1.1.2 Flashcards
Risk and Reward
What is Risk
the possibility that an enterprise will have lower than anticipated profits or experience a loss
What is Financial reward
the money that an entrepreneur or investor receives when a business succeeds
What is Market research
the process of gathering information about the market and customers’ needs and wants in order to help inform business decisions, including product design and marketing
What is Revenue forecast
a prediction of future revenue based on expected sales; this is either a judgement or based on previous sales patterns
What is Cash flow
the amount of money coming in and going out of the business and the timing of this movement
What is Sales revenue
the amount of money that comes in from. A business sales
What is Investment
Putting money into a business with the intention of making a profit
What is Start-up
a new business, usually with only a small number of employees- perhaps only one
What is Intuition
knowing something instinctively or understanding something easily without conscious thought
