Entrepreneurship Flashcards
Describe the nature of entrepreneurship
The development from an idea to a business
Explain the role requirements (qualities) of entrepreneurs and owners
Strong leaders
Intelligent/Skillful
Confident
Risk-takers
Describe small-business opportunities in international trade
Using the internet, they can reach a wider audience
Discuss the entrepreneurial discovery process
Studying markets to identify product/service demands
Assess global trends and opportunities for business ventures
Studying markets to identify product/service demands
Determine opportunities for venture creation
Studying markets to identify product/service demands
Assess opportunities for venture creation
Studying markets to identify product/service demands
(How to) Generate venture ideas
Research demand
Build off your own skills
Be creative
(How to) Determine feasibility of venture ideas
Analyze competitors/market
Ask others for opinions
Prepare to test idea
Describe entrepreneurial planning considerations (list)
Idea feasibility
Costs/funding
Explain tools (analyses/models) used by entrepreneurs for venture planning
PEST analysis
SWOT analysis
7S model
Define PEST analysis
Political, Economic, Social, and Tech.
Analyzes external factors for a company
Define SWOT analysis
Strengths, Weaknesses, Opportunities, and Threats
Analyzes internal factors of a company
Define 7S model
Structure, Style, Systems, Staff, Skills, Strategy, and Shared values
Analyzes organization of a company
Assess start-up requirements (in order)
- Business idea/plan
- Funding
- Location/Website
- Legal structure
- Register, ID’s, Licenses, Permits
- Marketing plan
- Employees
- Customer base
Assess risks associated with venture (2 types)
Internal and external risks
Internal venture risk examples
Financial risk
Operational risk
External venture risk examples
Market risk
Competitive risk
Legal risks
Describe external resources useful to entrepreneurs during concept development
Research
Other entrepreneurs/mentors
Assess the need to use external resources for concept development
So we don’t get trapped in our own “bubble”
Use components of business plan to define venture idea
PMMOOFIG:
Product/service plan
Management team
Marketing plan
Operational plan
Organizational plan
Financial plan
Industry/market analysis
Growth plan
Describe processes used to acquire adequate financial resources for venture creation/start-up
Networking
Researching
Venture capitalists/angel investors
Crowdfunding
Loans
Select sources to finance venture creation/start-up
Networking
Researching
Venture capitalists/angel investors
Crowdfunding
Loans
Explain factors to consider in determining a venture’s human-resources needs
Employees
Market
Management
Partners
Affordability
Explain considerations in making the decision to hire staff
Skills/experience
Recommendations
Mindset
Describe considerations in selecting capital resources
Productivity
Affordability
Sustainability
Ease of access
Capital resources
Man made assets used to manufacture goods
Examples: Tools, machines, equipment, buildings
Assess the costs/benefits associated with resources (examples)
Financial, human, competitive
Use external resources to supplement entrepreneur’s expertise
Any outside source that’s better than the entrepreneur
Explain the complexity of business operations (examples of factors)
Legal
Financial
Production
HR/CRM
Evaluate risk-taking opportunities
Analyze opportunity vs risk
Explain the need for business systems and procedures
Create structure, more efficiency, less risk
Describe the use of operating procedures
SOP’s (standard operating procedure) make complex routines simpler for workers
Explain methods/processes for organizing workflow
Workflow diagrams, SOP’s, task delegations
Develop and/or provide product/service
Do the thing
Use creative problem-solving in business activities/decisions
Do the thing
Explain the impact of resource productivity on venture success
More productivity = more success, same with inverse
Create processes for ongoing opportunity recognition (examples)
Intrapreneurship
Environment/competitive analysis
SWOT/PEST/7s models
Develop plan to invest resources into improving current products or creating new ones
Understand market
Idea/Prototypes
Market Testing
Iterate based on feedback
Adapt to changes in business environment (external factors)
PEST analysis
Explain the need for continuation planning
It helps a business stay strong, adapt to changes, and plan for the future to keep growing
Describe methods of venture harvesting
Initial Public Offering (IPO)
Management Buyout (MBO)
Merger/Acquisition
Liquidation
Evaluate options for continued venture involvement
Expansion
Franchisin
Diversify products/services
Strategic alliances
Develop exit strategies
Initial Public Offering (IPO)
Management Buyout (MBO)
Merger/Acquisition
Liquidation
