ENTREPRENEURSHIP AND SMALL
BUSINESS CERTIFICATION EXAM
100% SOLVED
Elements xof xthe xDesign xThinking xProcess x- xcorrect xanswers x-Stage x1:
xEmphasize- xResearch xYour xUsers' xNeeds
Stage x2: xDefine- xState xYour xUsers' xNeeds xand xProblems
Stage x3: xIdeate- xChallenge xAssumptions xand xCreate xIdeas
Stage x4: xPrototype- xStart xto xCreate xSolutions
Stage x5: xTest- xTry xYour xSolutions xOut
Difference xbetween xsmall xbusinesses xand xentrepreneurs? x- xcorrect xanswers x-
Small xbusinesses xare xnot xalways xinterested xin xtaking xon xnew xbusiness
xopportunities.
Entrepreneurs xset xup xa xbusiness xwith xthe xaim xto xmake xa xprofit.
Compensation xTypes x- xcorrect xanswers x-1. xPiece xwork- xcompensation xon xa xper-
unit xbasis. xEX: xan xemployer xcan xchoose xto xpay xmechanics xa xfixed xrate xfor
xeach xvehicle xthey xrepair xinstead xof xpaying xan xhourly xrate.
, 2. xSalary- xemployee xreceives xa xset xamount xof xpay xeach xmonth xwithout xovertime
xcompensation xfor xextra xhours xworked.
3. xHourly- xEmployees xmost xaffected xby xminimum xwage xlaws xare xcompensated
xhourly.
4. xCommission- xAn xemployee xwho xis xpaid xa xpercentage xof xa xsale.
5. xEquity- xNon-cash xcompensations xoffered xto xemployees xin xplace xof xor xin
xaddition xto xa xlower xsalary.
Types xof xSales xChannel x- xcorrect xanswers x-1. xBusiness-to-Business x(B2B): xa
xtransaction xor xbusiness xconducted xbetween xone xbusiness xand xanother, xsuch xas
xa xwholesaler xand xretailer. xTransactions xtend xto xhappen xin xthe xsupply xchain,
xwhere xone xcompany xwill xpurchase xraw xmaterials xfrom xanother xto xbe xused xin
xthe xmanufacturing xprocess. x
2. xBusiness-to-Consumer x(B2C): xprocess xof xbusinesses xselling xproducts/services
xdirectly xto xconsumers, xwith xno xmiddle xperson.
Typically xrefers xto xonline xretailers xwho xsell xproducts/services xto xconsumers
xthrough xthe xInternet.
Online xB2C xbecame xa xthreat xto xtraditional xretailers, xwho xprofited xfrom xadding xa
xmarkup xto xthe xprice.
3. xRetail: xsell xitems xor xservices xto xcustomers. xThey xtypically xsell xitems xin-store
xor xmay xbe xsold xonline.
4. xWholesale: xthe xact xof xbuying xgoods xin xbulk xfrom xa xmanufacturer xat xa
xdiscounted xprice xand xselling xto xa xretailer xfor xa xhigher xprice, xfor xthem xto
xrepackage xand xin xturn xresell xin xsmaller xquantities xat xan xeven xhigher xprice xto
xconsumers.
Acquisition xCosts x- xcorrect xanswers x-These xcosts xinclude xshipping, xsales xtaxes,
xand xcustoms xfees, xas xwell xas xthe xcosts xof xsite xpreparation, xinstallation, xand
xtesting. xWhen xacquiring xproperty, xacquisition xcosts xcan xinclude xsurveying, xclosing
xfees, xand xpaying xoff xliens.
Angel xInvestor x- xcorrect xanswers x-a xwealthy xprivate xinvestor xwho xprovides xcapital
xfor xa xbusiness xstart-up xfor xa xstake xin xthe xbusiness xin xreturn.
Asset x- xcorrect xanswers x-A xtangible xitem xa xbusiness xowns. xThey xcan xgenerate
xrevenue xor xbe xconverted xinto xcash. xThey xcan xbe xphysical xitems, xsuch xas
xmachinery, xor xintangible, xsuch xas xintellectual xproperty.
