Entrepreneurship and Small Business (Notes and Study Guides Grade 100)

Summary:

This document provides a comprehensive review and study guide on entrepreneurship, including its definition, features, theories, and importance to the economy. It also discusses successful entrepreneurs’ core competencies and skills, job opportunities, and environmental factors affecting business ventures. Additionally, the article covers various approaches and tools for conducting environmental scanning and market identification, including the PESTEL analysis, different forms of entrepreneurial ventures, and market segmentation, targeting, and positioning. Lastly, it emphasizes the significance of considering price and quality when deciding on the product’s market position.

Excerpt:

Entrepreneurship and Small Business

• Entrepreneur – a person who sets up a business or businesses, taking on financial risks in the hope of profit.
• Entrepreneurship is setting up a business or businesses, taking on financial risks in the hope of profit.
• Small Business – refers to a business or enterprise that correctly adopts and practices the principle of entrepreneurship.
• Ordinary Small Business – pertains to a business enterprise managed and operated by an owner who is not an advocate of and does not practice the concepts and principles of entrepreneurship.

Entrepreneur The term “entrepreneur” originates from the French word entreprendre which means “to undertake”. It connotes a business paradigm that signifies the start of a new business undertaking. On the other hand, the term “entrepreneurship” comes from the word entrepreneur. It refers to a particular field of practice or process, as compared to an entrepreneur which is a person practicing entrepreneurship.

Entrepreneurship is the art of observing correct practices in managing and operating self-owned wealth-creating business enterprises by providing valuable goods and services to customers.

Small Business and Ordinary Small Business
A small business is different from an ordinary small business. Small business refers to a business or enterprise that correctly adopts and practices the principle of entrepreneurship. It is owned by one person with a limited workforce of not more than 20 persons.

On the other hand, an ordinary small business pertains to a business enterprise managed and operated by an owner who is not an advocate of and does not practice the concepts and principles of entrepreneurship