Chapter 1 Worksheet

3. Before starting your own business weigh the _______________, vs. _______________.

Pros (Rewards) against the Cons (Risks)

True False Anyone can become an entrepreneur.

True

True False Becoming an entrepreneur is best tried when one is young.

True

True False Entrepreneurs need to pay attention to social trends to be successful.

True

True False Serial entrepreneurs are motivated by innovation rather than money.

True

7. Today, the _______________ is a primary resource for businesses.

internet

5. Edison's achievement that changed the world was the _______________.

light bulb

6. Maggie Lena Walker's philosophy that made her a success was "____________________".

nickels into dollars

A physical, tangible item that a business sells to a customer.

product

What entrepreneurs get in exchange for starting a business.

reward

The chance of losing something, including money, time,and energy.

risk

People who take what they learn starting a business to start many more.

serial entrepreneur

Something that a business does for a customer in exchange for money.

service

Section 1.1: What is an entrepreneur? Think back to your LifeProof investigation. Why was Gary Rayner an entrepreneur and not an employee? Explain your answer.

1.1: An entrepreneur is an innovator who solves a problem by creating something. Gary Rayner was an entrepreneur because he saw that people's devices were unprotected, and he came up with a solution to that problem. On the other end of the spectrum an employee is someone who just follows their bosses orders all day. Employees don't come up with ideas, they just do all the work.

1. What is an entrepreneur?

1.) An entrepreneur is someone who creates and runs a business. They first come up with a product or service idea, and then try and sell it to others. Some big entrepreneurs are Bill Gates, Mark Cuban, and Jeff Bezos.

A business run entirely on the Internet. Typically, their website ends in ".com".

dot-com company

Person who works in a business owned by someone else.

employee

Someone who creates and runs their own business.

entrepreneur

To think or act like an entrepreneur.

entrepreneurial

Process of being an entrepreneur.

entrepreneurship

Section 1.2: Consider your investigation of Gary Rayner and LifeProof. What do you think were two potential rewards Gary was motivated by? What were two potential risks you think he faced?

1.2: Gary Rayner, inventor of Lifeproof, was most likely motivated by making money off of his product, and creating an object that can help him and several others. However, there are also several risks that Gary could have faced. One of those risks was potentially having a lawsuit filed against him if his product didn't work properly. Another potential risk would be him investing a lot of money into a product that people wouldn't buy.

Section 1.3: Think back to your investigation of LifeProof. Would you consider Gary Rayner a serial entrepreneur? If so, do you believe that being a serial entrepreneur helped his success with LifeProof?

1.3: I would definitely consider Gary Rayner to be a serial entrepreneur. He has worked on several products such as NiteRider, DriveCam, and Lifeproof. Being a serial entrepreneur taught Gary skills that he used to make Lifeproof such a successful company. Being a serial entrepreneur also helped him to sell his company to Otterbox.

10. What are some current trends in entrepreneurship?

10.) One current trend in entrepreneurship is the dot-com companies. These companies use the internet to promote and sell their product. The most successful of these companies is Amazon. Another business trend is serial entrepreneurship. This is where entrepreneurs create several startups and then sell them. This is good for people who have several ideas.

2. A small business is one that has fewer than _______________ employees.

100

11. Should an entrepreneur give up if the business fails? Briefly explain your answer.

11.) If the business is a really good idea an entrepreneur should not give up. The business could eventually be successful if you work hard to push your idea. You will always regret giving up on a business that could've been successful.

2. How do employees and entrepreneurs differ? Which would you rather be?

2.) An entrepreneur is the head and creator of a company. An employee is a worker for an entrepreneur, and generally make a lot less money than their bosses. I would much rather be an entrepreneur because I would be my own boss, and could make smart decisions for my product/service.

3. Why are most businesses considered small?

3.) In order to be considered a small business you have to employ fewer than 100 people (exceptions if you produce your own product). Most businesses don't start with over 100 employees, they have to test the market with a smaller group of people. In order to become a big business you must start as a small business, and that is why most businesses are considered small businesses.

4. What are the rewards of being an entrepreneur?

4.) The first reward to being an entrepreneur is being able to be your own boss. This gives you the freedom of creating your schedule, making choices for the company, and when you get paid. The second reward is being able to do work that makes you happy. Being an an inventor means that you can create things you are passionate about, and stay motivated to grow your business. The third reward is being able to make a lot of money. As the head honcho of your company you can make way more money than any of your employees. You can also sell your company for money if you decide. The final reward is having the ability to help your community. You can provide jobs and services that your communities greatly need. With all the new wealth you can gain, you can also fund projects that will help your community.

5. What are some risks that entrepreneurs face?

5.) One risk that entrepreneurs face is having their business fail. If an entrepreneur makes the wrong decisions the company can start losing money. Another risk is unexpected obstacles. These obstacles can be discouraging to entrepreneurs. Financial security is another big con to being an entrepreneur. If your business isn't performing as well as it should, you will be making less money. The final risk is having to work long and hard hours. Since you are at the head of the company you will have to put in the work in order to make sure that your company is successful.

6. How have entrepreneurs changed the world?

6.) An entrepreneurs business can change the world as we know it. Take Microsoft for an example, their products have changed how we access the internet and use our computers. They have made a mark on technology, and will be remembered for years to come.

7. Name a famous entrepreneur from the 1800s and describe his or her contribution.

7.) One of the biggest entrepreneurs of the 1800's is Thomas Edison. He invented what is known as the lightbulb. This invention illuminates millions of homes during the day and night. This invention replaced torches with a more convenient way to get light. This invention has been used for over 150 years now.

8. Name a famous entrepreneur from the early 1900s and describe his or her contribution.

8.) Two entrepreneurs from the early 1900's were William Harley and Arthur Davidson. They created the motorcycle. Bikers around the world love the Harley Davidson brand. Their company is here to stay for a long time.

9. Name an entrepreneur from the mid- to late-1900s and describe his or her contribution.

9.) An entrepreneur from the late 1900's was Ingvar Kamprad. He created the popular homegood store IKEA. His idea for a business like this was super innovative and still brings in millions of dollars every single year.

4. Entrepreneurs can affect the economy, the _______________, and the world.

Community

1. A (n) _______________ is someone who creates and runs his or her own business.

Entrepreneur

True False All entrepreneurs want their businesses to become big.

False

True False Making money is the major reward of being an entrepreneur.

False

Organization that provides products or services, usually to make money.

business