A Level Business Studies - Starting a Business

Ability to identify and exploit a business oppotunity.

Someone that can assess and manage risk when identify and developing new business oppotuinities, and has the ability to exploit there potential

In business if a idea is not persued by the entrepreneur it is said that it would have rewards which are now lossed due to not going through with it. This loss is the oppotunity cost.

National figure which is the difference between capital received from exports against cost of imports.

Because small businesses play a part in the economy the government set up support in the form to agencies
Business Link - Provide advice and guidance for new and existing businesses.
Rural Development - Provide support and funding to small businesses that are beneficial to the local economy.

Number of employees Annual turnover % Market share

Creating wealth. Being there own boss, making there own decisions. Achieve a personal goal.

Any business that has annual sales of 67k or more must be vat registered. Any business making less than that amy voluntarily register.

Workforce skills development Innovation and R&D support Economic regeneration, areas of social deprevation(new businesses provide jobs)

1 or more people with the drive and passion to create a better product Idea with desire to solve a problem or unmet need. Outcome of R&D

More motivated to develop and Promote P/S Able to exploit suppliers/customers and persuade financial backers.

As P/S already exists in the market danger of adding competition to the market. Personal passion may not be shared by customers. Knowledge is not enough, you business skills and knowldege also.

Being the first means minimal competition. Easier to market new idea than persuade people to buy existing P/S Identifying an unmet need can be seen buy potential customers as being customer focused.

There may be a gap for a reason and there not be a market for the P/S. New markets attract competiton so inital advantage may be lost very quickly. Entrepreneur may have little knowledge of the P/S so oppotunities may be lossed.

Is a business with an idea that has expanded at such a rate that the originator develops a system that allows other to purchase a licence/franchise of there company. This business is then run in the locality of the buyer.