Assesment 1 Flashcards
(27 cards)
What is enterprising
To be enterprising means identifying new business opportunities and being able to spot a good buisness opportunity or gaps in the market
What makes a entrepreneur
A successful entrepreneur is the key to a business’s success
What are some characteristics of entrepreneur
Confident,innovation,determination,leadership
Why does the government encourage enterprise
It reduces unemployment and creates employment
Because of this government will have to pay less benefits and get more taxes
It creates a healthier buisness environment
What are three advantages of risk taking
Financial reward, potential for growth to be ahead of competitors, independence
What are three disadvantages of risk taking
Losing money,owing money, risk jobs
What is cell
Capital,enterprise,land,labour
What is land
Premises,houses,roads,oceans,raw material, oil,car parking are all land
What is labour
Workers who manufacture provide services either physical or mental labour
What is capital
Resources assets owned by buisness= machinery equipment to produce product
How many people and what turnover does a micro buisness make
1-9 staff less than 1.7 million
How many people and money in a small buisness
10-49 less than 5.6 million
How many people and money in a medium buisness
50-249 people less than 22.8 million
How many in a large buisness
Over 249 more than 22.8
What are two disadvantages of a sole trader and two advantages
Unlimited liability and lack of expertise.
Profits and control
How many people can run a partnership
2-20
What is an advantage and disadvantage of partnership
Specialisation
Lack of continuity
Who can buy shares in a private limited company
Family and friends
Advantage of ltd and disadvantage
Continuity of existence
Set up costs
Who can buy shares in a plc
Any one in the public
Advantage and disadvantage of plc
Limited liability
Threat of takeover
What is a franchisor
A person who sells there buisness name and product
What is a franchisee
A person who buys the buisness of a franchisor they are under the franchisor
Advantage and disadvantage of franchisee
Defined territory
Loss of control
