Characteristics of Entrepreneurial Ventures

Entrepreneurial Ventures are business ideas that are initiated either by individuals or groups. Most ventures fit into each of the following groups.

For Profit / Not-For-Profit A For Profit business is just that; a business developed for the purposes of making money. Most business’ are formed for this purpose. Not-For-Profit businesses are run in much the same way as a For Profit business. However, there is one major structural difference. Instead of making money for the individual or group, a Not – For – Profit serves a need for the community. Among this type of organisations are: Salvation Army, Big Brothers, Boy Scouts, United Way

Large Scale / Small Scale Entrepreneurship is not limited to scale; they can be small “Mom and Pop” organisations or large national agencies. The scope of the venture determines the level of market participation. Some focus one the community level, others work on a national or multi-national level. The Cancer Society, for example, annually mounts an international appeal for funds and then directs money raised to large scale research initiatives.

Service Production / Goods Production Entrepreneurial ventures can be organised either to produce a good (a product) or to provide a service. The goods might be ribbons for cancer, or products made to be sold. Services might be consulting fees or computer repair.

Physical / Virtual Traditionally most business’ had physical locations. However, with the development of modern technology this is no longer necessary. While most ventures require the use of a store or showroom, virtual business and e- commerce is rapidly growing.

Local / Provincial / National / International Entrepreneurship can exist either in your community, your region, your country or all over the world. Some business’ exist only to serve the local needs, others grow to connect to other markets out side of the immediate area. Others exist and thrive under globalisation to expand markets world wide. Canada has traditionally been a large exporter of its Gross National Product (GNP). The GNP is the measurement of all goods and services produced within one year.

With the demand to export / trade world wide there has been a corresponding demand for trade agreements between countries to make trading easier. The two largest ones are GATT and NAFTA General Agreement on Tariffs and Trade (GATT): Represents over 100 countries world wide who agree to lower / eliminate tariffs (taxes) on particular goods / services. North America Free Trade Agreement (NAFTA): Is an economic agreement among the North American nations to open borders and reduce tariffs between themselves. (Canada, United States and Mexico)

Homework Assignment Identify one entrepreneurial venture operating in your local community for each of the criteria discussed in this ppt show. Form a brief description identifying the following: Is this venture a for-profit or a not-for-profit initiative? Does it provide a product or service? What is it? Is it large or small scale? Is it local, provincial, national, or international in scope? Why?