Entrepreneurship and Leadership

  Hello everybody for the end of semester project you will be making a report on topics we have seen during the first and second partial. FIRST, you need to choose a SINGLE product for a business (you will name the business and the product). This product has to be designed by you, you don't have to invent the product but the characteristics must be something that you have decided. -  Costs : With the product you have chosen, find information to calculate the monthly cost of making the product for 100 products. (parts, materials or ingredients) -  Expenses:  Calculate the monthly expenses for your business. (administrative and operational) -  Investment : Calculate the investment by adding all the machines and equipment that you are going to need for the business. -  Income : With the information from costs and expenses calculate the monthly income for selling 80 products. (Calculate the price of the product) -  Profit and Loss Statement : Calculate the...

  Hello everybody for the end of semester project you will be making a report on topics we have seen during the first and second partial. FIRST, you need to choose a SINGLE product for a business (you will name the business and the product). This product has to be designed by you, you don't have to invent the product but the characteristics must be something that you have decided. -  Describing the product : Describe the product using creativity, innovation and differentiation. -  Geographical Zone:  Use two territorial variables (economic, social. political and cultural) to geographically limit the entrepreneurship. -  Production : Explain the production area of the business. (anything you need to make the product and the process - material and human resources) -  Marketing : Explain how will you present the product to the market by using marketing (be specific) -  Investment : Calculate the investment you will need for the business. (only fixed resou...

Hello everybody for the end of semester project you will be making a report on topics we have seen during the first and second partial. FIRST, you need to choose a SINGLE product for a business (you will name the business and the product). This product has to be designed by you, you don't have to create the product but the characteristics must be something that you have decided. - Market Segmentation : Explain which market you want to target with the use of the characteristics of your product. Remember you need the market, segment, and target market. The market can be the city where you live. This is focused on the product. - Criteria for Market Segmentation: Use two variables (demographic, socioeconomic, geographic, psychological) to describe which are the possible customers for the product you have chosen. - Technique to Gather Information : I recommend you use a survey with 6 multiple choice questions (4) to gather information from 10 classmates. Make sure the questions are rel...

  Basic Profit and Loss Statement Another instance that takes part of the final step is the generation of the profit and loss statement. In which it shows the profit or loss generated by the entrepreneurship according to income, cost and expenses.   Characteristics of the Profit and Loss Statement The profit and loss statement is a financial report that summarizes, only for a period of time called accounting period (month, trimester, semester or year). The accounts of income, costs and expenses that make part of this statement; at the end of the accounting period are emptied and at the beginning they will start at zero. In the case of the balance sheet, it does not restart.   Importance of the Profit and Loss Statement When the entrepreneur needs to know the value of the profit or loss that the project is generating. Also known as the result balance, it is the addition and subtraction of incomes, costs and expenses. It is important for the entrepreneur to know the develop...

  Classification of Costs. Production and Operational Costs and Expenses.   Direct and Indirect Cost In any business, you have two kinds of costs:  direct costs  and  indirect costs . A  direct cost  is the cost of producing goods or services (e.g. raw materials and labor). Direct costs are only reported when the goods are sold. If the goods are not sold, the goods remain as an asset on the balance sheet. An  indirect cost  is an operating cost that remains about the same whether you make any sales or not. An example would be rent–it stays the same whether a restaurant serves 50 people or 150 people.   Fixed and Variable Cost Fixed costs are predetermined expenses that remain the same throughout a specific period. These operating costs do not vary with output or how the business is performing. To determine your fixed costs, consider the expenses you would incur if you temporarily closed your business. You would still continue to pay for ...

  Social Responsibility The activities done by an entrepreneur must be aligned to social responsibility. The main elements of social responsibility are economy, society and the environment. An entrepreneurship must be driven by good relationships with the members of society.    Social Responsibility as a Business An entrepreneur must not only search for financial stability but also for social stability. Nowadays the society is well educated in all aspects and expect more from products. The excellent quality of a product and good customer service will help them in the social aspect.   Social responsibility is shown by the owner of a business when there is a balance between the following aspects: -         Economic: Effective and efficient production -         Social: To look for the good living of the members of society -         Environment: To lower any impact to...

  Basic Balance Sheet The last step in the accounting process is the elaboration of a report that gives information about the financial situation of a business. In accounting this report is known as balance sheet.   Characteristics of the Balance Sheet A balance sheet is a report that explains, for a period of time, the financial situation of a business taking into account the investment (assets), the debt (liabilities) and the resources given by the entrepreneur (equity). Assets = Liabilities + Equity   Importance of the Balance Sheet The information found on the balance sheet helps the company at the moment of identifying its strengths and weaknesses. Also, it helps to look at the progress the company has had.   Process of Elaborating a Balance Sheet We will look at some information from a bakery in order to elaborate a balance sheet. Investment (Assets): -         Money in the bank        ...

  Defining the investment needed   After the studies related with the market, the productive process and the resources needed to generate the good or service are done, the entrepreneur must transform this data and information into monetary terms. Among the fundamental elements, that take part of the total investment are the investment of working capital and the investment of fixed capital.   The Physical and Material Resources to start an Entrepreneurship With the information about the estimate of physical and material resources, the entrepreneur is in the capacity to express them in monetary terms. This way we can know if the financial resources available are enough to finance the business that you want to begin.    The estimate of the investment needed is an activity that helps to evaluate, at first the feasibility of what the entrepreneur wants to make, because it will be difficult to get funds for projects too ambitious in terms of investment. Also, the amou...

  Managerial Principles Every entrepreneur must develop managerial abilities and of economic analysis that allows them to know and act with greater certainty at the moment of defining and to put into action oriented decisions to better the inner situation of the business and to position the business in a state where it can defend from threats and take advantage of opportunities.   Managerial Process: planning, organization, direction and control Planning: to answer questions such as: Where are we? (to determine strengths, weaknesses, opportunities and threats) Where are we going? (objectives) How do we get there? (strategies, tactics and actions) Will we get there or not? (research results)   Organization: Has to deal with the acquisition and ordering of the resources that the entrepreneurship needs to function well, and that the objectives are reached. For a new entrepreneurship this stage has to deal with creating the different work areas.   Direction: It’s related...