Two Fatal Flaws Can Render a Business Model Untenable from the Beginning

question 5

Multiple Choice

Two fatal flaws can render a business model untenable from the beginning. These are utterly unsound economics and:

• A) a complete misread of the customer
• B) failure to copy the industry leader's business plan
• C) overemphasis on the importance of feasibility analysis
• D) overemphasis on the importance of industry analysis
• E) failure to complete a business plan prior to developing a business model

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Definitions:

Abstract Thought

The ability to think about objects, principles, and ideas that are not physically present.

Concrete Operations

A stage in Piaget's theory of cognitive development, typically occurring from age 7 to 12, where children gain the ability to think logically about concrete events.

Logical Operations

Mental processes that follow systematic patterns of thinking, allowing for problem-solving and reasoning based on established rules.

Abstract Thinking

The ability to think about objects, principles, and ideas that are not physically present, involving complex thought processes like analysis and synthesis.