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LESSON

9-1

ENTREPRENEURIAL
ENTERPRISES

GOALS
Explain the importance of
entrepreneurs in the
development of an
economy.
Differentiate between the
types of entrepreneurial
businesses.
Describe telecommuting
and the effect of
technology on home-based
businesses.

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

The Economic Importance of


Entrepreneurs
Innovation and the entrepreneurial spirit
Economic and social benefits of small
business
Major creators of new products
Major source of jobs
Often provide personal service

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

Types of Entrepreneurial
Businesses
Agriculture, mining, and extracting
companies
Manufacturing companies
Wholesalers
Retailers
Service companies
INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

Home-Based Businesses
Telecommuting
- Businesses save money
- Companies can keep talented employees
- Workers save time and energy because
of no travel

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

Quick Review Questions


How does a wholesaler differ from a
retailer?
What are the advantages of
telecommunicating to a company?
Why do entrepreneurial businesses
frequently turn to international business?

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

LESSON

9-2

THE BUSINESS
PLAN AND
SELFEMPLOYMENT

INTERNATIONAL BUSINESS

GOALS
Evaluate self-employment
as a career option.
Describe the first three
sections of a business
plan.

SOUTH-WESTERN THOMSON

Self-Employment as a Career
Advantages of self-employment
Disadvantages of self-employment
Qualities of successful entrepreneurs

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

The Parts of a Business Plan


Business description
Organizational structure
Marketing activities
Financial planning
Production activities
Human resource activities
Information needs
INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

Quick Review Questions


What are the advantages and
disadvantages to owning your own
business?
What are the two main uses of a business
plan?

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

LESSON

9-3

OPERATING AN
ENTREPRENEURIAL
ENTERPRISE

INTERNATIONAL BUSINESS

GOALS
Outline the process of
financing a small business.
Identify the major business
activities of a small
business manager.

SOUTH-WESTERN THOMSON

11

The Parts of a Business Plan


Business description
Organizational structure
Marketing activities
Financial planning
Production activities
Human resource activities
Information needs
INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

12

Financing a Small Business


Analyzing costs
Variable costs
Fixed costs

Breakeven point
Sources of funds
Equity funds
Debt funds
INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

13

Financial Records of Small


Businesses
Balance sheet
Income statement
Cash flow statement

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

14

The Parts of a Business Plan


Business description
Organizational structure
Marketing activities
Financial planning
Production activities
Human resource activities
Information needs
INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON

15

Managing the Small Business


Production management
Human resources management
Information management

INTERNATIONAL BUSINESS

SOUTH-WESTERN THOMSON