1.Enterprise And Entrepreneurship Flashcards
What is one reason why new business ideas come about?
Changes in customer wants
Changes in technology
Products and services becoming obsolete
Either one of these is 1 point
How do new business ideas come about?
Adapting existing products or Original ideas
What is a reward
If a business succeeds there may be a big financial or emotional reward
What is a risk?
A business may not succeed for a number of reasons.Starting a business is risky
What are the Risks entrepreneurs face when starting a business?
Risk of failure
Financial loss
Lack of security
What are the rewards from starting a business?
Financial reward
Pursuing an interest
Be their own boss
What are goods?
Goods are physical products such as a PlayStation console or coca cola soft drinks
What are services?
Services are non physical actions performed by a business to help a customer
What is B2B and B2C
Business to business(B2B)
Business to Customer(B2C)
What are customer needs?
Things that customers can’t live without
What are customer wants?
Products and services that customers don’t need but they want
What is Quality?
The durability,finish,nature of the product may be better than what is currently being offered
What is branding?
Branding involves coming how with distinctive logo/image that adds value to the customer
What are roles of an entrepreneur?
Hardworking
Organized
Innovative
Willingness to take risks
What are 4 things a business does to address customer needs
Price
Quality
Choice
Convenience
Why is being market driven better than being product driven?
As market-driven is being driven by customers needs and fulfilling them
-improves sales
-improves current products and customer satisfaction
How to approach being market driven?
Avoid costly mistakes
Be competitive
How to approach being market driven?
Avoid costly mistakes
Be competitive
What are 3 things that market research gathers information on?
Demand
Competition
Target market
What are the two types of research and what are they?
Qualitative-collects info about opinions and views
Quantitative-collects factual info on things that can be recorded easily
What is Market segmentation?
Diving potential customers into different groups based on characteristics like age,gender,income etc.
What is Market Mapping?
Process to identify a gap in the market by looking at what competitors offer
What are the 4 methods of market segmentation?
Gender
Age
Location
Income
What are 3 things the market can be defined as?
Place to trade products
Industry
Specific group of customers
What are 4 things a business can compete on?
Location
Product range
Customer service
Price
What are the impacts of high competition?
Price-forces business to be efficient and charge the lowest possible prices
Quality-competition can lead to high quality products/services
