Unit 1 - 1.1 - Roll Of Business Enterprise And Entrepenurship Flashcards
What are the three main purposes of business enterprise and entrepreneurship?
- Spotting an opportunity
- Developing an idea
- Satisfying customer needs
What does ‘spotting an opportunity’ involve?
- Spotting a gap in the market
- Improving a product or service already provided
This is the first purpose of business enterprise and entrepreneurship.
What activities are involved in ‘developing an idea’?
- Designing the product or service
- Planning production
- Producing a product or service more cheaply
This is the second purpose of business enterprise and entrepreneurship.
What does ‘satisfying customer needs’ entail?
- Producing the product or providing the service
- Marketing the product or service
This is the third purpose of business enterprise and entrepreneurship.
Fill in the blank: An entrepreneur is someone who takes the _______ of starting and running a business enterprise.
Risk
True or False: Spotting an opportunity requires the ability to set and identify a particular product or service for customers.
True
This is an essential characteristic of successful entrepreneurs.
Characteristics of an entrepreneur
The features of an entrepreneur, which include being determined, creative and having the ability and confidence to take risks.
What is a key characteristic of an entrepreneur?
Determination
Entrepreneurs are often determined to achieve their goals despite obstacles.
What trait reflects an entrepreneur’s ability to generate new ideas?
Creativity
Creativity allows entrepreneurs to innovate and solve problems.
What quality enables entrepreneurs to engage in uncertain ventures?
Confidence to take risks
Entrepreneurs must have the confidence to take calculated risks to succeed.
What is confidence in the context of entrepreneurship?
Being positive, believing in their own ability to make things happen
Confidence is crucial for entrepreneurs as it drives their actions and decisions.
Define creativity as a characteristic of an entrepreneur.
Thinking up ideas and solving problems, e.g. thinking of new products to meet consumer needs or thinking of better or cheaper ways to make goods or provide services.
Creativity allows entrepreneurs to innovate and adapt in a competitive market.
What does determination mean for an entrepreneur?
Not being put off when difficulties or problems arise, but working hard to solve them
Determination is essential for overcoming challenges in the entrepreneurial journey.
What is risk-taking in entrepreneurship?
Being prepared to put their own or other people’s money at risk
Risk-taking is a fundamental aspect of entrepreneurship, often required to achieve significant rewards.
What are rewards in the context of entrepreneurship?
The benefits an entrepreneur receives from starting up and running a business, which may be financial or non-financial.
What are risks in entrepreneurship?
The possible losses that an entrepreneur may suffer from starting up and running a business.
What are the 3 rewards of being an entrepreneur
1.independence
2.self satisfaction
3.financial
What are the 3 risks of being an entrepreneur
1.Strained relationships
2.health
3.financial
What is a financial risk associated with running a business?
The risk of losing savings and other assets to pay off debts if the business does not succeed.
What are the non-financial risks of running a business?
Health risks due to the strain of running a business, which can cause mental and physical illness.
What is one potential financial reward of running a business?
The potential to make a lot of money.
What does independence in running a business refer to?
Being in control of what you do and not being told what to do by others.
What is self-satisfaction in the context of business?
Feeling good because the business is a success.
How can running a business make a difference?
By improving the lives of customers and providing socially responsible goods and services.
