Chp4 Flashcards
Entrepreneur
An entrepreneur is someone who spots an opportunity(gap in the market) and takes the initiative to set up a business to make money from that opportunity.
Financial risk
Personal risk
Enterprise/Entrepreneurship
Entrepreneurship also known as enterprise is any attempt to start or do something new.
Involves using ur creativity+initiative to identify some need and taking the steps to satisfy that need.
Financial and personal risk
Characteristics of Entrepreneurs
Creative
Ruthless
Independent
Self-motivated
Pro-active
Risk-taker
Need for achievement
Decisive
Confidence
skills of Entrepreneurs
Human Relations
Time management
Human relations
Risk management
Reality perception
Decision making
Flexibility
Intrapreneur
An employee working within a business who shows enterprise. He uses his initiative and thinks of a new idea to help the business he works in WITHOUT BEING ASKED TO
Advantages of Intrapreneurship
competitive advantage
Motivation
Increased sales
Lower costs
To encourage Intrapreneurship
Freedom to fail
Financial rewards
Teamwork
A formal structure for Intrapreneurship
Importance of enterprise in business
1.
importance of enterprise in business
1.Provides the idea and drive to set up a business
2.Enterprise from employees (intrapreneurs) can increase the businesses sales
3.Enterprise creates wealth.Entrepreneurs make profits from their business and their employees earn wages from it which leads to the creation of more businesses
4.Taxes govt takes from entrepreneurs and employees can be used for grants to help more ppl set up businesses
Inportance of enterprise Community
1.Creates jobs and businesse for locals
2.Locals spend money thet make from their job in a business on other businesses(shops,pubs etc) which makes other businesses succeed aswell. Spin off effect
3.Creates new entrepreneurs as ppl get inspired by friends setting up businessed. Leads to more businesses for community.
4.Govt receives tax and can spend money on schools,hospital etc
Time management
Getting goals completed in time available. Prioritising important tasks.
Human relations
Good with people. Bring out the best in people and persuede them
Risk management
Planned approach to minimising risk. Stop bad tbings happening to the business.
1.Insurance
2.Proper Training
3.Security Measures
Decision making
Analysing a problem and coming up with a list of possible solutions. Analyse each solution to choose best one.
Reality perception
Entrepreneurs see sitches as they really are and dont fool themselves into thinking otherwise. They can see when things are going wrong
