LESSON 1: Introduction to Entrepreneurship Factors Affecting Entrepreneurship

ENTREPRENEURSHIP 1. Personality Factors

- it is a science of converting processed ideas a. Initiative: doing things even before being
into a remarkable business venture. told.
- According to Fajardo (2009), It is also a b. Proactive: which means he can classify
capacity for innovation, investment and opportunities and seize it.
expansion in new market, products, and c. Problem Solver: means he can retain good
techniques. relations with other people.
d. Perseverance: he will pursue things to get
done regardless of challenges.
THE ENTREPRENEUR e. Persuasion: he can entice people to buy
even if they don’t want to.
- an entrepreneur is an individual who is alert f. A Planner: he makes plans before doing
to profitable opportunities for the exchange of things and does not fail to monitor it.
goods or services. g. Risk-taker: means he is willing to gamble
- an entrepreneur is one who is organizes, but he will calculate it first.
manages, directs, and assumes the risk of a
business or enterprise. 2. Environmental Factors
- being an entrepreneur is a lifestyle or an a. Political
attitude. b. climate
- it is not a calling for everyone, but rather a c. legal system
choice. d. economic and social conditions
e. market situations.
RELEVANCE OF ENTREPRENEURSHIP TO AN
ORGANIZATION Common Competencies in Entrepreneurship
1. Development of Managerial Capabilities 1. Decisive – an entrepreneur must be firm in
- this means that one of the benefits an making decisions.
entrepreneur gets is to develop his 2. Communicator – an entrepreneur must have
managerial skills. a convincing power.
2. Creation of Organizations 3. Leader – an entrepreneur must have the
- means that because of entrepreneurship charisma to be obeyed by his employees.
many organizations will exist. 4. Opportunity seeker – an entrepreneur must
3. Improving Standard of Living have the ability to be the first to see business
- means that entrepreneurship can lift the chances.
economic status of an individual. 5. Proactive – an entrepreneur can control a
4. Means of Economic Development situation by making things happen or by
- means that not only the life of the preparing for possible future problems.
entrepreneur is improved but also the 6. Risk Taker – an entrepreneur has the
society where the business is located. courage to pursue business ideas.
7. Innovative – the entrepreneur has big
business ideas, and he does not stop
Concept of Entrepreneurship improving and thinking of new worthwhile
ideas for his business.
- the word “entrepreneur” was derived from
the French verb interpreted, which means “to Core Competencies in Entrepreneurship
undertake.”
1. Economic and Dynamic Activity
- the enterprise is created by an entrepreneur
- it involves the creation and operation of
and the process is called
an enterprise with a view to creating
“Entrepreneurship.”
value or wealth by ensuring optimum
“Entrepreneurs are innovators.” utilization of limited resources.
2. Innovative
- they are willing to take the risks and generate - The entrepreneur constantly looks for
unique ideas that can provide profitable new ideas, thus he needs to be creative.
solutions to the needs of the market and the 3. Profit Potential
society. - The entrepreneur can be compensated by
his profit coming from the operation.
4. Risk bearing
- The entrepreneur needs to gamble but
wise enough to offset the risk.
Types of Entrepreneurs Sources of Opportunity
1.Innovative Entrepreneurs - many ways to discoveries opportunities.
noticed the emerging trends and patterns for
- always make new things by thinking of new
business opportunities.
ideas.
- the ability to think newer, better and more The following are some sources of opportunities:
economical ideas.
1. Change in the environment
2. Imitating Entrepreneurs
- entrepreneurial ideas arise when changes
- those who don’t create new things but only happen in the external environment. A person
follow the ideas of other entrepreneurs. with an entrepreneurial drive views these
changes positivity.
3. Fabian Entrepreneurs
External environment – refers to the physical
- skeptical about changes to be made in the environment, societal environment, and industry
organization. environment where the business operates.
- don’t initiate but follow only after they are
satisfied. I. Physical Environment
a. Climate - weather conditions.
4. Drone Entrepreneurs b. Natural Resources - such as minerals,
- those who live on the labor of others. forests, water, and fertile land that occur
- die-hard conservatives even ready to suffer in nature and can be used for economic
the loss of business. gain.
c. Wildlife - includes all mammals, birds,
5. Social Entrepreneurs reptiles, fish, etch., that live in the wild.
II. Societal Environment
- those who initiate changes and drive social
a. Political Forces: includes all the laws,
innovation.
rules and regulations that govern
business practices as well as the permits,
Career Opportunities of Entrepreneurship approvals, and licenses necessary to
operate the business.
1. Business Consultant b. Economic Forces: such as income level
2. Teacher and employment rate.
3. Researcher c. Sociocultural forces: customs, lifestyles
4. Sales and values that characterized a society.
5. Business Reporter
III. Industry Environment
a. Competitors d. Employees
Lesson 2: Recognize a Potential Market b. Customers e. Government
1. Entrepreneurial Mind frame c. Creditors f. Suppliers

