Practice · 1.4 How Do Business Ideas Originate?

Priya's dog-grooming van

Priya wants to start a mobile dog-grooming service. Over two weekends she asks 25 dog owners at a park what frustrates them about grooming; 19 say the hardest part is driving to the groomer and waiting. She sketches a van layout and writes a one-paragraph description: 'We come to your driveway; 45 minutes; $60.' She shows it to 30 owners: 21 say they would book, and the average price they would pay is $55. Starting the service would require a $38,000 van, $6,000 of equipment, and Priya quitting her job.

1. Priya's weekend conversations with 25 dog owners represent which part of the design-thinking process?

AGathering feedback on an MVPBAssuming the risks of a new businessCDeveloping a solution through prototypingDValidating a problem by interviewing potential customers

2. Which evidence best shows that Priya's problem is validated according to the framework's definition?

AA $38,000 van is availableBShe personally finds grooming inconvenientC19 of 25 owners independently named the same frustration — the problem exists, is clearly defined, and is sharedDShe sketched a van layout

3. Priya's sketch and one-paragraph description shown to 30 owners is best described as

Amarket research to identify a gapBa business planCa finished productDa minimum viable product used to gather initial feedback

4. What is the most important thing Priya learned from MVP feedback?

AThat she should buy a bigger vanBThat the service should take 45 minutesCThat dog owners dislike groomingDThat most owners would book, but at a lower average price ($55) than she proposed ($60)

5. Which items in the scenario represent the financial, physical, and human resources that make Priya's launch risky?

AThe $38,000 van and $6,000 equipment (financial/physical) and Priya quitting her job (human)BThe sketch and the descriptionCThe 21 owners who said they would bookDThe park, the weekend, and the owners

6. If Priya goes ahead, she is an entrepreneur because she

Ais good at grooming dogsBdevelops a new business and bears the risk of losing her investment and income if it failsCsurveyed customersDwill work more than 40 hours a week