1.5.1. Role of an Entrepreneur Flashcards
What do entrepreneurs stimulate?
Economic activity.
What do entrepreneurs do?
- spot gaps in the market and develop new products/services/ideas
- provide customers with an extended choice of goods/services
- create jobs for the local/national economy, which in turn increases economic growth
How are entrepreneurs optimists?
They believe in themselves, their product, and the future success of their enterprise.
What do entrepreneurs need?
The right business idea and resources of time and personal drive.
What are intrapreneurs?
Individuals who act like entrepreneurs but work within an organisation.
How is intrapreneurship encouraged?
Through reward systems, including promotion, monetary bonuses and commission payments.
How are businesses responsible for their intrapreneurs?
They reap the rewards but are also responsible for any failures.
What are some barriers to entrepreneurship?
Lack of training, funds, ability and confidence in own skills.
How does the government view entrepreneurs?
They recognise the need for them in order for the economy to develop, survive and grow.
How does the government attempt to grow an enterprise culture?
- promoting the work of regional development agencies
- encouraging a more risk taking society
- encouraging the development of enterprise education in schools
- encouraging growth of specialist business and enterprise colleges
What is the probability of risk taking?
An informed calculation between success and failure.
E.g. entrepreneur who continued after many failures?
Steve Jobs
What does ‘uncertainty’ involve?
Elements that cannot be planned for, e.g. environmental and economic changes, health scares, new competition, legislation and political factors.
What do entrepreneurs that stand out in a market experience?
The uncertainty of unexpected costs.
What do new businesses lack that experienced businesses have?
Market knowledge.
