2
Entrepreneurship and Small Business Certification Exam with verified || || || || || || || ||
detailed answers ||
Elements of the Design Thinking Process - ✔✔Stage 1: Emphasize- Research Your Users'
|| || || || || || || || || || || || ||
Needs
Stage 2: Define- State Your Users' Needs and Problems
|| || || || || || || ||
Stage 3: Ideate- Challenge Assumptions and Create Ideas
|| || || || || || ||
Stage 4: Prototype- Start to Create Solutions
|| || || || || ||
Stage 5: Test- Try Your Solutions Out
|| || || || || ||
Difference between small businesses and entrepreneurs? - ✔✔Small businesses are not
|| || || || || || || || || || ||
always interested in taking on new business opportunities.
|| || || || || || ||
Entrepreneurs set up a business with the aim to make a profit.
|| || || || || || || || || || ||
Compensation Types - ✔✔1. Piece work- compensation on a per-unit basis. EX: an employer
|| || || || || || || || || || || || ||
can choose to pay mechanics a fixed rate for each vehicle they repair instead of paying an
|| || || || || || || || || || || || || || || || || ||
hourly rate. ||
2. Salary- employee receives a set amount of pay each month without overtime
|| || || || || || || || || || || || ||
compensation for extra hours worked. || || || ||
3. Hourly- Employees most affected by minimum wage laws are compensated hourly.
|| || || || || || || || || || ||
4. Commission- An employee who is paid a percentage of a sale.
|| || || || || || || || || || ||
5. Equity- Non-cash compensations offered to employees in place of or in addition to a
|| || || || || || || || || || || || || || ||
lower salary. ||
, 2
Types of Sales Channel - ✔✔1. Business-to-Business (B2B): a transaction or business
|| || || || || || || || || || || ||
conducted between one business and another, such as a wholesaler and retailer.
|| || || || || || || || || || || ||
Transactions tend to happen in the supply chain, where one company will purchase raw
|| || || || || || || || || || || || || ||
materials from another to be used in the manufacturing process.
|| || || || || || || || || ||
2. Business-to-Consumer (B2C): process of businesses selling products/services directly to
|| || || || || || || || || ||
consumers, with no middle person. || || || ||
Typically refers to online retailers who sell products/services to consumers through the
|| || || || || || || || || || || ||
Internet.
Online B2C became a threat to traditional retailers, who profited from adding a markup to
|| || || || || || || || || || || || || || ||
the price.
||
3. Retail: sell items or services to customers. They typically sell items in-store or may be
|| || || || || || || || || || || || || || || ||
sold online. ||
4. Wholesale: the act of buying goods in bulk from a manufacturer at a discounted price
|| || || || || || || || || || || || || || || ||
and selling to a retailer for a higher price, for them to repackage and in turn resell in
|| || || || || || || || || || || || || || || || || ||
smaller quantities at an even higher price to consumers.
|| || || || || || || ||
Acquisition Costs - ✔✔These costs include shipping, sales taxes, and customs fees, as well
|| || || || || || || || || || || || || ||
as the costs of site preparation, installation, and testing. When acquiring property,
|| || || || || || || || || || || ||
acquisition costs can include surveying, closing fees, and paying off liens.
|| || || || || || || || || ||
Angel Investor - ✔✔a wealthy private investor who provides capital for a business start-up
|| || || || || || || || || || || || || ||
for a stake in the business in return.
|| || || || || || ||
Asset - ✔✔A tangible item a business owns. They can generate revenue or be converted
|| || || || || || || || || || || || || || ||
into cash. They can be physical items, such as machinery, or intangible, such as intellectual
|| || || || || || || || || || || || || || ||
property.
Entrepreneurship and Small Business Certification Exam with verified || || || || || || || ||
detailed answers ||
Elements of the Design Thinking Process - ✔✔Stage 1: Emphasize- Research Your Users'
|| || || || || || || || || || || || ||
Needs
Stage 2: Define- State Your Users' Needs and Problems
|| || || || || || || ||
Stage 3: Ideate- Challenge Assumptions and Create Ideas
|| || || || || || ||
Stage 4: Prototype- Start to Create Solutions
|| || || || || ||
Stage 5: Test- Try Your Solutions Out
|| || || || || ||
Difference between small businesses and entrepreneurs? - ✔✔Small businesses are not
|| || || || || || || || || || ||
always interested in taking on new business opportunities.
|| || || || || || ||
Entrepreneurs set up a business with the aim to make a profit.
|| || || || || || || || || || ||
Compensation Types - ✔✔1. Piece work- compensation on a per-unit basis. EX: an employer
|| || || || || || || || || || || || ||
can choose to pay mechanics a fixed rate for each vehicle they repair instead of paying an
|| || || || || || || || || || || || || || || || || ||
hourly rate. ||
2. Salary- employee receives a set amount of pay each month without overtime
|| || || || || || || || || || || || ||
compensation for extra hours worked. || || || ||
3. Hourly- Employees most affected by minimum wage laws are compensated hourly.
|| || || || || || || || || || ||
4. Commission- An employee who is paid a percentage of a sale.
|| || || || || || || || || || ||
5. Equity- Non-cash compensations offered to employees in place of or in addition to a
|| || || || || || || || || || || || || || ||
lower salary. ||
, 2
Types of Sales Channel - ✔✔1. Business-to-Business (B2B): a transaction or business
|| || || || || || || || || || || ||
conducted between one business and another, such as a wholesaler and retailer.
|| || || || || || || || || || || ||
Transactions tend to happen in the supply chain, where one company will purchase raw
|| || || || || || || || || || || || || ||
materials from another to be used in the manufacturing process.
|| || || || || || || || || ||
2. Business-to-Consumer (B2C): process of businesses selling products/services directly to
|| || || || || || || || || ||
consumers, with no middle person. || || || ||
Typically refers to online retailers who sell products/services to consumers through the
|| || || || || || || || || || || ||
Internet.
Online B2C became a threat to traditional retailers, who profited from adding a markup to
|| || || || || || || || || || || || || || ||
the price.
||
3. Retail: sell items or services to customers. They typically sell items in-store or may be
|| || || || || || || || || || || || || || || ||
sold online. ||
4. Wholesale: the act of buying goods in bulk from a manufacturer at a discounted price
|| || || || || || || || || || || || || || || ||
and selling to a retailer for a higher price, for them to repackage and in turn resell in
|| || || || || || || || || || || || || || || || || ||
smaller quantities at an even higher price to consumers.
|| || || || || || || ||
Acquisition Costs - ✔✔These costs include shipping, sales taxes, and customs fees, as well
|| || || || || || || || || || || || || ||
as the costs of site preparation, installation, and testing. When acquiring property,
|| || || || || || || || || || || ||
acquisition costs can include surveying, closing fees, and paying off liens.
|| || || || || || || || || ||
Angel Investor - ✔✔a wealthy private investor who provides capital for a business start-up
|| || || || || || || || || || || || || ||
for a stake in the business in return.
|| || || || || || ||
Asset - ✔✔A tangible item a business owns. They can generate revenue or be converted
|| || || || || || || || || || || || || || ||
into cash. They can be physical items, such as machinery, or intangible, such as intellectual
|| || || || || || || || || || || || || || ||
property.