- to see things in a very positive and optimistic

way in the midst of difficult situation. Being a 2. Technological discovery and advancement
risk-taker. An entrepreneur can find solutions - sees possibility of business opportunities in
when problem arise. any new discovery or because of the use of
2. Entrepreneurial Heart flame latest technology.

- driven by passion: they are attracted to 3. Government’s thrust, programs, and policies
discover satisfaction in the act and process of - The priorities, project programs, and policies
discovery. Passion is the great desire of an of the government are also good sources of
entrepreneur to achieve his/her goals. ideas.
3. Entrepreneurial Gut game: 4. People’s Interest
- the ability of the entrepreneur of, being - The interest, hobbies, and preferences of
intuitive. This also known as intuition. The people are rich sources of entrepreneurial
gut game also means confidence in oneself, idea.
and the firm belief that everything you aspire
can be reached. 5. Past experiences

- The expertise and skills developed by a

person who has worked in a particular field
 may lead to the opening of a related business c. What does your competitor sell well?
enterprise.
Tips to create an effective unique selling
proposition to the target customers are:
Forces of Competition Model
1. Identify and rank the uniqueness of the
Competition - It is the act or process of trying to get product or services character.
or win something. 2. Be very Specific.
3. Keep it Short and Simple (KISS)
Five forces competing within the industry:
1. Buyers
- the ones that pay cash in exchange for your A. TARGET MARKET
goods and services
Market Targeting
2. Potential new entrants
- ability to penetrate or enter into a particular - a sage in market identification process that
industry. aims to determine the buyers with common
3. Rivalry among existing firms needs and characteristics.
- rivalry is a state or situation wherein - Prospect customers are a market segment
business organizations are competing in a that an entrepreneurial venture intends to
particular market. serve.
4. Substitute products
- one that serves the same purpose as another Commonly used methods for segmenting the
product in the market. markets:
5. Supplier 1. Geographic segmentation – the total market
- the one that provide something that is is divided according to geographical location.
needed in business operations such as office Variables to consider:
supplies and equipment. a. Climate
b. Dominant ethnic group
c. Culture
LESSON 3: Recognize and Understand the Market d. Density (either rural or urban)
Unique Selling Preposition
2. Demographic Segmentation – divided based
What is Unique Selling Proposition (USP) and
on consumers.
Value Proposition (VP)?
Variables to consider:
- this part allows the entrepreneur to prepare a. Gender e. Education
himself on how to advertise and sell his b. Age f. Religion
product even if it is like others. c. Income g. Ethnic group
d. Occupation h. Family size
Value Proposition (VP)

- a business or marketing statement that 3. Psychological Segmentation – divided in

