Entrepreneurship - Chapter 14

A business model is
1. The system through which an enterprise collects money
2. The system through which an enterprise creates economic value from a business idea
3. The system through which an enterprise delivers service
4. A means of bringing together the front and back offices of the enterprise
The value system includes:
1. All of the organisations which make up an industry
2. A web of activities
3. Many e-commerce activities in an industry
4. All of the suppliers who contribute to added value for a customer
Below are some of the elements of business models. Name the one element that is NOT relevant:
1. Customers and product offering
2. The value net
3. Operations and processes
4. Revenues
Which one of the the following statements is false?
1. Products are tangible, services intangible
2. Products and services cannot be bundled together
3. Bundling products and services is NOT a source of advantage
Volume and variety are important demand concepts because:
1. Your investment in operations has to be focused on them
2. More value is created from volume than variety
3. Priorities don’t come easily
4. What’s in the front office needs to be clarified
Which one of the following examples of things that drive costs is correct:
1. Volume of demand differences
2. Premises
3. The value network
4. The business model
Payments can come from any of the following (tick which one option does NOT apply):
1. The end user
2. Sellers in an auction
3. Third parties not involved in the service
4. The IT system
Innovation can occur through (tick the answer: that is most relevant)
1. the design of the business model
2. the design of the front and back offices
3. the configuration of payment systems
4. the configuration of the value net
5. All of the above
6. None of the above
Business models are:
1. Only relevant to web businesses
2. Relevant to both the web and physical businesses
3. Relevant to only physical businesses
4. Rarely found in businesses of either sort
Business models are:
1. Fixed and unchanging in a business
2. Likely to cause difficulties in smaller businesses
3. Often evolutionary, changing with circumstances
4. Determined by the first owner of the business

Entrepreneurship - Chapter 14

Quiz