Entrepreneurship

Entrepreneurs......(you can choose more than 1 answer)

• are key players or providers that produce, transport or sell products and services to consumers

• seek business opportunities by identifying what is needed, wanted or desired by consumers.

• create new products, take risks in investing money and make the products available to customers

• will always try to improve product quality, reduce cost of production, find better ways to serve their customers and thus serve customers’ needs more effectively.

Entrepreneurship can be defined as the ______ of setting up a business or businesses, and taking on ______ in the hope of making ________.

Carl Menger (1871) defines an entrepreneur as :

• a person who acts as an agent in transforming demand into supply

• the prime mover in private enterprise economic activities, being the fourth factor of production, after land, labour and capital

• an economic agent who transforms resources into products and services and gives added value.

• a person who shifts resources from an area of low productivity to high productivity.

The Timmons Model of Entrepreneurial Process best describes the four major necessary components in venture creation: (Select four answers)

• Team

• Risks

• Founder

• Resources

• Opportunity

Give three common characteristics of an entrepreneur

Four types of business entities that must be registered with the SSM

• sole propreitorship

• limited liability partnership

• cooperation

• private limited companies

• partnership

Limited Liability Partnership (LLP) : (Select three answers)

• combines the characteristics of a private limited company and a conventional partnership.

• has perpetual succession and offers benefits of a private limited company without the painful reporting requirements.

• where all kinds of management and monetary financing in the company is contributed by and among members, based on ownership percentage, from the total agreed upon by all

• can be formed by a minimum of two persons up to an unlimited number of members.

• is an autonomous association of people united voluntarily to meet common economic, social and cultural needs and aspirations through a jointly owned and democratically controlled business