1.5.2 Entrepreneurial motives and characteristics Flashcards
(7 cards)
Give characteristics of a successful entrepreneur
Passionate
Driven
Risk taker
What are 2 financial motives for starting a business
Profit maximisation
Profit satisficing
What is profit maximisation?
The desire to earn large financial rewards, it increases motivation
(This may inc the entrepreneur accepting losses along the way)
What is profit satisficing?
Aiming for a ‘good enough’ amount of profit to live rather than maximising profit
(Entrepreneur will take fewer risks)
What could be 3 non financial motives for starting a business?
- more control over working life
- want rewards from, effort
- persuing a hobby
What is a social enterprise?
A business that operates to address social or environmental problems while generating an income
(It makes a profit but the profit should be reinvested into the business)
What are 3 limitations if being an entrepreneur?
Finacial pressure
High stress levels
Hard work
