1. Business models mediate the link between technology and firm performance.
True False
2. A business model describes the value an organization offers to its suppliers
True False
3. The business model shows the business’s capabilities and resources required to create, market,
and deliver value as well as generate profitable, sustainable revenue streams
True False
4. The revenue stream part can be omitted when creating the business model
True False
5. The business model shows where the money is going to come from and how much of it will the
business be able to retain
True False
6. The revenue model include considering issues like margins, allocation of profits to those within
the supply chain
True False
7. The Business Model answers the question of how the business will make money.
True False
8. The business model answers the question who the target manufacturer
True False
9. The business model states what customer problem or challenge does the business solve
True False
10. The business model does not mention the value does that the business delivers
True False
11. The business model answers how the organization reaches, acquires, and keeps customers
True False
12. The business model does not include how the business defines and differentiate its offering
True False
13. The business model includes how the does the organization generate revenue
True False
14. The business model omits the cost structure of the firm
True False
15. The business states the firm’s profit margin
True False
16. The competitive strategy describes the customer problem, the product that addresses the
problem, and the value of the product from the customer’s perspective
True False
17. The Market segment is the group of customers to target
True False
18. A business plan is a detailed document, typically 50 to 100 pages, with a lot of financial
projections
True False
19. A business model is a very detailed. It should be on one page and it would be more clearly
shown as a diagram.
True False
20. The business model should not contain: A graphical representation
True False
21. The business model should contain: A list of activities, on the part of both the business owner
and potential customers
True False
22. The business model should not contain: A likely sequence for those activities
True False
23. The business model should contain A set of indicators or metrics for measuring the
linkage between the activities
True False
24. firms that innovate on a business-model level can experience greater growth rates than
companies that focus on innovation in products and operations.
True False
25. There are only 2 methods that start-ups can use to create an innovative business model
True False
26. The Revenue/pricing model: change how revenue is generated through new value propositions
& new pricing models
True False
27. The Enterprise model: specialize and configure the business to deliver greater value by
rethinking what is done in-house and through collaboration.
True False
28. The Industry model: is about staying in the same industry
True False
29. Revenue models often are mistaken for business models. However, revenue models are
concerned specifically with the pricing element of the business model.
True False
30. Revenue model do not concerns establishing a price for the product and are not dependent on
reliable market intelligence.
True False
31. Enterprise models focus on redefining the internal and external boundaries of the organization
to create a new business model
True False
32. Enterprise models include only moving up the value chain, leveraging a network of partners or
outsourcing non-core activities.
True False
33. Businesses can find ways to leverage a network of partners that increases the effectiveness and
efficiency of production, offering, distribution and sales.
True False
34. businesses must look along their value chain and ask themselves: Should I make this myself
True False
35. Business should not look along their value chain and ask themselves look along their value chain
and ask themselves.
True False
36. businesses must look along their value chain and ask themselves Do these choices create
sustained value for us?
True False
37. there is a wide range of different business models applicable across all industries
True False
38. The Manufacturer continuously generate with new ideas and start new businesses without
necessarily staying with the business
True False
39. The entrepreneur business model is one of the simplest and most well-known. It involves
creating physical products such as cars and mobile phones (by taking physical assets and
assembling them to add value)
True False
40. The Inventor/creator: Individuals create or design products that can then be sold to generate
money
True False
41. The human creator business model is not illegal
True False
42. The Financial trader covers those activities involved in distributing finance. So investment
banking
True False
43. The wholesaler retailer is about Buying and selling intellectual property is not very different
from buying and selling other goods. Usually, the IP is in the form of a patent which can be
licensed.
True False
44. IP trader involves goods to anyone other than a standard consumer. It usually involves the
resale (sale without transformation) of new and used goods to retailers or involves acting as an
agent or broker in buying merchandise or selling merchandise
True False
45. Wholesalers make these products available to consumers; usually trying to offer the widest
possible choice
True False
46. Supermarkets are retailers and wholesalers
True False
47. The Human Trader Business Model is illegal
True False
48. Physical Landlord: Here the asset is money that is looked after by the landlord and used to
generate more money.
True False
49. Financial Landlord This is a well known business model where the physical asset is used to
generate income
True False
50. A good example of the contractor is a is a publisher..
True False
51. The publisher publisher creates the literature or music and owns it.
True False
52. The scope of publishing has expanded to include electronic resources such as the electronic
versions of books and periodicals, as well as websites, blogs, video game publishers (Disney,
HBO).
True False
53. A contractor is an individual employed by the client on the advice of a specialist or the client
him/herself if acting as the manager. A contractor is responsible for the overall coordination of a
project.
True False
54. A Physical Broker is like a General insurance brokering is carried out today by many types of
authorized organizations including traditional high street brokers and telephone or web-based
firms
True False
55. A broker is an independent agent used extensively in some industries
True False
56. A broker’s prime responsibility is to bring sellers and buyers together and thus a broker is the
intermediary facilitator between a buyer and a seller
True False
57. An HR Broker mediates between the buyer and seller of intellectual property (IP) and may
manage the many steps in the process of creating a deal with regard to the purchase, sale,
license or marketing of intellectual property assets. This may include patents, trademarks or
inventions (prototypes)
True False
58. An IP Broker is a An employment agency is an organization that matches employers to
employees.
