TECH FINAL QUIZ

Entrepreneurs

people who identify and pursue solutions among problems, possibilities among needs, and opportunities among challenges

Entrepreneurship

• It is focused on the creation of a new enterprise that serves society and makes a positive change

• May be described as the nexus of enterprising individuals and promising opportunities

Opportunity

A favorable juncture of circumstances with a good chance for success or progress

Enterprise

It is the product of entrepreneurship

Startups

• Young companies founded to develop a unique product or service, bring it to market and make it irresistible and irreplaceable for customers

• Aims to remedy deficiencies of existing products or create entirely new categories of goods and services

Disruptors

Startups are known within their respective industries as _____

Unicorn

Term used in the venture capital industry to describe a startup company with a valuation of 1 Billion dollar without being listed on the stock market

Aileen Lee

The term “unicorn” was first coined by this venture capitalist in 2013

Problem

A matter or situation regarded as unwelcome or harmful and needing to be dealt with and overcome

Institutional voids

Refers to the absence of intermediaries like market research firms and credit card systems to efficiently connect buyers and sellers

Tarun Khanna

Who coined institutional voids?

Objectives and Key Results

What is the meaning of OKRs

Objectives and Key Results (OKRs)

Are a management methodology which helps to ensure that your company focuses efforts on the same important issues throughout the organization

Objective

It’s what you want to accomplish

Key Results

How you will accomplish it

Sakichi Toyoda

Who invented the 5 whys question asking method

Design thinking

A non-linear, iterative process that teams use to understand users, challenge assumptions, redefine problems and create innovative solutions to prototype and test.

Customers

• People or entities that buy your products and services and supply your revenue

• Most valuable asset of the company

Awareness, Consideration, Conversion, Retention, Advocacy

5 stages of customer journey

Loyal, Impulse, Discount, Need-Based, Wandering

5 types of customers

Loyal customers

• The top priority customer groups and an important segment to appease

• Represent 20% of the customer base and also contribute to the major portion of revenue for the company

Impulse customers

Second most attractive segment of customers identified by the business

Discount customers

this customer play a key role in upbringing the company’s inventory. they contribute to the cash flow of the company

Need based company

Customers buy products or services driven a particular need.

Wandering customers

Those customers that make up the crowd in the mall or a shopping complex. They have no specific need/preference in their mind and just wander the stores for some enjoyment or relaxation

Market size

Made up of the total number of potential buyers of a product or service within a given market, and the total revenue that these sales may generate

Customer/market Segmentation

The process of dividing a large group of customers into smaller groups, based on certain characteristics.

Geographic, demographic, psychographic, behavioral

4 types of market segmentation

Customer persona

A fictional profile that represents a particular target customer

Value proposition

A simple statement that summarizes why a customer would choose your product or service

Value proposition canvas

• A framework that helps designers ensure that there is a fit between the product/service idea and the market

• Focuses on understanding customer’s problems and producing products or services that solve them

Technology push and Demand/market pull

Types and sources of opportunities

Technology push

A new invention that is pushed through research and development, production and sales and enters onto the market without considering whether or not it satisfies a users need

Demand/market pull

An entrepreneur begins by assessing a need or problem that cries out for a solution

Innovation

A product, service, business model, or strategy that’s both novel and useful

Incremental, Component/Modular, Architectural, Radical/Disruptive Innovation

Types of Innovation (4)

Incremental Innovation

Characterized by faster, better, and/or cheaper versions of existing products.

Component or Modular Innovation

Focused on the innovation of new components and modules. But, it does not disrupt the linkages between modules.

Architectural Innovation

Changes the way in which components of a product occurs when new products or services use existing technology to create new markets and/or new consumers that did not purchase that item before.

Radical or Disruptive Innovation

Uses new modules and new architecture to create new products.

Competition

The rivalry between companies selling similar products and services with the goal of achieving revenue, profit, and market share growth

Direct competition, indirect competition, replacement com

Types of competitors (3)

Direct competition

• Same or similar product

• Same approach to solving customer’s pains

Indirect competition

• Different product from the same category

• Different approach on customer’s needs

Replacement competition

• Absolutely different product

• Different way to meet same customer’s need

Share of wallet

The amount an existing consumer regularly spends on a specific brands as opposed to its competitors

competitive advantage

Anything that gives a company edge over its competitors, helping it attract more customers and grow its market share

Core competency

Embodies each capability or a set skills or experience that helps a company to deliver unique value to customers and differentiate itself from the competition

Business model

• Describes how an organization creates, delivers, and captures value

• An outline for how your company plans to make money

Value creation, value capture, value delivery

3 components of business model

Business model canvas

A strategic management template that helps businesses to describe, design, and analyze their business models

Alex Osterwalder

Business Model Canvas was invented by _________ in 2004

Customer Segments

The different groups of customers that your company interacts with.

