Task 1: What does the picture have to do with putting a business idea into practice?

Aims for today Recap conflicting business objectives Explore the theme of putting a business idea into practice Identify and analyse the qualities shown by entrepreneurs

Conflicting Objectives

Conflicting objectives A business may find that some of their objectives conflict with one and other: Growth versus profit: To boost sales in the short term, a company may reduce prices; but this will also reduce short-term profit. Short-term versus long-term: A business may have less cash flow available in the short-term if it is spending money investing in new products or plant and equipment.

Putting a business idea into practice Lets read the case study on page 62 together Task 1: Claire Critchlows Beauty Salon

The Qualities shown by entrepreneurs

The qualities shown by entrepreneurs of an Entrepreneur Determined Initiative Taking Risks Decision making Ability to Plan Persuade Leadership Being Lucky

The qualities shown by entrepreneurs James Dyson

Determination is: Linked to commitment – sticking with something until its done About not giving up Overcoming problems no matter what the odds

Showing Initiative Entrepreneurs MUST be able to take the Initiative Initiative means making the first move, spotting opportunities and being proactive Taking the initiative is linked to being a self starter (working independently)

Taking risks Entrepreneurs have to be RISK TAKERS Having your own business is almost always riskier than working for someone else What risks may an entrepreneur face in starting up a new business? What is a calculated risk is?

Making decisions Business owners and entrepreneurs have to make decisions Good decision making is linked to good judgement. Why? Entrepreneurs must consider information, listen to advice and ensure they make the right decision for the business Give an example of an important business decision and explain what factors may affect making the decision

Planning If you FAIL TO PLAN you PLAN TO FAIL The larger the business, the more important planning becomes. Why? Entrepreneurs must set objectives so they know what direction their business is going and understand HOW they will achieve their objectives. They must be SMART. Good planning will also help time management skills

The Business Plan All businesses should have a business plan The business plan is typically the first document that advisors or investors (such as banks) will ask for The business plan contains all the information about the company, its objectives, how they will achieve them and financial forecasts

Persuasion Entrepreneurs spend a lot of time with other people and must be good at persuading others to do what they want. They must have good people skills. Task In your groups discuss how you as an entrepreneur could persuade: (A) A customer to buy your products? (B) A supplier to sell products/resources more cheaply? (C) A member of staff to work harder or more efficiently?

Leadership Skills What makes a good leader? Having a vision Leading by example Self confidence & belief Excellent communicator Delegation skills People management skills Motivation Humour Reliable & trustworthy

Luck Businesses also need some luck to succeed. Do you agree? However, if your luck runs out, entrepreneurs must persevere and stick with things

Entrepreneurs can change the World! http://www.youtube.com/watch?v=T6MhAwQ64c0

Duncan Ballantyne His story... Read the case study and make a list of the qualities displayed by Duncan Ballantyne. You can also use the handout ‘Discover the DNA of an entrepreneur’ to illustrate your answer.

Task 2 In your groups, devise an acronym for remembering the Qualities shown by entrepreneurs

1. Page 70 Test Yourself Section Write out the Qualities shown by entrepreneurs and match to the correct definition 2. Page 71 – Over to You section Questions 1-4 about Michelle Welsman

Recap What do the following terms mean... Initiative Delegation People management skills If you FAIL TO PLAN, you PLAN TO FAIL

To finish... 5 Minutes SILENCE to reflect on what you have learnt in this lesson Music link