Enterprise and the Entrepreneur

Question 1

Entrepreneur

Answer 1

An Entrepreneur is someone who spots a gap in the market, takes both a personal and financial risk, and sets up a business. They can either make a profit or a loss, depending on how successful their enterprise is. Eg. Mark Zuckerberg

Question 2

Enterprise

Answer 2

Enterprise is a person or group being innovative/creative/using their initiative, while taking on a risk (personal/financial risk) in order to achieve a goal or make a profit.
E.g. Business Enterprise: Mark Zuckerburg taking the risk of setting up Facebook in 2004

Question 3

Commercial/Financial Enterprises

Answer 3

The most popular types of enterprises, these are goods and services set up to make a profit. Most are owned by entrepreneurs.

Question 4

Financial Enterprises main purposes are to:

Answer 4

• Create employment
• Provide services to customers and businesses
• Generate taxes that can be used to run the country
• Generate economic growth

Question 5

Social Enterprises

Answer 5

Not all enterprises that are set up are set up to make money. They were set up and sometimes have paid members but their goals are not to make profit, rather to help other people and society, such as the homeless or those in poverty

Question 6

Social Enterprises main purposes are to:

Answer 6

1. Create employment
2. Provide much needed services to a community that are not being offered by the government or financial businesses
3. Raise awareness of social issues
4. Bring about change

Question 7

Cultural Enterprises

Answer 7

Some businesses are set up to promote the arts and culture such as art galleries or music centres. Although the businesses make a profit, it is not their main aim.

Question 8

Cultural enterprises main purposes are to:

Answer 8

1. Create employment
2. Bring in revenue to a country through tourism
3. Encourage Irish innovation
4. Give people access to arts and culture

Question 9

Why do people become Entrepreneurs?

Answer 9

Income, Independence, Challenge, Creativity, Redundancy

Question 10

Income

Answer 10

Potential to make a profit and support yourself financially- to potentially earn more than an employee wage

Question 11

Independence

Answer 11

Be your own boss, work for yourself and make all key business decisions

Question 12

Challenge

Answer 12

Some people get bored easily and like to challenge themselves to be successful

Question 13

Creativity

Answer 13

They have the ability to constantly come up with new ideas

Question 14

Redundancy

Answer 14

They have been laid off from work and need a source of income for themselves

Question 15

The Importance of Enterprise in an Economy

Answer 15

1. Enterprise creates jobs for local people and gives higher standard of living and quality of life
2. It increases the production of goods and services in an economy and creates competition which is good for consumers
3. It creates new breed of entrepreneurs, acting as a role model for others
4. Government can use taxes to spend on education, hospitals etc.
5. Not for Profit Enterprises provide many socially desirable places like Sports Clubs and charities
6. Creates the need for other service providers like banks and Building Societies

Question 16

Risk Taker

Answer 16

Ability to take a chance

Question 17

Decisive

Answer 17

Ability to make decisions

Question 18

Networking

Answer 18

Ability to set up contacts

Question 19

Goal Setting

Answer 19

Ability to have a vision

Question 20

Creative/Innovative

Answer 20

Ability to come up with new ideas

Question 21

Realistic

Answer 21

Ability to use correct judgement on what’s possible

Question 22

Self-Confident/Inner Belief

Answer 22

Ability to back themselves and their concept

Question 23

Resilient

Answer 23

Ability to take a setback and keep going

Question 24

Proactive

Answer 24

Ability to keep moving and not stand still

Question 25

Intrapreneurship

Answer 25

This refers to an existing employee who acts as an entrepreneur inside a business. They come up with new ideas and solutions to problem that already exist. Most businesses like Facebook and Google encourage this amongst their staff.
The intrapreneur will take a personal but not financial risk as generally capital is provided by the business