Skip to content

CMA Final · Entrepreneurship and Startup · Idea to Action

Meera has an idea for an app that connects rural artisans to urban buyers. Before building it, she interviews artisans and buyers, studies competing platforms and estimates how many buyers would pay. She wants to find out whether the idea is a genuine opportunity worth pursuing. Which step of the idea-to-action process is she performing?

Meera is carrying out a feasibility analysis. By interviewing prospective users, studying competitors and estimating willingness to pay, she tests whether the idea is a viable opportunity before investing in development. Later activities such as IPO planning, exits or integration come after the venture is established.

  1. AFeasibility analysis of the business opportunityCorrect
  2. BInitial public offering planning
  3. CExit through a trade sale
  4. DPost-merger integration

Explanation

Feasibility analysis examines whether an idea is viable by assessing market demand, competition, and the potential to be paid for, before resources are committed. Meera's interviews, competitor study and willingness-to-pay estimate are exactly this. IPO planning, trade-sale exit and post-merger integration all occur at much later stages of a venture's life.

Did you get it right without looking?

One question tells you little. A timed set on Idea to Action shows your real accuracy, how long you take and where you lose marks.

Practise Idea to ActionFree diagnostic mock

More Idea to Action questions