Marketing Essentials
Chapter 33 Entrepreneurial Concepts
Section 33.1 Entrepreneurship
Chapter 33 Entrepreneurial Concepts 1
SECTION 33.1 Entrepreneurship
What You'll Learn
The meaning of entrepreneurship
How to identify the risks involved in
entrepreneurship
The advantages and disadvantages of
entrepreneurship
How to identify the personal characteristics
and skills entrepreneurs need
The scope of small business in the American
economy
Chapter 33 Entrepreneurial Concepts 2
SECTION 33.1 Entrepreneurship
Why It's Important
In this section, you will learn some
important advantages and disadvantages
of business ownership.
Chapter 33 Entrepreneurial Concepts 3
SECTION 33.1 Entrepreneurship
Key Terms
entrepreneurship
entrepreneurs
Chapter 33 Entrepreneurial Concepts 4
SECTION 33.1 Entrepreneurship
What is Entrepreneurship?
Entrepreneurship is the process of starting
and managing your own business.
Entrepreneurs are people who organize,
manage, and take the risk of owning and
operating a business.
Chapter 33 Entrepreneurial Concepts 5
SECTION 33.1 Entrepreneurship
The Risk of Entrepreneurship
Entrepreneurship requires a major commitment
of time, money, and effort with no guarantee of
success.
Most entrepreneurs:
Are between the ages of 25 and 40
Have work experience, personal drive,
financial resources, and a willingness to
take business risks
Chapter 33 Entrepreneurial Concepts 6
SECTION 33.1 Entrepreneurship
Advantages of Entrepreneurship
Some of the reasons people choose to start
their own businesses are:
personal freedom
personal satisfaction
increased income
increased self-esteem
Chapter 33 Entrepreneurial Concepts 7
SECTION 33.1 Entrepreneurship
Disadvantages of Entrepreneurship
Disadvantages of entrepreneurship include:
potential loss of income
long and irregular hours
necessity for strong self-discipline
potential loss of status and invested money
Chapter 33 Entrepreneurial Concepts 8
SECTION 33.1 Entrepreneurship
The Importance of Entrepreneurship
in Our Economy
Small businesses are those with less than
500 employees in manufacturing and less
than 100 in retailing. Small businesses make
up the majority of U.S. businesses, providing
jobs for about 55 percent of the labor force,
and accounting for 50 percent of the
Gross Domestic Product.
Chapter 33 Entrepreneurial Concepts 9
33.1 ASSESSMENT
Reviewing Key Terms and Concepts
1. What is entrepreneurship?
2. Why is starting a new business such a risk?
3. What are four advantages and three
disadvantages of being an entrepreneur?
4. What are three characteristics of a
successful entrepreneur?
5. What are three reasons small businesses
are important to the economy?
Chapter 33 Entrepreneurial Concepts 10
33.1 ASSESSMENT
Thinking Critically
Do you think money and material gain are
the most important reasons for becoming
an entrepreneur? Explain your answer.
If your answer is no, what do you consider
the most important reasons for becoming
an entrepreneur?
Chapter 33 Entrepreneurial Concepts 11
Marketing Essentials
End of Section 33.1
Chapter 33 Entrepreneurial Concepts 12
