Untitled Flashcard Set

Advantages of entrepreneurship

Freedom to make decisions, opportunity for wealth creation, personal satisfaction, flexibility, potential for innovation.

Disadvantages of entrepreneurship

High risk of failure, long work hours, uncertain income, need for management skills, responsibility for all business decisions.

How can governments reduce the risk of starting a business?

Establish legal systems that protect property rights and contracts, reduce corruption, provide access to financing, improve infrastructure, offer education.

Benefits of technology to workers

Flexible work options, more efficient tools, improved communication.

Benefits of technology to businesses

Lower costs, improved productivity, global reach, e-commerce opportunities.

Benefits of technology to consumers

Access to information, online shopping, better customer service, lower prices.

Advantages of sole proprietorships

Easy to start/end, own boss, pride of ownership, retention of profits, no special taxes.

Disadvantages of sole proprietorships

Unlimited liability, limited financial resources, management challenges, time commitment, limited growth/lifespan.

Advantages of LLCs

Limited liability, flexible ownership rules, flexible profit distribution, fewer regulations than corporations, choice of taxation.

Disadvantages of LLCs

No stock (harder to raise capital), limited life span in some states, more paperwork than sole proprietorships/partnerships.

What is intrapreneuring?

Employees within a company act like entrepreneurs by developing new ideas, products, or processes.

Sources of funds for starting a business

Personal savings, family and friends, banks/credit unions, angel investors, venture capitalists, government programs, crowdfunding.

Four primary functions of management

Planning, organizing, leading, controlling.

Three categories of managerial skills

Technical skills, human relations skills, conceptual skills.

What is an inverted organization?

An organization where frontline workers are empowered to make decisions.

Difference between formal and informal organization

Formal organization is the official structure; informal organization is the unofficial system of relationships.

What have U.S. manufacturers done for increased output?

Implemented automation, adopted lean manufacturing, outsourced non-core functions, emphasized continuous improvement.

How do managers evaluate different sites?

Availability and cost of labor, proximity to customers, access to transportation, cost of land, quality of life.

What is Frederick Taylor known for?

Father of Scientific Management, studied work methods to increase efficiency.

What led to more human-based managerial styles?

The Hawthorne Studies showed that employee attitudes affected productivity.

What is goal-setting theory?

A theory stating employees are motivated by clear, specific, challenging goals combined with feedback.

Characteristics of work affecting motivation

Skill variety, task identity, task significance, autonomy, feedback.

Methods HR managers use to recruit

Internal and external recruiting, college recruiting, employment agencies, employee referrals.

Six steps managers use to evaluate performance

Establish standards, communicate them, measure actual performance, compare to standards, discuss results, take corrective action.

Topics in labor-management negotiations

Compensation, benefits, working hours, workplace safety, job security.