Question 1

This pricing strategy packages goods together at a lower price than if they were sold separately:

Accepted Answer

A) bundled pricing 
B) discount pricing 
C) fair pricing 
D) introductory offer 
A) bundled pricing 
B) discount pricing 
C) fair pricing 
D) introductory offer

Question 2

A popular sports company grants a license to people who use their logo on T-shirts and caps.They charge the company for the rights to use the logo.This is an example of which of the following revenue models?

Accepted Answer

A) advertising revenue model 
B) intermediation revenue model 
C) licensing revenue model 
D) razor-and-razor-blades model 
A) advertising revenue model 
B) intermediation revenue model 
C) licensing revenue model 
D) razor-and-razor-blades model

Question 3

If a company has two revenue streams, what must the entrepreneur ask in relation to revenue?

Accepted Answer

A) How many customers will I need for each stream? 
B) How much will each revenue stream contribute to total revenue? 
C) How many more revenue streams will I need? 
D) Will my revenue streams compete with each other? 
A) How many customers will I need for each stream? 
B) How much will each revenue stream contribute to total revenue? 
C) How many more revenue streams will I need? 
D) Will my revenue streams compete with each other?

Question 4

What is the primary source of revenue for Skype, a company that offers free online video and phone service?

Accepted Answer

A) the money they charge for a connection 
B) the money they charge for Skypeout, the service that calls land lines and cell phones 
C) the long-distance fees 
D) the monthly subscription fee 
A) the money they charge for a connection 
B) the money they charge for Skypeout, the service that calls land lines and cell phones 
C) the long-distance fees 
D) the monthly subscription fee

Question 5

If free products are not attracting customers, what action would be appropriate?

Accepted Answer

A) discontinue the free product 
B) explain why upgrades would be appropriate 
C) add features to the free product 
D) lower the features in the free product 
A) discontinue the free product 
B) explain why upgrades would be appropriate 
C) add features to the free product 
D) lower the features in the free product

Question 6

In general, reducing operating costs will be the most effective way of improving the bottom line.

Accepted Answer

A) True 
 B)False

Question 7

The operating profit represents which of the following:

Accepted Answer

A) the amount left over from revenue once all costs and operating expenses are subtracted 
B) the amount from all sales and business loans 
C) the amount from sales once costs are subtracted 
D) the amount from sales once operating expenses are subtracted. 
A) the amount left over from revenue once all costs and operating expenses are subtracted 
B) the amount from all sales and business loans 
C) the amount from sales once costs are subtracted 
D) the amount from sales once operating expenses are subtracted.

Question 8

Explain the advantages of bundled pricing and give an example.

Accepted Answer

A form of psychological pricing, bundlin

Question 9

In this pricing strategy, customers are asked how much they would pay for the product:

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

The revenue model associated with giving permission to other parties to use protected intellectual property in exchange for fees is called:

Accepted Answer

A) fee revenue model 
B) licensing revenue model 
C) intellectual property model 
D) intermediation model 
A) fee revenue model 
B) licensing revenue model 
C) intellectual property model 
D) intermediation model

Question 11

Which of these questions will not provide information for the revenue model?

Accepted Answer

A) How will my service add value to my customer? 
B) How much will my customers be willing to pay? 
C) How many customers do I need? 
D) How much cash can be generated from sales? 
A) How will my service add value to my customer? 
B) How much will my customers be willing to pay? 
C) How many customers do I need? 
D) How much cash can be generated from sales?

Question 12

What is a likely reason why someone would pay money for a franchise?

Accepted Answer

A) they are not aware of basic business practices 
B) they will not have to spend the same amount of time marketing and building the brand 
C) they do not have knowledge in the industry or business model 
D) they will not have to work as hard in running the business 
A) they are not aware of basic business practices 
B) they will not have to spend the same amount of time marketing and building the brand 
C) they do not have knowledge in the industry or business model 
D) they will not have to work as hard in running the business

Question 13

Imagine that you have started a freemium strategy and want to monitor it.Discuss how you will do this and what potential corrective actions you can take.

