Entrepreneurship Process & Behaviour

Assignment A

1. Your family business of selling textiles is going through a bad phase with changing consumer preferences. With the change in market dynamics, you are left with no other option but to explore new opportunities to establish yourself all over again. How would you choose your next venture? How would you use your past experience to ensure minimalistic loss due to a shift in your business model? Support your answer with relevant assumptions.    

2. What is the difference between Innovation, Invention, and Creativity? What, among these, is most important to build a sustainability plan for a start-up?    

3. Briefly explain various risks associated with the early stage of a start-up. Is it possible for a start-up to create a fire-wall from these risks in any way? Explain with relevant examples.    

4. You are an Entrepreneur working with a new entrant, working on a plan to enter the instant noodles market in an already crowded market. Explain the importance of the selection of customer segments and their respective choices to justify your decision to launch or discard your plan.    

5. Evaluate the statement “You simply cannot have a flourishing entrepreneurship ecosystem without large companies to cultivate it, intentionally or otherwise.”    

6. Write a short note on the traits of an entrepreneur. Critically evaluate your own traits using SWOT to align them with that of an entrepreneur.    

7. Draw up a Business Plan for ‘Food-Kart’, a service that would deliver fresh, hot food of choice from well-established restaurants across a given locality to the office goers and residents. Include the impact of driving forces in the development of a business plan.    

8. You run a 20-year old family-owned business based in Chennai, manufacturing Headlights exclusively for General Motors. With an increased demand of cars internationally, General Motors has given you an option to increase the supplies by two folds. To increase the manufacturing capacity, you would need Land, Plant & Machinery and Working Capital. Explain at length your options to secure finances to run the business. Please state your assumptions clearly.

                                       Assignment B

Case Detail:-  
Brian Scudamore, Founder of 1-800-GOT-JUNK?, North America's largest junk removal service. Brian Scud more started his company 1-800-GOT-JUNK? in 1989 straight out of high school with $700 and a beat-up old pick-up truck. Today they have 95 franchise partners across North America with a true national presence; they are in 47 of North America's top 50 cities.
Scudamore was a risk-taker, but firm in his vision. "With a vision of creating the 'FedEx' of junk removal," says Scudamore, "I dropped out of University with just one year left to become a fulltime JUNKMAN! Yes, my father, a liver transplant surgeon, was not impressed to say the least." He chuckles, "He is onside now." Many entrepreneurs minimize their risks by outsourcing to contractors. Scudamore chose a different route. "I hired my first employee a week after I started. I knew I needed help. His name was David Spiderman, a good friend of mine. I really didn’t know yet how to hire so I just asked a buddy." It may have started as a matter of simply not knowing what else to do, but it became a philosophical issue for him. "On a bigger level, I always believed in hiring people vs. contract or consultants. I felt that if I wasn’t willing to make the investment then I was questioning my own faith in the business."
On the other hand, he's a big believer in letting other people share some of the risks. His choice of franchising as a business model allowed him rapid growth without having to turn to outside investors or other funding sources. "It’s the ultimate leverage model. People pay you a fee up-front to help them grow. Rather than lose control of my vision by going public,  I chose to franchise. It’s the ultimate growth model."
Their recipe for success has been simple. Take a fragmented business, add clean shiny trucks that act as mobile billboards, uniformed drivers, on-time service and up-front rates, and then mix in with a culture that is young, fun and completely focused on solid, healthy growth. He has managed to retain 100% ownership and bootstrapped the business solely out of cash flow, something that is very rare these days.
Although this is a simple business, they couldn't possibly have grown this quickly without technology. Taking a low tech business and putting a high tech spin on it allowed them to rapidly distinguish themselves from their competition. All calls come into a central 1-800-GOT-JUNK? Call centre where they do all the booking and dispatch for their franchise partners. Franchise partners then assess all of their real time reports, schedules, customer info, etc., off of JUNKNET, their corporate intranet. This allows franchise partners to get into business quickly, and to focus solely on growth — working on the business vs. working in the business. 1-800-GOT-JUNK? Will do about $79 Million in 2014, not a bad return on a $700.00 investment! Brian's BHAG (Big Hairy Audacious Goal) is $200 million and 250 franchise partners by Dec 31st, 2019. He says confidently, "We will get there."

