Ch 14- The Importance Of Enterprise Flashcards
What is enterprise? x
When an entrepreneur identifies a need, a problem or an opportunity that is not being satisfied and then tries to do something about it.
What is an entrepreneur? x
someone who has initiative and takes the risk of setting up a new business or organisation.
What are commercial enterprises? x
They are set up to provide goods and services for a profit.
What are non-profit enterprises? x
They provide services for reasons other than making a profit.
What are examples of non-profit enterprises? x
⇒Society of Saint Vincent de Paul
⇒The Red Cross
⇒Greenpeace
What are public sector organisations?
They are owned by the State on behalf of the citizens and provide goods and services.
What are examples of public sector organisations?
Why were they set up?
⇒ 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.
What are intrapreneurs? x
employees inside an existing organisation who behave like entrepreneurs for the benefit of the organisations.
What do intrapreneurs do?
They help generate new business ideas and solutions to business problems.
Why do people become entrepreneurs?
⇒ Income
⇒ Independence
⇒ Enjoyment
⇒ Sense of mission
What are the risks of setting up a new enterprise?
⇒ lose money
⇒waste of time and effort
⇒ Stress and worry for entrepreneurs
What are the characteristics of entrepreneurs?
⇒ Confident
⇒ Determined
⇒ Decisive
⇒ Creative
⇒ Realistic risk-takers
What are the economic impacts of enterprise?
⇒Provides goods and services
⇒Creates jobs
⇒Pays taxes
⇒Develops local self-reliance
⇒Creates wealth
⇒Encourages competition
Name two services that provide help for entrepreneurs
⇒Local Enterprise Offices (LEOs)
⇒Enterprise Ireland
x What does Local Enterprises Offices do?
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
xWhat does Enterprise Ireland do?
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
What are the social impacts of enterprise?
⇒Promotes creativity
⇒Promotes personal growth
⇒Improves quality of life
⇒Provides socially valuable services
⇒Provides taxes
What is environmental sustainability?
using the earths resources cleanly, efficiently and with a minimum of waste or pollution
How can enterprises impact on the environment?
⇒Use of raw materials
⇒Pollution
⇒Waste Disposal
⇒Planned obsolescence
What is planned obsolescence?
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
What is a financial enterprise? Example
Also called commercial enterprise
An enterprise set up fir profit#
e.g. Bank of Ireland
What is a social enterprise? Example
Also called non-profit enterprise
Businesses that work primarily to improve the lives of people
e.g. Focus Ireland
What is a cultural enterprise? Example
provides consumers (either locally or nationally) with access to visual arts, sports, radio, music festivals or events
e.g. GAA
What role does a social enterprise play in society?
-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
