1.5- Entrepreneurs And Leaders

Question 1

What is the definition of leadership?

Answer 1

The act of leading a group f people or an organisation, or the ability to do this.

Question 2

What are the 4 types of leadership?

Answer 2

• Autocratic leadership
• Paternalistic leadership
• Democratic leadership
• Laissez faire leadership

Question 3

What is the difference between leadership and management?

Answer 3

Leadership involves getting people to buy into your visions, unlike management.

Question 4

What are 5 characteristics of leadership?

Answer 4

• Respected and trusted by others
• Insoires others
• Motivates
• Develops others
• Creates change

Question 5

What are 5 characteristics of management?

Answer 5

• Direct and monitoring others
• Problem solver
• Plans
• Official position of responsibility
• Manages change

Question 6

What is autocratic leadership?

Answer 6

When leaders tell their employees what they want done and how they want it accomplished, without getting the advice of their followers.

Question 7

What is democratic leadership?

Answer 7

Offer guidance to group members, but they also participate in the group and allow input from other group members.

Question 8

What is paternalistic leadership?

Answer 8

Makes the right decision for the employees that they are responsible for. There is no dominant authority figure who expects loyalty and trust from their employees.

Question 9

What is Laissez faire leadership?

Answer 9

Where employees can carry out activities and make decisions freely. Work in relaxed environments and have little direction and guidelines.

Question 10

What is an entrepreneur?

Answer 10

A person who sets up a business and takes risks in the hope of a profit, reward or for a social purpose (e.g to help the community).

Question 11

What are 6 characteristics of an entrepreneur?

Answer 11

• Creative
• Hard work
• Resilient
• Has Initiative
• Self confidence
• Risk taking

Question 12

What 6 skills do you need to be a successful entrepreneur?

Answer 12

• Communication
• Team working
• Problem solving
• Organisation
• Numeracy
• IT

Question 13

What is a business form?

Answer 13

The legal structure that a business takes. It could be a sole trader, a partnership, a private limited company (ltd) or a public limited company (plc).

Question 14

What are the features of a sole trader business?

Answer 14

• Business has one owner but can employ staff.
• Tend to be a small business.
• Has unlimited liability.
• Staff have no control over the business.

Question 15

What are the features of a partnership business?

Answer 15

• Two or more people that share the risks, costs and responsibility of the business.
• The profits and gains of the partnership are shared among the partners.
• Each partner is responsible for paying tax on their profit share.
• ‘Sleeping’ partners contribute capital investment but don’t get involved in the business.

Question 16

What are the features of a private limited company (ltd) business?

Answer 16

• Sole traders may want to grow into a ltd company.
• Friends and family can buy shares in the business.
• Shares can’t be brought by the public.
• Normally medium sized businesses.

Question 17

What is a franchise?

Answer 17

• When a successful business wants to expand but doesn’t want the problems and expenses of opening more stores, so it sells the business idea.

Question 18

What is a social enterprise?

Answer 18

A business that trades for a social and/ or environmental purpose. At the core of a social enterprise the objective is to help society or the planet in some way. However, they are not charities as they rely solely on donations.

Question 19

What does it mean for a business to have unlimited liability?

Answer 19

• If a business gains debt, goes bust or is sued this could be a problem for the owner.
• The owner of the business and the business are one legal asset.

Question 20

What does it mean for a business to have limited liability?

Answer 20

• The owner of the business and the business are separate legal assets.