Term
| Explain the term “Management Team” and discuss the three characteristics associated with a strong management team. |
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Definition
Management team-Managers and other key persons who give an organisation its general direction.
Characteristics of a strong management team
-Capable of securing the resources needed to make business a success
-Reassures investors about their investment and the continuity of business
-Diversity of talent makes the team stronger than an individual entrepreneur |
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Term
| Discuss five attitudes and behaviours that entrepreneurs should be aware of to avoid failure. |
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Definition
-Overestimate what you can do
-Lack of understanding the market
-Fail to be a team player, as a result of taking yourself too seriously.
-Hire mediocre people
-Fail to share ownership in the business in an equaitable way |
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Term
| Explain the term “Push and Pull” factors and describe the four factors that push and pull women entrepreneurs into the field of entrepreneurship. |
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Definition
Push and pull factors-Push are the reasons that force people into entrepreneurship and pull are the perks for reasons for staying in entrepreneurship.
Four factors
-Personal satisfactions
-Independence
-Financial reward
-Meeting family commitments |
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Term
| Identify and discuss Michael Porter’s five factors that determine the nature and degree of competition in an industry. |
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Definition
New competitors-how easy it is for new competitors to enter the industry?
Substitute products/services-can customers turn to other P or S to replace those that industry offers?
Rivalry-How intense is rivalry among existing competitors?
Suppliers-Are industry suppliers so powerful that they will demand high prices for inputs.
Buyers-Are customers so powerful that they will force business to charge low prices? |
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Term
| Define the term “Competitive Advantage” and discuss three competitive advantages of Funky and Fashionable Clothes. |
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Definition
Competitive Advantage-A condition that puts a company in a favourable or superior business position
In business, a competitive advantage is an attribute that allows an organisation to outperform its competitors.
• Customer focus
• Quality performance
• Integrity and responsibility
• Innovation and globalisation
• Niche Markets |
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Term
| Identify and describe five entrepreneurial qualities displayed by Vusi and Tshepo ,Test 1 |
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Definition
Commitment and determination – tenacious, decisive and persistent in problem solving
Leadership abilities – self-starters and team builders who focus on honesty in the business relationships
Opportunity obsession – aware of market and customer needs
Tolerance of risk, ambiguity and uncertainty
Creativity, self-reliance and adaptability – open minded, flexible, uncomfortable with the status quo and quick to learn
Motivation to excel – goal-oriented and aware of personal strengths and weaknesses |
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Term
| Explain the importance of small business and entrepreneurship in our society. |
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Definition
-Small business contributes to any economy
-Entrepreneurship enables real innovation by looking at the next necessary step towards a better future. |
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Term
| Distinguish between the terms small business and Entrepreneural opportunity |
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Definition
Small Business:
*An independently owned and operated business with limited number of employees and revenue.
*Has a local focus, established business model and a relatively stable market.
*Primary goal is to generate income and sustain itself overtime.
*E.g local retail store
Entrepreneural Opportunity:
-A situation or idea that has the potential to create new business.
-Involves innovation, risk taking and uncertainty.
-Primary goal is to create a new business that can grow.
-E.g Developing a new product/service. |
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Term
| Explain the basic characteristics of entrepreneurs. |
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Definition
-Commitment and determination - Persistent in problem solving.
-Leadership Abilities- Self-starters and team builders.
-Opportunity Obsession- Aware of market needs.
-innovative- Open minded, Flexible and quick to learn.
-Motivation to excel- Goal orientated and aware of personal strengths and weaknesses.
-Tolerance of risk and uncertainty. |
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Term
| Describe different types of entrepreneurships |
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Definition
*Founder (Pure entrepreneurship)-A person who brings new business into existence.
*Second stage entrepreneur-Oversees the operations of an ongoing business.
*Franchise-Power is limited by a contract.
*Entrepreneural Team-Group of entrepreneurs working together to combine efforts by sharing skills and resources.
*Social Entrepreneurship-Creating a business that address social or environmental issues. |
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Term
| Discuss the importance of understanding your motivations and perceptions related to owning a small business |
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Definition
*To define your business goals and objectives
*It influences your decision-making process, ensuring that your choices align with your goals.
*Helps to assess your strengths, weaknesses and areas of improvement.
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Term
| Describe Five potential competitive advantages of small business over large organisations. |
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Definition
*Customer Focus-build closer relationships with their customers by offering personalized services.
*Quality performance- small businesses often prioritize delivering high-quality products or services because their reputation depends on customer satisfaction and word-of-mouth marketing.
*Integrity and responsibility- small businesses have the advantage of being more transparent, ethical, and community-oriented.
*Innovation and Globalisation-small businesses quickly innovate, adopt new technologies, and experiment with new ideas. With the rise of digital platforms, they can also compete in global markets without needing massive resources.
*Niche markets-small businesses can focus on specialized markets with unique demands. |
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Term
| Explain the concept of Entrepreneural legacy and its challenges. |
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Definition
*Lasting impact an entrepreneur leaves behind through their business, values, and contributions to society. This legacy can influence how the business continues to operate after the entrepreneur steps down or passes away.
*Without proper planning, the business may decline or even fail after the founder steps down.
*As leadership changes, maintaining the original vision, ethics, and corporate culture can be difficult
* A rigid legacy that does not allow innovation and adaptation may become a burden rather than an asset |
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Term
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Definition
| Doing more with less in terms of resources invested in a business, and where possible controlling the resources without owning them |
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Term
| What are the problems facing women Entrepreneurs. |
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Definition
*A lack of access to finance
*Inadequate skills and training |
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Term
| How to think and act like an entrepreneur and why is it important |
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Definition
*Build an uncommon company, seek opportunity to compete, desire to take calculated risks.
*Help to dream big |
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Term
| Why people become entrepreneurs |
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Definition
*Reluctant Entrepreneur-A person becomes an entrepreneur as a result of some severe hardship.
*Corporate Refugee-A person becomes an entrepreneur to escape an undesirable situation |
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Term
| 4 Entrepreneural Motivations |
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Definition
*Personal Fulfilment-Making a difference
*Personal Satisfaction- Passion following, recognition and respect.
*Independence-Being your own boss
*Financial Rewards-Building personal financial wealth |
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