The questions which follow provide a basic knowledge test of selected concepts covered in this learning pathway:
Business planning.
The questions published at the end of each learning pathway are re-used for the knowledge test for learners interested in earning a digital badge or certificate of participation for the Introduction to entrepreneurship (IENT102) micro-course. Please consult the Certify participation page for more information.
Indicate whether the following statements are true or false:
- Business plans are primarily prepared for generating capital for your business.
- True
- No, business plans are not restricted to raising capital. They are an integral part of many facets of business.
- False
- A business plan should set out your goals and how you plan to reach them.
- True
- False
- No, please revisit the course materials for IENT102.
- There is a standard format for preparing a business plan.
- True
- No, the nature of your specific business context will influence the structure and format of your business plan.
- False
- You do not have to refer to your business’s finances in a business plan.
- True
- Incorrect. Finances are an integral component of a business plan.
- False
Multiple choice questions
- In the context of this course, which of the following is NOT mentioned as one of the purposes of a business plan?
- A business plan sets out the business’s strategy
- This is one of the purposes of a business plan.
- A business plan helps the entrepreneur to be realistic
- This is one of the purposes of a business plan.
- A business plan describes the company to external audiences
- This is one of the purposes of a business plan.
- A business plan is needed when you register your company
- You’re right. This statement is not correct, and is not mentioned as one of the purposes of a business plan, nor is it a requirement for registering a company.
- In the context of this course, which of the following elements is NOT included in a business plan?
- Market analysis
- This would definitely be included in a business plan. You need to show that you understand the market conditions, customer needs and wants, and have a plan on how to reach those potential customers.
- Detailed technical plans
- Correct. This could possibly be included in the appendices of a business plan (if you are launching a technology-based start-up), but you should keep technical details to a minimum in the main body of your plan.
- Ownership details
- These would be included as part of the company information in your business plan.
- Financial analysis
- This would definitely be included in a business plan.
- In the context of this course, which of the following is NOT given as a type of start-up business plan:
- Growth business plan
- This is mentioned as one type of business plan, and would be a detailed description of proposed growth, written for internal or external audiences.
- Strategic business plan
- This is mentioned as one type of business plan.
- Merger business plan
- You’re right! This is NOT addressed as one type of business plan for business start-ups.
- Feasibility business plan
- This is mentioned as one type of business plan.
- Which of the following are typical uses of prototyping? (Select all options which apply. There are three correct answers):
- To show your potential investors or business partners models of your products
- This is correct. Potential investors or partners are often very interested in seeing product prototypes.
- To represent your final product
- This is incorrect. A prototype is not your final product. Don’t expect it to look like one.
- To generate new ideas
- This is correct. One advantage of prototyping is that it can help you see solutions to problems, and to see new possibilities for your idea.
- To help you think about scalability
- This is correct. A prototype can help you fine-tune your idea(s) and think about scalability.
