1.5 - Entrepreneurial motives amd characteristics

Question 1

What is Enterprise?

Answer 1

Enterprise: The ability and initiative to take risks and make profits by creating a business.

Entrepreneurs demonstrate enterprise by starting and running businesses.

Question 2

What is an Entrepreneur?

Answer 2

A person who organises, operates, and takes risks in starting a business.

Key traits: Passionate, driven, resilient, decisive, risk-taker, focused.

Question 3

Financial Motives for Starting a Business

Answer 3

Profit Maximisation: Aim to earn as much profit as possible.

Profit Satisficing: Aim for enough profit to live comfortably, with fewer risks.

Question 4

Non-Financial Motives

Answer 4

Control & independence

Flexible working

Pursue passion or hobby

Escape boring job

Build something meaningful

Dislike of corporate bureaucracy

Question 5

Drawbacks of Being an Entrepreneur

Answer 5

Loneliness, financial pressure, hard work, high stress

Strain on personal life

Responsibility and risk

Difficult to take time off

Question 6

Social Enterprises

Answer 6

Businesses with social aims, reinvesting profits into the community or cause.

Compete like normal businesses but prioritise social goals.

Examples: Divine Chocolate, Eden Project, Cafédirect.

Question 7

Entrepreneur

Answer 7

Entrepreneur: Starts and runs a business, taking financial risks.

Question 8

Social Enterprise

Answer 8

Social Enterprise: A business with a social purpose, not driven by profit for owners.