Question 1

What cannot be a Kickstarter project?

Accepted Answer

A) technology products 
B) charities 
C) food and restaurant businesses 
D) retail stores 
A) technology products 
B) charities 
C) food and restaurant businesses 
D) retail stores

Question 2

Greg is using a fundraiser site and is offering 10 shares of stock to those who contribute a minimum of $100 dollars to his product.What model of crowdfunding is Greg using?

Accepted Answer

A) investor 
B) patronage 
C) reward 
D) lending 
A) investor 
B) patronage 
C) reward 
D) lending

Question 3

Which of the following is NOT one of the basic rules of Kickstarter?

Accepted Answer

A) Projects must create something to share with others. 
B) Projects must launch products within two months. 
C) Projects must be honest and clearly presented. 
D) Projects cannot fund-raise for charity. 
A) Projects must create something to share with others. 
B) Projects must launch products within two months. 
C) Projects must be honest and clearly presented. 
D) Projects cannot fund-raise for charity.

Question 4

When asking for a loan from one of his friends, Lonnie states that the product is ready to go into stores.In fact, the product is still under development.The friend is expecting the loan to be repaid in 3 months.This would be an example of:

Accepted Answer

A) guerilla marketing 
B) acceptable exaggeration 
C) a potential ethical transgression 
D) an accurate description of product readiness 
A) guerilla marketing 
B) acceptable exaggeration 
C) a potential ethical transgression 
D) an accurate description of product readiness

Question 5

Local Motors uses crowdsourcing in unique ways.Which of the following describes one of those ways?

Accepted Answer

A) to obtain customer lists 
B) to obtain ideas for their new sports cars from the general public 
C) to outsource the manufacturing of specific car parts 
D) to market the sports car 
A) to obtain customer lists 
B) to obtain ideas for their new sports cars from the general public 
C) to outsource the manufacturing of specific car parts 
D) to market the sports car

Question 6

Imagine that you have developed a concept for a wood chipper that will provide more safety than current products.You have some rough designs but would like to use Internet-based sources to develop these ideas into a prototype that can be tested.What resources would you use, and how would you use them?

Accepted Answer

Answers should recognize that it is more

Question 7

What happens if the funds raised on Kickstarter exceed those specified at the start of the project?

Accepted Answer

A) The excess money is contributed to a general fund. 
B) The owner of the project can keep the excess funds. 
C) No one is allowed to contribute once the goal has been attained. 
D) The excess must be returned to the last contributors. 
A) The excess money is contributed to a general fund. 
B) The owner of the project can keep the excess funds. 
C) No one is allowed to contribute once the goal has been attained. 
D) The excess must be returned to the last contributors.

Question 8

What is the best form of marketing for a crowdfunding project?

Accepted Answer

A) having a risk-free reward for contributions 
B) having a strong link to social media 
C) having a strong link to corporate support 
D) having frequent campaigns that expose contributors to the project 
A) having a risk-free reward for contributions 
B) having a strong link to social media 
C) having a strong link to corporate support 
D) having frequent campaigns that expose contributors to the project

Question 9

What is an advantage of 3D printing in crowdsourcing?

Accepted Answer

A) It demonstrates the use of the latest in technology. 
B) Companies can become factories. 
C) Companies can turn designs into prototypes. 
D) Small batches of product can be produced through 3D printing. 
A) It demonstrates the use of the latest in technology. 
B) Companies can become factories. 
C) Companies can turn designs into prototypes. 
D) Small batches of product can be produced through 3D printing.

Question 10

Stephen offers discounts on his product, explaining that the savings are due to prelaunch discounts.This is an example of what bootstrapping strategy?

Accepted Answer

A) product testing 
B) pilot studies 
C) penny pinching 
D) customer acquisition 
A) product testing 
B) pilot studies 
C) penny pinching 
D) customer acquisition

Question 11

Local Motors uses crowdsourcing in unique ways.Which of the following describes one of those ways?

Accepted Answer

A) to obtain customer lists 
B) to obtain ideas for their new sports cars from their community of hobbyists, designers, and engineers 
C) to obtain ideas for their new sports cars from the general public 
D) to obtain users for pilot testing 
A) to obtain customer lists 
B) to obtain ideas for their new sports cars from their community of hobbyists, designers, and engineers 
C) to obtain ideas for their new sports cars from the general public 
D) to obtain users for pilot testing

Question 12

Kevin is about to launch a crowdfunding campaign and posts a request on his Facebook page, asking people to share their experiences on crowdfunding sites.What element of conducting a campaign is Kevin observing?

Accepted Answer

A) set the right fundraising goal 
B) practice the pitch 
C) seek and accept advice 
D) get the campaign started 
A) set the right fundraising goal 
B) practice the pitch 
C) seek and accept advice 
D) get the campaign started

Question 13

Imagine that you have developed a software application and want to raise money for legal advice, filing initial business and regulatory forms, and funding your travel and marketing expenses.Describe how you would fund these early efforts.

Accepted Answer

The answer should first exhaust traditio

Question 14

Suppose that a friend of yours is considering crowdsourcing for a new smartphone app.Since he is not a programmer, he needs help developing the software.However, your friend has significant marketing outreach because he is in contact with the very people who would be most likely to download and pay for the app.Describe the advice you would give your friend, informing him of the advantages and disadvantages of crowdsourcing for his project.

Accepted Answer

The advantages would include the access

Question 15

In the investor model, crowdfunding backers will expect an equity stake in your business.

Accepted Answer

A) True 
 B)False

Question 16

What is the characteristic of the reward model of crowdfunders?

