Explain the risks, rewards, and requirements of entrepreneurship.

Explanation may include

  • risks
    • sole responsibility for success
    • personal financial risks
    • lack of financial security
    • loss of personal time
    • potential for decline in health
  • rewards
    • hands-on management
    • creative freedom
    • income source for local economies
    • potential for significant financial rewards
    • potential for a flexible schedule
  • requirements
    • initial investment
    • development and implementation of business plans
    • multiple roles for owner (e.g., management, accounting)
    • long hours
    • hiring, training, retaining, and firing.

Process/Skill Questions:

  • Why are entrepreneurs often called risk-takers?
  • Why is it important to understand both the benefits and risks before starting a business?
  • Why do some entrepreneurs make more money than others?
  • Why do some businesses fail?
  • What opportunities exist for entrepreneurs who have faced the failure of a business venture?
  • How might owning a business adversely affect an entrepreneur’s personal life?