1.5

Question 1

Entrepreneur

Answer 1

An individual who sets up and runs a business taking on the financial risk

Question 1

Entrepreneurship

Answer 1

The activity of setting up a business, taking on risks, normally in the hope of making a profit

Question 2

Resilience

Answer 2

The ability to recover from difficulties and try again

Question 3

Risk

Answer 3

Something an entrepreneur can essentially plan for. Probabilities of outcomes are known or at least understood or considered

Question 4

Entrepreneurial characteristics

Answer 4

Qualities or traits demonstrated by an individual starting up and running a business

Question 5

Entrepreneurial motive

Answer 5

Factors that drive a person to start a business

Question 6

Ethical stance

Answer 6

In support of a moral belief

Question 7

Home working

Answer 7

Setting up a business from home

Question 8

Independence

Answer 8

A desire to be one’s own boss

Question 9

Profit satisficing

Answer 9

Making enough profit to satisfy the needs of the business owner

Question 10

Social entrepreneurship

Answer 10

Setting up a business and showing concern for social issues

Question 11

Business objective

Answer 11

A goal/target set by the business in the short/medium term to help achieve its aim/mission

Question 12

Cost efficiency

Answer 12

Minimising costs/expenses/waste when producing a product or service

Question 13

Customer satisfaction

Answer 13

Is a measurement of how satisfied a customer is with their purchase

Question 14

Employee welfare

Answer 14

Facilities and benefits provided by a business to meet the well-being of the employee

Question 15

Objective

Answer 15

A goal/target set by the business to help achieve its aim/mission

Question 16

Profit maximisation

Answer 16

When the difference between sales revenue and cost is at its greatest

Question 17

Sales maximisation

Answer 17

An attempt to sell as much as possible in a given time period (or to generate as much sales revenue as possible)

Question 18

Social objective

Answer 18

A goal to benefit/improve the community

Question 19

Survival

Answer 19

A short-term business objective that aims to keep the business running

Question 20

Franchise

Answer 20

A business buys the right to trade using the
brand/logo/business model of an existing firm in return for fee/royalty

Question 21

Franchising

Answer 21

A type of business where a business operator (franchisor) allows others (franchisee) to trade under its name (for a fee)

Question 22

Lifestyle business

Answer 22

A business set up with the aim of making no more than a set level of income from which to enjoy a particular lifestyle

Question 23

Partnership

Answer 23

A type of business ownership/organisation owned by two or more people

Question 24

Private limited company

Answer 24

A small to medium sized business, usually run by the family that owns it. Shares are sold to friends, family, and business associates and it has limited liability

Question 25

Public limited company

Answer 25

Shares are available to the public on the stock exchange. Are owned by shareholders/has limited liability

Question 26

Social enterprise

Answer 26

A business that has aims/objectives which benefits society and is not for profit/its profits are reinvested into the business/community

Question 27

Sole trader

Answer 27

A business that that is owned by one person who has unlimited liability

Question 28

Stock market flotation

Answer 28

When a business sell shares publicly on the stock exchange for the first time

Question 29

Opportunity cost

Answer 29

The next best alternative forgone when making a decision

Question 30

Trade off

Answer 30

A situation in which the benefits of one option are reduced in return for increased benefit of another option

Question 31

Leader

Answer 31

A person who inspires and motivates others to meet objectives