factors of production

Question 1

how can natural resources be classified

Answer 1

• on the surface
• below the surface
• above the surface

Question 2

what are some examples of natural resources available in South Africa

Answer 2

*agriculture: farming the crops and animal husbandry
*forestry
*fresh water
*sea
*minerals
*sun

Question 3

what are the characteristics of natural resources

Answer 3

they are exploited by humans and renewable
cannot be consumed in their natural state
unevenly distribution

Question 4

how can we use natural resources sustainably

Answer 4

limited by nature
efficient production

Question 5

what are three types of labour

Answer 5

skilled
semi-skilled
unskilled

Question 6

what are characteristics of labour

Answer 6

age ranges from 15-65
primary industry: lowest wages and tertiary sector: highest salaries
mental or physical effort
ability to make decisions
education and training
inseparable from the person
perishable
enhanced or restricted by culture, language and religion

Question 7

how can we use labour sustainably

Answer 7

the reasons for unemployment is the lack of skills
Skills Development Fund.

Question 8

what are the types of capital

Answer 8

monetary capital: own and borrowed capital
capital goods: machine, equipment and tools

Question 9

what are the characteristics of capital

Answer 9

• used over a period of time
• manufacture products or services that can be sold (at a profit)
• have to be maintained and replaced to wear and tear
• new technology caused older machines to become outdated
• public capital is known as infrastructure
• capital formation takes place when people save

Question 10

how can we use capital sustainably

Answer 10

when capital is invested in a business, it has the potential to create jobs, which in turn provides an income for people.

Question 11

what are the types of entrepreneurs

Answer 11

1) survivalists: start a business to survive
2) lifestyle: start a business based on a hobby
3) social-preneur: starts a business based on a social need
4) serial entrepreneur: start a successful business and sell it to start another business.
5) traditional entrepreneur: starts a business with the aim of it growing.

Question 12

what are the characteristics of entrepreneurs

Answer 12

organised and decision making
professional and a risk taker
innovative and negotiation skills

Question 13

define an entrepreneur

Answer 13

individuals who identify a gap in the market and who then create a product or service that satisfies the wants/ needs of the consumer.

Question 14

how can we use entrepreneurs sustainably

Answer 14

satisfy the needs of consumers
job creation

Question 15

how can we identify entrepreneurial opportunites

Answer 15

by:
* an idea to create a new product/ service
*adapting a current product/ service

Question 16

what are some trends that entrepreneurs should look out for

Answer 16

social trends: family patterns, age of the population, social interaction and crime rates
economic issues: inflation rates and interest rates
changes in legislation
political changes
technological advancements

Question 17

what should entrepreneurs do if they want to solve a problem

Answer 17

they create a product or service

Question 18

what does it mean to find a gap in the market

Answer 18

to look for or recognise a customer need that is not being met at present

Question 19

what is a niche market

Answer 19

a relatively small group of customers with the same interest.