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Entrepreneurship and Venture Capital Management
April 2024 Examination

Q1. “Innovation is the driver of progress and success in business.” Explain the statement. (10 Marks)
Ans 1.
Introduction:
In the ever-evolving landscape of business, the role of innovation has become increasingly prominent. Innovation is not merely an option; it is the very driver of progress and success in the business world. This statement encapsulates the fundamental essence of how businesses thrive, adapt, and ultimately lead in their respective industries. In this essay, we will delve into the concept of innovation as the engine of progress and success in business, exploring its multifaceted nature and its profound impact. Through a comprehensive analysis, we will uncover why innovation is not only desirable but imperative for businesses to remain competitive and relevant.
Concept and application
Innovation as the Driver of Progress and Success in Business
Innovation is the catalyst
Q2. Vaso Biotech is a Pharma Company owned by Aziz, a sole proprietor. Employees being the biggest asset of the organization, Aziz was finding it difficult to involve each employee to work dedicatedly for a common goal, which is eventually affecting the business. Kindly advise Aziz what could be done in this situation so that the business could be a great success. (10 Marks)
Ans 2.
Introduction
In the dynamic landscape of pharmaceutical entrepreneurship, where innovation and rapid adaptation are key, Vaso Biotech, a sole proprietorship owned by Aziz, faces a quintessential challenge: aligning individual employee efforts towards a unified organizational goal. The success of a pharma company like Vaso Biotech hinges not just on groundbreaking research and development but also on the cohesive and dedicated performance of its workforce. As employees are the cornerstone of any enterprise, their disengagement can significantly impede progress, especially in a field as intricate and competitive as pharmaceuticals. Aziz’s predicament underscores a common issue in many entrepreneurial ventures – the struggle to

Q3. Binu and Roshini are best friends who wanted to start a business. They have done their MBA and wanted to do something unique. So, they decided to start a business of pet friendly café where they are planning to offer pet foods along with snacks and beverages pet owners. They are feeling if the business does not run well, it will affect their friendship.
a) According to you what form of ownership will be best in this situation. (5 Marks)
Ans 3a.
Introduction
Binu and Roshini’s entrepreneurial vision of starting a pet-friendly café is an exciting venture that combines their MBA knowledge with a passion for creating a unique experience for pet owners and their pets. However, their concern about the potential impact on their friendship if the business encounters challenges is valid and needs careful consideration. The choice of the business’s legal structure plays a crucial role in shaping their working relationship, financial

b) What kind of funding will be suitable for this business? Justify your answer. (5 Marks)
Ans 3b.
Introduction
Securing appropriate funding is a pivotal step in launching Binu and Roshini’s pet-friendly café, a concept that marries hospitality with pet care. The nature of this venture – innovative yet with palpable risks – requires a funding strategy that aligns with its unique business model, growth objectives, and the founders’ risk appetite. The chosen funding method must support not just the initial setup but also the operational and expansion plans of the café.
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