38) Kaitlyn Harris is opening up a women’s fashion boutique that will focus on professional
women that are 18-30 years old. The age range of women that Kaitlyn plans to focus on is
referred to as her ________ market.
A) controlled
B) ambitious
C) identifiable
D) target
E) aspirational
39) A company’s ________ scope defines the products and markets on which it will concentrate.
A) product/market
B) offering/industry
C) business/market
D) business/industry
E) offering/market
40) Erin Hill is working on the box in the Barringer/Ireland Business Model Template that
defines the products and markets on which her firm will concentrate. Erin is working on the
________ scope portion of the business model template.
A) offering/market
B) offering/industry
C) business/market
D) business/industry
E) product/market
41) The Resources section of the Barringer/Ireland Business Model Template consists of the
________ and ________ boxes.
A) business mission; core competency
B) core competency; product/market scope
C) channels; key partners
D) core competency; key assets
E) revenue streams; key assets
42) In the Barringer/Ireland Business Model Template, a(n) ________ is a specific factor or
capability that supports a firm’s business model and sets it apart from its rivals.
A) primary capability
B) core competency
C) essential asset
D) staple proficiency
E) key aptitude
43) Mark White is the founder of a firm that builds iPhone apps. Mark is very technically savvy,
which allows him to build apps quickly and with minimal bugs or problems. In the terminology
of the Barringer/Ireland Business Model Template, Mark’s technical savvy is a(n) ________ of
his firm.
A) primary capability
B) core competency
C) essential asset
D) staple proficiency
E) key aptitude
44) In the terminology of the Barringer/Ireland Business Model Template, ________ assets are
the assets that a firms owns that enable its business model to work.
A) key
B) tactical
C) fundamental
D) primary
E) strategic
45) In the Barringer/Ireland Business Model Template, key assets can be ________.
A) fixed, situational, variable, and permanent
B) tactical, strategic, fixed, and variable
C) tangible, intangible, variable, and fixed
D) temporary, permanent, fixed, and variable
E) physical, financial, intellectual, or human
46) The Financials section of the Barringer/Ireland Business Model Template consists of three
boxes. The boxes are titled ________.
A) economics of the business, startup-costs, and break-even
B) revenue streams, cost structure, and financing/funding
C) profit margins, revenue streams, and break-even
D) startup-costs, operating leverage, and financing/funding
E) fixed vs variables costs, financing/funding, and break-even
47) Which section of the Barringer/Ireland Business Model Template is the only section that
describes how it makes money?
A) Core strategy
B) Resources
C) Financials
D) Operations
E) Value proposition
48) A firm’s ________ describe(s) the ways in which it makes money.
A) proceeds account
B) break-even analysis
C) revenue streams
D) cash flow
E) income statement
49) Advertising, commissions, download fees, licensing, and product sale are examples of
________.
A) revenue streams
B) basis of differentiation
C) key assets
D) channels
E) cost structure
50) In the terminology of the Barringer/Ireland Business Model Template, a firm’s ________
structure describes the most important costs incurred to support its business model.
A) expense
B) cost
C) budget
D) overhead
E) outflow
51) Jenna Franklin is completing the portion of the Barringer/Ireland Business Model Template
that describes the most important costs that will be incurred to support her business model. Jenna
is completing the ________ structure box in the business model template.
A) expense
B) outlay
C) payment
D) overhead
E) cost
52) ________ costs are costs that remain the same despite the volume of goods or services
produced. ________ costs vary proportionally with the volume of goods or services provided.
A) Expense; Non-standard
B) Standard; Non-Standard
C) Fixed; Variable
D) Non-Standard; Standard
E) Variable; Fixed
53) According to the textbook, there are three categories of costs to consider when completing
the “financing/funding” section of the Barringer/Ireland Business Model Template. These are
________.
A) setup costs, one-time expenses, and costs associated with incorporating the firm
B) capital costs, marketing costs, and provisions for ramp-up expenses
C) setup costs, marketing costs, and operating costs
D) capital costs, one-time expenses, and provisions for ramp-up expenses
E) operating costs, capital costs, and costs associated with setting up the firm
54) The operations quadrant in the Barringer/Ireland Business Model Template includes three
sections. These are ________.
A) product (or service) production, channels, and key partners
B) product/market scope, cost structure, and key partners
C) key assets, cost structure, and channels
D) key partners, financing/funding, and target market
E) channels, core competency, and key partners
55) Sarah Green, who plans to open a garden and lawn business, is working on the portion of the
Barringer/Ireland Business Model template that focuses on how her products and services will be
produced. Sarah is working on the ________ section of the template.
A) basis of differentiation
B) product/or service production
C) product/market scope
D) core competency
E) channels
56) Brad Jones is in the process of opening an electronics supply company and is working on the
portion of his business plan template that describes how he will deliver his products and services
to his customers. The portion of the business plan template that Brad is working on is referred to
as ________.
A) channels
B) network
C) linkages
D) grids
E) conduits
57) Cynthia Hamilton is launching a chain of smoothie restaurants. Among Cynthia’s key
partners will be firms that provide her the ingredients needed to make her smoothies. In the
terminology of the Barringer/Ireland Business Model Template, these partners are called
________.
A) dealers
B) suppliers
C) merchants
D) traders
E) brokers
58) An entity created by two or more firms pooling a portion of their resources to create a
separate, jointly-owned organization is called a ________.
A) trade association
B) network
C) joint venture
D) consortia
E) strategic alliance
59) The four major categories in the Barringer/Ireland Business Model Template are: core
strategy, resources, financials, and operations.
60) Core strategy describes what causes consumers to pick one company’s products over another.
61) A business’s mission or mission statement describes why it exists and what its business
model is supposed to accomplish.
62) When competing the basis for differentiation portion of the Barringer/Ireland Business
Model template, it is important to emphasize as many points of differentiation as possible.
63) A company’s target market is a place within a larger market segment that represents a
narrower group of customers with similar interests.
64) A company’s product/market scope defines the products and markets on which it will
concentrate.
65) The resources section of the Barringer/Ireland Business Model Template includes three parts:
core competency, key assets, and revenue streams.
66) In the terminology of the Barringer/Ireland Business Model Template, a key asset is a
specific factor or capability that support a firm’s business model and sets it apart from its rivals.
67) A firm’s revenue streams describe the ways in which it makes money.
68) Value-driven businesses focus on minimizing costs wherever possible.
69) In the financing/funding section of the Barringer/Ireland Business Model Template, there are
three categories of costs to consider: capital costs, one-time expenses, and provisions for ramp-
up expenses.
70) The operations section of the Barringer/Ireland Business Model Template includes three
sections: product (or service) production, channels, and key partners.
71) A company’s channels describe how it delivers its product or service to its customers.
72) A strategic alliance is an entity created by two or more firms pooling a portion of their
resources to create a separate, jointly-owned organization.
73) Describe the Barringer/Ireland Business Model Template and discuss its purpose.
74) Briefly describe the four main components of the Barringer/Ireland Business Model
Template. Identify the subcomponents of each the four main components of a business model.
75) What are core competencies? Provide an example of the core competencies that are utilized
by an entrepreneurial firm.