Accepted Answer

A) investors provide financial support with no expectation of direct return 
B) investors are rewarded for their financial support 
C) equity is exchanged for the contribution 
D) funds are treated as loans 
A) investors provide financial support with no expectation of direct return 
B) investors are rewarded for their financial support 
C) equity is exchanged for the contribution 
D) funds are treated as loans

Question 17

John is raising money on a crowdfunding site, and in return for contributions, offers to let the contributor purchase prelaunch product.John is using a patronage model of crowdfunding.

Accepted Answer

A) True 
 B)False

Question 18

You are ready to start your crowdfunding campaign.Describe what you should do to ensure a successful campaign.

Accepted Answer

Focus should be placed on refining the p

Question 19

Which of the following is an advantage of bootstrapping?

Accepted Answer

A) You can expand your business faster. 
B) You will avoid the risk. 
C) Angel investors and VCs are more likely to fund you if you have bootstrapped. 
D) You can rely on your own judgment and advice. 
A) You can expand your business faster. 
B) You will avoid the risk. 
C) Angel investors and VCs are more likely to fund you if you have bootstrapped. 
D) You can rely on your own judgment and advice.

Question 20

In addition to getting the information necessary to develop their products faster, what other benefit is there for the sponsor crowdsourcing for medical treatment?

Accepted Answer

A) Aggregate (anonymous) data is used to identify potential buyers, such as medical device companies or hospitals. 
B) It is an opportunity to give free medical advice. 
C) Tax deductions are available to these sites. 
D) Participants pay to participate because they will be the first to benefit from the treatment. 
A) Aggregate (anonymous) data is used to identify potential buyers, such as medical device companies or hospitals. 
B) It is an opportunity to give free medical advice. 
C) Tax deductions are available to these sites. 
D) Participants pay to participate because they will be the first to benefit from the treatment.

What cannot be a Kickstarter project?

Greg is using a fundraiser site and is offering 10 shares of stock to those who contribute a minimum of $100 dollars to his product.What model of crowdfunding is Greg using?

Which of the following is NOT one of the basic rules of Kickstarter?

When asking for a loan from one of his friends, Lonnie states that the product is ready to go into stores.In fact, the product is still under development.The friend is expecting the loan to be repaid in 3 months.This would be an example of:

Local Motors uses crowdsourcing in unique ways.Which of the following describes one of those ways?

What happens if the funds raised on Kickstarter exceed those specified at the start of the project?

What is the best form of marketing for a crowdfunding project?

What is an advantage of 3D printing in crowdsourcing?

Stephen offers discounts on his product, explaining that the savings are due to prelaunch discounts.This is an example of what bootstrapping strategy?

Local Motors uses crowdsourcing in unique ways.Which of the following describes one of those ways?

Kevin is about to launch a crowdfunding campaign and posts a request on his Facebook page, asking people to share their experiences on crowdfunding sites.What element of conducting a campaign is Kevin observing?

Imagine that you have developed a software application and want to raise money for legal advice, filing initial business and regulatory forms, and funding your travel and marketing expenses.Describe how you would fund these early efforts.

In the investor model, crowdfunding backers will expect an equity stake in your business.

What is the characteristic of the reward model of crowdfunders?

John is raising money on a crowdfunding site, and in return for contributions, offers to let the contributor purchase prelaunch product.John is using a patronage model of crowdfunding.

You are ready to start your crowdfunding campaign.Describe what you should do to ensure a successful campaign.

Which of the following is an advantage of bootstrapping?

In addition to getting the information necessary to develop their products faster, what other benefit is there for the sponsor crowdsourcing for medical treatment?

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

Creating Revenue Models

Learning From Failure

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 12: Bootstrapping for Resources

What cannot be a Kickstarter project?

Greg is using a fundraiser site and is offering 10 shares of stock to those who contribute a minimum of $100 dollars to his product.What model of crowdfunding is Greg using?

Which of the following is NOT one of the basic rules of Kickstarter?

When asking for a loan from one of his friends, Lonnie states that the product is ready to go into stores.In fact, the product is still under development.The friend is expecting the loan to be repaid in 3 months.This would be an example of:

Local Motors uses crowdsourcing in unique ways.Which of the following describes one of those ways?

What happens if the funds raised on Kickstarter exceed those specified at the start of the project?

What is the best form of marketing for a crowdfunding project?

What is an advantage of 3D printing in crowdsourcing?

Stephen offers discounts on his product, explaining that the savings are due to prelaunch discounts.This is an example of what bootstrapping strategy?

Local Motors uses crowdsourcing in unique ways.Which of the following describes one of those ways?

Kevin is about to launch a crowdfunding campaign and posts a request on his Facebook page, asking people to share their experiences on crowdfunding sites.What element of conducting a campaign is Kevin observing?

Imagine that you have developed a software application and want to raise money for legal advice, filing initial business and regulatory forms, and funding your travel and marketing expenses.Describe how you would fund these early efforts.

In the investor model, crowdfunding backers will expect an equity stake in your business.

What is the characteristic of the reward model of crowdfunders?

John is raising money on a crowdfunding site, and in return for contributions, offers to let the contributor purchase prelaunch product.John is using a patronage model of crowdfunding.

You are ready to start your crowdfunding campaign.Describe what you should do to ensure a successful campaign.

Which of the following is an advantage of bootstrapping?

In addition to getting the information necessary to develop their products faster, what other benefit is there for the sponsor crowdsourcing for medical treatment?

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

Creating Revenue Models

Learning From Failure

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