Ch 14- The Importance Of Enterprise

Question 1

What is enterprise? x

Answer 1

When an entrepreneur identifies a need, a problem or an opportunity that is not being satisfied and then tries to do something about it.

Question 2

What is an entrepreneur? x

Answer 2

someone who has initiative and takes the risk of setting up a new business or organisation.

Question 3

What are commercial enterprises? x

Answer 3

They are set up to provide goods and services for a profit.

Question 4

What are non-profit enterprises? x

Answer 4

They provide services for reasons other than making a profit.

Question 5

What are examples of non-profit enterprises? x

Answer 5

⇒Society of Saint Vincent de Paul
⇒The Red Cross
⇒Greenpeace

Question 6

What are public sector organisations?

Answer 6

They are owned by the State on behalf of the citizens and provide goods and services.

Question 7

What are examples of public sector organisations?
Why were they set up?

Answer 7

⇒ An Post- set up to provide a national postal service.
⇒ESB- set up to generate and bring electricity to the whole country.
⇒Coillte- set up to develop Ireland’s long-term forestry potential.

Question 8

What are intrapreneurs? x

Answer 8

employees inside an existing organisation who behave like entrepreneurs for the benefit of the organisations.

Question 9

What do intrapreneurs do?

Answer 9

They help generate new business ideas and solutions to business problems.

Question 10

Why do people become entrepreneurs?

Answer 10

⇒ Income
⇒ Independence
⇒ Enjoyment
⇒ Sense of mission

Question 11

What are the risks of setting up a new enterprise?

Answer 11

⇒ lose money
⇒waste of time and effort
⇒ Stress and worry for entrepreneurs

Question 12

What are the characteristics of entrepreneurs?

Answer 12

⇒ Confident
⇒ Determined
⇒ Decisive
⇒ Creative
⇒ Realistic risk-takers

Question 13

What are the economic impacts of enterprise?

Answer 13

⇒Provides goods and services
⇒Creates jobs
⇒Pays taxes
⇒Develops local self-reliance
⇒Creates wealth
⇒Encourages competition

Question 14

Name two services that provide help for entrepreneurs

Answer 14

⇒Local Enterprise Offices (LEOs)
⇒Enterprise Ireland

Question 15

x What does Local Enterprises Offices do?

Answer 15

They provide a ‘first stop shop’ service for anyone seeking information and practical support on starting or growing a business.
They concentrate on helping small enterprises

Question 16

xWhat does Enterprise Ireland do?

Answer 16

They are responsible for supporting the development and growth on Irish firms.
It concentrates on Irish-owned firms that are capable of employing more than 10 employees

Question 17

What are the social impacts of enterprise?

Answer 17

⇒Promotes creativity
⇒Promotes personal growth
⇒Improves quality of life
⇒Provides socially valuable services
⇒Provides taxes

Question 18

What is environmental sustainability?

Answer 18

using the earths resources cleanly, efficiently and with a minimum of waste or pollution

Question 19

How can enterprises impact on the environment?

Answer 19

⇒Use of raw materials
⇒Pollution
⇒Waste Disposal
⇒Planned obsolescence

Question 20

What is planned obsolescence?

Answer 20

It is when a company designs a product to deliberately wear out quickly or stop being useful after a certain period of time. This causes consumers to have to buy replacements

e.g. when the fashion industry deliberately promotes new fashion trends every season to encourage consumers to throw out their old clothes and buy new replacements

Question 21

What is a financial enterprise? Example

Answer 21

Also called commercial enterprise
An enterprise set up fir profit#

e.g. Bank of Ireland

Question 22

What is a social enterprise? Example

Answer 22

Also called non-profit enterprise
Businesses that work primarily to improve the lives of people
e.g. Focus Ireland

Question 23

What is a cultural enterprise? Example

Answer 23

provides consumers (either locally or nationally) with access to visual arts, sports, radio, music festivals or events
e.g. GAA

Question 24

What role does a social enterprise play in society?

Answer 24

-They raise awareness and tackle social issues such as poverty and unemployment

-They provide services and support for communities, by meeting the needs that are not currently being prioritised by the State or commercial enterprises