U1 AOS1 - The business idea Flashcards
What is an entrepreneur?
is the ability to think outside the box and come up with new and innovative ways of seeing things and create a business from this idea. They are willing to take the risk and have the means to create their new business.
2 examples of entrepreneurs
Steve jobs: founder of apple
Bill gates: founder of Microsoft
The personal motivation behind starting a business
- The desire for independence
- To make a profit
- To fulfil a market need
- To Fulfil a social need
Skills of a business manager
- Leadership
- Willingness to learn
- Organisation skills
- Listening skills
Skills of an entrepreneur
- Showing initiative
- Being enterprising
- Determined/never giving up
- Being prepared to take risks
Sources of business opportunity
- Innovation
- Recognising and taking advantage of market opportunities
- Changing customer needs
- Research and development
- Technological development
- Global markets
The steps of business concept development
THE BUSINESS CONCEPT DEVELOPMENT PROCESS
1. Initial idea/concept and protect your idea
2. Do market research
3. Refine the idea based on the market research results
4. Do a feasibility study
5. Write a business plan
feasibility studies
an assessment of the potential for success of a proposed business idea. It is an important step in assessing whether a business idea is worth pursuing.
economic contribution that businesses make to a nation
- Employment and taxation revenue
- GDP
- Export earnings = the sale of goods and services to other countries
social wellbeing contribution that businesses make to a nation
- Employment/fulfilling careers
- Income and living standards
- Corporate social responsibility (CSR)
how a culture of creating new ideas and businesses can be supported and encouraged
- Publicly funded research agencies
- Gov’t support for businesses through grants, tax incentives
- The local council could offer grants
- School based educational programs could help encourage students at a young age eg $20 Boss program
- Regional business start-up hubs could provide advice and premises
