Which sign shows that an entrepreneur has correctly understood the business model?
Answer and explanation
Correct answer: The entrepreneur knows whom to serve and how revenue will be generated
A business model explains the target customer, the value offered to that customer, and the way the enterprise will earn revenue. Knowing only a product feature is insufficient, while ignoring needs or expenses shows poor planning. Therefore option A captures the essential logic of a business model.
Frequently asked questions
What is the correct answer to this question?
The entrepreneur knows whom to serve and how revenue will be generated
Why is this the correct answer?
A business model explains the target customer, the value offered to that customer, and the way the enterprise will earn revenue. Knowing only a product feature is insufficient, while ignoring needs or expenses shows poor planning. Therefore option A captures the essential logic of a business model.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: MSME and Business Entrepreneurship. Topic: Entrepreneurship Development.
