Characteristics of Entrepreneurs

Report
Characteristics of Entrepreneurs
Unit 1
AS Business and Economics
By Mrs Hilton for revisionstation
Lesson Objectives
• To be able to discuss a range of characteristics
that individuals that start their own business
may need to possess. These may be; skills,
qualities or personality traits.
• To be able to answer a past paper question
based on the theory
Starter
• Do you have the right skills to start a business?
• Who wants to start their own business?
Definition of entrepreneur
• 4 Factors of production:
• Land
– Can mean actual land or
natural resources
• Labour
– The employees or
workers
• Capital
– Finance invested in the
business also means
tools and equipment
• Enterprise
– Role of the entrepreneur
is to bring together the
other 3 to make a profit
Creativity
• Wedgewelly – as
worn by celebs!
• http://www.wedge
welly.co.uk/
• Watch their original
pitch to the Dragons
Den here:
• http://www.bbc.co.
uk/dragonsden/entr
epreneurs/lauraboo
th.shtml
hardworking
• Entrepreneurs may have to put many hours in
at the start of a business.
Nicki Bromfield started Cake Hole in
a village in Tutbury. She is in her 3rd
year at the shop and works on her
own.
She is currently working 120 hours a
week to make a go of the business.
http://www.cakeholetutbury.co.uk/
Examples of her cakes:
http://www.cakeholetutbury.co.uk/c
akes/celebration-cakes/
Resilient
•
Resilient: strong, hardy, tough, robust, durable,
feisty, quick to recover. An entrepreneur may
get many knock backs before their business is a
success.
•
Karen Jonga started her own dressmaking
business in Derby. At the start many people
told her that it would not be a success. She
had many problems along the way – but by
having resilience she has been able to keep the
business going.
“If you get knocked down you get up again.”
•
Karen Tino Jonga 24, is
a UK Fashion
Designer/Dressmaker
with a unique &
timeless approach to
creating women’s
wear.
http://www.karentino.
co.uk/#/studiogallery/4573036111
Initiative
• Initiative: inventiveness,
enterprise, ingenuity,
resourcefulness. Many
entrepreneurs may start a
business because they have a
good idea and want to take it
to market.
• http://www.bbc.co.uk/dragon
sden/entrepreneurs/richardbla
kesley.shtml
•
Watch the wand company
present in the den. Here is
the website:
http://www.thewandcomp
any.com/sonic/
Now they have developed
a sonic screwdriver for Dr
Who fans!
Self confidence
• Levis roots and reggae
reggae sauce – watch his
self confidence win him
some investors…
• http://www.bbc.co.uk/drag
onsden/entrepreneurs/levir
oots.shtml
• His website is here:
• http://www.leviroots.com/
Risk taker
• Risk; danger, jeopardy, peril,
hazard, menace, threat. Many
entrepreneurs stake everything
on their idea and may lose
personal possessions in their
quest to start their own business.
• Kirsty Henshaw a single mum had
everything to lose with her dairy
free ice cream:
• http://www.bbc.co.uk/dragonsde
n/entrepreneurs/kirstyhenshaw.s
html
Sample question 1
The late Anita Roddick, the founder of The Body
Shop, showed the typical characteristics of a
successful entrepreneur.
Which one of the following is a least likely
characteristic of a successful entrepreneur?
A Risk averse
B Flexibility/adaptability
C Self-confidence
D Resilience
Answer question 1
Correct answer was A
Definition of either entrepreneur e.g. entrepreneurs are a factor of
production which combine the others (1) OR risk averse e.g.
when a person refuses to take risks / plays safe (1)
- Flexibility is needed to try new ideas / work varied hours (1)
- Resilience is when an entrepreneur doesn’t give up easily (1)
- Anita Roddick clearly had self-confidence given her ability to sell
and market her products (1)
- She also took risks to develop her unique range of cosmetics (1)
Any acceptable answer which shows selective knowledge/application
and/or development.
Sample question 2
• Evidence A states ‘Maria’s business thrives
because of her natural entrepreneurial
characteristics and motivation’ (lines 23 to
24).
• Using the case study, explain the difference
between entrepreneurial characteristics and
entrepreneurial motives. [6] From section B
Answer question 2
Knowledge (4), Application (2)
Knowledge: up to 2 marks are available for defining each aspect e.g.
characteristics are personal skills/qualities; motives e.g. what drives or
inspires a person
Knowledge: up to 2 marks are available for giving an example for each
aspect, e.g. resilient (characteristics) and ethical reasons (motives)
Application: up to 2 marks are available for relating the above to
Maria, e.g. she is hard working and has utmost respect for the
environment
Sample question 3
(a) Ruth Badger, star of the BBC series ‘The Apprentice’,
has argued that the most important characteristic of a
successful entrepreneur is ‘having the right attitude’.
Which of the following is least likely to be a characteristic
of a successful entrepreneur?
A Resilience
B Creativity
C Cautiousness
D Hard working
Answer question 3
Correct answer is cautiousness (C)
• Cautiousness is the opposite to risk-taking (1 mark knowledge/understanding),
cautiousness may therefore not be profitable (1 mark analysis) and risk–taking is
fundamentally what enterprise is all about (1 mark evaluation).
• Resilience means not giving up (1 mark knowledge) which is crucial for a successful
entrepreneur (1 mark evaluation) because often new businesses fail (1 mark analysis).
• Cautiousness suggest taking care in decision-making (1 mark knowledge), which
might be appropriate with respect to maintain a new business’s cash flow (1 mark
analysis) but few entrepreneurs survive by prudence alone as they should take risks (1
mark evaluation).

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