MGT 201 11th Edition Lecture 9 Outline of Last Lecture I. This is the beginning of a new section. Last chapters outline is not necessary because it won’t be in this exam Outline of Current Lecture II. Go over the history of entrepreneurship III. Discuss small businesses and how they impact the business world IV. How to launch an entrepreneurial start-upCurrent LectureChapter 6: Entrepreneurship  Impact of Entrepreneurship and Small Businesses  High tech start-ups in CA create 2 out of every 3 jobs  28 million small businesses in the U.S. employee 60 million Americans (1/2 of the privatesector work force) Small businesses represent 98% of all businesses in the U.S.  **6.1 Graph- Five Types of Small Business Owners (review in book)  Launching an Environmental Start-up  Start with an idea Write a business plan  Choose a legal structure  Arrange financing  The Idea  A great product, a viable market, and good timing are essential ingredients when starting up a business  You will have a good business idea if: It fills customer’s needs  You have the skills & resources to start a business  You can sell product/services at a price customer’s are willing and able to pay and still make a profit  You can get your product or service to customer’s during the window of opportunity  You can keep the business going  The Opportunity These notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute. Technological discoveries  Demographic changes  Lifestyle and taste changes  Economic dislocations  Calamities  Government initiatives and rules changes  Tactics for Becoming a Business Owner (review book) Start a new business  Buy an existing business  Buy a franchise  Participate in a business incubator  Business Plan  A formal planning step that focuses on the entire venture and describes all the elements involved in starting it  Internet based/eCommerce Models  Transaction fee model Charging fees for goods and services  Subscription model  Charging fees for site visits  Advertising support model  Charging fees to bring buyers and sellers together  Affiliate model  Charging fees to direct site visitors to other company