Entrepreneurship Flashcards
What is an entrepreneur?
A person who identifies business opportunities, risks time and money to start a business, and brings resources together to generate wealth.
What are the key functions of an entrepreneur?
Conceptualizing, planning, accessing funds, organizing resources, operating the business, evaluating performance, taking risks, and earning profits.
What does ‘conceptualizing’ mean in entrepreneurship?
The process of forming new ideas, improving existing products/services, or finding ways to meet customer needs.
Why is planning important for an entrepreneur?
Planning helps set targets, goals, and strategies to achieve business success.
What are some ways entrepreneurs can access funds?
Savings, loans, credit, government grants, and investments from others.
What is collateral?
An asset, like property or machinery, used as security when applying for a loan.
What does organizing involve in business?
Acquiring and managing labor, resources, equipment, and premises efficiently.
What are the key characteristics of an entrepreneur?
Creativity, flexibility, problem-solving skills, persistence, goal-oriented mindset, and ability to take calculated risks.
Why do people start businesses?
To gain financial independence, have control over their work life, achieve self-fulfillment, and reach self-actualization.
How do entrepreneurs contribute to economic development?
They provide goods/services, create jobs, pay taxes, increase GDP, utilize local raw materials, earn foreign exchange, and encourage competition.
