ENTREP REVIEWER

Cards (111)

  • Entrepreneur
    People who are willing to take risk and challenges in starting a business
  • Entrepende

    Means undertake
  • Entrepreneur
    Creating new business venture to generate profit while taking on financial risk
  • Types of entrepreneurs
    • Agripreneurship
    • Buyer Entrepreneurship
    • Ecopreneurship
    • Imitator Entrepreneurship
    • Intrapreneurship
    • Large business entrepreneurship
    • Scalable startup Entrepreneurship
    • Small business entrepreneurship
    • Social entrepreneurship
    • Technopreneurship
  • Agripreneurship
    Deals with the production and selling various agricultural goods and inputs
  • Buyer Entrepreneurship
    Possess substantial capital and utilize it to acquire established companies or merge with smaller business
  • Ecopreneurship
    "green" business
  • Imitator Entrepreneurship
    Creates a business by copying or adapting an existing business concept
  • Intrapreneurship
    Act of being entrepreneur within a company or organization
  • Large business entrepreneurship
    Involves taking calculated risks
  • Scalable startup Entrepreneurship
    Launching a small-scale enterprise intending to quickly expand
  • Small business entrepreneurship
    • Starting a business on a smaller scale
    • Easy to manage because it is often one-person team
  • Social entrepreneurship
    Focus on innovating and creating novel solutions to address pressing social issues
  • Technopreneurship
    Solves complex business problems and bring uniqueness and novelty to the business
  • Type of ownership
    • Sole proprietorship
    • Partnership
    • Corporation
    • Cooperative
  • Sole proprietorship
    • Owned by single person
    • Advantage: Easily created and terminated, Ownership and rewards in one person, Flexibility to changes, Minimum regulation and taxation
    • Disadvantage: Unlimited personal liability, Limitations in capital, It ends when the owner dies or becomes seriously ill, Limited skills and capabilities
  • Partnership
    • Two or more co-owns a business
    • Advantage: Pooling of resources, Ability to obtain capital, Incentive for each partner, Limited regulation and taxation
    • Disadvantage: Unlimited liability – solitarily liable, Termination can happen, Difficult in reconciling personal or business interests, Problems in share liquidation
  • Corporation
    • Exist in contemplation of law, has own identity and distinct from stockholders
    • Advantage: Limited liability for stockholders, Legal entity protected by law, Ownership is transferrable, Obtaining capital is easier, Employee benefits, Right to vote for a significant decision
    • Disadvantage: Legal formality and regulations, Costly and time-consuming, Separate taxation, Owner's potential loss of control in the business
  • Cooperative
    • Duly registered group of persons with a common interest
    • Advantage: Open and voluntary membership, Democratic control by members, Education is mandated, Cooperation among members, Direct benefits to members and community, Tax privileges
    • Disadvantage: Limited interest in shares, Inequality of profit distribution, Pro-poor bias might deviate from the profit orientation
  • Pricing is a crucial factor in influencing consumer choice
  • Pricing objectives
    • Competition-based objective
    • Cost-based objective
    • Customer-value objective
    • Market share objective
    • Sales orientation objective
    • Customer-driven objective
  • Competition-based objective
    The level of competition within the industry determines the pricing strategy
  • Cost-based objective
    Determined by considering the total cost in production
  • Customer-value objective
    Value determines the price
  • Market share objective
    Centered in two primary goals: 1. expanding the market share, 2. Cultivating strong customer awareness and loyalty
  • Sales orientation objective
    Designed to boost sales volume and maximize profit
  • Customer-driven objective
    Depends on how much the customer is willing to pay
  • Cost
    All the money spent to manufacture a product or provide a service
  • Costing
    The process of allocating cost to various aspect of the business
  • Product cost
    • Cost associated with making a product to be sold
    • Has three components: 1. Direct material, 2. Direct labor, 3. Manufacturing overhead
  • Direct materials
    Raw materials used in the production process
  • Direct labor
    Cost of the labor involved in producing a product
  • Manufacturing overhead
    • Expenses related to the production of the product
    • Consist: indirect materials, indirect labor, other overheads
  • Indirect material
    Supplies and materials used in the production process but are not a visible part of the final product
  • Indirect labor
    Work performed by individuals not directly engaged in producing goods such as security guards
  • Other overhead
    • Additional factory overhead costs such as equipment depreciation
    • Electricity expense is not categorized as material or labor costs
  • Service costing
    • Method used to determine the cost of providing a specific service
    • Service costing is commonly used in a service business such as logistics, accounting firms
  • Fixed cost
    • Expenses that do not change regardless of how much activity the business is doing
    • Includes: rent and lease payment, salaries, utility bills, insurance and loan
  • Semi-variable cost
    • Consist both fixed cost and variable cost
    • Labor cost are divided into two: 1. fixed cost for monthly salaried employees and 2. Variable cost for hourly employees
  • Variable cost
    Subject to change depending on the number of unit produced