LO1 - Introduction to Business Enterprise (NCFE)

Enterprise is

• having an idea, taking a risk and trying to make a business out of a venture.

• having an idea and getting someone else to take the risk

• having an idea and doing nothing about it

• using someone elses idea

A sole trader is

• a business owned by 2 or more people

• a business owned by 1 person

After paying tax, a sole trader can keep all of the profit.

• True

• False

A sole trader only has one person working in the business

• True

• False

What is a stakeholder?

• Someone who hold the steak

• Someone who has a financial interest in a business

• Anyone with an interest in a business

What is a franchise?

• When you work in a shop

• Working in Mcdonalds

• a right given to one business to another to sell its products.

• When you work for a company for over 10 years.

An entrepreneur is someone who

• is an employee of a business enterprise

• takes the risk of starting and managing a business venture

• works for the government to provide public services

• just provides capital to a business start-up

Which one of the following is not a likely characteristic of a successful entrepreneur?

• willing to take risks

• committed and self-motivated

• innovative

• risk averse

The most likely difficulty for new business start-ups is:

• obtaining finance

• identifying a market

• marketing

• finding suitable employees

Which of the following is an example of an aim?

• Downsize the business
• Employ more people
• Make a profit
• Sack people