Personal Motivation For Starting A Business 1B personal motivation for starting a Flashcards
What are the different types of personal motivation for business?
Personal independence, financial independence, to make a profit, to fill a market need, to fill a social need
What is personal independance
Involves a person being in control of their own decisions and actions.
Many people start of business as they have the desire to full control over their job and they be their own boss.
Additionally, starting a business can allow an owner have greater flexibility in their working conditions as they can dictate themselves.
What is financial independence?
Financial independence, ability to fund desired lifestyle without lying on income from another individual. One of the main reasons why individuals decide to own their own business is because allows him to no longer allow an employer for their income.
Successful business has the potential to increase the owners wealth and may allow them to retire at a young age.
To make a profit
Making a profit involves a business generating more revenue than expenses it incurred.
Individuals working for an employer often feel that as an employee their earning potential is limited.
the desire for financial independence in which can be driven to start their own business to earn more money.
The belief that the business will eventually make a larger profit may be strong enough to encourage new business owner to persist as a business usually incurs a lot at the early age of establishment.
To fulfill a market need
Is when a business fills a gap in the market by addressing custom needs that are currently unmet or underrepresented by competitors in the same industry.
To fulfill a social need
Improving society and the environment through business activities.
Many business owners are motivated to establish a business that fulfils a social need and positively impact society through contributions and improvements to local or wider community.
Examples of common society issues that business express includes preserving the environment, advantage individuals, and preventing homelessness, business that exist to address it is called a social enterprise.
