enterprise Flashcards
(22 cards)
Why do people start their own business?
To gain a profit, to turn a hobby into a business, to use recurring money, to be their own boss.
What are the limited physical needs required for survival?
Food, water, shelter, clothing.
What are psychological and emotional needs?
Self-esteem, love.
How are wants different from needs?
Wants are unlimited and can include better food, housing, longer holidays, education, and entertainment.
What do changes in needs and wants indicate about markets?
Markets are always changing and new opportunities are constantly arising.
What is an entrepreneur?
Someone who starts and runs a business, possibly making products or providing services.
List some characteristics of an entrepreneur.
- Risk taker
- Product knowledge
- Hardworking
- Determination
- Perseverance
- Initiative
- Creativity
- Organizational skills.
What are the three sectors of industry?
- Primary: extractive
- Secondary: manufacturing and construction
- Tertiary: services.
Which sector employs approximately 80% of those in employment in the UK?
The tertiary sector.
What percentage of employment does the secondary sector account for in the UK?
18%.
What is a key issue for the secondary sector?
Ensuring competitiveness by turning raw materials into products that consumers will pay for.
What has caused the decline in the primary sector?
Raw materials have run out and are found elsewhere.
What is de-industrialisation?
The decline of once prosperous industries such as shipbuilding and textiles.
What factors have contributed to the decline in secondary employment?
- Changes in consumer demand
- Lack of competitiveness
- Lack of investment
- Technology replacing workers
- Trade union issues
- Relocation of manufacturers.
What type of businesses have grown in the tertiary sector?
Businesses like fitness centers and meter reading services.
What trend has been observed in employment preferences?
Manufacturing has become ‘unfashionable’, with people preferring more pleasant work environments.
How do entrepreneurs impact the economy?
- They drive innovation
- They create new jobs
- They provide better ways of doing things
- They boost exports.
- They generate taxation revenue.
Fill in the blank: Entrepreneurs are important because they are _______.
[innovative]
True or False: The tertiary sector has not significantly grown over the past twenty years.
False.
What is a challenge faced by UK manufacturing firms?
Competition from foreign manufacturers with lower labor costs.
What has led to the growth in demand for services?
Greater affluence during that period.
What is one reason for the lack of competitiveness in UK manufacturing?
A lack of investment from both the government and industry.