summarizes why a consumer should buy a terms of how customers think and believe.
company's product or use its service. Variables to consider:
- this statement is often used to convince a a. Needs and wants e. Brand concept
customer to purchase a particular product or b. Attitudes f. Lifestyle
service to add a form of value to their lives. c. social class g. Knowledge
- must be truthful and that it should establish d. Personality traits and awareness
credibility to the consumers.
4. Behavioral Segmentation – divided
In creating Value Proposition, entrepreneurs will according to customers’ behavior pattern as
consider the basic elements: they interact with a company.
Variables to consider.
1. Target Customer
a. Perceptions d. Benefits
2. Needs/opportunity.
b. Knowledge e. Loyalty
3. Name of the product
c. Reaction
4. Name of the enterprise/company
Unique Selling Proposition (USP)
B. CUSTUMER REQUIREMENTS
- refers to how you sell your product or
- specific characteristics that the customers need
services to your customer. You will address
from a product or a service.
the wants and desires of your customers.
a. What do the customers want?
b. What brand does well?
 Channel 1: contains two stages between producer
and consumer – wholesaler and retailer.
Two types of customer requirements:
 Wholesaler – typically buys and stores large
1. Service Requirement
quantities of several producers’ goods and
- an intangible thing or product that cannot be
then breaks into bulk deliveries to supply
touched but the customer can feel the
retailers with smaller. quantities.
fulfillment.
 Small retailers – with limited order
2. Output Requirement
quantities, the use of wholesalers makes
- tangible thing or things that can be seen.
economic sense.
Channel 2: contains one intermediary in consumer
C. MARKET SIZE
markets, this is typically a retailer.
Market size
 Retailer – a company that buys products
- a size of the arena where the entrepreneurs from a manufacturer or wholesaler and sells
will play their business. them to end users or customers.
- it is the approximate number of sellers and  In a sense a retailer is an intermediary or
buyers in a particular market. middleman that customers use to get
- Market research will determine the products from the manufacturers.
entrepreneurs’ possible customers in one Channel 3: called a direct-marketing channel since it
locality. has no intermediary levels.
 In this case the manufacturer sells directly to
LESSON 4: The 7Ps Marketing Mix customers.
1.PRODUCT 3. PRICE
- refers to any goods or services that is - value of money in exchange for a productor
produced to meet the consumers’ wants, service.
tastes and preferences. - amount or value that a customer gives up
- examples of goods include tires, MP3 players, enjoying the benefits of having or using a
clothing etc. product or service.
- categorized into business goods or consumer
goods. In commerce, price is determined by what:
1) a buyer is willing to pay.
2) a seller is willing to accept.
3) the competition is allowing to be charged.

The Different Pricing Strategies

a) Penetration Pricing

- the price charged for products and services is

set artificially low to gain market share. Once
this is achieved, the price is increased.
b) Skimming Pricing

- a company charges a higher price then slowly

lowers the price to make the product
available to a wider market.
c) Product Line Pricing

