Entrepreneurial Skills Class 12 Questions and Answers

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Entrepreneurial Skills Class 12 Important Questions

Class 12 AI Entrepreneurial Skills Important Questions

Important Questions of Entrepreneurial Skills Class 12 – Class 12 Entrepreneurial Skills Important Questions

Entrepreneurial Skills Class 12 Very Short Answer Type Questions

Question 1.
Define the term entrepreneur?
Answer:
The term ‘entrepreneur’ is derived from the French word entreprendre, It’s meaning is “to undertake”.

Question 2.
What does entrepreneurship development refers to?
Answer:
It is the process of enhancing entrepreneurial skills and knowledge through a proper training and laying foundation for building programs.

Question 3.
Who are entrepreneurs?
Answer:
An entrepreneur is an individual who with his hard work and innovation can successfully build a new business.

Question 4.
What do you understand the term startup?
Answer:
A startup can be defined as temporary organization designed in such a way to search for a repetable and scalable business model.

Question 5.
What is the difference between startup and company?
Answer:
A startup is a temporary organization whereas company is a permanent organization.
A startup looks for an attractive business model whereas companies have already such business model and they are focused towards executing it.

Question 6.
Hw the startup get initial fund?
Answer:
As the startup consider to be a shoestring operation so mostly funding came from the founders or there friends and families.

Question 7.
Is startup is limited to one sector only?
Answer:
Startup can be in various fields like technology, healthcare, food, travel etc.

Question 8.
Name the India’s largest online entrepreneurship platform initiated by the Government of India.
Answer:
Startup India

Question 8.
How startup India helps to the new startups?
Answer:
Startup India help to new startup in availing regulatory and tax benefits, capital gain exemption’s along with excess to government funding on fulfilling the criteria.

Question 9.
Names some startup in India.
Answer:

• Zomato
• Paytm
• Nyka
• Meesho
• PharmEasy

Question 10.
What are the barriers to become an entrepreneur?
Answer:

• Non-availability of required finance
• Lack of risk taking capacity
• Market entry regulations
• Environmental barriers
• Lack of a Good Business plan
• Self- doubt

Question 11
What is competency?
Answer:
Competency is the ability to do something well.

Question 12.
What are entrepreneurial competency?
Answer:
Entrepreneur competency can be defined as the characteristics or mind sets that motivates a person to create a new venture.

Question 13.
Name some entrepreneurial characteristics.
Answer:

• Decisiveness
• Initiative
• Interpersonal skills
• Perseverance
• Organizational skills
• Negotiation skills
• Risk taking
• Team building

Question 14.
Mention any two qualities of a successful entrepreneur?
Answer:
Initiative, willingness to take risks, ability to learn from experience, motivation, self-confidence, hard-work, decision making ability

Question 15.
What motivates an entrepreneur?
Answer:
An entrepreneur has the potential a willingness to overcome every hurdle that comes in way of an entrepreneur. Qualities can be uniqueness, need to influence, identifying opportunities and risk taking.

Question 16.
Mention any two qualities of a successful entrepreneur?
Answer:
Initiative, willingness to take risks, ability to learn from experience, motivation, self-confidence, hard-work, decision making ability.

Question 17.
What motivates an entrepreneur?
Answer:
An entrepreneur has the ability and the determination to get over any obstacles that stand in their way. Uniqueness, the urge to influence, opportunity recognition, and risk-taking are some examples of qualities.

Question 18.
What is the mission of National Action Plan on Climate Change?
Answer:
The National Action Plan on Climate Change deals with adverse impacts of climate change on environment, forests, habitat, water resources and agriculture.

Question 19.
What are the attitudes that make a successful entrepreneur?
Answer:
The attitudes that make a successful entrepreneur are

• Decisiveness
• Initiative
• Interpersonal Skills
• Perseverance
• Organizational Skills

Question 20.
What is a Start up?
Answer:
A startup is a company that is in the first stage of its operations. Startups can be started with minimum investment.

Question 21.
Why do entrepreneurs require persistence as one of the competences to succeed?
Answer:
Persistence is the ability to continue to do something, even when it is difficult. It is one of the attitudes and competencies to become a successful entrepreneur.

