Enterprise And Entrepreneurs Flashcards
Enterprise
Being innovative and creative while taking calculated personal and financial risks to achieve one’s goal. It involves taking the initiative to start something new
Enterprising
The ability to generate new ideas to identify an opportunity and to have the confidence, motivation and determination to take a risk to turn the idea into reality
Entrepreneur
Identifies a gap in the market, has the initiative and assumes the risks of establishing and running their own business for a possible reward
Social enterprise
Exists to benefit the community or address problems affecting society eg pieta house
Why do people become entrepreneurs
- Independence
- Variety
- Innovation
- Income
- Enterprise culture
- Unemployment
Risks of entrepreneurship
. Loss of money and time
• pressure on Health and well-being
• confidence and reputation
• competition
• financial stress
Cost- benefit analysis
A business analyses the strengths and weaknesses of alternative decisions to see which option gives the best benefits and savings
Rewards of entrepreneurship
• profit
• control
• satisfaction
• challenge
Entrepreneur characteristics
• risk- taking
• confidence
• creativity and innovation
• ambition
Entrepreneur skills
• decision making
• delegation
• risk management
• goal setting
Intrapreneurship
Entrepreneurial activity within a business
Benefits of intrapreneurship
New products, more efficient process, greater productivity, more enjoyable workplace and business growth
Promoting intrapreneurship
• empowering employees
• creating an enterprise culture
• rewarding staff
• encouraging teamwork
Enterprise culture
A society or business in which people are encouraged to be imaginative and creative and are not reluctant to take risks
Profit sharing scheme
An employee receives a percentage of a company’s profits in addition to wages
