Question 1

Breakeven analysis is an approach used to determine the level of sales at which a company will have no profit or loss.

Accepted Answer

A) True 
 B)False

Question 2

The goals of an entrepreneurial start-up include profitability and growth.

Accepted Answer

A) True 
 B)False

Question 3

To get some idea of the total market for products like the one you want to launch, you could begin by _____.

Accepted Answer

A)  looking at styles advertised in magazines 
B)  going to a busy store and seeing what people are buying 
C)  asking your friends what they think is popular 
D)  examining pertinent industry research 
A)  looking at styles advertised in magazines 
B)  going to a busy store and seeing what people are buying 
C)  asking your friends what they think is popular 
D)  examining pertinent industry research

Question 4

What type of a product is described as a "purple cow" and how did Seth Godin, marketing consultant, come up with term

Accepted Answer

Seth Godin refers to truly remarkable pr

Question 5

Which of the following questions is not helpful to ask when researching an industry

Accepted Answer

A)  Is the industry growing or contracting 
B)  How important is technology to the industry 
C)  Do companies in the industry make reasonable profits 
D)  Do other small business owners that I know find the industry interesting 
A)  Is the industry growing or contracting 
B)  How important is technology to the industry 
C)  Do companies in the industry make reasonable profits 
D)  Do other small business owners that I know find the industry interesting

Question 6

Courtney Kennedy has just secured a new U.S. patent for her company. Research has shown that the product has appeal in four other countries. To be properly protected in foreign markets, Courtney must:

Accepted Answer

A)  do nothing; her U.S. patent will protect her rights outside the U.S. 
B)  apply for an international patent which will protect her anywhere in the world. 
C)  apply for a patent in every country in which the product will be sold. 
D)  apply for a patent in only one foreign country; her rights will then be protected in the other three countries. 
A)  do nothing; her U.S. patent will protect her rights outside the U.S. 
B)  apply for an international patent which will protect her anywhere in the world. 
C)  apply for a patent in every country in which the product will be sold. 
D)  apply for a patent in only one foreign country; her rights will then be protected in the other three countries.

Question 7

Using _____ analysis allows you to determine the level of sales that you must reach in order to avoid losing money.

Accepted Answer

A)  receivership 
B)  breakeven 
C)  equity 
D)  revenue 
A)  receivership 
B)  breakeven 
C)  equity 
D)  revenue

Question 8

The selling price per unit minus the variable cost per unit is called _____.

Accepted Answer

A)  contribution margin per unit 
B)  the breakeven point in units 
C)  survival price 
D)  fixed price 
A)  contribution margin per unit 
B)  the breakeven point in units 
C)  survival price 
D)  fixed price

Question 9

Document your idea:

Accepted Answer

A)  after you have discussed it with your lawyer. 
B)  after you have completed a prototype of the product. 
C)  as soon as possible. 
D)  after you have test marketed it. 
A)  after you have discussed it with your lawyer. 
B)  after you have completed a prototype of the product. 
C)  as soon as possible. 
D)  after you have test marketed it.

Question 10

Businesses in the same industry don't generally compete with each other.

Accepted Answer

A) True 
 B)False

Question 11

SCENARIO-BASED
Let’s say you want to open a shoe store that will specialize in high-end shoes. But before you do, you want to determine how many pairs of shoes you have to sell in the first year to break even (have no profit or loss). You also want to know what your profit will be in year two. You have been busy estimating some revenues and costs. Here is what you have so far:
 
-What is the breakeven point in units

Accepted Answer

A)  approximately 3,750 pairs of shoes 
B)  approximately 7,500 pairs of shoes 
C)  approximately 4,000 pairs of shoes 
D)  approximately 8570 pairs of shoes 
A)  approximately 3,750 pairs of shoes 
B)  approximately 7,500 pairs of shoes 
C)  approximately 4,000 pairs of shoes 
D)  approximately 8570 pairs of shoes

Question 12

You might want to subdivide a segment further to isolate a market.

Accepted Answer

A) True 
 B)False

Question 13

What is a niche

Accepted Answer

A niche is a narrowl

Question 14

SCENARIO-BASED
Let’s say you want to open a shoe store that will specialize in high-end shoes. But before you do, you want to determine how many pairs of shoes you have to sell in the first year to break even (have no profit or loss). You also want to know what your profit will be in year two. You have been busy estimating some revenues and costs. Here is what you have so far:
 
-What is the contribution margin per unit

Accepted Answer

A)  $160 
B)  $ 150 
C)  $70 
D)  $80 
A)  $160 
B)  $ 150 
C)  $70 
D)  $80

Question 15

A(n) _____ team consists of individuals from different functional areas assigned to work together throughout the product development process.

