Chapter 4- Nursing Entrep

Question 1

A startup is a temporary organization in search of a scalable, repeatable, profitable business model.

Answer 1

Blank and Dorf (2012, P. XVII)

Question 2

described business models as “stories that explain how enterprises work”

Answer 2

Magretta (2002)

Question 3

“the rationale of how an organization creates, delivers, and captures value”

Answer 3

Osterwalder, et al. (2010)

Question 4

“A business is about selling what you
make for a profit.”

Answer 4

Chatterjee (2013)

Question 5

is a configuration (activity systems) of what the business does (activities) and what it invests
in (resources) based on the logic that drives the profits for a specific business”

Answer 5

Business Model

Question 6

tool is based on the premise that a start-up is something quite different than an ongoing venture. A start-up should not be viewed as a smaller version of a company because starting-up a company requires very different skills than operating one does. A start-up that is still a start-up after some time—maybe after a couple of years for some kinds of start-ups—is actually a failed enterprise since it hasn’t converted into an ongoing venture

(Osterwalder et al., 2010)

Answer 6

Business Model Canvas

Question 7

“who helps you achieve?”
Motivations for partnerships: optimization and
economy; reduction of risk and uncertainty;
acquisition of particular resources and activities

Answer 7

Key Partners

Question 8

“what you are doing”
* Categories: production; problem-solving;
platform/network
* Marketing, sales, design of your product,
operation side, distribution, networking

Answer 8

Key Activities

Question 9

“what you are, who you are, and what you have”
Types of resources (4 blocks):
* physical (tangible physical asset);
* intellectual (brand patents, copyrights, data);
* human (technician, employees, software engineers);
* financial (cash flow, capital, credit lines)

Answer 9

Key Resources

Question 10

“how you help”
* Characteristics: newness; performance;
customization; “getting the job done”; design;
brand/status; price; cost reduction; risk
reduction; accessibility; convenience/usability

Answer 10

Value Propositions

Question 11

What type of relationship does each of our
customer segments expect us to establish and
maintain with them?
* Examples: personal assistance; dedicated
personal assistance; self-service; automated
services; communities; co-creation

Answer 11

Customer Relationships

Question 12

“who are you helping”
* Mass market; niche market; segmented;
diversified; multi-sided platform

Answer 12

Customer Segments

Question 13

“how will your customer knows your products”

Answer 13

Channels

Question 14

• Awareness
• Evaluation
• Purchase
• Delivery
• After sales

Answer 14

Channel Phases

Question 15

How do we raise awareness about our company’s products and services?

Answer 15

Awareness

Question 16

How do we help customers evaluate our organization’s value proposition?

Answer 16

Evaluation

Question 17

How do we allow customers to purchase specific products and services?

Answer 17

Purchase

Question 18

How do we deliver a value proposition to customers?

Fulfillment phase

Answer 18

Delivery

Question 19

How do we provide post-purchase customer support?

Answer 19

After sales

Question 20

“what you are getting”
* Types: asset sale; usage fee; subscription fees; lending/renting/leasing; licensing; brokerage fees; advertising

Answer 20

Revenue Streams

Question 21

list price; product feature dependent; customer segment dependent; volume dependent

Answer 21

Fixed pricing

Question 22

negotiation (bargaining); yield
management; real-time-market

Answer 22

Dynamic pricing

Question 23

Sample characteristics: fixed costs (salaries,
rents, utilities); variable costs; economies of
scale; economies of scope

Answer 23

Cost Structure

Question 24

leanest cost structure, low price value proposition, maximum automation, extensive outsourcing

Answer 24

cost driven

Question 25

focused on value creation, premium value proposition

Answer 25

value driven

Question 26

“a human institution designed to create a new product or service under conditions of extreme uncertainty”

Business Model Canvas approach, Ries (2011)

Answer 26

Lean Start-up

Question 27

involves releasing a minimal viable product to customers with the expectation that this early prototype will change and evolve frequently and quickly in response to customer feedback

Answer 27

Lean Start-up Approach

Question 28

Five Lean Start-Up Principles by Ries (2011)

Answer 28

1. “under conditions of extreme uncertainty”
2. more than the product or service
3. “how to build a sustainable business”
4. feedback loop: create products and services; measure how the market reacts to them; and learn from that reaction to determine whether to pivot or to persevere with an outcome the market accepts
5. outcomes and innovation initiatives need to be measured through innovative accounting

Question 29

is a decision-making tool for start-up and growth companies to help business advisers and entrepreneurs focus, set agendas, make decisions, and take action

Answer 29

Growth Wheel

Question 30

are basically business models developed
by others (franchisors) that have been proven to work in multiple contexts and that are sold to entrepreneurs (franchisees) who will implement the business model in contexts that the franchisor believes will result in a successful enterprise

Answer 30

Franchises

Question 31

Some are turnkey franchises, like McDonald’s, where the entire ___ is set up from the design of the stores to the supply system, and the ___ sets up virtually everything for the new franchisee

Answer 31

business structure, franchisor