1.5.2 Motives And Characteristics

Question 1

Entrepreneur

Answer 1

An entrepreneur is a person who sets up a business and takes risks in the hope of a profit, reward or for a social purpose e.g. to help the community

Question 2

Entrepreneurial characteristics

Answer 2

An entrepreneurial characteristic is the skill, quality or trait of the person starting the business e.g. creativity

Question 3

Entrepreneurial motives

Answer 3

An entrepreneurial motive is the factor that drives a person to start a business e.g. to be their own boss

Question 4

creativity

Answer 4

Entrepreneurs need to be creative people, it helps when designing or inventing new products or services

Question 5

hard-work

Answer 5

Starting a business can mean hard work. Some entrepreneurs will put 100s of hours into their own business to get it off the group and may have to continue working long hours to get the business established

Question 6

resilience

Answer 6

Resilience means; strong, hardy, tough, robust, durable, feisty, quick to recover.
• An entrepreneur may get many knock backs before their business is a success.

Question 7

Initiative

Answer 7

Initiative means; inventiveness, enterprise, ingenuity, or resourcefulness
• Many entrepreneurs may start a business because they have a good idea and want to take it to market

Question 8

self-confidence

Answer 8

Self-confidence is how an entrepreneur feels about their own abilities.

Question 9

risk taking

Answer 9

Entrepreneurs who want to start their own business will need to be able to take a risk

Question 10

Profit maximisation

Answer 10

An entrepreneur may aim to make the highest amount of profit possible
• This is the difference between revenue and costs, so they will seek to minimise costs and maximise revenue

Question 11

Profit satisficing

Answer 11

An entrepreneur may aim to make just enough profit to keep the business moving plus another aim at the same time