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Performance Impact of Lean Startup
hard

A startup is struggling to identify the right product-market fit and is considering adopting the lean startup methodology. After implementing iterative testing of their product hypotheses over six months, they notice a significant increase in customer engagement and sales. Which principle of the lean startup methodology most directly contributed to these results?

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Learning Path
Learning Path

Question & Answer
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Choose AnswerChoose the Best Answer

A

Continuous experimentation with customer feedback

B

Focusing on building a large product before launching

C

Reducing operational costs to increase profits

D

Relying solely on market research before product development

Understanding the Answer

Let's break down why this is correct

The startup kept trying new ideas and asked real users for feedback, then changed the product quickly. Other options are incorrect because The idea of waiting until a big, perfect product is finished is a common mistake; Cutting costs is a separate idea and does not directly make a product fit customers.

Key Concepts

Lean Startup Methodology
Product-Market Fit
Iterative Testing
Topic

Performance Impact of Lean Startup

Difficulty

hard level question

Cognitive Level

understand

Deep Dive: Performance Impact of Lean Startup

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Definition
Definition

The performance impact of lean startup methodology refers to the outcomes and results achieved by firms that adopt this approach. Post hoc analysis indicates a positive relationship between greater engagement with the lean startup method and improved firm performance over an 18-month period.

Topic Definition

The performance impact of lean startup methodology refers to the outcomes and results achieved by firms that adopt this approach. Post hoc analysis indicates a positive relationship between greater engagement with the lean startup method and improved firm performance over an 18-month period.

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