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45 Cards in this Set
- Front
- Back
Entrepreneurship |
-A Process that CAN be learned
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Entrepreneur Startups
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Mostly funded with personal money
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Critical Components for a Successful New Business
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-Opportunity -Management Team -Resources Available |
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Most Entrepreneurial Ideas Stem From
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Working in A Particular Industry
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Component of the Business Model Canvas Describes your proposed solution?
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Value Propisition
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Business Model Canvas
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Fluid Document. Meant to be iterated on
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Percentages of Business that will fail in year 3
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35%
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"For whom are you creating value?"
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Is in the Customer Segment in Business Model Canvas
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Startup Marketing Strategy
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Get a Specific Consumer Base
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Hard Assets: Such as specialized equipment
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Is in the Key Resources component of Business model canvas
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Understanding human behavior is essential to creating a solution that is _________.
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Desirable
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Design
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Applies to More than physical characteristics of product in Design Thinking Methodology
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AEIOU Framework Observation
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-Activities -Enviornment -Interaction -Objectcs -Users |
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Ideation Phase of Design Framework
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Insight (Design Thinking Methodology)
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Gap between the way something is now and the way it should be
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Design Thinking Methodology
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-Inspiration -Ideation -Implementation |
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Brainstorming
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Important to remember quantity over quality
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MVP
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Minimally Viable Product
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Lean Startup Methodology
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develop the product while consumers test it (selenas definition) |
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Iteration Phase (Lean Start Up Process)
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Trend
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change in general direction in which we live
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Convergence
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The ability to link seemingly unrelated ideas, concepts and technologies, into a new solution
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"First Mover Advantage"
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Global Connectedness
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1990's and early 2000's greatest influencer on innovation
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Business Plan
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First and foremost should be written for yourself
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What a company's strategy must be to compete:
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-Faster -Cheaper -Better |
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Business Growth Drivers
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-Product Mix Expansion -Franchising -Geographic Expasion |
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Sound Business Strategy
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Fully understanding your revenue and cost drivers
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COGS
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Cost of Goods Sold -can be influenced
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Types of Basic Financial Statements
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-Balance Sheet -Income Statements -Statements of Cash Flows |
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Income Statement
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Net Income = Revenue - Expenses -Company can still show profit on statement but still go out of business due to lack of capital |
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Statement of Cash Flows
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Balance Sheet
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Assets = Liabilities + Share Holders Equity
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Basic Mistakes Made During Building Financial Projections
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-Under Estimating Cost -Lack of Comparables -Underestimating Time to generate sales |
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Seasonality
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Changes in customer buying behavior throughout the year
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Scenario Analysis
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Running proforma statements using inputs and assumptions of competitors or inputs from unexpected changes in market place
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Porforma Statements
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Helps Entrepreneurs Set metrics and goals prior to launch
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Gross Profit Margin
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Types of Financing Captial
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Debt and Equity
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In most debt financing structurese
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-No Ownership -Secured by assets of company -1st in line to assets of the company if it fails |
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Equity Capital
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Dilution
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Traditional Debt Capital Instruments
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- SBA Bank Loan -Personal Credit Card -Loan From A Family Member |
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Viable exit strategies
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-Stock Buy Back' -Sale of the Company -Initial Public Offering (IPO) |
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Positive Coverable Debt Instruments
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-Does Not Require Firm Company Valuation -Investor Protection Through Collateralized Assets - Speed: They don't require a lot of legal work. |