Risks of an Entrepreneur

SWBAT: Identify the risks of an entrepreneur

SWBAT: Explain the aspects of the business that are associated with that risk

Objective:

Other than financial, what is a risk an entrepreneur takes when starting a business? Explain.

Do Now:

Entrepreneurship Risks

6 Risks Associated with Entrepreneurship

Financial

Strategic

Technological

Market

Competition

Reputation

Financial

●Need capital

●Forecasting

●Price of business

Open Ended

What are some options to help avoid the financial risks of entrepreneurship?

Strategic

●Business plan

●Always changing world

●Benchmarks

Multiple Choice

An example of a strategic risk is...

• Running the day to day business improperly

• Finding investors

• The economy decreasing

• Competition increasing

Technology

●Must stay up to date

●At what cost

●Loss of business

Market

●Economy can be unpredictable

●Even perfect business plans can’t prevent a recession

●Luck

Open Ended

Question

How has the market changed over the last two years? Explain.

Do you think it would be a good time to open a business? Does it matter the industry? Explain your answer

Competition

●New competition

●Big brands

●New Industry

Multiple Choice

What would be an example of competition risk?

• Coming up with a new product

• A new company opening in the area

• Increasing technology

• Finding investors

Reputation

●Can be an entrance boundary

●One bad break can ruin a reputation

●Fake news

Assignment

First: Rank the different risks in order from hardest to overcome to easiest. Explain your rationale.

Then, Choose a business. Explain the challenges they face in each type of risk discussed.

Did they overcome that risk? How did they overcome it? Is that risk still
relevant?