INTRODUCTION TO ENTREPRENEURSHIP
IMPORTANCE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
Financial risks
|
|
|
Personal risks
|
|
|
Psychological risks
|
|
|
All of these
|
Detailed explanation-1: -Entrepreneurs face multiple risks such as bankruptcy, financial risk, competitive risks, environmental risks, reputational risks, and political and economic risks. Entrepreneurs must plan wisely in terms of budgeting and show investors that they are considering risks by creating a realistic business plan.
Detailed explanation-2: -Some of the risks an entrepreneur might face include: Leaving a full-time job and steady paycheck. Using personal savings with no guarantee of a return on investment. Misjudging interest in a product or service.
Detailed explanation-3: -Funding of capital. Adequate cashflows. Social and family pressures. Interference with personal lives. psychological pressure. Lack of motivation.
Detailed explanation-4: -Financial Risk. Every entrepreneurial venture requires funds to transform an idea into reality. Strategic Risk. Technology Risk. Market Risk. Compliance Risk. Reputational Risk. Operational Risk. Competitive Risk. 11-Oct-2021