BUSINESS CERTIFICATION EXAM
100% SOLVED
Elements xof xthe xDesign xThinking xProcess x- xcorrect xanswers x-Stage x1:
xEmphasize- xResearch xYour xUsers' xNeeds
Stage x2: xDefine- xState xYour xUsers' xNeeds xand xProblems
Stage x3: xIdeate- xChallenge xAssumptions xand xCreate xIdeas
Stage x4: xPrototype- xStart xto xCreate xSolutions
Stage x5: xTest- xTry xYour xSolutions xOut
Difference xbetween xsmall xbusinesses xand xentrepreneurs? x- xcorrect xanswers x-
Small xbusinesses xare xnot xalways xinterested xin xtaking xon xnew xbusiness
xopportunities.
Entrepreneurs xset xup xa xbusiness xwith xthe xaim xto xmake xa xprofit.
Compensation xTypes x- xcorrect xanswers x-1. xPiece xwork- xcompensation xon xa xper-
unit xbasis. xEX: xan xemployer xcan xchoose xto xpay xmechanics xa xfixed xrate xfor
xeach xvehicle xthey xrepair xinstead xof xpaying xan xhourly xrate.
, 2. xSalary- xemployee xreceives xa xset xamount xof xpay xeach xmonth xwithout xovertime
xcompensation xfor xextra xhours xworked.
3. xHourly- xEmployees xmost xaffected xby xminimum xwage xlaws xare xcompensated
xhourly.
4. xCommission- xAn xemployee xwho xis xpaid xa xpercentage xof xa xsale.
5. xEquity- xNon-cash xcompensations xoffered xto xemployees xin xplace xof xor xin
xaddition xto xa xlower xsalary.
Types xof xSales xChannel x- xcorrect xanswers x-1. xBusiness-to-Business x(B2B): xa
xtransaction xor xbusiness xconducted xbetween xone xbusiness xand xanother, xsuch xas
xa xwholesaler xand xretailer. xTransactions xtend xto xhappen xin xthe xsupply xchain,
xwhere xone xcompany xwill xpurchase xraw xmaterials xfrom xanother xto xbe xused xin
xthe xmanufacturing xprocess. x
2. xBusiness-to-Consumer x(B2C): xprocess xof xbusinesses xselling xproducts/services
xdirectly xto xconsumers, xwith xno xmiddle xperson.
Typically xrefers xto xonline xretailers xwho xsell xproducts/services xto xconsumers
xthrough xthe xInternet.
Online xB2C xbecame xa xthreat xto xtraditional xretailers, xwho xprofited xfrom xadding xa
xmarkup xto xthe xprice.
3. xRetail: xsell xitems xor xservices xto xcustomers. xThey xtypically xsell xitems xin-store
xor xmay xbe xsold xonline.
4. xWholesale: xthe xact xof xbuying xgoods xin xbulk xfrom xa xmanufacturer xat xa
xdiscounted xprice xand xselling xto xa xretailer xfor xa xhigher xprice, xfor xthem xto
xrepackage xand xin xturn xresell xin xsmaller xquantities xat xan xeven xhigher xprice xto
xconsumers.
Acquisition xCosts x- xcorrect xanswers x-These xcosts xinclude xshipping, xsales xtaxes,
xand xcustoms xfees, xas xwell xas xthe xcosts xof xsite xpreparation, xinstallation, xand
xtesting. xWhen xacquiring xproperty, xacquisition xcosts xcan xinclude xsurveying, xclosing
xfees, xand xpaying xoff xliens.
Angel xInvestor x- xcorrect xanswers x-a xwealthy xprivate xinvestor xwho xprovides xcapital
xfor xa xbusiness xstart-up xfor xa xstake xin xthe xbusiness xin xreturn.
Asset x- xcorrect xanswers x-A xtangible xitem xa xbusiness xowns. xThey xcan xgenerate
xrevenue xor xbe xconverted xinto xcash. xThey xcan xbe xphysical xitems, xsuch xas
xmachinery, xor xintangible, xsuch xas xintellectual xproperty.
