Enterprise

Question 1

Define enterprise

Answer 1

Enterprise is any attempt to start or do something new. Enterprise is about turning ideas into actions. It involves creativity and a willingness to try new things in order to create a business while overcoming both a financial and personal risk.

Question 1

What is an entrepreneuor?

Answer 1

Is an individual who has an idea, spots an opportunity in the market, takes
a personal and financial risk and puts their idea into practice.

Question 2

Why would earning more money be a reason to become an entrepreneur?

Answer 2

employees income is limited in a job as they have a set wage or salary regardless of the company they works for profits. Entrepreneur can keep any profits from the business.

Question 3

Why would government support be a reason to become an entrepreneur?

Answer 3

Local Enterprise Offices (LEO’s) offer support local businesses with under 10 employees. Many entrepreneurs may decide to set up their business as they will receive grants, training and mentoring.

Question 3

Why might someone become an entrepreneur?

Answer 3

-To earn more income
-To be their own boss
-Limited career path
-Spots a gap in the market
-Government support
-They are made redundant
-Inspired by entrepreneurs

Question 4

Why would being your own boss be a reason to become an entrepreneur?

Answer 4

an employee may feel they want more responsibility and they want to be involved in the decision making process. An entrepreneur has the power to direct a business and lead their own path.

Question 5

Why would limited career paths be a reason to become an entrepreneur?

Answer 5

Employees may feel they have reached a plateu or have little to growth in their current career so by being an entrepreneur it opens up new opportunties for growth and slef development.

Question 6

How would a a gap in the marker become a reason to be an entrepreneur?

Answer 6

If someone thinks there an opportunity for an idea in the market then by becoming an entrepreneur they can get the full profits if the idea is successful and ensure the idea goes ahead. Whereas, giving an idea to your manager means little profits for you if successful and no guarantee the idea will be put in action.

Question 7

Why would inspiration be a reason to become an entrepreneur?

Answer 7

There is a lot of new, young entrepreneurs that may encourage others to work for themselves.

Question 8

Why would redundancy be a reason to become an entrepreneur?

Answer 8

An employee may be let go from their job and there may be limited job prospects, so they decide to create their own.

Question 9

What are Risks of an entrepreneur?

Answer 9

-You may lose the money you invested in the business if it fails.
-You will need to work long hours to get the business up and running and to oversee all aspects of the business.
-You may find it difficult to take time away from running the business.
-Sales may vary each week, so income is not guaranteed.
-You may not have all the necessary skills to set up and run a business.
-Your personal reputation and credit rating may suffer if the business fails.

Question 10

What is the difference between characteristics and skills?

Answer 10

Characteristics are innate abilities which people are born with whereas skills tend to be learned and developed over time.

Question 11

How is risk taking a characteristic of an entrepreneur?

Answer 11

An entrepreneur takes a personal and financial risk in setting up a new business with no guarantee of success. Entrepreneurs invest their time and money to set up a new business.

Question 12

What are some characteristics of an entrepreneur?

Answer 12

-Risk Taking
-Innovative
-Decisive
-Confident
-Resilient

Question 13

How is being innovative a characteristic of an entrepreneur?

Answer 13

Entrepreneurs come up with new ways of doing things. Entrepreneurs show imagination, resourcefulness and readiness to undertake new projects. They think outside the box to develop new products or new versions of existing products.

Question 14

How is being decisive a characteristic of an entrepreneur?

Answer 14

An entrepreneur has to be able to make decisions for the benefit of the business, often in situations under pressure. They must be able to analyse the intended and unintended consequences of their decisions. Entrepreneurs learn to consult others when making decisions.

Question 15

How is being confident a characteristic of an entrepreneur?

Answer 15

Entrepreneurs have a strong sense of self-belief and conviction about their own business ideas. They have belief in their ability to make the business a success. Ambition: Having ambition and having a strong desire for success or achievement is central to being an entrepreneur.

Question 16

How is resilience a characteristic of an entrepreneur?

Answer 16

Entrepreneurs are willing to overcome setbacks and work around obstacles. They see failure as an opportunity to learn.

Question 17

What are the skills of an entrepreneur?

