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• something related to your skilled learning.
• something that the market requires.
Step 2: Plan and finalise your finances: Before you implement your business idea, you need to have a clear picture of your
financial status. You need to figure out how much money you'll need to start your business and let it survive for at least a
year without profits. The money you are planning to invest in business will be:
• taken from your savings and personal assets.
• borrowed from banks or any other financial company.
• utilised from the profit of some other business.
Step 3: Choose your legal business structure: Here, you decide whether you want to be a sole proprietor, or if you wish
to start a business in a partnership, or you plan to start a Limited Liability Company. After this, you finalise aspects like
business name, tax details, employee details, etc.
Step 4: Finalise the business location: Here, you finalise your business location based on the location of your target market,
business partners and your personal preferences. You plan to buy, rent, or build the prime location. Factors like access to
talents, network opportunities, business and investor friendliness, low taxes, etc. play an important role in this.
Step 5: Build your team: Depending on the size of the business, the team needs to be built. Job roles to be assigned,
number of full time and part time employees required, different departments to be created, etc. are the factors to be taken
into account while building a team.
Step 6: Target the prospective customers: Through target advertising, surveying customers, customer support services,
etc., you can reach your customers. Through them you have a fair picture of your customers' likes and dislikes and your
improvement areas.
Step 7: Promote the business: This helps you to bring your business straight to potential customers. It can be done through
advertisements on TVs, radios, newspapers, social media, etc. If it is a small scale business, then promotion may be done
through pamphlets in newspapers.
Step 8: Feedback in the long run: It is important to take feedback from the customers in the long run. You can use the
feedback to improve your product and reach out to a larger group for future expansion of the business.
2. Vedika is interested in having her own start-up but she has no funds. She is totally confused between taking up a fixed salary
job or live her dreams of starting her own company. She is your good friend how will you help her in taking a fair decision?
Ans. Starting her own startup involves considering several factors. I will guide her through the decision-making process:
• Do what you are interested in: Entrepreneurship helps the entrepreneurs to pursue their passion and interest, allowing
for greater creativity and innovation in their work.
• Work for yourself, and not for others: Entrepreneurship provides the freedom to design work hours, select projects, and
work from any place. Entrepreneurs can decide the kind of work they would like to do and how they want to do it.
• Make profits for yourself: As an entrepreneur, one can decide how much money they want to earn and how much they
want to invest in the business. They decide on the salary, wages and incentives of the employees.
• More risk, more profit: Entrepreneurship involves the risk of failure, but successful entrepreneurs are often courageous
and ready to take risks. Taking risks can lead to greater financial success, as it allows entrepreneurs access to more
resources.
Unsolved
SECTION A (Objective Type Questions)
A. Choose the correct option.
1. Which of the following terms describes a type of employment where an employee receives fixed compensation in the form
of wages or salary from an employer?
a. Wage employment b. Entrepreneur
c. Manufacture d. None of these
Entrepreneurial Skills-I 137

