Topics Entertainment, the Focus of the Partnering for Success Feature

question 61

Multiple Choice

Topics Entertainment, the focus of the Partnering for Success feature in Chapter 1, produces "boxed sets" of children's DVDs featuring the best products from small producers. What is the primary lesson that entrepreneurial firms can learn from reading about what Topics Entertainment is doing?

• A) Developing a product or service that helps individuals and businesses work more smoothly and efficiently is a viable business idea.
• B) Small firms often benefit by partnering with larger firms to gain access to their managerial talent
• C) innovation is often not the key to entrepreneurial success.
• D) By partnering with a large company, small companies can distribute their products more widely and gain more visibility than they would ever be able to do on their own.
• E) Quick success can rapidly erode into failure if a business becomes overly confident and starts chasing deals that don't make sense.

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Definitions:

Market Demand

The total demand for a product or service within a market, reflecting the combined desires and purchasing power of consumers.

Market Supply

The total quantity of a good or service that producers are willing and able to sell at a given price in a given period.

Equilibrium Price

The market price at which the quantity supplied of a good equals the quantity demanded, leading to a stable market condition.

Quantity Supplied

The amount of a good or service that producers are willing and able to sell at a given price during a specific period.