True False
59. In all developed countries, there is a publicly funded employment agency and multiple private
businesses which act as employment agencies
True False
60. A company’s Business model defines the company’s target market segment and customers
and determines the value proposition for the customer’s business
True False
61. The company’s strategy focuses on how a company captures some of the value for itself
(make money).
True False
62. The aspects of any business model include the eco system (infrastructure) the offering, the
customer side, and the finances
True False
63. Core capabilities: List the business’s core capabilities: the assets that it brings to the table when
creating the offering. These include skills, patents, assets and expertise that make it unique and
can be leveraged
True False
64. Value configuration refers to Building the offering may involve third parties and suppliers who
have key capabilities to complement it. Understanding how to integrate these in the offering
and the processes is critical
True False
65. Partners and Allies explain how Describe how all the components together create the product
and serve customers.
True False
66. The value proposition is the central piece that illustrates how the business plans to bind the
supply side with the demand side.
True False
67. Understanding the customer’s role (i.e., economic buyer, technical buyer, end user) as well as
where the customer belongs on the technology adoption lifecycle (TALC) is critical when
developing a value proposition
True False
68. The value proposition answers what is on offer and how is it offered to customers
True False
69. The value proposition does not involve what type and how much value or benefit is associated
with the offering (e.g., cost savings, time savings, revenue increase, customer satisfaction)
True False
70. The value proposition answers how the value is generated
True False
71. The value proposition does not mention why it is different from anything else on the market.
True False
72. In distribution channels the business needs to consider the kind of relationship it wants to have
with each customer segment
True False
73. Customer relationships involve Defining the value proposition leads naturally into a discussion
about who is the target market segment and what characterizes the ideal customer.
True False
74. Revenue Streams calculate Calculate the costs that will be incurred to run the business model as
determined by its infrastructure
True False
75. Cost structures Evaluate the streams through which the business will earn revenues from value-
creating and customer-facing activities
True False
76. Scalability: describes how easy it is to expand a business model without equally increasing its
cost base
True False
77. Switching costs describe The time, effort or money a customer must spend to switch from one
product or service provider to another.
True False
78. The less the business earns before spending the better it is
True False
79. If the business model archetype is a creator and the asset involved is financial then the business
model is an entrepreneur
True False
80. If the business model archetype is a creator and the asset involved is physical then the business
model is an HR Broker
True False
81. If the business model archetype is a creator and the asset involved is intangible then the
business model is an inventor
True False
82. If the business model archetype is a creator and the asset involved is human then the business
model is an Human Creator.
True False
83. If the business model archetype is a distributer and the asset involved is financial then the
business model is an Financial trader
True False
84. If the business model archetype is a distributer and the asset involved is physical then the
business model is an Ip trader
True False
85. If the business model archetype is a distributer and the asset involved is human then the
business model is an wholesaler
True false
86. If the business model archetype is a distributer and the asset involved is intangible then the
business model is an IP Trader
True False
87. If the business model archetype is a landlord and the asset involved is financial then the
business model is a financial landlord
True False
88. If the business model archetype is a landlord and the asset involved is a human then the
business model is a contractor
True False
89. If the business model archetype is a landlord and the asset involved is intangible then the
business model is a physical landlord
True false
90. If the business model archetype is a landlord and the asset involved is physical then the
business model is an intellectual property landlord
True false
91. If the business model archetype is a broker and the asset involved is physical then the business
model is an IP Broker
True false
92. If the business model archetype is a broker and the asset involved is human then the business
model is an Physical Broker
True false
93. If the business model archetype is a broker and the asset involved is financial then the business
model is a Financial Broker
True False
94. Revenue generation deals with how revenue is generated
95. Position in the value network refers to the identification of partners, competitors and network
effects and network effects
96. Value chain structure identifies the position of the firm in the value chain
Answers
1. True
2. False to its customers not suppliers
3. True
4. False
5. True
6. False The Business Model not Revenue Model
7. True
8. False Target customer
9. True
10. False
11. True
12. T False
13. True
14. False
15. True
16. False – The Value proposition
17. True
18. True
19. False
20. False
21. True
22. False
23. True
24. True
25. False
26. True
27. True
28. False
29. True
30. False
31. True
32. False
33. True
34. True
35. False
36. True
37. True
38. False
39. False
40. True
41. False
42. T
43. F
44. F
45. F
46. T
47. T
48. F
49. T
50. F
51. F
52. T
53. T
54. F
55. T
56. T
57. F
58. F
59. T
60. F
61. F
62. T
63. T
64. F
65. F
66. T
67. T
68. T
69. F
70. F
71. F
72. F
73. F
74. F
75. F
76. T
77. T
78. F
79. T
80. F
81. T
82. T
83. T
84. F
85. F
86. T
87. T
88. T
89. F
90. F
91. F
92. F
93. T
94. T
95. T
96. T