Entrepreneurial Skills Class 12 Short Answer Type Questions

Question 1.
What are the types of an entrepreneurs?
Answer:
There are many categories of an entrepreneur:

• Social entrepreneurs
• First generation entrepreneurs
• Agricultural entrepreneurs
• Drone entrepreneurs
• Professional entrepreneurs
• Imitating entrepreneurs
• Fabian entrepreneurs
• Technical entrepreneurs
• Service entrepreneurs
• IT entrepreneurs
• Family entrepreneurs
• Industrial entrepreneurs
• Non-technical entrepreneurs
• Business entrepreneurs
• Women entrepreneurs

Question 2.
What do you understand by “entrepreneurship”
Answer:
An entrepreneurship, there are many views but precisely it can be ” the ability and readiness to develop, organize and run a business enterprise and with a strong will to face uncertainties in order to make a profit.

Question 3.
Mention any two qualities of a successful entrepreneur. [CBSE Sample paper 2022]
Answer:
Initiative, willingness to take risks, ability to learn from experience, motivation, self-confidence, hard-work, decision making ability.

Question 4.
What motivates an entrepreneur?
Answer:
An entrepreneur has the potential a willingness to overcome every hurdle that comes in way of an entrepreneur. Qualities can be uniqueness, need to influence, identifying opportunities and risk taking.

Question 5.
Explain how environment is barrier for entrepreneurs?
Answer:

• These are the following reasons:
• Non availability of skilled labour at reasonable cost.
• Shortage of educate resources or raw materials in required quantity and quality.
• In sufficiency of requisite machinery and other infrastructure.
• Lack of capital in setting of new venture.

Question 6.
Explain about startup.
Answer:
The term “startup” refers to a company in the first stage of its operations. They are mostly founded by one or more entrepreneurs with a intention to develop a product service that is in demand. Mostly these companies generally starts with high costs and limited revenue gradually on scaling up of their business, they reduce the price value.

Question 7.
How Government of India is helping startup.
Answer:

• To encourage startups Government of India has taken the following steps:
• In the first stage of, Government has set up many “Startup India Hubs” where all the work related to incorporation, registration, grievance handling etc. can be taken care of.
• In the second stage an application and an online portal is set-up by the Government to facilitate registration from anywhere and anytime.
• In the third stage the patent acquisition and registration is faster for all startups.

Question 8.
Explain about decisiveness characteristics of an entrepreneur.
Answer:
Decisiveness can be defined as the ability to make right, lucrative and timely decision. In case of an entrepreneur decisiveness is the most important quality, it helps in recognizing and capitalizing an opportunity. An opportunity to do something at correct time and correct way.

Question 9.
What are the attitudes of a successful an entrepreneur?
Answer:
Some of the most daily habits of a successful an entrepreneur are :

Question 10.
Briefly describe about organization skill of an entrepreneur?
Answer:
Organization skills means the ability of making optimal use of one’s time, energy and resources to achieve one’s goal, they qualities are listed below:

Question 11.
What do you understand by the term entrepreneurs of first generation?
Answer:
First-generation business owners are those who launched their own company first in their family. They have no background in business. Nobody in their family is there to help them. A person who starts at the age of 50 without any entrepreneurship history is also a first-generation entrepreneur.

Question 12.
What are the few qualities that motivate an entrepreneur?
Answer:

• Passion. More often than not, entrepreneurs are extremely passionate about their work. …
• Motivation. …
• Product or service knowledge. …
• Risk management. …
• Self-confidence. …
• Money management. …
• Vision….
• Decision-making ability.

Question 13.
How entrepreneurs from a family business is different from first generation entrepreneurs?

Question 14.
What do you mean by perseverance quality of an entrepreneur?
Answer:
The word perseverance means the ability to consistently do something even after facing difficulties. This quality leads to reach the commitment of the goal it also intensifies one’s motivation level.

Question 15.
What are entrepreneurial skills?
Answer:
Although anyone can acquire them, entrepreneurial talents are those that are typically associated with being an entrepreneur. People with entrepreneurial skills can succeed within larger organisations as well. Being an entrepreneur typically entails creating and growing your own prosperous business.

