Question

Which of the following is not a stage of starting a new venture?

• A. Pre-start-up stage
• B. Start-up stage
• C. Product market stage
• D. Later growth stage

Hint:

Entrepreneurial venture stages are Pre-start-up, Start-up, and Growth; “Product market” refers to marketing, not venture development.

Answer 1

The Correct Option is C

Step 1: Understanding stages of starting a new venture.
Starting a new business involves several key stages — each representing a different phase in the journey of entrepreneurship.
The major stages are:
1. Pre-start-up stage – Idea generation, feasibility analysis, and planning.
2. Start-up stage – Implementation of plans, setting up operations, and launching products.
3. Growth stage – Expanding operations, increasing sales, and entering new markets.
Step 2: Clarifying the incorrect option.
“Product market stage” is not a recognized stage in standard venture creation models. It refers to a marketing process rather than a business development phase.
Step 3: Analysis of options.
- (1) Pre-start-up stage: A recognized stage in venture initiation.
- (2) Start-up stage: A key phase where the business is launched.
- (3) Product market stage: Incorrect — not part of the recognized stages.
- (4) Later growth stage: Correctly represents business expansion.
Step 4: Conclusion.
Hence, the Product market stage is not a stage of starting a new venture.