Definitions 1

Question 0

Entrepreneur

Answer 0

An individual responsible for setting up and running a business

Question 1

Enterprise

Answer 1

An organisation whose principle economic purpose is to produce goods and services

Question 2

Opportunity cost

Answer 2

The cost of a decision measured by the benefits foregone of the next best alternative

Question 3

Copyright

Answer 3

Legal ownership of material such as books, films or music, which prevents them being copied by others

Question 4

Franchise

Answer 4

An agreement where the owner of a business (franchisor) sells the rights to other organisations (franchisees) allowing them to sell their products and use the company name

Question 5

Patents

Answer 5

Right of ownership of a process or invention granted by the government for a fixed period of time to the business or individual responsible for the process or invention

Question 6

Trade mark

Answer 6

Signs, symbols or sounds which distinguish a business and it’s product from those of others

Question 7

Factors of production

Answer 7

Land, labour, capital and entrepreneurship used to create output from the production process

Question 8

Business plan

Answer 8

A plan for the development of a business, giving details such as the products to be made and sold, as well as forecasts such as cash flow and costs

Question 9

Confidence level

Answer 9

A statistical calculation which allows a business to gauge the extent of its confidence in its research