Question 16.
Name two qualities of a person with entrepreneurial skills. Explain in a sentence each.
Answer:
1. Recognition of an opportunity
Do you know when to seize an opportunity? New possibilities are continuously presented to us in our life, but the majority of us are typically too fearful or preoccupied to see them. We see them as issues instead. An effective entrepreneur can analyse a situation and see how a viable solution might be developed.

2. Take action
But merely recognising opportunities is insufficient. A true businessperson has the courage to act, frequently without any prior experience or frame of reference. Instead than waiting for someone else to fix a problem they care about, they can independently and pro-actively address it.

Question 17.
Rohan has a successful startup company. According to him ‘Decision Making is considered to one of the important entrepreneurial competency’. Do you agree with Rohan’s opinion? Justify.
Answer:
Yes Decision making is one of the important entrepreneurial competency, entrepreneurs often have to take that one decision at the right time which can define the future of their company. And then they also have to quickly act upon their decisions.

Question 18.
Differentiate between Manufacturing business and trading business.
Answer:

Entrepreneurial Skills Class 12 Long Answer Type Questions

Question 1.
What are the functions of an entrepreneur?
Answer:
These are the following points:
(i) Initiating and leading business activities-Initiating and growing a business to its maturity is a traditional role for entrepreneurs. As societies progress, people regularly develop new needs that an entrepreneur can satisfy with their business ideas. This business idea can provide either services or products that would benefit the community.

(ii) Allocating employees duties – From the onset of a business, an entrepreneur needs to allocate their employees’ responsibilities effectively. Hiring qualified and competent staff requires a great deal of care, especially for small businesses.

(iii) Forecasting business changes- Most businesses face some kind of uncertainty as they develop. An entrepreneur’s role in this aspect is to anticipate any challenges and address them as quickly as possible.

(iv) Creating job- When an eutrepreneur sets up or expands a business, they decide which employees they need to hire.

(v) Identifying business opportunities- Entrepreneurs regularly seek out opportunities that can grow or boost sales for their business.

(vi) Creating and sharing wealth-Starting a business involves a network of activities. Whether an entrepreneur runs a small business operator or an established company, many spend money from savings and gain capital from family, friends or banks when they start out.

(vii) Improving the standard of living-Economies are used to measure living standards. These living standards can improve through the developments or services that an entrepreneur brings through their business.

(viii) Taking up and reducing business risk- When entrepreneurs start a business, they spend time analyzing and researching to make sure their ideas succeed.

(ix) Building strategic partnership- An entrepreneur must create a business environment where partnerships can thrive, which helps their business succeed.

(x) Digitalizing business operations- Entrepreneur roles regarding technology include:

• Researching the most recent methods of reducing production cost
• Disposing of equipment that is not improving profitability
• Organizing training for staff to help them familiarize themselves with the latest technological programs in the market to improve efficiency
• Using the most popular and recent marketing medium to ensure you reach your target group

Question 2.
Briefly describe about different entrepreneurial competencies?
Answer:
Entrepreneurship competencies combine creativity, a sense of initiative, problem-solving, the ability to marshal resources, and financial and technological knowledge. These competencies enable entrepreneurs and entrepreneurial employees to provoke and adapt to change.

Decisiveness is one of the most important qualities entrepreneurs need. Being decisive means being able to make decisions firmly and relatively quickly.

Initiative: It is the ability to see and do what is necessary without waiting for somebody to tell you. The entrepreneur should be able to take actions to go beyond his job requirements and to act faster .

Interpersonal skills are the behaviors and tactics a person uses to interact with others effectively. In the business world, the term refers to an employee’s ability to work well with others.

Perseverance: Perseverance is the ability to continue to do something, even when it is difficult. Perseverance can be summed up to mean you’re committed to your goal.

Organizational skills: It refers to the ability of making optimal use of one’s time, energy and resources to achieve one’s goals. It includes

Time management is the process of planning and following a conscious control of time spent on specific activities. It is the ability to use one’s time well.

Goal makes us work harder, motivates us to complete what we start and achieve the target. It gives us direction, and usually, makes us put in more effort.

