Business Flashcards
What is an entrepreneur?
An entrepreneur is a some one who successfully manages a d develops their own business using his or her own
▫️initiative
▫️ideas
▫️personal skills
What does an entrepreneur do?
An entrepreneur drives forward their ideas and takes risks with them.
Give an example of an entrepreneur
⭐️Simon Cowell
⭐️JK Rowling
⭐️Lord Sugar (Alan Sugar)
Give the 4 factors of production using CELL.
▫️Capital=all man-made aids of production( machinery, equipment)
▫️Enterprise= entrepreneurial ability
▫️Land=natural resources ( minerals and other raw materials)
▫️Labour= all Human Resources
Give the 3 methods of production
🔸Job production
🔸Batch production
🔸Flow production
Give an advantage of job production and one disadvantage
▫️The goods have already been ordered, so they are already paid for.
▪️Production is slow meaning customers have to be willing to wait longer
Give an advantage and disadvantage to Batch production
▫️Raw materials can be bought in bulk to save lots of money
▪️Any mistakes in one item can result in the whole batch being wasted
Give one advantage and disadvantage of flow production
▫️workers can be paid low wages because they are unskilled
▪️machinery can cost a lot of money and be expensive
What are the three types of cost?
1️⃣Fixed cost
2️⃣variable
3️⃣total costs
What is a fixed cost?
A fixed cost is when you have to pay for something no matter the quantity of things produced
What is a variable cost?
With every product produced there are things that need to be paid for according to the quantity
What is a total cost?
The total cost is the fixed cost plus the variable cost.
