Question

Match the entrepreneurial fallacy with its corresponding description:

1. Large Market Fallacy
2. Better Mousetrap Fallacy
3. No Sustainable Business Model Trap
4. Me-Too Trap
5. Hubris Trap
A) Believing that a superior product alone guarantees business success.
B) Overestimating the size or growth potential of the target market.
C) Assuming that success is solely dependent on having a unique idea.
D) Ignoring the need for a viable and sustainable business model.
E) Succumbing to excessive pride and underestimating challenges.

Answer 1

The entrepreneurial fallacies consist of the Large Market Fallacy, Better Mousetrap Fallacy, No Sustainable Business Model Trap, Me-Too Trap, and Hubris Trap, each described by misconceptions on market size, product success, business models, uniqueness, and pride, respectively.

Step-by-step explanation:

The entrepreneurial fallacies are misconceptions or wrongful assumptions entrepreneurs may have regarding the success factors of a business venture.

These fallacies can lead to business failure due to various reasons such as poor management, unproductive workers, or unexpected market shifts.

By understanding these fallacies, entrepreneurs can better navigate the challenges of running a business and increase their chances of success. Here is the matching of each entrepreneurial fallacy with its corresponding description:

1. Large Market Fallacy: B) Overestimating the size or growth potential of the target market.
2. Better Mousetrap Fallacy: A) Believing that a superior product alone guarantees business success.
3. No Sustainable Business Model Trap: D) Ignoring the need for a viable and sustainable business model.
4. Me-Too Trap: C) Assuming that success is solely dependent on having a unique idea.
5. Hubris Trap: E) Succumbing to excessive pride and underestimating challenges.

Understanding these fallacies can help prevent entrepreneurs from making common mistakes that can lead to the failure of their business.