ENTREPRENEURSHIP AND THE GLOBAL ECONOMY
GLOBALIZATION AND ENTREPRENEURSHIP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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profit builds wealth and financial independence
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profit is the equilibrium quantity on a supply and demand curve
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profit is a barrier to international trade
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profit is the answer to one of the fundamental question of economics
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Detailed explanation-1: -Freedom to work. Flexibility in schedule. Getting to learn new things everyday. Financial independence.
Detailed explanation-2: -In a capitalist economy, profit plays an important role in creating incentives for business and entrepreneurs. For an incumbent firm, the reward of higher profit will encourage them to try and cut costs and develop new products. If an industry is profitable, it will encourage new firms to enter.
Detailed explanation-3: -Spurs economic growth When entrepreneurs build businesses, it affects every part of the economy. Unemployed people get jobs through it directly or indirectly. New services and products developed by entrepreneurs increase the exchange of money in the country and abroad as well which spurs economic growth.
Detailed explanation-4: -The profit motive refers to an individual’s drive to undertake activities that will yield net economic gain. Because of the profit motive, people are induced to invent, innovate, and take risks that they may not otherwise pursue.