Efficiency is the ability to do things well, successfully, without wasting time.

Managing quality in a business means setting and maintaining a standard of excellence for products or services being provided to customers.

Question 3.
What are the barrier’s to an entrepreneurship?
Answer:
The list of some such major barriers that may arise while starting or running a new business is given below:
(i) Managing finatces: A great barrier that arises while starting a new business is managing the finances that can make things difficult for the entrepreneurs.

(ii) Inadequate Market Experience: One of the most common barriers that are faced by many entrepreneurs is not having adequate knowledge about the respective field of their business.

(iii) Human resource problem: A person can’t perform all the tasks by himself/herself even if he/she has enough knowledge. In the same manner, an entrepreneur can’t do all the jobs alone to run the organization. A business needs to have a strong base of skilled and knowledgeable human resources or employees. Employees are the most important assets for an organization. They help in the growth of the business.

(iv) Non-strategic planning: Having inadequate planning regarding strategies can also create a great barrier in the path of success of entrepreneurship. There are lots of entrepreneurs who started a business just as a hobby without having a long-term vision and plan. Bad strategies and planning may lead to the fatilure of the business or can cause a huge loss to the business. It is the prime reason why most entrepreneurs give up in the first year of business operation.

Question 4.
What motivates an entrepreneur?
Answer:
Below is a list of observations meant to understand the entrepreneurial mind:
(i) Problem-solving- The most common impetus for an invented product or service is that it solves a problem an entrepreneur is having.

(ii) Creativity- Inventing brand new solutions to existing problems requires a certain propensity towards nonlinear thinkipg.

(iii) Ego- Entrepreneurs are often motivated by a desire to be recognized as a world-leader in a specific field. Their desire to share their knowledge and engage with their subject matter is often a source of frustration to privacy-obsessed VCs, but is a key internal motivation for the inventor.

(iv) Community-Contributions to a specific field of study often serve to strengthen community bonds and social cohesion. Specific fields in engineering, biotech or web development have their own social order and community rules. Many entrepreneurs are more excited by contributing and building communities around their product than they are by protecting their idea with a patent.

(v) Challenge- Many entrepreneurs are addicted to the challenge of building a company from nothing. Serial entrepreneurs often share stories of leaving well-paid, secure jobs to follow a wild hunch into the market.

(vi) Money- This is a distant last place for many entrepreneurs, a source of never-ending frustration for investors. Entrepreneurs do need to make a living, and many of them have their eyes set on a future of bulging bank accounts and world travel. But often, entrepreneurs don’t focus on money and have their financial decisions thwarted by any of the above factors.

Entrepreneurial Skills Class 12 Notes

1. Entrepreneur and Entrepreneurship: The term ‘entrepreneur’ is derived from the French word entreprendre, meaning “to undertake.” Entrepreneurship, according to Cole, is ” a planned action to begin, sustain and expand a profit-oriented enterprise.

2. Entrepreneurship Characteristics:

• It is an economic activity that is carried out in order to establish, develop and sustain a profitoriented organization.
• It starts with finding an opportunity as a potential to sell and profit in the market.
• It deals with resource optimization.
• It refers to a company’s and an entrepreneur’s willingness to take chances.

3. Qualities of successful Entrepreneurs:

4. Types of an Entrepreneurs:

• Entrepreneurs who provide services
• Entrepreneurs in Business
• Entrepreneurs in Industry
• Agricultural Entrepreneurs
• Entrepreneurs in Technology
• Non-technical Entrepreneurs
• Professional Entrepreneurs
• Entrepreneurs in Information Technology
• Women Entrepreneurs
• Social Entrepreneurs
• Entrepreneurs from a Family Business
• Entrepreneurs of the First Generation

5. Functions of an Entrepreneur:

• Identifying Business opportunities
• Putting ideas into action
• Feasibility study
• Resourcing
• Establishing an Enterprise
• Managing the Business
• Growth and Development

6. Barriers to Entrepreneurship:

Barriers to Entrepreneurship
1. Environmental Barriers

• Non – availability of raw materials
• Lack of skilled labor
• Lack of good machinery
• Lack of infrastructures
• Lack of fund
• Other environmental barriers

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