Question
1. Critically evaluate the business model of 1-800-GOT-JUNK. 

2. Briefly explain the role a franchise partner plays success of such a business model. Support your answers with relevant assumptions and examples. 

3. How would you launch the same business in a market like India? Please state your assumptions and challenges clearly before you explain your B-Plan.

Assignment C

Question No.  1    
Which of the following shows the process of creating something new?    
 
Options    
Business model    
Modeling    
Innovation    
Creative flexibility

Question No.  2    
Which one of the following gives suggestions for new product and also help to market new products?    
 
Options    
Existing products and services    
Distribution channels    
Central and State governments    
Consumers

Question No.  3    
Which of the following is used by entrepreneurs to acquire experience in an international market before making a major commitment?    
 
Options    
Merger    
Joint venture    
Minority interest    
Majority interest    

Question No.  4    
The entrepreneur was distinguished from a capital provider in:    
 
Options    
Middle ages    
18th century    
17th century    
19th and 20th century

Question No.  5    
A person who managed large project was termed as the entrepreneur in the _________.    
 
Options    
Earliest period    
Middle ages    
17th century    
19th and 20th century

Question No.  6    
What is the process by which individuals pursue opportunities without regard to resources they currently control?    
 
Options    
Start-up management    
Entrepreneurship    
Financial analysis    
Feasibility planning    

Question No.  7    
Having less than 50 percent of equity share in an international venture is called:    
 
Options    
Minority interest    
Joint venture    
Majority interest    
Exporting

Question No.  8    
Having more than 50% ownership position that provides the entrepreneur with managerial control is called:    
 
Options    
Joint venture    
Majority interest    
Horizontal merger    
Diversified activity merger

Question No.  9    
Which one of the following is the process of entrepreneurs developing new products that over time make current products obsolete?    
 
Options    
New business model    
Anatomization    
Creative destruction    
None of the above

Question No.  10    
Which of the following factors is the most important in forcing U.S companies to focus on new product development and increased productivity?    
 
Options    
Entrepreneurship    
Hyper competition    
Governmental laws    
Organizational culture

Question No.  11    
Which of the following is alternatively called corporate venturing?    
 
Options    
Entrepreneurship    
Intrapreneurship    
Act of stating a new venture    
Offering new products by an existing company

Question No.  12
Individuals influencing an entrepreneur’s career choice and style are known as which of the following?    
 
Options    
Role model    
Moral-support network    
Professional support network    
Support system

Question No.  13    
The activity which occurs when the new venture is started is called:    
 
Options    
Motivation    
Business skills    
Goal orientation    
Departure point

Question No.  14    
The level at which an individual is viewed by society is called:    
 
Options    
Financial status    
Qualification    
Social status    
Achievement

Question No.  15    
Which one of the following is an important source of idea generation due to their familiarity with the needs of market?    
 
Options    
Existing products and services    
Distribution channels    
Central and State governments    
Consumers

Question No.  16    
Members of distribution channels are excellent sources for new ideas because:    
 
Options    
They are familiar with the needs of the market    
They earn a handsome profit from new business    
They do not bother if the entrepreneur bears a loss    
They have a well-developed salesforce

Question No.  17    
Which one of the following is the most important characteristic of a successful business website?    
 
Options    
Speed    
Innovation    
Graphics    
Products    

Question No.  18    
Which one of the following is the next stage to the Concept Stage of Product Planning and Development Process?    
 