Customer Relationships

The type of interactions your company has with its customers and the level of support it gives.

Channels

Different methods that your company uses to deliver its products and value proposition to customers.

Value Propositions

The fundamental need that your company is trying to fulfill for its customers. Why your company exists.

Key activities

Activities or tasks that are integral to operating your company

Key Resources

Assets that are required to operate and deliver your company’s value proposition

Key Partnerships

The strategic relationships your business creates with other companies or people

cost structure

How a company spends money on operations. The key costs and level of cost-focus for your company

Revenue Streams

Your company’s sources of cash flows.

Ash Maurya

Lean Canvas was introduced by ___ in 2010

Lean Canvas

Focuses on addressing broad customer problems and solutions and delivering them to customer segments through a unique value proposition

Manufacturer

Transforms raw materials into final goods. It may sell directly to customers or to a middleman, such as another business, who then sells the product to the client

Distributor

Purchase goods from producers and resell them to retailers and the general public

Retailer

Sell things directly to the general public after acquiring them from a distributor or wholesaler

Franchise

Might be a retailer, distributor, or manufacturer.

Brick-and-Mortar

Classic business strategy in which retailers, wholesalers, and manufacturers interact with customers in an office, shop, or store that the company owns or rents.

E-commerce

Business concept is an upgrade to the conventional store front paradigm. It focuses on selling things through the creation of an online store

Bricks-and-Clicks

Business with both an online and offline presence allows clients to pick up their orders at physical locations while placing their orders online.

Nickel-and-Dime

In this approach, the customer's base product is extremely cost-sensitive and is therefore priced as low as feasible. For each additional service that comes with it, a fee is assessed

Freemium

This is one of the most prevalent Internet business models. Companies provide free basic services to customers while charging a fee for additional features

Subscription

This model allows the customer to get services by paying a fixed amount every month or year.

Aggregator

A recently created concept in which a business aggregates niche-specific service provider and sells their services under its own brand. It is a network model which provides collective information about a particular service and sell them under their brand name.

Online Marketplace

Bring together several sellers on a single platform, who then compete to offer the same product/service at competitive costs.

Application Programming Interface

API stands for

Application Programming Interface

It is basically a set of subroutine definitions, communication setups, and tools for developing software.

Agency Based

A partner company that specializes in handling non-core business operations such as advertising, digital marketing, public relations, online reputation management.

Minimum Viable Product

A development technique in which a new product is introduced in the market with basic features, but enough to get the attention of the consumers

Minimum

An unfinished product that no customer needs

Viable

The final product that a company wants to produce

Eric Ries

Considered the founding father of lean startups back in 2008.

Build, Measure, Learn

The three stages of development

Build

In this stage, you create a prototype of your product which includes only the necessary features to satisfy early customers and get feedback

Measure

In this stage, you test your prototype with customers to get feedback and determine if there is a product/market fit

Learn

In this stage, you use the feedback from customers to improve your product. This can result in a final product or an iteration of the MVP itself.

Minimum Viable Product (MVP)

The version that helps a team to collect the most amount of validated information about customers, with the least amount of effort.

Minimum Marketable Product (MMP)

the best version of the MVP you will come up with after a lot of trial and error.

Minimum Lovable Product (MLP)

also a condensed version of what you have in mind. It does, however, have a little more than just functionality.

Fake Door MVP

It measure interest in a product or specific feature without actual implementation

Landing Page MVP

It introduces product concept to target audience and provide them a choice of potential options

Email Campaign MVP

It helps to validate your value proposition among an existing customer base

Marketing Campaign

It helps explore the target audience and learn the preferences of your potential customers

Single-Feature MVP

It is a software product aimed to test how users will accept a particular feature

Pre-order MVP

It allows getting prepayments as an investment for a startup

Wizard of Oz MVP

It looks like a completely functional automated product, but most offered features are processed and executed manually

Concierge MVP

It is a product that simulates a multifunctional software solution while a human fulfills its primary functions

Piecemeal MVP

It uses existing tools and solutions for providing your product

Financial plan

Provides an estimate of projected cash flow and return on investment

Cash flow

The amount of cash flowing into or out of a firm during a specific period.