Question

Which of the following is not a legitimate way of bringing a new business idea to market?

• A. A start up
• B. Business plan
• C. A buy-out
• D. Franchise

Answer 1

The Correct Option is B

To solve this question, we need to understand various ways of bringing a new business idea to market. Let's analyze each option to determine which one is not a legitimate way to do so:

1. Startup: This is a common method where an entrepreneur creates a new company to bring a novel idea or product to market. Startups are known for innovation and disrupting existing markets.
2. Business Plan: A business plan itself is not a way to bring a new business idea to market. Instead, it is a document that outlines the strategy, goals, and financial projections for a new business. While essential for planning and securing investment, it does not directly bring an idea to market.
3. Buy-out: In a buy-out, an entrepreneur or company acquires an existing business. This can be a method to introduce new ideas into an established company, but generally, it is more about restructuring and growing an existing business than starting something entirely new.
4. Franchise: Franchising allows an individual or entity to use a business model and brand name of an existing company to start their own business location. This can bring a proven business idea to a new market through licensing.

From the above analysis, it is clear that a Business Plan is not a direct way to bring a new business idea to the market. It is a critical preparatory document but does not itself launch the business.

Therefore, the correct answer is Business Plan.