1.5 Flashcards
define entrepreneur
someone who sees an opportunity & tries to meet an unsatisfied demand or improve a businesses current performance
3 issues setting up a business
having initiative to exploit opportunity
calculate risks
raising finance
4 issues expanding a business
market research
raise finance
take on new skilled staff
change organization structure
what is an intrapreneur
an employee within a business who thinks like an entrepreneur
define uncertainty
a situation in which there is a degree of risk and the consequences are not known or are unclear
what are the 3 types of uncertainty give an example for each
economic - exchange rates
competitor - price changes
social - trends
list 5 qualities of an entrepreneur
competitive
risk taker
creative
confident
self-motivated
give 2 financial & 2 non-financial reasons for starting a business
financial - unlimited earnings
self employed
non-financial - flexibility
independence
state the 4 barriers to entrepreneurship
personal - fear of failure
economic - recession
financial
political - regulation
what are business objectives
targets set for a business in the short or medium term
define market share
the % of market a business has in either revenue or units sold
define franchise
a small business owner who buys the rights to sell the goods & services of a large. well established company
what is a franchisor
the large business who are selling the rights
what is a franchisee
small business owner who us buying the rights
advantages & disadvantages of franchises
+/ advertising paid for by franchisor
tried & tested idea established in market
-/ less freedom
royalty payment
