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Small Business

Learning Unit 2

QuestionAnswer
Define Entrepreneur An individual who creates a new business bearing most of the risks and enjoying most of the rewards
Small business manager A person who is responsible for overseeing and supervising the activities and tasks of employees in a small business to achieve its goal
Types of entrepreneus Potential entrepreneur Intentional entrepreneur Nascent entrepreneur- engaged in the process of starting Start-up entrepreneur- operates a business that is lesser than 3 years Established entrepreneur-operates business that is older than 3 & 1/2 years
Various levels of sophistication Basic survivalist- no economic independence (car wash) Pre-entrepreneur- collectivism(crafts/toys) Subsitence entrepreneur- self-employed(street vendor) Micro-entrepreneur- 0-10 employees(hair salon) Small scale entrepreneur- 11-49 employees(law firm)
Risks to the entrepreneur Financial-probability of losing current assets Career- sacrificing established career Family and friends- neglecting family and friends due to the demanding nature of the new venture Emotional- entrepreneurs inability to deal with the stress & failure
Created by: Zeni
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