- the practice of reviewing and setting prices

2. PLACE for multiple products that a company offers
in coordination with one another.
- represents the location where the buyer and
- rather than looking at each product
seller exchange goods or services.
separately and setting its price.
- also called as the distribution channel.
- include any physical store as well as virtual d) Bundle Pricing
stores or online shops on the Internet.
- the act of placing several products or services
STAGES OF DISTRIBUTION CHANNEL together in a single package and selling for a
 lower price than would be charged if the - this is the latest and the fast- developing
items were sold separately. medium of advertising and is getting
increased popularity these days.
e) Psychological Pricing C. Print
- the practice of setting prices slightly lower - the print media carry their messages entirely
than rounded numbers, in the belief that through the visual mode.
customers do not round up these prices, and - consist of newspapers, magazines, and direct
so will treat them as lower prices than they mail.
really are.
D. Electronic
f) Optional Pricing
- advertise electronically through your
- the company earns more through cross- company website and provide important and
selling products along with a basic core pertinent information to clients and
product. customers.
- the main product does not have many - you can also send advertisements via direct
features (and is priced low) which can be e-mail as part of your promotional strategy.
enhanced through optional or accessory
products which are sold at premium by the E. Word-of-Mouth
same company. - it's one of the most credible forms of
g) Cost Plus Pricing advertising.
- advertising is important for every business,
- involves adding a markup to the cost of goods as each happy customer can steer dozens of
and services to arrive at a selling price. new ones your way.
- under this approach, you add together the
direct material cost, direct labor cost, and E. Generic
overhead costs for a product, and add to it a - the promotion of a particular commodity is
markup percentage to derive the price of the without reference to a specific producer,
product. brand name or manufacturer.
h) Cost Based Pricing - producers join together to expand total
demand for the commodity, thereby helping
- pricing method in which a fixed sum or a their own sales.
percentage of the total cost is added (as - these activities are often self-funded through
income or profit) to the cost of the product to assessments on marketing called check-off
arrive at its selling price. programs.
i) Value Based Pricing 2. Public relations or PR
- a price-setting strategy where prices a reset  In public relations, the article that features
primarily on consumers' perceived value of your company is not paid for.
the product or service.  Many people use the term PR and advertising
interchangeably, PR involves sharing
information with the public using platforms
4. PROMOTION
that do not require a payment, such as social
- refers to the complete set of activities, which media or through press releases shared with
communicate the product, brand or service magazines and newspapers.
to the user.  PR professionals package information and
- to create an awareness, attract and induce disseminate it in the hopes that it will be
the consumers to buy the product, in organically shared.
preference over others.  The goal of public relations is to shape public
perception of a business, presenting a positive
PROMOTIONAL MIX image through various.
1.Advertising 3. Personal selling
A. Radio - involves the development of longstanding
- gives the advantage of selecting the territory client relationships.
and audience to which the message is to be - personal selling occurs when an individual
directed. salesperson sells a product, service or
- it is also cheaper than TV advertising. solution to a client.
- salespeople match the benefits of their
B. Television offering to the specific needs of a client.
Five Stage Personal Selling Process A. Natural deterioration
a. Prospecting - it is caused by the interaction of products
b. Making first contact with water, gases and fumes, microbiologic
c. The sales call organisms like bacteria, yeasts and molds,
d. Objection handling heat, cold, dryness, contaminants and insects
e. Closing the sale and rodents.
4. Sales promotion B. Physical protection
- any initiative undertaken by an organization - also used for physical. protection, which
to promote an increase in sales, usage or trial include improving shock. protection, internal
of a product or service (i.e., initiatives that product protection and reducing shock
are not covered by the other elements of the damage caused from vibration, snagging,
marketing communications or promotions friction and impact.
mix)
C. Safety
Techniques:
- special kind of protective packaging is
a. Free gifts required for products that are deemed
b. Free samples harmful to those who transport them or use
c. Free trial them.
d. Customer contests - these products include extremely
e. Special pricing inflammable gas and liquid, radioactive
elements, toxic materials etc.
5. DIRECT MARKETING
- should also be done so that children could
- a promotional method that involves not easily use.
presenting information about your company,
D. Waste reduction
product, or service to your target customer
without the use of an advertising middleman. - packaging also serves to reduce the amount
- a targeted form of marketing that presents of waste especially in case of food
information of potential interest to a distribution.
consumer that has been determined to be a
likely buyer.
2. Containment
Forms of Direct Marketing
- involves merging of unit loads for shipping.
- Brochure - Phone Calls - it starts with spots of adhesives on the
- Catalogs - Text Messages individual shippers that stick them together,
- Fliers - Coupons straps of steel and plastic, entire coverings of
- Newsletters - Email shrinkable or stretchable plastic films and
- Post Card paper or corrugated wraps that surround an
entire pallet of product.
5. PEOPLE
3. Information
- people are the ultimate marketing strategy.
- they sell and push the product. - must conveys necessary information to the
- one of the most important elements of the consumers. - the common information
marketing mix today. includes general features of the product,
- this is because of the remarkable rise of the ingredients, net weight of the contents, name
services industry. and address of the manufacturers, maximum
retail price (MRP)
6. PACKAGING
4. Utility of use
- a silent hero in the marketing world.
- refers to the outside appearance of a product - the convenience packaging has been devised
and how it is presented to the customers. for foods, household chemicals, drugs,
adhesives, paints, cosmetics, paper goods
Five Basic Functions of Packaging and a host of other products.
1. Protection - this type of packaging includes dispensing
devices, prepackaged hot metals, and
- major functions of packaging is to provide for disposable medical.
the effects of time and environment for the
natural and manufactured products. 5. Promotion

Divided into some classes: - companies use attractive colors, logos,

symbols and captions to promote the product
 that can influence customer purchase b. Features
decision. c. Benefits
Step 3: Choose Competitive Advantages that Define
Packaging Decisions your Niche

I. Packaging concept Step 4: How to Create an Effective Market Positioning

Strategy?
- this defines what the package should be or
do for the particular product in terms of size, 1. Determine company uniqueness by
shape, materials, color, text, and brand mark comparing to competitors.
and tamperproof ability. 2. Identify current market position.
3. Competitor positioning analysis.
II. Engineering tests 4. Develop a positioning strategy.
- this will ensure that the package stands up
under normal conditions. Developing a Brand Name
III. Visual tests Brand Name
- to ensure that the script is legible, and colors - a name, symbol, or other feature that
are harmonious. distinguishes a seller's goods or services in
the marketplace.
IV. Dealer tests

