Chapter 1: What is Entrepreneurship? Flashcards
An individual who undertakes the creation, organization, and ownership of a business.
Entrepreneur
A new business undertaking that involves risk.
Venture
The study of how people choose to allocate scarce resources to fulfill their unlimited wants.
Economics
In a/an _______, people have an important right to make economic choices.
free enterprise system
Money left after all expenses of running a business have been deducted from the income.
Profit
______ competition is a market structure in which there are numerous buyers and seller, and no single buyer or seller can affect the price.
Perfect
A ______ is a basic requirement for survival.
need
The resources businesses use to produce the goods and services people want are called ______.
factors of production
_________ occurs when demand exceeds supply.
Scarcity
In a free enterprise system, the price of a product is determined in the _______.
marketplace
________ is the total market value of goods and services produced by workers and capital within a country during a given period.
Gross Domestic Product
The entrepreneur is the driving force of the _________ process.
start-up
Studies by the Small Business Administration report that ______ percent of new businesses survive the first two years.
66
A/An ________ is a business that has stopped operating with loss to creditors.
business failure
A _________ is a business that may be operating under a new name.
discontinuance
