chapter 7 Flashcards
what is entrepreneurship?
accepting the challenge of starting and running a business
what does to entreprendre mean?
to undertake, to start a business
how many people in Canada are self employed?
2.7 million
how are small businesses different than entrepreneurship?
entrepreneurship does not intent to stay small but small businesses do.
how does entrepreneurship differ from small businesses (4 ways)
- Amount of wealth creation
- Speed of wealth creation
- Risk
- Innovation
what are some Canadian entrepreneurs?
Wallace & Harrison McCain • Billes brothers • Ablan Leon • Jean Coutu & Louis Michaud • J. W. Sobey • Christine Magee
why do people take the entrepenruoal challenge?
challenge, new idea, process or product, independence, family pattern, profit, immigrants
what does it take to be an entrepreneur?
Self-directed : a self-starter, with a lot of confidence in yourself.
• Determined :believe in your idea even when no one else does.
• Action-Oriented
• Highly Energetic
• Tolerant of Uncertainty
• Able to Learn Quickly: Making errors is inevitable. What is important is what you learn from them.
how many women in Canada are self employed and what percent of Canada do they account for?
950,000 and 36%
who is heather reisman?
Chief Executive Officer of Indigo.
who is Kristen chapman?
president
what is an entrepreneurial team?
A group of experienced people from different areas of business who join together to form a managerial team with skills needed to develop, make & market a new product.
what are micro enterprises?
small businesses that have fewer than 5 employees
what do micropreneurs own?
home based businesses (people trying to combine career and family)
why is there a growth to home based businesses?
computer technology, corporate downsizing & change in social attitudes
who do online small businesses compete with?
other small businesses, large web-based & brick-and- mortar businesses.
what are some home based business challenges?
Getting New Customers • Managing Time • Keeping Work & Family Tasks Separate • Abiding by City Ordinances(Rules) • Managing Risk
what are some examples of home based businesses?
catering services, cleaning services, pet products and services, ecommerce,
what are intrapreneuers?
Creative people who work as entrepreneurs within corporations.
why do intrapeneurs exist?
company’s existing resources— human, financial & physical—to launch new products & generate new profits.
what are incubators?
an organization that helps startup companies and individual entrepreneurs to develop their businesses by providing services starting with management training and office space to capital financing
who can use incubators to help them?
Entrepreneurs & new start-ups
what are the 3 parts of business establishment?
Has at least one paid employee
• Annual sales revenue of $30,000, or is incorporated
• Has filed a federal corporate income tax return at least once in the previous three years.
how are small businesses owned and managed compared to large ones?
small businesses= Canadian-owned & managed.
large buisnesses= foreign owned and managed
what are some reasons that small businesses can fail?
- no experience
- starting with too much or too little capital
- underpricing and overpricing g and s
- borrowing money without planning how to pay it back
- underestimating how much time it will take to build a market
what are the five steps to getting into your first business venture?
- Start your own company.
- Buy an existing business.
- Buy a franchise unit
- Inherit/take over a family business
- Get Some Experience
– Many small-business owners get idea from prior jobs.
what are the functions in a small business setting?
– planning your business – financing your business – knowing your customers (marketing) – managing your employees (human resource development) – keeping records (accounting).
what is a business plan?
A detailed written statement that describes the nature of business, target market, advantages business will have in relation to competition, & resources & qualifications of owner(s).
what does a business plan force potential owners of small businesses to do?
to be quite specific about g & s they intend to offer.
does it take a long time to make a business plan?
yes
what should a business plan include?
Cover Letter • Executive Summary • Company Background • Management Team • Financial Plan
how to get money to fund a small business?
- supplier credit
- personal savings
- personal credit cards
- retained earnings
- business credit cards
what is angel investment?
private individuals who invest money & then go public
what is crowdfunding?
raising funds through the collection of small contributions from general public
