect riders with passengers.Describe the revenue stream from this business and identify the revenue model associated with it.

Accepted Answer

Answers will vary.If the revenue stream

Question 11

A grocery store offers cans of vegetables at 10 for $10.This is most likely which of the following pricing strategies:

Accepted Answer

A) skimming 
B) fair pricing 
C) psychological pricing 
D) customer-led pricing 
A) skimming 
B) fair pricing 
C) psychological pricing 
D) customer-led pricing

Question 12

Imagine that you are offering an Internet-based software service that helps people plan group projects and calendar events.Design a freemium program to attract customers.

Accepted Answer

Some service can be given away for free

Question 13

Airbnb is considered an intermediation revenue model because:

Accepted Answer

A) they help people in a real-estate-related industry 
B) they advertise on behalf of the homeowner/renter 
C) they charge commission for connecting home renters and home owners 
D) they are a new business model 
A) they help people in a real-estate-related industry 
B) they advertise on behalf of the homeowner/renter 
C) they charge commission for connecting home renters and home owners 
D) they are a new business model

Question 14

Massage Envy, a franchised spa offering massages and facials, offers discounts for people who automatically purchase a monthly service or services.What revenue model does this represent?

Accepted Answer

A) licensing revenue model 
B) franchising revenue model 
C) revolving revenue model 
D) subscription revenue model 
A) licensing revenue model 
B) franchising revenue model 
C) revolving revenue model 
D) subscription revenue model

Question 15

Joe owns a construction company and prices his services based on labor hours and the cost of material.Which of the following revenue models is Joe using?

Accepted Answer

A) contractor revenue model 
B) utility and usage revenue model 
C) professional revenue model 
D) franchising revenue model 
A) contractor revenue model 
B) utility and usage revenue model 
C) professional revenue model 
D) franchising revenue model

Question 16

Pam developed an application for the iPhone that Apple sells to their customers.Through what revenue model does Pam get revenue?

Accepted Answer

A) licensing revenue model 
B) intermediation 
C) copyright 
D) advertising revenue model 
A) licensing revenue model 
B) intermediation 
C) copyright 
D) advertising revenue model

Question 17

Which of the following would be considered an intangible?

Accepted Answer

A) clothing 
B) food 
C) hardware 
D) iTunes download 
A) clothing 
B) food 
C) hardware 
D) iTunes download

Question 18

Google charges customers who want to have priority listing as the result of a Google search.The cost-per-click would demonstrate a unit sales revenue model.

Accepted Answer

A) True 
 B)False

Question 19

Real estate brokers represent an intermediation revenue model because they help manage the transaction between the home seller and the home buyer.

Accepted Answer

A) True 
 B)False

Question 20

How should a new startup address the issues of revenue before the business makes money?

Accepted Answer

A) conduct a most likely financial forecast 
B) actively test assumptions 
C) look at businesses in other areas 
D) think things through carefully 
A) conduct a most likely financial forecast 
B) actively test assumptions 
C) look at businesses in other areas 
D) think things through carefully

A specialty tour company markets its service as offering "an experience of a lifetime." Which of the following would be the most likely pricing strategy?

Different revenue streams may affect which of the following:

Cost-led pricing refers to which of the following pricing calculations:

This revenue model measures the amount of revenue generated by the number of items sold by the company.

A business model:

This revenue model charges customers fees based on how often goods or services are used:

A form of pricing high, this strategy is used for new products that have no competition:

Tony owns a bicycle shop where he sells bicycles, repairs them, and sells accessories.How many revenue streams does Tony's business have?

In this pricing strategy, a product or service is offered at or below cost in order to attract more customers:

Imagine that you help organize a car pool organization that helps connect riders with passengers.Describe the revenue stream from this business and identify the revenue model associated with it.

A grocery store offers cans of vegetables at 10 for $10.This is most likely which of the following pricing strategies:

Imagine that you are offering an Internet-based software service that helps people plan group projects and calendar events.Design a freemium program to attract customers.

Airbnb is considered an intermediation revenue model because:

Massage Envy, a franchised spa offering massages and facials, offers discounts for people who automatically purchase a monthly service or services.What revenue model does this represent?

Joe owns a construction company and prices his services based on labor hours and the cost of material.Which of the following revenue models is Joe using?

Pam developed an application for the iPhone that Apple sells to their customers.Through what revenue model does Pam get revenue?

Which of the following would be considered an intangible?

Google charges customers who want to have priority listing as the result of a Google search.The cost-per-click would demonstrate a unit sales revenue model.

Real estate brokers represent an intermediation revenue model because they help manage the transaction between the home seller and the home buyer.

How should a new startup address the issues of revenue before the business makes money?

Entrepreneurship: a Global Social Movement

Practicing Entrepreneurship

Developing an Entrepreneurial Mindset

Supporting Social Entrepreneurship

Generating New Ideas

Using Design Thinking

Testing and Experimenting in Markets

Building Business Models

Planning for Entrepreneurs

Learning From Failure

Bootstrapping for Resources

Financing for Startups

Developing Networks

Navigating Legal and Ip Issues

Marketing and Pitching Your Idea

Financial Statements and Projections for Startups

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Exam 10: Creating Revenue Models

A specialty tour company markets its service as offering "an experience of a lifetime." Which of the following would be the most likely pricing strategy?

Different revenue streams may affect which of the following:

Cost-led pricing refers to which of the following pricing calculations:

This revenue model measures the amount of revenue generated by the number of items sold by the company.

A business model:

This revenue model charges customers fees based on how often goods or services are used:

A form of pricing high, this strategy is used for new products that have no competition:

Tony owns a bicycle shop where he sells bicycles, repairs them, and sells accessories.How many revenue streams does Tony's business have?

In this pricing strategy, a product or service is offered at or below cost in order to attract more customers:

Imagine that you help organize a car pool organization that helps connect riders with passengers.Describe the revenue stream from this business and identify the revenue model associated with it.

A grocery store offers cans of vegetables at 10 for $10.This is most likely which of the following pricing strategies:

Imagine that you are offering an Internet-based software service that helps people plan group projects and calendar events.Design a freemium program to attract customers.

Airbnb is considered an intermediation revenue model because:

Massage Envy, a franchised spa offering massages and facials, offers discounts for people who automatically purchase a monthly service or services.What revenue model does this represent?

Joe owns a construction company and prices his services based on labor hours and the cost of material.Which of the following revenue models is Joe using?

Pam developed an application for the iPhone that Apple sells to their customers.Through what revenue model does Pam get revenue?

Which of the following would be considered an intangible?

Google charges customers who want to have priority listing as the result of a Google search.The cost-per-click would demonstrate a unit sales revenue model.

Real estate brokers represent an intermediation revenue model because they help manage the transaction between the home seller and the home buyer.

How should a new startup address the issues of revenue before the business makes money?

Entrepreneurship: a Global Social Movement

Practicing Entrepreneurship

Developing an Entrepreneurial Mindset

Supporting Social Entrepreneurship

Generating New Ideas

Using Design Thinking

Testing and Experimenting in Markets

Building Business Models

Planning for Entrepreneurs

Learning From Failure

Bootstrapping for Resources

Financing for Startups

Developing Networks

Navigating Legal and Ip Issues

Marketing and Pitching Your Idea

Financial Statements and Projections for Startups

the Pitch Deck

Filters