Chapter 1
Should You Become an
Entrepreneur?
1.1 All About Entrepreneurship
1.2 Is Entrepreneurship Right for You?
1.3 Exploring Ideas and Opportunities
1.4 Problem Solving for Entrepreneurs
Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Ideas in Action
Making Job Connections
 After identifying an unmet need in the
marketplace, 4Teens Network was
established to match employers and teen
employees.
 After business model testing was
completed, external financing was
obtained.
 The company continues to be successful.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Lesson 1.1
All About Entrepreneurship
Goals
 Define entrepreneurship.
 Recognize the role entrepreneurs play
in the U.S. economy.
 Examine the reasons that businesses
succeed or fail.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Terms
 entrepreneurs
 entrepreneurship
 employees
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
What is an Entrepreneur?
 entrepreneurs
 people who own, operate, and take the
risk of a business venture
 entrepreneurship
 running a business of one’s own
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Entrepreneurship: Ideas in Action
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 Entrepreneurs identify unmet needs in
the marketplace.
 They provide a service or product to meet
those needs.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
 employees
 people who work for someone else
 are subjected to neither the risks nor
benefits of business ownership
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
 Reasons for becoming an entrepreneur
include:
 the desire to set your own schedule
 the need to work out of your home
 the wish to pursue a personal dream
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Types of Entrepreneurial
Businesses




manufacturing
wholesaling
retailing
service
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Entrepreneurship: Ideas in Action
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Chapter 1
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Other Entrepreneurial
Businesses
 agricultural
 mining and extracting
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Describe different types of
entrepreneurial businesses.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Recognizing Opportunity
 Many companies began with one
person who started a business based
on a single opportunity.
 Small businesses employ more workers
than all of the country’s large
corporations combined.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Entrepreneurs Who Changed
America
 Starbucks Coffee Company
 retailer of coffee products
 introduced new product, Espresso
 became international coffeehouse franchise
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
 The Home Depot
 corporate vision was to provide home
improvement products
 at the lowest price
 with the best customer service
 within 30 years, has expanded to 2,100
stores
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
 HARPO Productions, Inc.
 founded in 1986
 Oprah Winfrey is the first woman in history to
own and produce her own talk show
 HARPO Entertainment Group
 HARPO Films
 HARPO Video
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Entrepreneurship: Ideas in Action
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Describe how one of the
entrepreneurs discussed above
recognized an opportunity to
develop a successful business.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
Business Success or Failure
 Over half of all new businesses fail
within their first four years.
 Success requires a firm understanding
of how to run a business.
 Perseverance is a requirement for
success.
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western
What factors contribute in helping a
business to succeed?
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Entrepreneurship: Ideas in Action
© Cengage Learning/South-Western