1.Entrepreneurship
1.1.Key concepts
Entrepreneur, entrepreneurship, role of entrepreneur, motivation of entrepreneurs, small
business, entrepreneurial process, skills required of an entrepreneur, resources needed
to start a new business, starting a new business, buying an existing business.
1.2.Entrepreneurs & entrepreneurship
LO1: Explain the concept of entrepreneurship.
• Process of identifying, creating or sensing opportunity where others do not see it
• Finding & combining resources to pursue the opportunity until it becomes a
successful established business
LO2: Define an entrepreneur.
• Person or personality type that takes up a new venture and is willing to accept full
responsibility for the outcome
• Take initiative and risk by harnessing production factors to produce goods/services
• Have innovative ideas
• Identify opportunities
• Find resources to pursue opportunities for personal gain
• Take financial risks
• Bring about change, growth and wealth in economy
• Re-energise economy and create jobs
• Start, manage and grow small business
• Motivated by achievement
1.3.Role of entrepreneurs & small-business
owners in society
LO3: Describe the roles that entrepreneurs and small-business owners play in the SA
economy.
What constitutes a small business?
• Management is independent, i.e. owner also manages business
• Capital is provided by entrepreneur or few people starting business together
• Activities of enterprise are mainly local
• Enterprise is small in comparison to largest competitors in relevant industry, i.e. does
not dominate the industry
• National Small Business Act
o Less than 200 employees
o Annual turnover < R64m
1.1.Key concepts
Entrepreneur, entrepreneurship, role of entrepreneur, motivation of entrepreneurs, small
business, entrepreneurial process, skills required of an entrepreneur, resources needed
to start a new business, starting a new business, buying an existing business.
1.2.Entrepreneurs & entrepreneurship
LO1: Explain the concept of entrepreneurship.
• Process of identifying, creating or sensing opportunity where others do not see it
• Finding & combining resources to pursue the opportunity until it becomes a
successful established business
LO2: Define an entrepreneur.
• Person or personality type that takes up a new venture and is willing to accept full
responsibility for the outcome
• Take initiative and risk by harnessing production factors to produce goods/services
• Have innovative ideas
• Identify opportunities
• Find resources to pursue opportunities for personal gain
• Take financial risks
• Bring about change, growth and wealth in economy
• Re-energise economy and create jobs
• Start, manage and grow small business
• Motivated by achievement
1.3.Role of entrepreneurs & small-business
owners in society
LO3: Describe the roles that entrepreneurs and small-business owners play in the SA
economy.
What constitutes a small business?
• Management is independent, i.e. owner also manages business
• Capital is provided by entrepreneur or few people starting business together
• Activities of enterprise are mainly local
• Enterprise is small in comparison to largest competitors in relevant industry, i.e. does
not dominate the industry
• National Small Business Act
o Less than 200 employees
o Annual turnover < R64m