Accepted Answer

A)  operations 
B)  project 
C)  product 
D)  functional 
A)  operations 
B)  project 
C)  product 
D)  functional

Question 16

Which of the following statement(s) about entrepreneurs is true

Accepted Answer

A)  they take carefully calculated risks 
B)  They take unnecessary risks 
C)  They can minimize their risk by drawing on personal experience and conducting research 
D)  Both a and c 
A)  they take carefully calculated risks 
B)  They take unnecessary risks 
C)  They can minimize their risk by drawing on personal experience and conducting research 
D)  Both a and c

Question 17

A market segment is best characterized as a group of _____.

Accepted Answer

A)  stores that sell similar products 
B)  manufacturers who produce similar products 
C)  potential customers with common characteristics 
D)  consumers with comparable incomes 
A)  stores that sell similar products 
B)  manufacturers who produce similar products 
C)  potential customers with common characteristics 
D)  consumers with comparable incomes

Question 18

What is the purpose of a patent

Accepted Answer

A patent grants you "the right

Question 19

The goal of the "design with manufacturing in mind" step in the product development process is to:

Accepted Answer

A)  consider the workload of those in production. 
B)  build both quality and efficiency into the manufacturing process. 
C)  be sure any proposed products can be made easily. 
D)  eliminate any product ideas that will require new manufacturing equipment. 
A)  consider the workload of those in production. 
B)  build both quality and efficiency into the manufacturing process. 
C)  be sure any proposed products can be made easily. 
D)  eliminate any product ideas that will require new manufacturing equipment.

Question 20

A novel approach to generating new-to-the-world product ideas is hiring "creativity" consultants.

Accepted Answer

A) True 
 B)False

Breakeven analysis is an approach used to determine the level of sales at which a company will have no profit or loss.

The goals of an entrepreneurial start-up include profitability and growth.

To get some idea of the total market for products like the one you want to launch, you could begin by _____.

What type of a product is described as a "purple cow" and how did Seth Godin, marketing consultant, come up with term

Which of the following questions is not helpful to ask when researching an industry

Courtney Kennedy has just secured a new U.S. patent for her company. Research has shown that the product has appeal in four other countries. To be properly protected in foreign markets, Courtney must:

Using _____ analysis allows you to determine the level of sales that you must reach in order to avoid losing money.

The selling price per unit minus the variable cost per unit is called _____.

Document your idea:

Businesses in the same industry don't generally compete with each other.

You might want to subdivide a segment further to isolate a market.

What is a niche

A(n) _____ team consists of individuals from different functional areas assigned to work together throughout the product development process.

Which of the following statement(s) about entrepreneurs is true

A market segment is best characterized as a group of _____.

What is the purpose of a patent

The goal of the "design with manufacturing in mind" step in the product development process is to:

A novel approach to generating new-to-the-world product ideas is hiring "creativity" consultants.

The Foundations of Business

Business Ethics and Social Responsibility

Business in a Global Environment

Selecting a Form of Business Ownership

The Challenges of Starting a Business

Managing for Business Success

Recruiting, Motivating, and Keeping Quality Employees

Teamwork and Communications

Marketing: Providing Value to Customers

Operations Management in Manufacturing and Service Industries

The Role of Accounting in Business

Managing Financial Resources

Personal Finances

Managing Information and Technology

The Legal and Regulatory Environment of Business

Filters

Exam 10: Product Design and Development

Breakeven analysis is an approach used to determine the level of sales at which a company will have no profit or loss.

The goals of an entrepreneurial start-up include profitability and growth.

To get some idea of the total market for products like the one you want to launch, you could begin by _____.

What type of a product is described as a "purple cow" and how did Seth Godin, marketing consultant, come up with term

Which of the following questions is not helpful to ask when researching an industry

Courtney Kennedy has just secured a new U.S. patent for her company. Research has shown that the product has appeal in four other countries. To be properly protected in foreign markets, Courtney must:

Using _____ analysis allows you to determine the level of sales that you must reach in order to avoid losing money.

The selling price per unit minus the variable cost per unit is called _____.

Document your idea:

Businesses in the same industry don't generally compete with each other.

You might want to subdivide a segment further to isolate a market.

What is a niche

A(n) _____ team consists of individuals from different functional areas assigned to work together throughout the product development process.

Which of the following statement(s) about entrepreneurs is true

A market segment is best characterized as a group of _____.

What is the purpose of a patent

The goal of the "design with manufacturing in mind" step in the product development process is to:

A novel approach to generating new-to-the-world product ideas is hiring "creativity" consultants.

The Foundations of Business

Business Ethics and Social Responsibility

Business in a Global Environment

Selecting a Form of Business Ownership

The Challenges of Starting a Business

Managing for Business Success

Recruiting, Motivating, and Keeping Quality Employees

Teamwork and Communications

Marketing: Providing Value to Customers

Operations Management in Manufacturing and Service Industries

The Role of Accounting in Business

Managing Financial Resources

Personal Finances

Managing Information and Technology

The Legal and Regulatory Environment of Business

Filters