Enterprise and Entrepreneurs

Welcome to Ian's A/S Business Studies Blog...
           

Enterprise:

In its simplest form, enterprise is the ability to turn an idea into a successful business.

The entrepreneur

Enterprise is carried out through the work of an entrepreneur.

Click on the picture:

An entrepreneur is someone who is prepared to take a risk and open a business, usually with the aim of making a profit.

The starting point for enterprise is creativity, do you think you have the right qualities to be a successful entrepreneur? 

Lets see.....

Think about it......

What could you put in the 'space' of a self driving car for the comfort, entertainment, working needs, education or other wants of the occupants? 

The success of an enterprise will be determined by entrepreneurial qualities.

More here.

Importance of risks and rewards: 

Risks	Rewards
Business failure Loss of investment Loss of personal assets Bankruptcy	Profit Challenge of being your own boss Business growth and future profits

Opportunity cost:

This is an important business concept. 

Opportunity cost measures cost in terms of the next best alternative.

What was the opportunity cost of giving the girl his last Rolo?

Remember, when starting a business resources are likely to be limited. 

An entrepreneur must consider the opportunity cost of all spending decisions.

There is also non-monetary opportunity cost such as time away from the family.

Business choices and trade-offs:

Opting for one choice involves compromising another.

A company aiming for the highest quality may not be producing as many products as it could.

Risk versus reward is an important trade-off.

High risk may lead to high returns but could prove fatal to the business. 

The trade off between profitability and redecorating:

The trade off between building as many houses as you can and building high quality houses:

Motives for becoming an Entrepreneur:

Did Mark Zuckerberg create Facebook for the money? What do you think.

Do you know the difference between profit maximisation and profit satisficing?

Satisficing behaviour is an alternative business objective to maximising profits.

It means a business is making enough profit to keep shareholders happy or it's sufficient for investors to maintain confidence in the management they appoint.

Other objectives:

1. To run an 'ethical' business.

Click on the picture:

2. Independence.

3. Profit satisficing.

4. To run a social enterprise.

5. To be able to work from home.

https://twitter.com/i/status/1216638512990228481

Creating and setting up a business.                 

Where business ideas may come from:

The sources of ideas may include:

Brain-storming. 

Your own personal experience. 

Your business experience.

Examples of small business innovation here.

Intrapreneurship: 

Acting like an entrepreneur within a larger organisation. 

The term is derived from a combination of "intra" or internal, and "entrepreneurship."

Intraprenuers are usually highly self-motivated, proactive and action-oriented people who are comfortable with taking the initiative, even within the boundaries of an organisation, in pursuit of an innovative product or service.

The major difference between entrepreneurs and intrapreneurs is that any financial success default to the organisation rather than to the intrapreneur.

On the other hand, the intrapreneur also has the comfort of knowing that failure will not have a personal cost - as it would for an entrepreneur - since the organisation would absorb losses arising from failure. 

Government support for enterprise and entrepreneurs:

GOV.UK (Business Link) is a free online resource for businesses. 

It contains essential information, support and services for you and your business - whether you work for a large organisation or are on your way to starting up.

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