iGCSE Business Studies

1.3.1 Enterprise and Entrepreneurship

Learning Outcomes

• Characteristics of successful entrepreneurs• Contents of a business plan and how business

plans assist entrepreneurs• Why and how governments support business

start-ups, e.g. grants, training

Who are these people?

Enterprise is:

A willingness by an individual or a business

to take risks, show initiative and undertake

new ventures

Skills V Qualities

• Successful Entrepreneurs need to have certain qualities and skills. What is the difference between these?

• Skills can be learned• Qualities come naturally and are part of a persons

personality

Skill or Quality

• Do you think that the following are enterprise skills or qualities:

DeterminationDecision makingCreativityAbility to persuadeRisk takingThinking aheadLeadership AbilityInitiativeOrganisationThinking AheadFlexibility

Task - Qualities of Entrepreneurs

• In pairs write a list of the qualities that an entrepreneur is likely to have

• Join up with another pair. Compare your lists. • You must agree on the 5 qualities that you think

are the most important. Rank them in order from 1 (most important) to 5

Come and write them on the board

Videos

• Watch the videos of successful entreprenueurs

• Do you want to make any amendments to your list

Some widely quoted qualities of entrepreneurs……

• Understanding of the market• Initiative• Creativity• Determination• Passion• Persuasive abilities• Risk Taking

• Do you understand what all of these mean?• Do you disagree with any of these?

BUSINESS PLANS

What is a Business Plan?

A business plan is:A report showing the plans of the businessThe business plan describes out the market opportunities the business intends to exploit, how it will do so and what resources are required

Video

• Watch the video ‘How to write a business plan’

• What are the main sections in a Business plan?

Video

• Watch the video ‘How important is a business plan?’

• How does a business plan help entrepreneurs?

• Clarify your vision and decide whether or not to go ahead with an idea.

• Determine if your product and/or service has a sufficient market to support it and whether or not it will be profitable.

• Estimate your start-up costs and how much you'll need to invest or finance.

• Convince investors and lenders to fund your business.

A business plan helps you to:

Characteristics of good Busines Plans

Business plans are more effective if… They are carefully researched They contain detailed market analysis They are used as a reference point for decisions Actual performance is compared with objectives and objectives are regularly updated They evolve over time to ensure that growth targets are realistic and challenging

GOVERNMENT ASSISTANCE FOR START-UPS

Research Task

• How can governments help business start-ups?

• Why do you think governments want to encourage this?