Computer Notes 6th Class Unit No.7

UNIT NO.7

Entrepreneurship in Digital Age

(Solved Exercise)

Short Questions:

1. Define an entrepreneur.
An entrepreneur is an individual who initiates a new business and bears most of the risks associated and enjoys most of the rewards.

2. What is an entrepreneurship?
The process of setting up a business is known as entrepreneurship.

3. Explain the difference between traditional and digital entrepreneurship.

4. Elaborate on the difference between small business and large business entrepreneurship.
Small business entrepreneurship
People are interested in small business entrepreneurship are most likely to make a profit that supports their family and a modest life style. This is why most of the businesses are small scale entrepreneurship.
Local grocery stores, hairdressers, small boutiques, consultants and plumbers can be categorized in this category of entrepreneurship.
Large business entrepreneurship
Large business entrepreneurship is when a company has a finite amount of life cycles. This type of entrepreneurship is for an advanced professionals who acquire the knowledge of how to sustain innovation. They are often a part of a large team of C-level executives.
Companies such as Microsoft, Google and Disney are examples of this kind of entrepreneurship.

5. How entrepreneurship helps developing an economy?
Entrepreneur plays a vital role in any economy and its development. It requires the use of the skills and initiative necessary to anticipate demands and bring good ideas to market.

6. Briefly explain the process of entrepreneurship.
1.Discovery
An entrepreneurial process begins with the generation of an idea, wherein the entrepreneur identifies and evaluates the business opportunities.
2. Developing a Business Plan (Concept Development)
Once the opportunity is identified, an entrepreneur needs to create a comprehensive business plan.
3. Resourcing
The third step in the entrepreneurial process is resourcing wherein the entrepreneur identifies the sources from where the finance and the human resource can be arranged.
4. Managing the company (Actualization)
Once the funds are raised and the employees are hired, the next step is to initiate the business operations to
achieve the set goals.
5. Harvesting
The final step in the entrepreneurial process is harvesting wherein, an entrepreneur decides on the future prospects of the business i.e. its growth and development.

7. Give two examples of entrepreneurs other than discussed in the chapter.
Bill Gates
Bill Gates started Microsoft, a company that made computers easy to use with software like Windows and Office. He helped bring computers to homes and businesses around the world.
Mark Zuckerberg
Mark Zuckerberg started Facebook, a social media platform that helps people connect and share online. He made it one of the biggest platforms in the world, changing how we communicate.

8. Why an entrepreneur also explained as a risk taker?
An entrepreneur is called a risk-taker because they invest time, money, and effort into starting or running a business without knowing for sure if it will succeed. They take risks to try new ideas and create opportunities.

9. Why is digital entrepreneurship preferred over the traditional entrepreneurship nowadays?
Digital entrepreneurship is preferred over the traditional entrepreneurship nowadays because it costs less to start, reaches more people online, is more flexible, and grows faster with the help of technology as compared to traditional entrepreneurship.

10. State the difference between E-commerce and traditional systems.