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SMALL BUSINESS MANAGEMENT

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gotzon
18 diapositives · 746 Views · Jul 31, 2014

SMALL BUSINESS MANAGEMENT. Chapter 2 The Small Business Decision. The Small Business Decision. Personal Evaluation. Advantages of Small Business Ownership. More personal contacts with people Independence Skill Development Potential Financial Rewards Challenge Enjoyment.

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SMALL BUSINESS MANAGEMENT
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  1. SMALL BUSINESS MANAGEMENT Chapter 2 The Small Business Decision

  2. The Small Business Decision • Personal Evaluation

  3. Advantages of Small Business Ownership • More personal contacts with people • Independence • Skill Development • Potential Financial Rewards • Challenge • Enjoyment

  4. Disadvantages of Small Business Ownership • Risk • Stress • Need for Many Abilities • Limited Financial Rewards • People Conflicts • Time Demands

  5. Demographic Characteristics of Entrepreneurs • Parents owned business • Foreign parents • High school degree or less • College or more • Age 31 and under • Age 40 or more

  6. Personality Characteristics Required by Successful Entrepreneurs • Achievement Orientation • Risk Taking • Independence, Self Confidence, Self Assurance • Innovativeness • Strong Verbal and Numerical Skills • Selling Skills

  7. Personality Characteristics Required by Successful Entrepreneurs • Selling Skills • Problem Solving Abilities • Strategic Planning • Perseverance

  8. The Small Business Decision • Organizational Evaluation

  9. Small Business Successes • Alertness to Change • Ability to Attract and Hold Competent Employees • Staying Close to the Consumer

  10. Small Business Successes • Thoroughness with Operating Details • Ability to Obtain Needed Capital • Effective Handling of Laws, Rules, and Regulations

  11. Small Business Successes • Environments Conducive to Small Business Success • Personal Attention to Daily Operation • Owner Contact with Employees • Small or Local Demand

  12. Small Business Successes • Industries that Require Flexibility • high growth rates, erratic demands, perishable products • More Labor and Less Capital Intensive • Considerable Government Encouragement

  13. Small Business Failures • Bankruptcies

  14. Entrepreneurialship and Small Business Management • Entrepreneurial Skills • Characteristics • creativity, innovativeness, independence, risk-taking, idea-oriented • Situations • generating ideas and solutions to problems, starting a new business, expanding or opening new products, reaching performance objectives, maintaining control of operations

  15. Entrepreneurialship and Small Business Management • Managerial Skills • characteristics • develops strategy and goal setting, prefers to know outcomes of actions or activities, team player, works through others, skills in finance, marketing, personnel, operations • situations • generating ideas and solutions to problems, starting a new business, expanding or opening new products, reaching performance objectives, maintaining control of operations

  16. Concept Checks • 1. What are the major causes of business failure? • 2. What are the characteristics of a successful business? • 3. List the advantages of owning a small business.

  17. Concept Checks • 4. List the disadvantages of owning a small business. • 5. What are the characteristics of successful small business owners? • 6. What is the difference between an entrepreneur and a manager?

  18. Concept Checks