AOS1 Flashcards
What is an entrepreneur?
A person who operates and takes on the risks of a business in hopes of making profit.
What is innovation?
The process of introducing adaptations or modifying ideas, methods, products, or services that result in significant improvements or advancements within an organization.
What does seeking growth mean for an entrepreneur?
An entrepreneur will seek new trends, explore new products, and new approaches so that the business increases in size.
What is the pursuit of business opportunities?
Finding gaps in the market, changes in customers’ needs, and changes in the global market.
What is entrepreneurship?
A process whereby a person creates and operates a new business while taking on the risk of venture in the hope of making a profit.
What is financial independence?
The capacity to support a lifestyle without having to be employed or be dependent on others.
What is personal independence?
The capacity to be in control of decisions that affect one’s everyday actions or activities.
What is market need?
The demand for a product or service that solves a problem or fulfills a gap in the market.
What is social need?
The production and/or selling of goods and services for the purpose of making the world (or the community) a better place.
What are the benefits of owning a business?
- Independence
- Profit potential
- Contributing to society
- Creativity
- Tax advantages
- Employment opportunities
What are the limitations of owning a business?
- Hard work
- Customer/financial demand
- Uncertain income
- Risk of failure
- Stress/responsibility
What are three things entrepreneurs have?
Vision, creativity, and problem-solving.
What is shared vision in entrepreneurship?
They have a clear understanding and hope of what the business will look like in the future, giving the business clear direction.
What is initiative in entrepreneurship?
They will take the first step in a series of actions or in a process.
What is enterprise?
The ability to spot business opportunities, take risks, and develop ideas into successful ventures.
What is market opportunity?
A product that is potentially wanted or needed by consumers is identified by a business and is not being supplied by rivals.
What is Research and Development (R&D)?
Is a set of activities undertaken to improve existing products, create new products and improve production processes eg new Apple phones as they are improving the quality of the product for the customers
What is globalization?
The process by which businesses or other organizations develop international influence or start operating on an international scale.
Who are stakeholders?
Individuals or groups who have a vested interest in a business.
What are managers?
Employees responsible for the successful everyday operations of a business, typically not the founder or owner but require leadership, communication, decision-making, time management, adaptability, and people management skills.
What is a Key Performance Indicator (KPI)?
Specific criteria used to measure the efficiency and effectiveness of business performance.
What is goal setting?
The process of deciding what you want to achieve or what you want someone else to achieve over a particular period.
What are financial goals?
Targets aimed at improving commercial success, including profit.
What are social goals?
Objectives focused on the improvement of performance related to people and planet.
What are SMART goals?
Specific, Measurable, Attainable, Realistic, Time-bound.
What is decision-making?
The process of acting upon the best information available to determine the most appropriate course of action.
What is a business concept?
A process of successfully refining, amplifying, and enhancing the basic idea of a product.
What are three sources of business opportunities?
Global markets, Technological development, and Research and Development.
What is technological development?
Innovations that improve business operations, enhance communication, and create new market opportunities.
What is Corporate Social Responsibility?
When a business includes broader social and environmental goals in its decisions, beyond just financial goals.
What are patents?
Exclusive rights to make or sell inventions.
What are trademarks?
Designs and names, often officially registered, by which merchants or manufacturers designate and differentiate their products.
What are copyrights?
The exclusive legal rights of authors, composers, playwrights, artists, and publishers to publish and disperse their work as they see fit.
What are trade secrets?
Confidential business information providing competitive advantage.
What is market research?
The process of gathering and analyzing information about customers, competitors, and market trends to make business decisions.
Feasibility Study
An assessment of whether a business idea is practical, profitable, and considering factors like costs, market demand, competition, and potential risks before making a decision to proceed.
Economy
A system set up to determine what to produce, how to produce, and how production is distributed.
Exports
Exports are goods or services that are produced in one country and sold to another.
Taxation Revenue
The income collected by the government through taxes, such as income tax, GST, and corporate tax, to fund public services and infrastructure.
Characteristics of an Entrepreneur
Risk taking, Innovation, Visionary,Leadership,Resilience
Economy
A system set up to determine what to produce, how to produce and how production is distributed.
GDP(Gross domestic product)
The monetary value of all the finished goods and services produced in Australia.
Global market
The international exchange of goods, services, and capital between countries, creating a worldwide economic system.
