enterprise and entrepreneurship

• What is a good and give one example

  A good is when businesses provide products for customer. Examples : Chocolate bar
• What is a service and give one example

  A service is when businesses completes tasks for customers so they are providing a service. Example: Hairdressers
• Definition of entrepreneur

  An entrepreneur is an individual who takes a risk to start a business
• What are 5 qualities for a entrepreneur

  Leadership, risk-taking, resilience, motivation, determination
• Why may new business ideas come about (3 reasons)

  Changes in technology/dynamic nature of businesses.

  Change in customers want/needs.

  Products and services becoming obsolete.

  Completely original idea/invention

  Adapting an existing idea
• Change in technology examples


  Ai

  virtual reality

  robotics
• definition of a want

  A want is something that improves your quality of life
• definition of a need

  A need is a necessity that is required for you to live and function
• What is the difference between a want and a need

  the difference is that a need includes food, shelter, clothing and medical care whilst a want includes everything else
• list 3 business risks

  -Business failure

  -Financial loss

  -Lack of security
• List 3 business rewards

  -business success

  -profits

  -independence
• What is the purpose of business activity?

  To generate profit, produce goods or services, meet customer needs, to add value to goods and services
• What does Capital mean in business

  It means money
• Ways to add value to the product or services (there are 5 mains)


  Branding, Design, Unique selling point, quality and/or convenience
• value addition meaning

  The process of increasing the perceived value of a products or service before it’s sold to customer.

  The difference between what a business spends to produce it’s goods or services, and the price that customers are prepared to pay.
• Role of entrepreneur

  Organises resources, makes business decisions, takes risks
• To add value

  convenience, branding, quality, design, USP (unique selling point)
• Obsolete

  outdated; a product that has declining sales or come to an end.
• Marketing

  The product life cycle states that all products eventually need to be removed from sale
• Technology

  Changes in technology have led to obsolete products and changes in consumers tastes
• Role of enterprise

  Entrepreneurs are the individuals who develop new ideas.
• Profit

  what a business has left from its income after paying all of its costs
• Consumer

  the person who is the eventual user of the product
• adding value

  adapting a product so that the selling price is higher than the cost of creating the product
• Factors of production

  resources needed to produce goods and service: land, labour, capital and enterprise