- to ensure that the dealers find the packages Branding

attractive and easy to handle.
- a powerful and sustainable high-level
V. Consumer tests marketing strategy used to create or
- this is to ensure favorable consumer influence a brand.
response. Pickton and Broderick (2001)

- described branding as a strategy to

7. POSITIONING distinguish products and companies and to
- when a company presents a product or build economic value to both customers and
service in a way that is different from the to brand owners.
competitors, they are said to be “positioning”
it. Commonly Used Branding Strategies
- refers to a process used by marketers to
create an image in the minds of a target "Every brand makes a promise. But in a market in
market. which customer confidence is little and budgetary
- solid positioning will allow a single product observance is great, it’s not just making a promise
to attract different customers for not the that separates one brand from another, but having a
same reasons. significant purpose, " (Allen Adamson).

Three basic concepts for positioning 1. Purpose

1. Functional Positions: deal with solving a According to Business Strategy Insider, purpose can
problem, providing benefits, and getting a be viewed in two ways:
favorable perception from investors, a. Functional: this way focuses on the
stockholders and consumers. assessments of success in terms of fast
2. Symbolic Positions: deal with self-image and profitable reasons.
enhancement, ego identification, b. Intentional: this way focuses on
belongingness, social meaningfulness, and fulfillment as it relates to the capability to
affective fulfilment. generate money and do well in the world.
3. Experiential Positions: deal with providing
sensory or cognitive stimulation. 2. Consistency

- the significance of consistency is to avoid

STEPS OF THE POSITIONING PROCESS things that don’t relate to or improve your
brand.
Step 1: Confirm Your Understanding of Market - aids to brand recognition, which fuels
Dynamics
customer loyalty.
Step 2: Identify Your Competitive Advantages
3. Emotion
a. Price
 - there should be an emotional voice, Drone Entrepreneurs – Entrepreneurs who do not
whispering "Buy me". like a change.
- this means you allow the customers to have
Social Entrepreneurs – a person who pursues novel
the chance to feel that they are part of your
applications that have the potential to solve
brand.
community-based problems.
- find ways to connect more deeply and
emotionally with your customers. Profit Potential – potential for a product to generate
- make them feel part of the family and use revenue, which, after expenses, leads to net Income.
emotion to build relationships and promote
Entrepreneurial ideas – n innovative concept that
brand loyalty.
can used the financial gain that is usually centered on
4. Flexibility a product or service that can be offered from money.

- marketers should remain flexible too in this Entrepreneurial process – can be defined the steps
rapidly changing world. taken order begin new step-by-step method one has
- consistency targets at setting the standard follow to set up a business.
for your brand, flexibility allows you to adjust
New Entrants - The one who enters something.
and differentiate your approach from your
competition.
5. Employee Involvement

- it is equally important for your employees to

be well versed in how they communicate
with customers and represent the brand of
your product.
6. Loyalty

- an important part of brand strategy.

- sets the tone for what potential customers
can expect from doing business with you.
7. Competitive Awareness

- do not be frightened of competition.

- take it as a challenge to improve your
branding strategy and craft a better value in
your brand.

