COMMONWEALTH OF AUSTRALIA

Copyright Regulations 1969

Warning

This material has been reproduced and communicated to you by or on behalf of The
Charles Darwin University pursuant to Part VB of the Copyright Act 1968 (the Act).
The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of
copyright protection under the Act.

Do not remove this notice

 Student ID
Surname
Given Names

Semester/Year: Semester 2, 2014

FINAL EXAMINATION COVER SHEET

Faculty / School: Engineering, Health, Science and the Environment /

Engineering and Information Technology
Unit: PRT503 - Entrepreneurship for Professionals
Lecturer: Jamal El-Den
Examination Duration:
Reading: 10 minutes
Writing: 180 minutes

1. INSTRUCTIONS TO CANDIDATES:
1.1 The examination has 1 section
Section A: The exam has 8 short answer questions. Answer all questions (40Marks) on the
Essay and Short exam booklet provided.
answer questions

Answer all the questions on the booklet provided. Please ensure that your Name and Student Number
are written clearly in the space provided at the top of this page.
1.2 Note that questions ARE or ARE NOT of equal value.
1.3 Read ALL questions carefully.
1.4 Do not commence writing until instructed to do so.

2. ATTACHED MATERIALS:
None

3. PERMITTED MATERIALS:
A4 sheet of notes – double sided

4. EXAMINATION BOOKLETS:
1 8 page Booklet
Answers on Exam Paper: NO

SEM-2, 2014 Final Examination Page 1 of 4

PRT503 - Entrepreneurship for Professionals
EXAMINATIONS PAPERS ARE NOT PERMITTED TO BE REMOVED FROM THE EXAMINATION VENUE
 Answer ALL of the following 8 questions

Question 1 (5 points)

In today’s competitive business world you need to offer consumers something different and
better than your competitors. This ‘something’ is called your competitive advantage.

Your competitive advantage, also known as your success factors, shows itself in different ways
depending on your type of business. What would be the key success factors in the following
businesses? Select two and write about 3 success factors for each business.

a) A Successful Restaurant

b) A Hair Salon

c) A Bed and Breakfast hotel

d) An Art and Craft centre

Question 2 (10 points)

Describing her company's revolutionary design for a bottle cap, Kyoto says. "It has a special
locking mechanism that you know is engaged when a red panel is showing through this little
window on top of the cap. If you want to keep unauthorized hands, for instance, those of children
from opening the bottle, you engage the locking mechanism. Unlike other childproof caps,
however, this design does not frustrate adults who might have arthritis and elderly people whose
grip may not be as strong as it once was." Removing the cap from the bottle in no time with just a
few turns, Kyoto says, "They can open the cap quite, easily by disengaging the locking
mechanism this way... see? You get the safety of a childproof cap without the problems most
adults have getting them off."

Circle the correct answer in the following two questions:

1- Based on Kyoto's new cap description "you get the safety of a childproof cap without the
problems most adults have getting them off" what would you say about it is (Explain why)?

a) Feature

b) Trait

c) Benefit

d) None of the above

SEM-2, 2014 Final Examination Page 2 of 4

PRT503 - Entrepreneurship for Professionals
EXAMINATIONS PAPERS ARE NOT PERMITTED TO BE REMOVED FROM THE EXAMINATION VENUE
2- Which of the following would be considered a feature of Kyoto's new cap and why?

a) The special locking mechanism

b) The red panel showing through the little window on top of the cap signaling that the
locking mechanism is engaged

c) The fact that you get the safety of a childproof cap without the problems most adults
have getting them off

d) Two of the above

Question 3 (2 points)

Skatell's, a small jewellery store with three locations, designs and manufactures much of its own
jewellery while its competitors (many of them large department stores) sell standard, "off the
shelf' jewellery. As a result, many customers see, Skatell’s as the place to go for unique pieces of
jewellery. Skatell's reputation for selling unique and custom designed jewellery is strength,
weakness, opportunity or a threat? Explain your answer.

Question 4 (3 points)

a) Define the term ‘Entrepreneur’.

b) What are the dominant characteristics that are found in successful Entrepreneurs?

c) Location is a very important consideration when opening a business, as it will have a huge
influence on competitiveness. What factors play a role in identifying a suitable location for your
business?

Question 5 (5 points)

Survivalist and Micro enterprises according to Maharaj (1998:16) emphasizes that street vendors
are the most visible aspect of the informal economy. They are often regarded as a nuisance,
obstructing the flow of commerce, and are unwelcome proof of the country’s underdevelopment.
Yet they contribute positively to the economy by sharing a significant share of goods and services
at low prices thus helping low to medium income bracket consumers. To fully understand the
informal and survivalist enterprise it is essential to know the characteristics of the environment
from which they come and in which they operate. Describe these characteristics and mention the
different types of entrepreneurs in this sector.

SEM-2, 2014 Final Examination Page 3 of 4

PRT503 - Entrepreneurship for Professionals
EXAMINATIONS PAPERS ARE NOT PERMITTED TO BE REMOVED FROM THE EXAMINATION VENUE
Question 6 (5 points)

a) Explain the key elements of the Franchising concept?

b) Identify and describe the parties involved in the franchising concept.

c) Give 4 examples of franchises.

Question 7 (5 points)

An entrepreneur is trying to conduct a break-even analysis on a case. Each product will sell for a
price tag $20.99. The entrepreneur has estimated the following costs:

A. Rent $600 per fortnight

B. Unit Direct Labor $9 per unit

C. A $900 weekly salaries

D. Each raw material will cost $5 per unit

Calculate the monthly breakeven point, show the formula, your work, and identify the marginal
contribution.

Question 8 (5 points)

a) Define a business plan.

b) Identify three main purposes of a business plan.

c) Is one purpose more important than the other one? Give reasons for your answers.

d) Why do so many entrepreneurs NOT draw up a business plan.

e) What are the results of Not drawing up a business plan.

SEM-2, 2014 Final Examination Page 4 of 4

PRT503 - Entrepreneurship for Professionals
EXAMINATIONS PAPERS ARE NOT PERMITTED TO BE REMOVED FROM THE EXAMINATION VENUE