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ESB EXAM 2 STUDY GUIDE QUESTIONS WITH SOLUTIONS
ESB EXAM 2 STUDY GUIDE
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ESB EXAM 2 STUDY GUIDEEconomy Pricing - answer Prices that targeting customers looking to save as much
money as possible.
What business scenario fits the definition of a small business, according to the SBA? -
answer A fast food restaurant that is independently owned and operated
You need to create a legal structure for you small business. You have plans for it to
grow and hope in the future to sell shares to the public. Your startup partners are
citizens of Mexico and Japan. You do not want to be personally responsible for
business liabilities.
Which legal structure should you set up for your business? – answer C-Corp
The highest-ranking employee in the company; reports to the board of directors –
answer CEO
Creates budgets, analyzes financial data, and forecasts company profits – answer CFO
Manages the technological requirements of a company. – answer CTO
Oversees the day-to-day administrative functions of a business; second in command. -
answerCOO
A computer training business needs to hire a consultant for a project to revamp the
training courseware. Once the courseware is revamped, the consultant's services are
complete. Which business compensation structure will pay the consultant and lead to
the smallest payroll tax liability for the business? - answerContract
Pivot - answerChange part of a business model.
Persevere - answerMake attempts to scale a business
Exit strategy - answerTurn a business over to a family member
Which of these characteristics of a successful entrepreneur mindset? (Choose two) -
answerCan tolerate risk and Resilient
You are weighing possible risk in becoming an entrepreneur. Which situation is a risk of
being an entrepreneur? - answerFinancial instability
What is a primary benefit of starting a new business without purchasing a franchise or
buying an existing business? - answerDeveloping your own rules.
, A______is a multi-page document describing and detailing a business. -
answerBusiness plan
A slide presentation for potential investors that summarizes the kay items of a business
is called a_____. - answerPitch Deck
A______is a single-page business summary template that was created by Ask Maurya.
- answerLean Canvas
Which three components are characteristics of a Pitch deck? (choose three) - answer-
Used to Get Investors Attention
-10-20 slides
-Highly Visual
Trade Secrets are confidential information which may be sold or licensed. - answerTrue
A Trademark protects a brand name. - answerTrue
a Copyright is used to protect a company logo - answerFalse
A Patent is used to protect an original work, like music. - answerFalse
You downloaded several of your favorite songs and used them in an ad to promote your
product on social media sites. The ad was rejected because of the songs you chose.
You are told that you violated Fair Use copyright. Which are three factors used to
evaluate Fair Use copyright? (Choose three) - answer-Effect of your use on the
potential market of the work copied
-Amount of the work copied
-Purpose of your use
Bundle Pricing - answerPair several products together and selling them for less money
than each would be individually.
Market Penetration - answerSetting prices low until after a reliable customer base is
established., then raising prices.
Price Skimming - answerSetting high prices when a product is introduced and then
gradually lowering the price.
Premium Pricing - answerHigh quality products marketed to high-income individuals
In the context of interpreting market research, which of the following is an example of
Primary Data? - answerInterviews with SMEs
A local Taco Bell franchise - answerDirect Competition
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