Chapter 5: Small Business Entry: Paths to Part-Time Entrepreneurship
Business-to-business
business-to-business transactions using e-commerce
advantages of home retail
ease of setup, low cost of start-up, ability to work away from home and employer
boundary
separating and balancing business and home
covenants
the limitations imposed on your property by your neighborhood group
stand retail
the roadside, flea market, farmers' market, or craft fair business
multichannel marketing
the use of several different channels to reach your customers, ex: a web site, direct mail, and traditional retailing
Zoning laws
govt specifications for acceptable use of land and buildings in particular areas
success factors
hosts w good contacts, matching product to community closingthe sale
advantages of stand retail
little investment, variety of locations, quickly established, easily ended
Aggrandizing
making your business or yourself seem more accomplished than it is
payment
most online transactions use a credit card or an online payment system like paypal
undercapitalization
not having enough money available to the business to cover short faills in sales or profits
home retail
parties and door-to-door
variance
permission from a govt organization to act differently that the laws state
Intellectual Property
property coming from some sort of original thought for example: patents, trade secrets, trademarks, and copyrights
E-commerce
the use of the internet to conduct business transactions
chargebacks
this is a fee the service levels on you for any of a variety of problems related to the sale
bootstrapping
using low-cost or free techniques to minimize your cost of doing business
disadvantages of stand retail
variable income, legal reqs
Part-time self-employment
working for yourself for 35 or fewer hours a week
disadvantages of home retail
working on the road, lack of a base to organize and work, variable income, finding ways for customers to reach you
Moonlightingg
working on your own part-time after your regular job
network marketing
an approach to selling in which the salesperson recruits customers to become distributors of the product or service to others
reverse auction
an auction in which the low bid gets the business or wins
Business-to-consumer
Business-to-consumer transaction using e-commerce
RSS feed
an internet messaging service that pushes whatever web material you specify to subscribers to that feed
Informational Web sites
an internet site designed to introduce and explain a business to others
Key considerations for Success in a Part-Time Entrepreneurship
- Cost to start-up -Time to start-up - Permanence: impression of long-term continuity a business gives to others
Why Part-time businesses are important:
- most entrepreneurs start out working part time on their new business - the sheer number of part-time self employeds makes them a major force in our economy - around half of the 27.2 million small businesses in the US in 2007 were part-time small businesses -volatility: frequency of starts and stops
Home-based Business
-14.4 mil in 2007 - inexpensive - meets two criteria for start-up
Full-time self-employment
35+ hours a week
sponsored link
a form of paid advertising that gets your company's website at the top of a search list
search engine optimizaiton
a general approach to web site design intended to result in the site being displayerd toward the beginning of a search engine's listing for that term
reciprocal links
a listed, live connection to a different web site which in turn displays a similar link to the first web sties
reserve price
a minimum acceptable selling price in an auction. If the bidding does not exceed the price, the sale will not go through
Blog
a web page in which entries are posted in reverse chronological order
