Entrepreneurship Small Business Exam 1 (Ch.2)
Late career entrepreneurs
"second career entrepreneurs," people who begin their businesses after having retired or resigned from work in corporations at age 50 or later.
What are the three major challenges facing the family business...?
1) Role conflict '2)Time management 3) Succession
How can we help meet the challenges of schedule overload?
1) list 2) 123 prioritize 3) delegate 4) repeat 5) strategize
What are the two challenges that family businesses deal with?
1) role conflict 2)Succession
What are the five ways to plan... ?
1)Comprehensive planners 2) Critical-point planners 3) Opportunistic planners 4) Reactive planners 5)habit-driven planners
Standard business practice
A business action that has been widely adopted within an industry or occupation.
family business
A firm in which one family owns a majority stake and is involved in the daily management of the business.
cognition
A persons way of perceiving and thinking about his or her experience.
Expert business professionalization
A situation that occurs when all the major functions of a firm are conducted according to the standard business practices of its industry.
specialized business professionalization
A situation that occurs when businesses have founders or owners who are passionate about one or two of the key business functions, such as sales, operations, accounting, financing, or human resources.
Minimalized business professionalization
A situation that occurs when the entrepreneur does nearly everything in the simplest way possible.
Key business functions
Activities common to all businesses such as sales, operations, accounting, financing and human resources.
Industry-specific knowledge
Activities, knowledge, and skills specific to businesses in a particular industry.
Promotion focus
An entrepreneur's attention to maximizing gains and pursing opportunities likely to lead to gains.
Prevention focus
An entrepreneur's attention to minimizing losses, with a bias toward inaction or protective action to prevent loss.
Certification
An examination based acknowledgement that the firm is owned and operated as specified.
Passion
An intense positive feeling an entrepreneur has toward the business or the idea behind the business.
comprehensive planners
Entrepreneurs who develop long-range plans for all aspects of the business
Competencies
Forms of business-related expertise.
Determination competencies
Skills identified with the energy and focus needed to bring a business into existence.
Perseverance
The ability to stick with some activity even when it take a long time and its outcome is not immediately known.
Professionalization
The extent to which a firm meets or exceeds the standard business practices for its industry.
Role conflict
The kind of problem that arises when people have multiple responsibilities, such as parent and boss, and the different responsibilities make different demands on them.
time management
The organizing process to help make the most efficient use if the day .
Succession
The process of intergenerational transfer of a business.
What can couple teams benefit from?
Trust and financial flexibility
The majority of businesses are started by __?
teams
What is a major economic force, employing 58% of America's total workforce?
family businesses
What are the typical problems of teams?
lack of agreement, separating work and family issues, and handling endings
reactive planners
Entrepreneurs with a passive approach, who wait for cues from the environment to determine what actions to take.
What is the major challenge that women and minority- owned businesses face?
Gaining access to opportunity
set-asides
Government contracting funds which are earmarked for particular kinds of firms, such as small businesses, minority-owned firms, women-owned firms, and the like.
What are the challenges facing late career entrepreneurs?
Having to do everything themselves, loss of confidence, and using too much of their personal money too soon in the business.
What two types of businesses are growing at rates faster than other types of businesses?
Women-owned and minority-owned businesses
How is access gained?
through networking and set-asides.
Critical-point planners
Entrepreneurs who develop plans focused on the most important aspects of the business first.
Habit-driven planners
Entrepreneurs who do not plan, preferring to let all actions be dictated by their routines.
Opportunistic planners
Entrepreneurs who star with a goal instead of a plan and look for opportunities to achieve it.
Role conflict breeds what other problem?
Shortage of time
Resources competencies
The ability or skill of the entrepreneur at finding expendable components necessary to the operation of the business such as time, information , location, financing, raw materials, and expertise.
Do married couples and nonfamily partnerships face many of the same problems and solutions?
YES
What kind of businesses are one of the major forms of small business?
family businesses
actions
The visible behavior a person takes.
What are the five P's of entrepreneurial behavior ?
1)Passion 2)perseverance 3)Promotion/Prevention 4)Planning 5)Professionalization
opportunity competencies
Skills necessary to identify and exploit elements of the business environment that can lead to a profitable and sustainable business.
_____ or ____ are the most common form of teams.
Spouses or life partners