ENTR 301 Ch. 5, 8, 10

The five forces model can be used to assess the ___________ of an industry or a specific position within an industry by determining the level of ________ to industry profitability for each of the forces 

(a)  

What are the our main financial objectives of entrepreneurial ventures?

• profitability

• curiosity

• liquidity

• efficiency

• stability

Which of these is the definition of profitability

• A company's ability to meet its short term obligations

• The overall health of the financial structure of the firm, particularly as it relates to its debts-to-equity ratio

• A company's ability to make a profit

• How productively a firm uses its assets

Which of these is the definition of liqiudity

• A company's ability to meet its short term obligations

• The overall health of the financial structure of the firm, particularly as it relates to its debts-to-equity ratio

• A company's ability to make a profit

• How productively a firm uses its assets

Which of these is the definition of efficiency

• A company's ability to meet its short term obligations

• The overall health of the financial structure of the firm, particularly as it relates to its debts-to-equity ratio

• A company's ability to make a profit

• How productively a firm uses its assets

Which of these is the definition of stability

• A company's ability to meet its short term obligations

• The overall health of the financial structure of the firm, particularly as it relates to its debts-to-equity ratio

• A company's ability to make a profit

• How productively a firm uses its assets

What are the three reasons why start-ups need funding?

• Changes in stock

• Cash flow challenges

• Capital investments

• Lengthy product development cycles

Which option defines cash flow challenges?

• The cost of buying real-estate, building facilities, and purchasing equipment typically exceeds a firm's ability to provide funds for those needs on its own

• Some products are under development for years before they generate earnings. The up-front costs often exceed a firm's ability to fund these activities on its own

• Inventory must be purchased, employees must be paid, trained, and advertising must be paid for before cash is generated in sales

Which option defines capital investments?

• The cost of buying real-estate, building facilities, and purchasing equipment typically exceeds a firm's ability to provide funds for those needs on its own

• Some products are under development for years before they generate earnings. The up-front costs often exceed a firm's ability to fund these activities on its own

• Inventory must be purchased, employees must be paid, trained, and advertising must be paid for before cash is generated in sales

Which option defines lengthy product development cycles?

• The cost of buying real-estate, building facilities, and purchasing equipment typically exceeds a firm's ability to provide funds for those needs on its own

• Some products are under development for years before they generate earnings. The up-front costs often exceed a firm's ability to fund these activities on its own

• Inventory must be purchased, employees must be paid, trained, and advertising must be paid for before cash is generated in sales