MHR 322 Exam 2 Questions and Answers Latest Update 2025-2026
The primary economic buyer is: - Answers The decision maker who will sign off on spending
money
All of the following are primary roles in the decision-making unit EXCEPT:
-End-user
-Primary economic buyer
-Purchasing agent
-Champion - Answers Purchasing agent
All of the following are considered additional or secondary roles in the decision-making unit
EXCEPT:
-Purchasing department
-Champion
-People (or organizations) with veto power
-Influencers - Answers Champion
T/F: When you are trying to sell a new product or service, you usually only have to convince one
key person to make the sale. - Answers False
In the decision-making unit, an influencer is: - Answers The person with depth of experience
whose opinion can affect the rest of the decision-making unit
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. - Answers True
T/F: When mapping the process to acquire a paying customer, you should note whether
payment will come from the customer's yearly operating budget or from the customer's long-
term capital budget. - Answers True
T/F: The cost of customer acquisition (COCA) analysis begins with mapping the process to
acquire a paying customer. - Answers True
T/F: It is important to carefully consider your new venture's business model because it you
many options to choose from and it is difficult to change your business model later. - Answers
True
T/F: The 17 business models presented in Disciplined entrepreneurship represent the full set of
possible business models you should consider for your venture. - Answers False
, Which business model sells product at a very low margin but incorporates high-margin add-on
products? - Answers Upsell with high-margin products
T/F: An accurate explanation for how customers buy products is: "Build a better mousetrap and
the world will beat a path to your door." - Answers False
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: - Answers The key
assumptions and hypotheses about why the venture could succeed
Think about a large insurance company, such as American Family (or State Farm, or Zurich, etc.).
Where on the business model (or lean) canvas does internet advertising belong? - Answers
Channels
Which part of the Business Model Canvas describes all costs incurred to operate a business
model? - Answers Cost structures
T/F: In Connie Chan's talk, "When Advertising Isn't Enough", she states that one of the key
differences is that the large US consumer internet companies typically have only one main
revenue stream while those in China have multiple large revenue streams. - Answers True
Which part of the Business Model Canvas describes the network of suppliers and partners that
make the business model work? - Answers Key partnerships
Which part of the Business Model Canvas describes the different groups of people or
organizations an enterprise aims to reach and serve? - Answers Customer segments
T/F: Once you have identified your beachhead market, you should identify 10-12 adjacent
markets and calculate TAM for each. - Answers False
After your beachhead market, follow-on markets include: - Answers Selling new versions of your
product to the same customers and selling your initial product to markets that are similar to
your beachhead.
T/F: It is always easier to raise prices than to lower prices. - Answers False
T/F: Pricing should be based primarily on the value your customer gets rather than the cost to
produce the product or service. - Answers True
The lifetime value of a customer (LTV) is: - Answers The value a customer receives from using
your product during the customer's lifetime
T/F: The primary goal of your short term sales process is to create demand for your product and
fulfill those orders. - Answers True
T/F: Long-term sales processes are focused almost entirely on word of mouth and advertising. -
Answers False
The primary economic buyer is: - Answers The decision maker who will sign off on spending
money
All of the following are primary roles in the decision-making unit EXCEPT:
-End-user
-Primary economic buyer
-Purchasing agent
-Champion - Answers Purchasing agent
All of the following are considered additional or secondary roles in the decision-making unit
EXCEPT:
-Purchasing department
-Champion
-People (or organizations) with veto power
-Influencers - Answers Champion
T/F: When you are trying to sell a new product or service, you usually only have to convince one
key person to make the sale. - Answers False
In the decision-making unit, an influencer is: - Answers The person with depth of experience
whose opinion can affect the rest of the decision-making unit
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. - Answers True
T/F: When mapping the process to acquire a paying customer, you should note whether
payment will come from the customer's yearly operating budget or from the customer's long-
term capital budget. - Answers True
T/F: The cost of customer acquisition (COCA) analysis begins with mapping the process to
acquire a paying customer. - Answers True
T/F: It is important to carefully consider your new venture's business model because it you
many options to choose from and it is difficult to change your business model later. - Answers
True
T/F: The 17 business models presented in Disciplined entrepreneurship represent the full set of
possible business models you should consider for your venture. - Answers False
, Which business model sells product at a very low margin but incorporates high-margin add-on
products? - Answers Upsell with high-margin products
T/F: An accurate explanation for how customers buy products is: "Build a better mousetrap and
the world will beat a path to your door." - Answers False
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: - Answers The key
assumptions and hypotheses about why the venture could succeed
Think about a large insurance company, such as American Family (or State Farm, or Zurich, etc.).
Where on the business model (or lean) canvas does internet advertising belong? - Answers
Channels
Which part of the Business Model Canvas describes all costs incurred to operate a business
model? - Answers Cost structures
T/F: In Connie Chan's talk, "When Advertising Isn't Enough", she states that one of the key
differences is that the large US consumer internet companies typically have only one main
revenue stream while those in China have multiple large revenue streams. - Answers True
Which part of the Business Model Canvas describes the network of suppliers and partners that
make the business model work? - Answers Key partnerships
Which part of the Business Model Canvas describes the different groups of people or
organizations an enterprise aims to reach and serve? - Answers Customer segments
T/F: Once you have identified your beachhead market, you should identify 10-12 adjacent
markets and calculate TAM for each. - Answers False
After your beachhead market, follow-on markets include: - Answers Selling new versions of your
product to the same customers and selling your initial product to markets that are similar to
your beachhead.
T/F: It is always easier to raise prices than to lower prices. - Answers False
T/F: Pricing should be based primarily on the value your customer gets rather than the cost to
produce the product or service. - Answers True
The lifetime value of a customer (LTV) is: - Answers The value a customer receives from using
your product during the customer's lifetime
T/F: The primary goal of your short term sales process is to create demand for your product and
fulfill those orders. - Answers True
T/F: Long-term sales processes are focused almost entirely on word of mouth and advertising. -
Answers False
