ENTREPRENEURSHIP AND INCOME FROM ENTREPRENEURSHIP

1. Individuals who are willing to take risks, bring resources together, develop new products and start new businesses are referred to as _______

You are right!

It is the entrepreneurs in a market economy who are willing to take risks, bring resources together, develop new products and start new businesses.

Think again.

It is the entrepreneurs in a market economy who are willing to take risks, bring resources together, develop new products and start new businesses.

Think again.

It is the entrepreneurs in a market economy who are willing to take risks, bring resources together, develop new products and start new businesses.

2. Indicate whether the following statement is true or false:

Without entrepreneurship economic success cannot be guaranteed.

You are right! The statement is true.

Entrepreneurs are the driving force in combining and organising the other factors of production. They are the people who identify opportunities and then exploit them.

Think again. The statement is true.

Entrepreneurs are the driving force in combining and organising the other factors of production. They are the people who identify opportunities and then exploit them.

3. The payment for entrepreneurship is _________

Think again.

The payment for entrepreneurship is profits.

Think again.

The payment for entrepreneurship is profits.

You are right!

The payment for entrepreneurship is profits.

Think again. The payment for entrepreneurship is profits.

4. Choose the appropriate factor of production in brackets:

One of the best known entrepreneurs in South Africa is Sol Kerzner, who developed the Sun City/Lost City hotel complex near Rustenburg. He saw the opportunity to provide a service with which he could help to satisfy people's needs for tourism and entertainment. He bought land, which is (a natural resource, capital, labour) to build the hotel complex on.

He then bought or hired the necessary machines and tools (natural resources, capital, labour) to have the complex built, and employed people (natural resources, capital, labour) to construct the hotels and maintain them afterwards. Services are constantly being supplied to the guests with the help of devices such as cleaning equipment, refrigerators, buses, boats (natural resources, capital, labour) for pleasure rides, and so on.

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One of the best known entrepreneurs in South Africa is Sol Kerzner, who developed the Sun City/Lost City hotel complex near Rustenburg. He saw the opportunity to provide a service with which he could help to satisfy people's needs for tourism and entertainment. He bought land, which is (a natural resource) to build the hotel complex on.

He then bought or hired the necessary machines and tools (capital) to have the complex built, and employed people (labour) to construct the hotels and maintain them afterwards. Services are constantly being supplied to the guests with the help of devices such as cleaning equipment, refrigerators, buses, boats (capital) for pleasure rides, and so on.