Business Activity

Question 1

what are the 3 main purposes of business

Answer 1

to satisfy customer need - produce product
spotting an opportunity - improve serves or make more cheaply
develop an idea- design a product, pan and produce

Question 2

what is an entrepreneur

Answer 2

person who takes the risk of starting and running a business enterprise

Question 3

what does spotting an opportunity mean

Answer 3

ability to see the need for a particular product or service needed

Question 4

name the characteristics of an entrepreneur (4)

Answer 4

creative thinker - new ideas or solve problems
risk taker - prepared to put in investment
determined - not put off by challenges
confident - believe in own ability

Question 5

what 2 types of risks do entrepreneurs take

Answer 5

financial - may loose money

non financial health - strain of running a business causes mental and physical illness

Question 6

what 2 types of rewards do entrepreneurs receive

Answer 6

non financial - independent own boss, satisfaction because of success, change customer habits,
financial - make lots of money

Question 7

what is enterprise

Answer 7

seeing an opportunity to provide a product that others are willing to pay for

Question 8

what is the most attractive factor about taking a risk

Answer 8

greater the risk the greater the reward