MHR 322 STUDY GUIDE ANSWERS AND QUESTIONS
SET A+
✔✔which part of the business model canvas describes the bundle of products and
services that create value for a specific customer segment? - ✔✔value proposition
✔✔which part of the business model canvas describes the different groups of people or
organizations an enterprise aims to reach and serve? - ✔✔customer segments
✔✔in her talk on why business models matter, Ann Miura-ko of Floodgate Ventures
says that she likes to see a business model for a new venture because it shows: -
✔✔the key assumptions and hypothesis about why venture could succeed
✔✔in the decision-making unit, a champion is: - ✔✔the person who wants the customer
to purchase the product
✔✔in the decision-making unit, an influencer is: - ✔✔the person with depth of
experience whose opinion can affect the rest of the decision-making unit
✔✔in the decision-making unit, the most important role determining whether your
product sells is: - ✔✔primary economic buyer
✔✔t/f: one of the most important reasons to map out the process to acquire a paying
customer is to understand the length of the sales cycle. - ✔✔true
✔✔mapping the process to acquire a paying customer usually requires all of the follow
steps except: - ✔✔
✔✔t/f: once you have identified your beachhead market, you should identify 10-12
adjacent markets and calculate tam for each. - ✔✔false
✔✔t/f: calculating the total addressable market size for follow-on markets helps you stay
aware of the long-term potential of your business - ✔✔true
, ✔✔t/f: a business model is a framework by which you capture value from customers
based on the product or service you sell - ✔✔true
✔✔t/f: it is important to carefully consider your new venture's business model because it
gives you many options to choose from and it is difficult to change your business model
later - ✔✔true
✔✔which business model sells product at a very low margin but incorporates high-
margin add-on products? - ✔✔upsell with high-margin products
✔✔you have decided to launch a new board game. you estimate the cost per unit to be
$12, your selling price will be $20 and your initial investment is $160,000. what is your
break-even quantity? - ✔✔20,000 units
✔✔breakeven analysis commonly refers to the calculation that helps you figure out: -
✔✔the number of units or dollars or revenue needed to cover total costs
✔✔what is the contribution margin per unit for the following example:
dr. bock's book on business models is priced at $25
the total cost to produce the books is $20
the variable cost to produce the book is $10 - ✔✔$15
✔✔lifetime value is important because it tells you - ✔✔how much total profit (value) you
can expect from a particular customer, which tells you how much you can spend to
acquire that customer
✔✔calculate the breakeven point for the following example:
dr. bock's book on business models costs $25
the publisher spent $100 to prepare the book for printing (fixed cost)
the publisher spends $15 to print each copy of the book - ✔✔the breakeven point is 10
books
✔✔calculate cost of customer acquisition (coca) based on the following information for a
co-working space:
total sales and marketing budget: $1,000
sales and marketing associated with bringing in new customers: $500
number of new customers acquired: 5 - ✔✔$100
✔✔the basic formula for cost of customer acquisition is: - ✔✔(cost of sales and
marketing to acquire new customers) / (number of new customers acquired)
SET A+
✔✔which part of the business model canvas describes the bundle of products and
services that create value for a specific customer segment? - ✔✔value proposition
✔✔which part of the business model canvas describes the different groups of people or
organizations an enterprise aims to reach and serve? - ✔✔customer segments
✔✔in her talk on why business models matter, Ann Miura-ko of Floodgate Ventures
says that she likes to see a business model for a new venture because it shows: -
✔✔the key assumptions and hypothesis about why venture could succeed
✔✔in the decision-making unit, a champion is: - ✔✔the person who wants the customer
to purchase the product
✔✔in the decision-making unit, an influencer is: - ✔✔the person with depth of
experience whose opinion can affect the rest of the decision-making unit
✔✔in the decision-making unit, the most important role determining whether your
product sells is: - ✔✔primary economic buyer
✔✔t/f: one of the most important reasons to map out the process to acquire a paying
customer is to understand the length of the sales cycle. - ✔✔true
✔✔mapping the process to acquire a paying customer usually requires all of the follow
steps except: - ✔✔
✔✔t/f: once you have identified your beachhead market, you should identify 10-12
adjacent markets and calculate tam for each. - ✔✔false
✔✔t/f: calculating the total addressable market size for follow-on markets helps you stay
aware of the long-term potential of your business - ✔✔true
, ✔✔t/f: a business model is a framework by which you capture value from customers
based on the product or service you sell - ✔✔true
✔✔t/f: it is important to carefully consider your new venture's business model because it
gives you many options to choose from and it is difficult to change your business model
later - ✔✔true
✔✔which business model sells product at a very low margin but incorporates high-
margin add-on products? - ✔✔upsell with high-margin products
✔✔you have decided to launch a new board game. you estimate the cost per unit to be
$12, your selling price will be $20 and your initial investment is $160,000. what is your
break-even quantity? - ✔✔20,000 units
✔✔breakeven analysis commonly refers to the calculation that helps you figure out: -
✔✔the number of units or dollars or revenue needed to cover total costs
✔✔what is the contribution margin per unit for the following example:
dr. bock's book on business models is priced at $25
the total cost to produce the books is $20
the variable cost to produce the book is $10 - ✔✔$15
✔✔lifetime value is important because it tells you - ✔✔how much total profit (value) you
can expect from a particular customer, which tells you how much you can spend to
acquire that customer
✔✔calculate the breakeven point for the following example:
dr. bock's book on business models costs $25
the publisher spent $100 to prepare the book for printing (fixed cost)
the publisher spends $15 to print each copy of the book - ✔✔the breakeven point is 10
books
✔✔calculate cost of customer acquisition (coca) based on the following information for a
co-working space:
total sales and marketing budget: $1,000
sales and marketing associated with bringing in new customers: $500
number of new customers acquired: 5 - ✔✔$100
✔✔the basic formula for cost of customer acquisition is: - ✔✔(cost of sales and
marketing to acquire new customers) / (number of new customers acquired)
