Entrepreneurship and Venture Capital Management DEC 2024

Description

Enterpreneurship venture capital and management

December 2024 Examination

 

 

Q1: An online education platform has received feedback that its current value proposition does not adequately differentiate it from competitors. How should the platform adjust its Value Proposition blocks to better address customer needs and stand out in the market? What unique features or benefits could enhance its appeal?

Ans 1.

Introduction

In today’s competitive digital marketplace, online education platforms must deliver a value proposition critical factor that directly influences a platform’s ability to attract and retain users. For an online education platform, the value proposition typically encompasses several aspects such as course variety, quality of content, user experience, and unique features that meet specific learner needs. If a platform’s current value proposition is not sufficiently differentiated, it risks blending into the crowded landscape, making it difficult to build a loyal customer base. Therefore, it becomes

 

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Q2: Atul and Sampada are planning to start a new business specializing in eco-friendly home products. They have a few options for how to structure their business: a sole proprietorship, a partnership, a limited liability company (LLC), or a corporation. They need to decide which structure would be most suitable for their business goals, financial situation, and risk tolerance. Atul has significant capital to invest but wants to limit his liability. Sampada has limited funds but is enthusiastic about having a say in business decisions and sharing profits. Both are concerned about potential legal and financial risks and want to ensure they have the flexibility to grow the business. Based on their situation, which business structure would you recommend for Atul and Sampada’s new business, and why? (10 Marks)

Ans 2.

Introduction

Selecting the right business structure is one of the most crucial decisions for entrepreneurs starting a new venture. Atul and Sampada, who aim to launch a business specializing in eco-friendly home products, need to choose a structure that fits their financial situation, risk tolerance, and business goals. Atul has significant capital but wants to limit his personal liability, whereas Sampada, with limited funds, wants an equal say in business decisions and sharing profits. Additionally, both are concerned about potential legal and financial risks and want to ensure that the business structure allows flexibility for growth. The right structure will not only influence the day-to-

 

 

Question 3: Alex is interested in opening a coffee shop and is considering either buying a franchise or starting an independent business from scratch.

1. What are the key benefits and drawbacks of buying a franchise versus starting an independent coffee shop? (5 Marks)

Ans 3a.

Introduction

Alex’s decision to open a coffee shop presents two primary options: purchasing a franchise or starting an independent business from scratch. Each option has its own set of advantages and challenges, and choosing the right one depends on Alex’s goals, resources, and preferences. A franchise offers a pre-established brand and business model, while an independent shop allows for more creativity and control. Understanding the benefits and drawbacks of each approach will help Alex make a more informed decision for this venture.

Concept and Application

Benefits of Buying a

 

1. How might each option impact Alex’s initial investment, brand recognition, and operational flexibility? (5 Marks)

Ans 3b.

Introduction

The decision between purchasing a franchise and starting an independent coffee shop will significantly influence Alex’s initial investment, brand recognition, and operational flexibility. Each business model presents distinct opportunities and challenges. A franchise typically requires a higher upfront investment but benefits from existing brand recognition, while an independent shop may offer more operational flexibility at a potentially lower initial cost. Examining these factors