Accepted Answer

If products are not attracting customers

Question 14

In which revenue model does an existing business allow another party to trade under the name of that business?

Accepted Answer

A) a licensing revenue model 
B) a franchising revenue model 
C) a brokerage model 
D) an advertising model 
A) a licensing revenue model 
B) a franchising revenue model 
C) a brokerage model 
D) an advertising model

Question 15

According to research, if several people sign up for free products but do not upgrade to the premium products, then the free products offer too much and should be cut back.

Accepted Answer

A) True 
 B)False

Question 16

Find an example of sponsored or suggested content.Describe how the revenue model works.

Accepted Answer

This pricing strategy packages goods together at a lower price than if they were sold separately:

A popular sports company grants a license to people who use their logo on T-shirts and caps.They charge the company for the rights to use the logo.This is an example of which of the following revenue models?

If a company has two revenue streams, what must the entrepreneur ask in relation to revenue?

What is the primary source of revenue for Skype, a company that offers free online video and phone service?

If free products are not attracting customers, what action would be appropriate?

In general, reducing operating costs will be the most effective way of improving the bottom line.

The operating profit represents which of the following:

Explain the advantages of bundled pricing and give an example.

In this pricing strategy, customers are asked how much they would pay for the product:

The revenue model associated with giving permission to other parties to use protected intellectual property in exchange for fees is called:

Which of these questions will not provide information for the revenue model?

What is a likely reason why someone would pay money for a franchise?

Imagine that you have started a freemium strategy and want to monitor it.Discuss how you will do this and what potential corrective actions you can take.

In which revenue model does an existing business allow another party to trade under the name of that business?

According to research, if several people sign up for free products but do not upgrade to the premium products, then the free products offer too much and should be cut back.

Find an example of sponsored or suggested content.Describe how the revenue model works.

What is the first key driver of revenue?

Assume that you want to study the cost of goods sold for your business, a company that produces customer T-shirts for school sports teams.Discuss what should be considered in this study.

The costs that include design, material, manufacturing, packaging, and other costs before a sale can be made to the customer is referred to as:

Identify a company that sells database information.Describe how the data is protected for privacy and how the data results in sales.Discuss what revenue streams might be associated with the sale.

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

Exam 10: Creating Revenue Models

This pricing strategy packages goods together at a lower price than if they were sold separately:

A popular sports company grants a license to people who use their logo on T-shirts and caps.They charge the company for the rights to use the logo.This is an example of which of the following revenue models?

If a company has two revenue streams, what must the entrepreneur ask in relation to revenue?

What is the primary source of revenue for Skype, a company that offers free online video and phone service?

If free products are not attracting customers, what action would be appropriate?

In general, reducing operating costs will be the most effective way of improving the bottom line.

The operating profit represents which of the following:

Explain the advantages of bundled pricing and give an example.

In this pricing strategy, customers are asked how much they would pay for the product:

The revenue model associated with giving permission to other parties to use protected intellectual property in exchange for fees is called:

Which of these questions will not provide information for the revenue model?

What is a likely reason why someone would pay money for a franchise?

Imagine that you have started a freemium strategy and want to monitor it.Discuss how you will do this and what potential corrective actions you can take.

In which revenue model does an existing business allow another party to trade under the name of that business?

According to research, if several people sign up for free products but do not upgrade to the premium products, then the free products offer too much and should be cut back.

Find an example of sponsored or suggested content.Describe how the revenue model works.

What is the first key driver of revenue?

Assume that you want to study the cost of goods sold for your business, a company that produces customer T-shirts for school sports teams.Discuss what should be considered in this study.

The costs that include design, material, manufacturing, packaging, and other costs before a sale can be made to the customer is referred to as:

Identify a company that sells database information.Describe how the data is protected for privacy and how the data results in sales.Discuss what revenue streams might be associated with the sale.

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