Chapter 8: Entrepreneurship

Question 1

Entrepreneur

Answer 1

A person who takes the initiative and risk to set up a business with the hope of making a profit.

Question 2

Skills of an Entrepreneur (6)

Answer 2

1. Ability to Identify Opportunities
2. Ability to make decisions
3. Ability to set plan and set goals
4. Ability to manage time
5. Ability to assess and manage risk
6. Human Relations skills

Question 3

Characteristics of Entrepreneurs (6)

Answer 3

1. Risk Taker
2. Innovative/Creative
3. Proactive
4. Flexible
5. Self Confident
6. Determined

Question 4

Reasons to be an Entrepreneur (5)

Answer 4

1. Be your own boss and make all decisions
2. Keep all profits for themselves
3. Sense of achievement for succeeding
4. To create employment for themselves
5. Turn a hobby/interest into a business e.g. sport & personal trainer

Question 5

Risks of Being an Entrepreneur (4)

Answer 5

1. Lose the money invested if the business fails
2. Work long working hours and difficult to get time off
3. Income is not guaranteed
4. You may not have all the skills needed for the business