1.1

• What are the reasons for new business ideas to emerge?

  Changes in technology and consumer wants
• What is one common example of a business that emerged due to technology changes?

  Netflix with streaming technology
• What does the term 'obsolete' mean in a business context?

  Outdated or no longer in use
• What are the two main ways new ideas come about?

  Original ideas and adapting existing ideas
• What is the difference between invention and innovation?

  Invention creates new ideas; innovation improves existing ones
• What is an example of an original idea from Apple?

  The first iPhone
• How can brainstorming help in generating business ideas?

  It encourages creative thinking and idea generation
• What is a significant risk when starting a business?

  Business failure
• What percentage of businesses in the UK fail within the first three years?

  40-50%
• What is a potential personal risk for entrepreneurs?

  Financial loss from invested funds
• Why might someone choose to teach business instead of running a business?

  Preference for job security and stability
• What are some rewards of business success?

  Sense of achievement and financial gain
• What does adding value mean in a business context?

  Justifying increased selling prices
• What is a unique selling point?

  A feature that makes a product stand out
• Who is an entrepreneur?

  Someone who takes risks and shows initiative
• What role do entrepreneurs play in small businesses?

  They make decisions and organize resources
• What are the main purposes of business activity?

  • Provide goods and services
  • Meet customer needs
  • Add value to products
• What are the risks and rewards of starting a business?

  Risks:

  • Business failure
  • Financial loss
  • Lack of security

  
  

  Rewards:

  • Sense of achievement
  • Financial gain
  • Independence and control
• What factors contribute to the dynamic nature of business?

  • Changes in technology
  • Changes in consumer wants
  • Obsolescence of products
• How do businesses add value to their products?

  • Providing convenience
  • Enhancing quality
  • Unique selling points
  • Strong branding