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Start-up vs Company: Understanding the Difference

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Start-up vs Company: Understanding the Difference

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Questions and Answers

What is the main difference between a start-up and a company?

A start-up always has shares owned by the university, while a company does not.

A start-up is always profitable, while a company may not be profitable.

A start-up is always created by university students, while a company is not.

A start-up may not have established its business model, while a company has a defined business model. (correct)

What is the business model of Grifols as mentioned in the text?

Extract blood, produce artificial blood, and sell it to other companies. (correct)

Produce artificial blood and give it to donors for free.

Create new medical devices using extracted blood.

Extract blood and sell it to hospitals.

What defines a spin-off as per the text?

A company created with no external support or funding.

A startup created without any academic influence or background.

A company created by university students without any prior academic involvement.

A startup created by individuals previously associated with an academic center and related to the work done in the academic center. (correct)

What does a business plan's executive summary typically include?

Abstract and overview of what the company is about. Signup and view all the answers

Why hasn't Twitter made profits according to the text?

It doesn't know how to monetize its service. Signup and view all the answers

What is the main reason many startups fail, as mentioned in the text?

Lack of an established business model and monetization strategy Signup and view all the answers

Which scenario defines a spin-off, as per the text?

A startup created by individuals previously associated with an academic center, related to the center's previous work Signup and view all the answers

What does a business plan's vision typically encompass, according to the text?

The overarching goal or objective of the company Signup and view all the answers

What distinguishes a company from a startup, based on the text?

Having an established business model Signup and view all the answers

Why hasn't Twitter made profits as per the text?

It hasn't been able to monetize its service effectively Signup and view all the answers