Finding and Testing Your Business Idea

Answers

1. What is not a step in the original process of narrowing down your list to the best five business ideas?
   1. Make sure the business idea is very exciting to you.
   2. Make sure the business idea is logical.
   3. Make sure the business idea is ranking high on the list.
   4. Make sure the business idea hasn’t been done before.
2. Which discovery will help you with your new business idea?
   1. Discover people’s pain.
   2. Discover what other people are wanting and needing.
   3. Discover business annoyances.
   4. all of these answers
3. What is not the best starting point when it comes to finding your new business idea?
   1. Find the gifts you were born with.
   2. Find the things that you love and enjoy doing.
   3. Find the skills and the knowledge you acquired over time.
   4. Find lists online of the businesses that you can create.
4. A _____ advantage, like a patent or a trademark, can add a tremendous amount of value to your business idea.
   1. monopoly
   2. proprietary
   3. proprietor
   4. monarchy
5. The _____ number is overhead divided by the contribution margin. This is what you need to double every month to make sure your business is highly profitable.
   1. sale
   2. profit
   3. break-even
   4. expense
6. Think twice before immediately seeking out a _____ who has a skill that you lack.
   1. employee
   2. freelancer
   3. contractor
   4. partner
7. Which opportunity factor is referred to as market size?
   1. resources
   2. profitability
   3. demand
   4. geographic region
8. In order to test the business opportunity you have chosen, you need to create a _____ before you invest any money.
   1. micro business plan
   2. business card
   3. company name
   4. company website
9. What should the Business Validation Micro Plan list?
   1. all of these answers
   2. budget for test
   3. test period
   4. most likely customers
10. If you run your test, and all results are successful, what should you do next?
    1. Go find an investor to give you a loan.
    2. Run a new test, this time focusing on price.
    3. Stop dreaming and get back to work in a real job.
    4. Start selling your product or service.
11. What has been found to work best for testing a business opportunity that offers services, and can be customized geographically?
    1. none of these
    2. a listing on Craigslist
    3. a website that explains what the business offers
    4. a phone number for people to call and get information about the business
12. When testing your business idea, who should not be a source to ask for feedback?
    1. sites that run surveys
    2. neighbors in your area that fit you business demographic
    3. people who are in your target audience
    4. your friends and family
13. The micro-message that you need to set for your business ideas should not _____.
    1. leave people guessing what the business offers
    2. leave people with a clear message about the business
    3. use the most enticing concepts behind the business offer
    4. explain the benefit of the business to the people
14. When making your list of ideas for a new business, what is something you should avoid?
    1. erasing and editing ideas
    2. writing down business ideas you’ve had in the past
    3. writing down ideas that aren’t thought out all the way through
    4. writing down existing business ideas
15. In order to finalize your single best business idea out of your top five ideas, you need to take each idea through all of the _ factors to test it.
    1. opportunity
    2. distribution
    3. profitability
    4. marketability
16. The process of figuring out if you need to sell the product over the internet, in stores, or face-to-face helps you discover your _ model.
    1. profit
    2. distribution
    3. resource
    4. expense
17. What is an effective way to cheaply test the viability of your business idea?
    1. all of these answers
    2. have a special phone number for tracking inbound calls
    3. have an add run on a local Craigstlist page
    4. have a simple website landing page so you can measure opt-ins
18. _ like materials, equipment, and money are what you need to assess carefully before you start your business.
    1. Skills
    2. Resources
    3. Profits
    4. Services
19. What is not a recommended testing option?
    1. billboard
    2. online ads
    3. pay per click
    4. in-person survey
20. What is not an opportunity factor that leads to a successful business?
    1. demand on products and services
    2. Attempted incorrect option
    3. resources like equipment and materials
    4. expertise in the industry
    5. a clever business idea