Q1 - Entrep 🛋📈🤝💰 Flashcards
Is the ability and readiness to develop, organize and run a business enterprise, along with any of its uncertainties in order to make a profit. The most prominent example of this is the starting of new businesses.
Entrepreneurship
Someone who has the ability and desire to establish, administer and succeed in a startup venture along with risk entitled to it, to make profits.
Entrepreneur
What are the 4 +1 M’s of Production
- Manpower
- Methods
- Machines
- Materials
- Money (+1)
The right human resources who will handle certain business operations. It is one of the highest cost of operating the business, but also the most instrumental to its success.
Manpower
It does not only include labor or muscular power but also intellectual, creative abilities and other qualities of individuals that can contribute to the production
Manpower
Suggest the process of combining raw materials and how these are going to be transformed using the other factor inputs of production. This resource input is also called technology or techniques of production since it prescribes the intensity in the use of factor inputs.
Methods
Technology used in efficiently operating the business. It was also described as the “best friend” of manpower in producing goods and offering services. These are not limited only to physical equipment but can also pertain to new technologies. It also represents all manmade physical capital used in the production process
Machines
To be used in creating a product or performing a service, which includes supply chain management.
Materials
Make sure that your supplier of raw materials should have consistent and have sufficient amount of supplies that can accommodate the demand of your company
Materials
The selection of the supplier depends on how they will not cause interruptions in the production of goods and serving customers
Materials
It is a financial resource used to purchase all the resources needed by the firm for its operation. The owners of the company contribute seed money for the initial operations of the firm. It is also needed to purchase raw materials, pay salaries of the workers and managers and durable equipment needed for the company.
Money
Is one of the important aspect of selling, you have to visualize what your target market will patronize and would like to have.
Product Description
Three (3) Rules to Visualize a Product Descriptions That Sell:
- Know who your target audience is
- Focus on the Product Benefits
- Use good product images
Is an initial creation of a product that shows the basics of what product will look like, what it will do and how it will work. However, it is NOT meant to be the final version as there will be lots to improve.
Prototype
Advantages of Prototype (4):
- Creating prototype gives you the opportunity to test and refine the functionality of your design.
- It makes it possible to test the performance and quality of the materials.
- It will help you describe your products more effectively with potential buyers.
- It will encourage others to treat you more seriously.
Controls the implementation of the business plan. Once our procedures are set up to maximize efficiency, it is the time to train the production staff on their individual responsibilities centered on the 4Ms of Production.
Operation Management
Materials Requisitioning Options (3):
- Manufacturing own products or offer services
- Outsourcing Materials
- Purchasing own products or services from present suppliers
If this is the case entrepreneurs need to prepare huge capital for the materials, machines, & manpower which we all know will cause the company a greater risk. However, through this entrepreneurs can closely monitor the quality of his product & can build his own name overtime making his own brand identity
Manufacturing own products or offer services
This is the process where a company appoint a third party manufacturer to do the manufacturing operations of the business. Expertise wise these third party companies have more experience & can handle manufacturing products tailored to the entrepreneur’s needs at a lower cost. It also saves the entrepreneur from buying expensive machineries, but has it also has its risk such as: Profit shared with the third party, they run out of supply, when the outsource party closes its business & if they produced sub standard products
Outsourcing materials