KEY TERMS:
Entrepreneurship – when an individual that has an
idea act on that idea, usually to disrupt the current
market with a new product or service.
Entrepreneur – an individual who creates a new
business, bearing most of the risks and enjoying most
of the rewards.
Proactive – actions are intended to cause changes,
rather than just reacting to change.
Risk taker – a person who is willing to do things that
involve danger or risk in order to achieve a goal.
Decisive – having the power or quality of deciding.
Dynamic – characterized by constant change, activity,
or progress.
Innovative – characterized by, tending to, or
introducing innovations.
Fabian Entrepreneurs – Is an entrepreneur who
uses a pretty skeptical attitude while employing new
technologies in the company’s working environment.
 In rivalry among existing firms, the industry is
PRACTICE LONG QUIZ
attributable to the following factors.
1. The following are the forces competing within the a. E and F
industry except one, which one is it? b. A and B
c. A, B, C and D
a. Potential new entrants and Substitute d. All of the above
Products
b. Buyers and Suppliers Which of the following includes the industry
c. Rivalry among existing firms environment of the business?
d. Needs and Wants a. Competitors
b. Creditors
2. They are the ones that provide something that is c. Customers
needed or wanted. d. All of the above
a. Buyers It is the process of considering, evaluating, and
b. Buyers pursuing market- based activities that are believed
c. Competitors to be advantageous for the firm.
d. Sellers a. Opportunity seeking
b. Opportunity screening
3. It refers to the physical environment, societal c. Opportunity seizing
environment, and industry environment where the d. Sources of opportunity
business operates.
This is essential to opportunity-seeking which
a. Entrepreneurial mind frame allows the entrepreneur to see things in a positive
b. Entrepreneurial heart flame and optimistic light in the midst of crisis or
c. External Environment difficult situations.
d. Entrepreneurial heart frame
a. Entrepreneurial mind frame
4. They are the ones who enter something. b. Entrepreneurial heart flame
c. Entrepreneurial gut game
a. Buyers
d. Entrepreneurial heart frame 28
b. Suppliers
c. new entrants It is the ability of entrepreneur that can sense
d. Sellers without using the five senses, also known as
intuition.
For questions 5 to 6 refer to the following
a. Entrepreneurial mind frame
statements:
b. Entrepreneurial heart flame
c. Entrepreneurial gut game
A. Substantial capital requirement
d. Entrepreneurial heart frame
B. Substitute products are not readily available
in the market.
What is the function of Value Proposition?
C. Difficulty in accessing distribution
channels.
a. used to power up sales
D. The product or service is unique.
b. determine customers buying habits
E. Characteristics of the products or services
c. convince customer to purchase a
F. Increased capacity
particular product or services.
d. provide value to your customers
In Potential New Entrants the intensity of its threat
will be affected by the presence of the following
This is an example of promotion using Value
barriers.
Proposition and Unique Selling Proposition.
a. A and C
b. A only
a. fruit shake stand
c. A, B, C and D
b. with the slogan “Langhap Sarap”
d. All of the above
c. ordinary sari-sari store
d. multinational business
 c. Market size
d. Market research
These are the types of requirements, which one is a
type of customer requirement? The following are variables to consider in
behavioral segmentation, except.
a. service responsibility
b. service requirement a. perception
c. service-oriented b. brand concept
d. service fulfillment c. reaction
d. benefits
This is considered as favorable indicators for doing
business in a particular location. It is the most common way to gather primary
information/data with the use of questionnaires or
a. structure of the segment interview schedule.
b. size and growth of the segment
c. capability of the business e. Interview
d. segmentation marketing f. Survey
g. Focus group discussion
What is market size? h. Data gathering

a. Tangible things that can be seen It is the traditional method of data collection which
b. The most important part to the success of is normally done on a face to-face manner with the
the company respondents.
c. Size of arena where the entrepreneur will
play their business a. personal interview
d. Another variation of segmentation b. survey
marketing c. focus group discussion
d. data gathering
This refers to how you sell your products or
services to your customer. It refers to a type of focus group discussion where
it obtains information on general attitudes,
a. Value proposition understands the circumstances under which
b. Selling proposition customers might require your product or service,
c. Marketing concept and understand their desired outcomes.
d. Unique selling proposition
a. trend explanation
Service requirement is a _________ thing or b. feature prioritization
product that cannot be touched but the customer c. exploratory
can feel the fulfillment of buying or using it. d. comparative analysis

a. Intangible It is a type of FGD where customers go to get

b. Service similar information, services or products and what
c. Tangible attracts them to those resources.
d. Output
a. trend explanation
The following are tips for the entrepreneur on how b. feature prioritization
to create an effective unique selling proposition to c. exploratory
the target customers, except d. comparative analysis

a. Completeness of proportion A data gathering technique where it can be

b. Identify and rank the uniqueness of the moderated to group interviews and brainstorming
product or services characteristic. sessions that provide information on user’s needs
c. Be Very specific and behaviors.
d. Keep it short and simple
a. personal interview
________________ will determine the b. survey
entrepreneur’s possible customers in one locality. c. focus group discussion
d. data gathering
a. Market design
b. Market strategy
It refers to information gathered directly from the
respondents who answered a set of questions.
Select the best definition of Product.
a. Primary research
b. Secondary research a. A product is an item that is built or
c. Survey produced to satisfy the needs of a certain
d. Data gathering group of people, it can be intangible or
tangible.
It is a type of discussions in FGD if trade-offs have b. A product is an item that is built or
to be made among various customer needs. produced primarily to gain profit; it can be
intangible or tangible.
a. trend explanation c. A product is an item that is built or
b. feature prioritization produced to compete in the world of
c. exploratory business; it can be intangible or tangible.
d. comparative analysis d. None of the above

