U1 AOS1 - The business idea Flashcards
(11 cards)
What is an entrepreneur?
is the ability to think outside the box and come up with new and innovative ways of seeing things and create a business from this idea. They are willing to take the risk and have the means to create their new business.
2 examples of entrepreneurs
Steve jobs: founder of apple
Bill gates: founder of Microsoft
The personal motivation behind starting a business
- The desire for independence
- To make a profit
- To fulfil a market need
- To Fulfil a social need
Skills of a business manager
- Leadership
- Willingness to learn
- Organisation skills
- Listening skills
Skills of an entrepreneur
- Showing initiative
- Being enterprising
- Determined/never giving up
- Being prepared to take risks
Sources of business opportunity
- Innovation
- Recognising and taking advantage of market opportunities
- Changing customer needs
- Research and development
- Technological development
- Global markets
The steps of business concept development
THE BUSINESS CONCEPT DEVELOPMENT PROCESS
1. Initial idea/concept and protect your idea
2. Do market research
3. Refine the idea based on the market research results
4. Do a feasibility study
5. Write a business plan
feasibility studies
an assessment of the potential for success of a proposed business idea. It is an important step in assessing whether a business idea is worth pursuing.
economic contribution that businesses make to a nation
- Employment and taxation revenue
- GDP
- Export earnings = the sale of goods and services to other countries
social wellbeing contribution that businesses make to a nation
- Employment/fulfilling careers
- Income and living standards
- Corporate social responsibility (CSR)
how a culture of creating new ideas and businesses can be supported and encouraged
- Publicly funded research agencies
- Gov’t support for businesses through grants, tax incentives
- The local council could offer grants
- School based educational programs could help encourage students at a young age eg $20 Boss program
- Regional business start-up hubs could provide advice and premises
