Refer to the Scenario Below to Answer the Following Questions

question 100

Multiple Choice

Refer to the scenario below to answer the following questions.
Launching an On-Line Yoga Studio (Scenario)
Deborah was thinking about what it would take to launch her new business. Like many entrepreneurs, she had an idea and wanted to get started but really did not know where to begin-not to mention experiencing both the normal excitement and fear of launching a new enterprise.
Deborah discovered that she could gather together well-known yoga teachers from all over the world and create an online yoga studio. Customers could become members for much less money than going to a regular studio and learn from the best teachers in the world, not just the local ones.
In her mind this could lead to the downfall of many mediocre yoga studios in her city (and perhaps other cities) and make world-class yoga teachers more available. Plus, the overhead costs would be minimal. She would then pay each teacher a royalty based on the participant volume each one received.
-Deborah's idea for offering yoga classes through a new medium is grounded in a common source of new ventures in many industries. When an innovation comes along that breaks down an old way of doing something, this is referred to as _____________.

• A) creative innovation
• B) social entrepreneurship
• C) social innovation
• D) new venture ideation
• E) creative destruction

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Definitions:

Harsh Terms

Unfavorably stringent conditions or stipulations in a contract or agreement that may seem unfair to one party.

Implied-in-Fact Contract

An agreement created by the actions or circumstances of the parties involved rather than by written or spoken words.

Gambling Illegal

The prohibition by law of the practice or act of wagering, betting, or playing games of chance for money or other stakes.

Exculpatory Clause

A contract provision that releases one party from liability or legal consequences of their actions to another party involved.