BUSS1.1 Enterprise

Starting a Business

Enterprise

Enterprise

“Everyone can be more enterprising, but not all of us can be entrepreneurs.”

Fraser Doherty 19 year old director of Superjams

“When I am determined to do something, I usually do it”Duncan Bannatyne

“We should not force young people into entrepreneurial activity, but everyone can benefit from knowing about enterprise as it will come up in all types of jobs.”

Tim Campbell Winner of The Apprentice 2005

BUSS1.1 Enterprise

Enterprise In this topic you will learn about:

Enterprise and Entrepreneurs The importance of risk and rewards

such as profit The notion of opportunity cost Motives for becoming an

entrepreneur Government support for enterprise

and entrepreneurs

BUSS1.1 Enterprise

Enterprise and Entrepreneurs

What is Enterprise?The willingness to undertake new

ventures and show initiative with a view to gaining rewards.

Enterprise is the starting point to any business activity

"The person who gets the farthest is generally the one who is willing to do and dare. The sure thing boat never gets far from shore.“ Dale Carnegie

BUSS1.1 Enterprise

Enterprise and Entrepreneurs

What is an Entrepreneur?A person who spots an opportunity

and shows initiative and a willingness to take risks in order to benefit from the potential rewards.

Entrepreneurs make use of the resources available to them to set up or develop a business

BUSS1.1 Enterprise

Enterprise and Entrepreneurs

Why are entrepreneurs important?

Create employment Innovation Increase competitiveness Small businesses are the future large

businesses

"Every young person has something to offer. Every young person has a talent that if unlocked will make a contribution to their economy and their society.” Gordon Brown

BUSS1.1 Enterprise

Enterprise and EntrepreneursInnocent Drinks

Watch an interview with Innocent’s Richard Reed

Read accompanying article

Read more about how innocent went from concept to success @ www.innocent.co.uk

BUSS1.1 Enterprise

Enterprise and entrepreneurs

What are the characteristics of an entrepreneur? Opportunity Spotter Risk Taker Positive Thinker Decision Maker Visionary Enthusiastic Determined and persistent

BUSS1.1 Enterprise

The importance of risks and rewardsWhat are the risks of being an entrepreneur?

What are the rewards of being an entrepreneur?

Do the risks outweigh the rewards or vice versa?

Is risk a good or a bad thing?

Are you a risk taker or risk averse?

BUSS1.1 Enterprise

The importance of risks and rewards

Risks Financial

Money Invested Salary foregone

Esteem Fear of failure Proving self

Commitment Time and effort Loss of

personal/social time

Rewards Profit motive

Return on Investment Future security

Being own boss Taking decisions Not taking orders!

Self Actualisation Self satisfaction Achievement

BUSS1.1 Enterprise

Is Profit the ultimate reward?

What about Social Enterprise? Watch the latest advert for One

Water @ http://www.onedifference.org/uk/water/

Read about how one water started @http://www.onedifference.org/uk/water/aboutus

What are the rewards for Duncan Goose?

Trivia: Who is Duncan Goose’s famous sister?

BUSS1.1 Enterprise

The notion of opportunity cost

What opportunities have you given up to be studying your AS Levels?

What opportunities does an entrepreneur give up to pursue their aims? Time commitment Money commitment Alternative career path

BUSS1.1 Enterprise

Opportunity Cost

In business (or life) every time one decision is made an alternative decision has been dismissed

The “real cost” of any course of action, taking into account not only financial costs but also the cost of alternatives forgone

Is opportunity cost an entrepreneur’s biggest cost? Read more

BUSS1.1 Enterprise

Motives for becoming an entrepreneur

Fulfilling a dream Making money In charge of own destiny Developing innovation Providing a service Supporting a community Social Responsibility Necessity Entrepreneurship

Read more about the motives and characteristics of an entrepreneur

BUSS1.1 Enterprise

Government Support for Enterprise and Entrepreneurs

Enterprise is central to the Government's approach to economic policy and to rebuilding communities.

The Government is outlining the steps we need to take to ensure that the UK realises its full entrepreneurial potential, by: building a more enterprising society, in which all who have

the initiative, skills and drive also have the opportunity to start and run a successful business

creating the best environment in the world to start and grow a business

tackling specific barriers that inhibit successful enterprise; and

raising levels of enterprise in the UK's least prosperous communities, where these barriers are typically greatest.

Source: www.berr.gov.uk

BUSS1.1 Enterprise

Government Support for Enterprise and Entrepreneurs

Research shows that 1:3 businesses fail in the first year of trading, but that this improves to 1:9 when support, advice and training have been sought

There are many sources of advice for business start-ups including:

www.businesslink.gov.ukwww.berr.gov.uk

BUSS1.1 Enterprise

Further Reading

Is being an entrepreneur in your genes?

From school boy to multi millionnaire in < 10 years

From taxi driver to entrepreneur

Activity Provides a summary of the articles above with a question for discussion or written task.

A