What is enterprise… Monday 21st October Mr Nicholls Year 10 Business What is enterprise… Monday 21st October Mr Nicholls

Objectives To identify what we mean by the term enterprise in relation to business.

To start with…a little quiz…

So who are you?

So what is enterprise? The term “enterprise” has two common meanings. Firstly, an enterprise is simply another name for a business.  You will often come across the use of the word when reading about start-ups and other businesses…“Simon Cowell’s enterprise” or “Michelle set up her successful enterprise after leaving teaching”. Secondly, and perhaps more importantly, the word enterprise describes the actions of someone who shows some initiative by taking a risk by setting up, investing in and running a business. 

Enterprise - Entrepreneur An entrepreneur is someone who is enterprising.  In other words he/she: Takes the initiative in trying to exploit a business opportunity Takes time to understand and calculate the risks involved Makes an investment to set up the business Goes ahead, despite the risk that the business venture might fail There are several questions that an entrepreneur will need to ask themselves when setting out to create a business…

Do I have a clear idea about the vision for the business? Am I really determined and committed to making the business work? Do I appreciate and accept the personal challenges and sacrifices that I will have to make? Can I handle the inevitable feeling of isolation and insecurity that a start-up brings? Can I afford to fail?  What are the financial implications if the business does not succeed? Will customers really buy the product, assuming that I get it right? Who already provides this product (or something similar) and can I do it better or cheaper? How will I know if the business is succeeding or failing? Is my business plan sufficiently realistic, particularly in terms of cash flows and likely start-up losses? Can I access the resources (cash, supplies, distribution) that are needed to make the idea work? Do I need to obtain legal protection for the idea?

Setting up a business… So in your books – write down: Why someone might choose to set up a business. What they might hope to achieve from the business. A business that could potentially be set up in school and why there is a ‘gap in the market’ for it.

Now….to business… As a class you’re going to be split into 2 groups. Your task is going to be to sell products to other students across the college on Thursday (Break and Lunch) – you’ll be provided with the stock to sell, but you’ll need to decide on your prices and marketing approach. So – you need to sort out: Advertising materials. Decide who is selling and when. Decide how you are going to generate the most custom. Decide on your prices!