ENTREP QUIZ NO. 1

• The word "entrepreneur" is derived from the French word "enterprende," which means to undertake
• Entrepreneurship is the enterprise created by an entrepreneur and the process
• The idea is the first and foremost investment of an entrepreneur because it is where a clear plan of action starts
• Raw materials are the basic inputs that an entrepreneur uses to come up with his products
• Capital refers to the building, machinery, equipment, and tools used in the process of production
• The production plant is capital generally called
• Finished products are the inputs turned into outputs
• The market consists of buyers and users of the products
• Customers are the people who buy the products
• Consumers or end-users are the people who use the products
• Marco Polo is credited with the earliest historical account of entrepreneurship and entrepreneurial activities
• Richard Cantillon is known as the "Father of the theory of entrepreneurship" and was a well-known economist and author in the 17th century
• Jean Baptiste added to Cantillon's definition by including the idea that an entrepreneur had to be a leader
• Adam Smith, David Ricardo, and John Stuart Mill briefly touched on the concept of entrepreneurship
• Business management is the English term for entrepreneurship
• Adam Smith maintained that economic development was due to the Invisible Hand theory
• The master plan of economic development is referred to as the Law of Nature
• Alfred Marshall first formally recognized the necessity of entrepreneurship with the "principle of economics"
• Harvey Leibenstein claimed that necessary characteristics of entrepreneurs include being gap fillers
• Joseph Schumpeter espoused the idea that entrepreneurs are innovators and developers of untried technology
• David McClelland maintained that productivity is dependent upon the energy levels of people and that entrepreneurs are energetic and productive
• Peter Drucker emphasized that entrepreneurs are people who look to maximize opportunities
• Albert Shapiro argued that entrepreneurs take initiative, organize social and economic mechanisms, and accept the risk of failure
• Business - backbone of the economy
• Raw materials - basic input that the entrepreneur uses to come up with its product
• Idea - first and foremost investment of an entrepreneur because this is where it started a clear plan
• Entrepreneurship - enterprise created by entrepreneur and the process
• Entrepreneur - derived from french verb enterprende means undertake
• Entrepreneur - are encourage by the economy because they can provide a lot of opportunities