978-0134741086 Chapter 4 Part 2

Part 3: Chapter Exercises

1. What changes in macro environmental forces are shaping the feasibility of the

driverless car? (LO 3) (AACSB: Reflective thinking)

2. If you were an executive at an automobile company, would you pursue your own

model of a driverless car? Why or why not? (LO 3) (AACSB: Analytical thinking)

3. What other opportunities for new businesses can you envision that may result

from the introduction of the driverless car into the market? (LO 3) (AACSB:

Analytical thinking)

Hands On… How To: “Do You Want Fries with Those

Crickets?”

1. What macro trends support businesses selling edible insects to American

consumers? (LO 4) (AACSB: Reflective thinking)

2. What are the risks that come with being an early entrant into the edible insect

market? (LO 5) (AACSB: Reflective thinking)

3. Do you believe an edible insect business would be successful where you live?

Why or why not? (LO 5) (AACSB: Reflective thinking)

You Be the Consultant: “RendezWoof: Creating a

Minimal Viable Product for a Mobile App”

1. Why would you recommend that an entrepreneur develop a minimal viable

product or a prototype? (LO 8) (AACSB: Reflective thinking)

2. Can you think of additional market research that Aikens could have done before

developing his product? (LO 8) (AACSB: Application of knowledge)

3. What are the advantages and disadvantages of offering equity in exchange for

work done on a new product? (LO 8) (AACSB: Application of knowledge)

1. Why was it hard for Jake to admit his newest venture was not going to work?

2. What would you recommend that entrepreneurs do to ensure they don’t hang on

too long to a failed business concept? (LO 8) (AACSB: Reflective thinking)

3. A failed business concept does not mean the entrepreneur has failed. How would

you explain this to an entrepreneur facing a failed business concept? (LO 8)

(AACSB: Reflective thinking)

Part 4: Chapter Discussion Questions

4-1. Describe the new business planning process. (LO 1, LO 2, LO 5) (AACSB:

4-2. Explain the parameters of the idea sketch pad. (LO 1) (AACSB: Reflective

thinking)

4-3. What are the risks for an entrepreneur who becomes emotionally attached to

an idea for a new business? (LO 1) (AACSB: Reflective thinking)

4-4. Describe the four components of a feasibility analysis. (LO 2) (AACSB:

4-5. Why is it important for an entrepreneur to be aware of the macro forces that

shape a new business venture? (LO 3) (AACSB: Reflective thinking)

4-6. Describe in detail Porter’s Five Forces Model. (LO 4) (AACSB: Reflective

thinking)

4-14. Describe the four phases that go into developing a business model. (LO 8)

4-15. What is a pivot in a business model? (LO 8) (AACSB: Reflective thinking)

4-16 Explain the various types of pivots an entrepreneur may need to consider for a

business model. (LO 8) (AACSB: Reflective thinking)

Part 5: Case Studies

There are no case studies that apply to this chapter.

Part 6: Online Videos and Podcasts

These online videos may enhance class discussion and provide additional insight for the

chapter topics.

 Focus Group 4:27 minutes

http://www.youtube.com/watch?v=j_cUnlQl29Q

 Michael Porter on Five Forces Model 13:11 minutes

 How to Make an Invention Prototype 4:08 minutes

http://www.youtube.com/watch?v=An3r4GbUPRc

 Les Brown: Discover the Entrepreneurial Mindset 7:36 minutes

http://www.youtube.com/watch?v=N8eC5qR9_Wo

 Alexander Osterwalder: The Business Model Canvas 3.32 minutes

http://www.youtube.com/watch?v=2FumwkBMhLo

Links to additional online resources are available on the companion Web site at