BUSN 100 MIDTERM EXAM

In your own words explain, are entrepreneurs born or made? I actually think it’s a combination of both. Most entrepreneurs are naturally born with special attributes like ambition, vision, passion, creativity, self-disci ...

In your own words explain, are entrepreneurs born or made? I actually think it’s a combination of both. Most entrepreneurs are naturally born with special attributes like ambition, vision, passion, creativity, self-discipline, and passion, which are all good foundations for a success entrepreneur. Although an entrepreneur may be highly creative and have a great vision, this in itself is not enough. Entrepreneurs also need some business trainings, knowledge, experience and a good sense of communicating with people. Entrepreneurs gain the majority of their experience and business training by working for other businesses and transiting into their own business. Knowledge, which is also something an entrepreneur is not born with but actually developed through some level of education but necessary to grow a business. Lastly, there is being able to communicate with people. In order for an entrepreneur to be able to relate to their potential customer and gained more customers communication through great customer service is a key factor. Question 2 of 10 10.0/ 10.0 Points In your own words, what is a venture capitalist? A venture capitalist (VC) is an outside investor that can provide the necessary capital to finance a new, growing, or troubled business. The venture capitalist has the ability to offers the much needed funding to a business. They assume a great deal of risk entering into these investments but if all goes well, they could turn a significant profit. VC’s are typical looking for businesses that have the potential of having long term financial growth, so instead of offering the capital as a loan, they are looking for gaining an equity stake. Question 3 of 10 10.0/ 10.0 Points In your own words, explain three of the nine building blocks for managers to use in developing an innovative and effective business model. Three of the nine building blocks for managers to use in developing an innovative and effective business model are: • The target customer segments addressed by the value proposition- Unfortunately no business is going to be able to cater to everyone or anyone customer or segments .Business Models that utilizes target customer segments are allowed to focus a selected group of potential customers and work on marketing strategies aimed at reaching them with the best messages to peek their interest. • The relationships established with customers- Managers must serve and encourage the development of positive relationships between themselves and existing customers in order to develop and innovative and effective business model. • The cost structure resulting of the business model- The expenses that a business must take into account when manufacturing a product or providing a service is the cost structure. The cost structure is BUSN 100/Mid-Term Exam basically the business’s ratio of fixed costs to variable costs. Question 4 of 10 10.0/ 10.0 Points What is a competitive advantage? How does marketing contribute to the creation of a competitive advantage • A competitive advantage is a superiority gained by an organization when it can provide the same value as its competitors but at a lower price, or can charge higher prices by providing greater value through differentiation. • Marketing contribute to the creation of a competitive advantages because it is a great tool that allows businesses to convince buyers or potential customers that what you have to offer them comes closest to meeting their particular need or want at that point in time. Question 5 of 10 10.0/ 10.0 Points What is market segmentation? List the steps in the market segmentation process. •A market segmentation is the process of defining and subdividing a large homogenous market into clearly identifiable segments having similar needs, wants, or demand characteristics. Its objective is to design a marketing mix that precisely matches the expectations of customers in the targeted segment. Steps in the market segmentation process: • Identify the target market • Identify expectations of the target audience • Create subgroups • Review the needs of the target audience • Name your market segment