Answer 17

1. Inner control – taking control of your own situation, not wanting other to influence your life.
2. Planning & setting goals – setting both short & long-term goals. Plans must be drawn up to achieve these goals, i.e. SWOT analysis of a firm
3. Innovation – applying new ideas to situations where they have not been applied before. E.g. Brainstorming
4. Decision-making – An entrepreneur must be a good decision maker, choices must be considered, information must be analysed and then a decision made.
5. Human Relation – they must be able to manage people to achieve individual behaviour that will enhance the effectiveness of the business.
6. Reality perception – seeing things as they really are and being aware of employee’s and customers needs. There is little point in thinking that customers are satisfied with the firm’s products if they are dissatisfied.
   7.Networking – working with other people and establishing contacts in the business community with people whose knowledge and expertise might prove useful
   8.Risk management- is a planned approach to minimising the risks that the business is exposed to.

Question 18

What are things entrepreneurs can do to reduce risk?

Answer 18

Insurance- entrepreneurs can take out insurance. This transfers the financial risk to the insurance company in return for an annual premium.
Proper training- entrepreneurs can send their staff on a health and safety course to teach them to reduce workplace accidents.
Security measures- entrepreneurs employ security guards, CCTV to combat theft.

Question 19

Given examples of entrepreneurs in society

Answer 19

Personal = a teenager learning to play the guitar.

Community = a resident group getting together to plant flower beds.

Public = politicians setting up new ventures like the Luas.

Business = a new business setting up dog kennels when dog owners are away.

Question 19

What is intrapreneurship?

Answer 19

Intrapreneurship occurs when employees come up with new innovative ideas within a business, taking on personal responsibility for their suggestion but no financial risk. So, tis means their ideas might turn into profitable ventures for the business

Question 20

Give an example of intrapreneurship

Answer 20

Microsoft workers saw the success of Sony PlayStation and came up with the idea of developing the Xbox.

Question 21

What are the types of intrapreneurship within a business?

Answer 21

-1. Coming up with a new idea for a product or service
-2. coming up with ways to stream line production or reduce the costs of production
-3.coming up with ways to increase revenue.
-4. Coming up with new work procedures or work methods

Question 22

Explain coming up with ways to increase revenue within intrapreneurship

Answer 22

E.g. Kellogg’s has an initiative snap, crackle and save.

One employee came up with the idea of using the same thickness of cardboard for all cereal, this saved the company €250,000 per year.

Question 22

Explain coming up with ways to stream line production or reduce the costs of production within intrapreneurship

Answer 22

E.g. a factory worker for Tayto found a way to produce crisps quicker by changing the steps they use.

Question 23

Explain coming up with new work procedures or work methods within intrapreneurship

Answer 23

eg a Cadbury worker come sup with the idea of re-sealable packaging for chocolate bars to make them last longer

Question 24

Explain coming up with a new idea for a product or service

Answer 24

E.g. Facebook holds hackathons, these are competitions for workers to develop ideas into prototypes and this led to the creation of the like button.

Question 25

What are the methods of promoting intrapreneurship within a business?

Answer 25

-Teamwork
-Pay for training courses
-Financial rewards
-Flexi-time
-Freedom to fail

Question 26

How would freedom to fail promote intrapreneurship within a business?

Answer 26

Freedom to fail- there is no penalty for a person who comes up with new ideas even if the idea doesn’t become successful.

Question 27

How would financial rewards promote intrapreneurship within a business?

Answer 27

Financial rewards-the business should provide incentives to employees to compensate them for their good ideas. This will motivate employees to work harder for the business.

Question 28

How would teamwork fail promote intrapreneurship within a business?

Answer 28

Teamwork- this facilitates brainstorming and entrepreneurship. Each team member brings different expertise and perspective and being in a group means members share responsibility so it will be less daunting and risky for individuals to offer suggestions.

Question 29

How would training courses promote intrapreneurship within a business?

Answer 29

Training courses- if managers paid for employees to go on training courses, they would become more creative and develop an entrepreneurial spirit.

Question 30

How would flexi-time fail promote intrapreneurship within a business?

Answer 30

Flexi-time- creative minds may require some time off work. Allow employees to work on coming up with business ideas.

Question 31

Why is enterprise important?

Answer 31

-Non profit organisations that benefit the local community.
-Consumers benefit from a wider choice of products and better prices due to competition.
-Creates jobs, lowers unemployment rate.
-Revenue for the government through direct or indirect taxes.

Question 32

What are the advantages of intrapreneurship?

Answer 32

Competitive advantage- forces business to update methods and try new products.
Improved motivation- employees are happier if they are given more challenging and rewarding roles. This leads to fewer IR disputes and a low staff turnover.
Increased sales