A data gathering technique where it can be done Choose the best statement that applies to Consumer
via direct mail, over the phone, internet or e-mail. Goods.

a. data gathering a. A buyer of consumer goods must have

b. focus group discussion complete knowledge of the goods he buys
c. survey and uses.
d. personal interview b. After-sale service is of paramount
importance in the case of all consumer
It is the process of gathering, analyzing and goods.
interpreting the information about the product or c. The market for consumer goods is affected
the services to be offered for sale in the market, the by technological changes.
market and about past, present and any potential d. A buyer of consumer goods may not have
consumers for the products. thorough knowledge of the goods he buys
and uses.
a. data gathering
b. secondary research What factors would change in the distribution
c. primary research channel if there will be no Intermediary like
d. market research producer and consumer?

It is an important aspect of any type of research a. Nothing will take place, since it has no
study, it can impact the results of a study and intermediary levels. In this case the
ultimately lead to valid or invalid results. manufacturer cannot sell to customers.
b. Direct-marketing will take place, since it
a. data collection has no intermediary levels. In this case the
b. secondary research manufacturer sells directly to customers.
c. primary research c. The company will utilize technology to
d. market research reach the customers.
d. All of the above
Which one is not a P in Marketing Mix?
What is the advantage of Penetration Pricing?
a. Price
b. Participant a. A firm has three options and these are to
c. People price lower, price the same or price higher
d. Promotion than competitors
b. A firm can create the perception that the
Which statement supports Marketing Mix? products must have a higher value than
competing products because the prices are
a. The marketing mix is also known as the higher.
“M’s” in marketing. c. The company earns more through cross-
b. Marketing Mix is a set of controllable selling products along with a basic core
and connected variables that a company product.
gathers to satisfy a target group better d. The company will gain market share
than its competitor. because the price charged for products
c. There are only 4 P’s in Marketing Mix. and services is set artificially low.
d. None of the above
Promotions refer to the partial set of activities, d. Innovative
which communicate the product, brand or service
to the user. The idea is to make people aware, These are entrepreneurs who are to follow the path
attract and induce to buy the product, in preference shown by innovative entrepreneurs.
over others. Find the error.
a. Innovative
b. Social Entrepreneurs
a. partial set of activities
c. Imitating
b. which communicates the product d. Fabian
c. idea is to make people aware, attract and
induce to buy the product Which of the following is NOT a function of an
d. No error entrepreneur?

How would you promote a product? a. Skills management

b. Conduct research
a. By offering Free Gifts, Free Samples, c. Risk taking
Free Trial, Customer Contests, Special d. Make no changes with his product
Pricing
b. By offering Brochure, Catalogues, Fliers, It is a personality factor which means “doing things
Newsletters even before being told”
c. By offering Post cards, Coupons, Email,
a. proactive
Phone calls, Text messages
b. persuasion
d. None of the above c. perseverance
d. initiative
The following are interpretations of the word
Brand except It is a personality factor which means convincing
customers to buy the product
a. a legal instrument
b. a logo a. Proactive
c. a business b. Self-confidence
d. a vision c. Persuasion
d. Risk taker
How can you define your business's purpose?
Which of the choices is NOT part of the
a. Purpose can be defined in two ways: environmental factors?
Functional which focuses on the
evaluations of success in terms of a. Political
immediate and commercial reasons and b. climate
Intentional which focuses on success as c. Weather condition
d. family background of the manager
it relates to the ability to make money
and do well in the world.
b. Purpose can be defined in two ways: All except one does NOT belong to the group, which
National which focuses on the evaluations one is it?
of success within the country for
commercial reasons and International a. Unfair trade practices
which focuses on success as it relates to b. Political protest
c. Strikes
other countries to make money and do well
d. Product
in the world.
c. All of the above
The entrepreneur who is skeptical about the changes
d. None of the above
in the company is called?
The entrepreneurs who create new ideas are called
a. Fabian
b. Drone
a. Innovative
c. Social entrepreneur
b. Fabian
c. Imitating d. Imitating
d. Drone

The entrepreneur who lives on the labor of others is

called

a. Drone
b. Imitating
c. Fabian