Technopreneurship 101 Midterm Reviewer: Business Terminologies

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What is the purpose of a going concern in business?

To engage in projects and hobbies without focusing on profits

To have a singular definition of success to achieve profits efficiently

To pursue profits in the short term and long term without a predetermined end date (correct)

To organize resources with a specific end date for maximum profits

What is the main difference between absolute advantage and comparative advantage?

Absolute advantage emphasizes efficiency in production, while comparative advantage prioritizes resource allocation.

Absolute advantage involves producing products with more resources, while comparative advantage focuses on efficiency.

Absolute advantage is about producing efficiently, while comparative advantage refers to producing one product more efficiently than others. (correct)

Absolute advantage deals with fewer resources, while comparative advantage involves producing multiple products simultaneously.

What does sustainable competitive advantage refer to in business strategy?

Relying on comparative advantage for long-term sustainability

Creating short-term advantages that quickly fade away

Focusing on absolute advantage to dominate the market

Maintaining an advantage over competitors through unique strategies (correct)

Which term describes the mechanical element of business making production or service repeatable?

Repeatable Signup and view all the answers

What is the focus of social responsibility according to the Chicago School of Thought?

Making profits for owners as a primary concern Signup and view all the answers

What does the balance of payments refer to in the context of a country's economy?

Total flow of money into and out of the country Signup and view all the answers

What is the main characteristic of a mixed economy?

Both the government and private business enterprises produce goods and services Signup and view all the answers

What does 'pricing power' refer to in a business context?

The ability to determine and somewhat control the selling price of goods Signup and view all the answers

Which term defines the concept where consumers base their purchases on low prices?

Price sensitive Signup and view all the answers

What defines the cost of goods sold?

Costs associated with raw materials and production of products or services Signup and view all the answers

What is the key factor in determining the price using cost-plus-pricing strategy?

Profit margin added to all costs Signup and view all the answers

Which term represents the difficulties faced by new ventures entering an industry?

'Barrier to entry' Signup and view all the answers

Which of the following is NOT a factor that businesses adjust to ensure repeatable and scalable production processes?

Federal reserve interest rates Signup and view all the answers

In an elastic market, what happens to overall demand if prices are lowered?

Demand expands Signup and view all the answers

Which of the following is NOT a type of market mentioned in the text?

Service market Signup and view all the answers

What is the primary role of the Federal Reserve Board, according to the text?

Controlling inflation by regulating the supply of money Signup and view all the answers

In an inelastic market, what happens when one or more competitors begin to lower prices?

A price war ensues Signup and view all the answers

What does the study of macroeconomics focus on, according to the text?

Aggregate relationships in a society Signup and view all the answers

Which of the following is NOT a typical element of a general elevator pitch?

Marketing strategy Signup and view all the answers

What is the primary purpose of using repetition in an elevator pitch?

To emphasize the unique selling proposition Signup and view all the answers

Which of the following should be avoided when delivering an elevator pitch?

Both A and B Signup and view all the answers

What is the primary purpose of using contrast in an elevator pitch?

To analyze and categorize data for decision-making Signup and view all the answers

Which of the following statements about storytelling in an elevator pitch is true?

Stories are effective for drawing attention and engaging the listener Signup and view all the answers

What is the recommended approach when introducing yourself at the start of an elevator pitch?

Provide your full name, even if wearing a name tag Signup and view all the answers

What is the primary purpose of providing clarity on the attributes mentioned in the text?

To help investors understand the problem, solution, market size, and investment requirements. Signup and view all the answers

What is the purpose of a tangible demonstration during a pitch?

To provide a physical representation of the product and engage the audience's imagination. Signup and view all the answers

What is the purpose of demonstrating authority during a pitch?

To command attention, respect, and intrigue from the audience. Signup and view all the answers

What is the significance of demonstrating scarcity during a pitch?

To create a sense of urgency and convey that the opportunity to invest is fleeting. Signup and view all the answers

What is the purpose of the 'Pixar Pitch' format mentioned in the text?

To provide a standard format for presenting a compelling story. Signup and view all the answers

Which of the following is NOT one of the reasons mentioned in the text for demonstrating scarcity?

The entrepreneur's lack of experience in the market creates a scarcity of knowledge. Signup and view all the answers