Options    
Idea Stage    
Product Planning Stage    
Product Development Stage    
Test Marketing Stage

Question No.  19    
SBA stands for:    
 
Options    
Small business accountants    
Small business administration    
Small business adequacy    
Small business advisors    

Question No.  20    
Why should an entrepreneur do a feasibility study for starting a new venture?    
 
Options    
To see if there are possible barriers to success    
To identify possible sources of funds    
To estimate the expected sales    
To explore potential customers

Question No.  21    
Information regarding all of the following is related to operations, EXCEPT:    
 
Options    
Location    
Promotion    
Raw materials    
Labor skills

Question No.  22    
For which of the following copy right acquisition is desirable?    
 
Options    
Songs    
Models    
Books    
All of the above

Question No.  23    
Which of the following is TRUE for Disclosure Document?    
 
Options    
It gives recognition that he was the inventor of the idea in past    
It gives recognition that he is the first the inventor of the idea    
It gives recognition that he will be the invent an idea in future    
It gives recognition that he wants to copy the idea    

Question No.  24    
Which of the following are the Fast-growth young companies?    
 
Options    
Gazelles    
Life style    
Foundation Company    
None of the above    

Question No.  25    
Which of the following factor has allowed small companies to act like they are big ones?    
 
Options    
Technology    
Customers    
Economic development    
Competition

Question No.  26    
The resistance of employees in an organization against flexibility, growth, and diversification can be overcome by developing:    
 
Options    
Entrepreneurship    
Intrapreneurship    
Managerial domain    
Administrative domain

Question No.  27    
For the success of business plan the goals should be    
 
Options    
Limitless    
Generalized    
Specific    
Imaginary

Question No.  28    
The Grameen Bank model is affectively used by which of the following institute?    
 
Options    
Education sector    
Finance Sector    
Rural Sector    
NGOs

Question No.  29    
Which one of the factors should be considered while assessing the space for business?    
 
Options    
Parking    
Access from roadways to facility    
Delivery rates    
All of the given options

Question No.  30    
Which two work environments should be good for spawning the new enterprises?    
 
Options    
Finance and marketing    
Finance and R&D    
Marketing and R&D    
Marketing and IT

Question No.  31    
Which one of the following should consider in economy while conducting environmental analysis?    
 
Options    
GDP    
Disposable income    
Unemployment rate    
Channel of distribution

Question No.  32    
Which one of the following is a barrier to new product creation and development?    
 
Options    
Trial and error    
Opportunity parameter    
Opportunity cost    
Intrapreneurship culture

Question No.  33    
Which of the following is not true concerning the difference between managers and leaders?    
Options    
managers are appointed    
managers influence through informal means    
leaders may be appointed    
leaders can influence beyond formal authority

Question No.  34    
Persons who are able to influence others and who possess managerial authority are termed ______________.    
 
Options    
managers    
leaders    
organizers    
visionaries

Question No.  35    
Which of the following has been identified as a source of power in leadership?    
 
Options    
reward    
punishment    
legitimate referent    
all of the above

Question No.  36    
What is the target market?    
 
Options    
A group of customers a venture reaches by accident    
All consumers who purchase the venture’s product    
A specific group of potential customers toward which a venture aims its marketing plan    
A chain of discount stores    

Question No.  37    
In stage of responsibility allocation process the entrepreneur follows:    
 
Options    
Highly centralized decision-making process    
Highly decentralized decision-making process    
The somewhat centralized decision-making process    
No particular standard

Question No.  38    
Factors contributing to the creation of new venture EXCEPT:    
 
Options    
Finance    
Central and State Governments    
High interest rates    
Role models

Question No.  39    
Which one of the following gives suggestions for new product but also helps to market new product in the market?    
 
Options    
Existing products and services    
Distribution channels    
Federal government    
Consumers

Question No.  40    
Which of the following is the most important for the entrepreneur, while starting a new venture, to make an assessment of?    
 
Options    
Risk    
Profit    
Market    
Competitors