This document contains 8 questions about introductory business concepts. It asks about niche markets and examples, motivations for starting a business, limited liability and how it can benefit owners, franchises and examples, how the internet can help small businesses, factors influencing business loans, advantages and disadvantages of partnerships, shares and where they are traded in Malaysia and how share prices are determined. The questions cover topics like business structures, financing, markets and using technology to help new ventures.

1. Intro to Business Exercise 2.0
1. What is a niche market? Provide TWO (2) examples (other than from the
lecture notes) of a niche market? Why would a business want to target a
niche market? Give ONE (1) reason.
2. What would motivate some people to start their own business? Provide
TWO (2) possible motivations/reasons.
3. What is limited liability? Is this an advantage or a disadvantage to the
business owner? How (i.e. illustrate with an example)?
4. What is a franchise? Explain and provide TWO (2) examples of
franchises. Why would the parent company of a franchise choose to sell
licenses to franchisees instead of expanding their own chain of stores?
5. How can internet help a recently-started small business? Provide TWO (2)
suggestions.
6. If you are a banker and Gabriel wants to apply for a loan from you to start
a business, under which circumstances would you be more likely to lend –
a) he wants to buy an existing business or b) he wants to start a brand
new business? Why?
7. Discuss TWO (2) advantages and TWO (2) disadvantages of a
partnership.
8. What are shares? Where are shares traded in Malaysia? How is the price
of a company’s share determined in a share market?