FBLA Entrepreneurship 2

Question 1

What is a 'SWOT analysis' used for in business?

Accepted Answer

Evaluating a business's Strengths, Weaknesses, Opportunities, and Threats

Answer

A SWOT analysis helps businesses identify internal strengths and weaknesses alongside external opportunities and threats.

Question 2

Which section of a business plan describes how a company will sell and promote its products?

Accepted Answer

Marketing and sales strategy

Answer

The marketing and sales strategy section outlines how a business will reach its target market and convert prospects into customers.

Question 3

What is 'market research' in entrepreneurship?

Accepted Answer

Gathering information about target customers and industry conditions

Answer

Market research involves collecting and analyzing data about potential customers, competitors, and industry trends to inform business decisions.

Question 4

What is an 'angel investor'?

Accepted Answer

A wealthy individual who invests personal capital in early-stage startups

Answer

An angel investor is typically a high-net-worth individual who provides funding to startups in their early stages, often in exchange for equity.

Question 5

What does 'break-even analysis' determine for a new business?

Accepted Answer

The point at which total revenue equals total costs

Answer

Break-even analysis identifies the sales volume at which a business covers all its costs and begins to generate profit.

FBLA - Future Business Leaders of America Practice Test