entreprenueurhsip Flashcards
What is an entrepreneur
A person who has an idea or recognizes a need for a product or service, they take a chance and spend money to start a successful profitable business
How can one identify a profitable business
It is essential to conduct research, find out who the target market is and there needs, analyze current available products,
List the 8 requirements for a successful profitable business
Passion, target market, product, competitive advantage, price, location, research, start-up costs
state 6 reasons why it is necessary to do research about a business idea
aids help make realistic decisions, organize thoughts, identify challenges, evaluate progress, determine profitability, convince investors
List the 7 steps on how to set up a business
find info about the business, production plan, marketing plan, financial plan, swot analysis, management plan, protection of your idea.
what are the 5 p’s of marketing
product, price, place, person, promotion
What does SWOT stand for
strength, weakness, opportunities, threats
What is a patent
provides you w sole right to produce your product
What is the benefit to product specification?
keeps standards, quality remains constant, consumers remain satisfied
What info is required for product specification?
appearance, ingredients, packaging, equipment, standardization
What does SETA stand for
Sector Education and training academy
List 4 ways that you can access money to start up a business
own savings, loan, partnership, possible investors
list 4 start up costs
registration fees, business license, deposit, purchase equipment
list 4 operational costs
rent, salaries, loan instalments, fuel
List 3 ways that ergonomics can be applied to workers work spaces
ensure there comfort, correct heights, addequate space to move,
Why is it beneficial to develop relationships between you and the supplier
Could result in business contacts
Why should you use locally produced produce
Often better quality and more easily available
What 3 things are used to attract the consume
packaging, marketing, product
List 4 ways you can make a product irrisitable
high quality, affordable, unique, relevant product
state the 7 Factors influencing efficient quality production
planning, product specs, quality control, neatness of work place, hygiene of workers, control finances, stock
List 3 things to keep in mind when setting goals
determine the product that’ll be made, find a place, calculate how much to produce
Why is it important to maintain equipment
break downs = less production = less sales = less profit
What are the 5 things to keep in mind when planning
set goals, construct a detailed plan, planning order, keep in mind possibility of mistakes, priorities
Why are specifications important
ensures consistiency
What is the benefit to quality control
ensures constant quality
What does it mean if a space is ergonomically designed
It means that it’s the most accesible and functional an area can be for its workers
List 3 finanacial records that should be kept
income, collecting of debt, savings
How can you make more profit
increase selling price or decrease production costs
impact of buying too much stock
cash flow issue, inadequate storage, stock becomes damaged
not purchasing enough stock
production reduced, less profit, cancel orders, unhappy customers
Formula for the control of finances
setting of a budget + accurate stock purchases + correctly calculated costs