Entrepreneurship and Management

Question 1

Entrepreneur

Answer 1

An entrepreneur is compensated for
taking on business risks in the form
of profit, which is highly uncertain.

Question 2

Manager

Answer 2

A manager gets a return for his contributions to the company and is paid a salary. A manager’s remuneration is predictable and fixed.

Question 3

Management tasks (10)

Answer 3

Planning

Organising

Leading

Controlling

Communication

Coordination

Delegation

Discipline

Decision-making

Motivation

Question 4

Top Management

Answer 4

Is responsible for the strategic decision of the business, i.e. planning for the future of the business to ensure the business has a sustainable future. Top management looks integrating demands of the different groups, while taking responsibility for the overall business results and performance within the market place

Question 5

Middle Management

Answer 5

Is responsible for the tactical decisions in the business, i.e. medium-term decisions. They interpret top management’s decisions in terms of the demands and impact on each business function\department. The overall business plan is the implemented by each department, while ensuring there is synergy between the different functional areas in the business.

Question 6

Lower Management

Answer 6

Is responsible for the day-to-day decisions in the business, i.e. they are managing the operations of the business on a daily basis within the parameters described by the policies and procedures of the different business functions

Question 7

Psychological Needs

Answer 7

These are the basic needs to ensure sustained life. Examples of these needs include food, water, shelter and sleep. Maslow states that until these needs are met other needs will not motivate a person

Question 8

Security Needs

Answer 8

This is the need to feel safe, but it is also related to the fear of losing a job and in the process not meeting physiological needs

Question 9

Social Needs

Answer 9

At this level, people need to feel they belong and are accepted by the group of which they are part

Question 10

Esteem Needs

Answer 10

Once the first three needs have been met, a person would like to be held in high esteem. The desire for esteem often results in people’s need for power, prestige, and status.

Question 11

Self-actualisation

Answer 11

This level of need looks at a person’s desires to achieve their full potential