NAME : ................................................................................................

GRADE: IX DATE:11/5/21

SUB: BS Chapter –3 Enterprise, business growth and size

Entrepreneur is a person who Business plan is a document

organises, operate and takes containing the business
the risk for a new business objectives and important
venture. details about the operations,
finance and owners of the new
business.
Capital employed is the total
value of capital used in the
business
Internal growth occurs
when a business expands
its existing operations.

External growth is when a business takes over or

merges with another business. It is often called
integration as one business is integrated onto
another one. A take over or acquisition
is when one business
buys out the owners of
A merger is when the
another business, which
owners of two
then becomes part of the
Horizontal businesses agree to
‘predator’ business
integration is when join their businesses
one business merges together to make one
with or takes over business.
another one in the
same industry of
production.

Vertical integration is when

one business merges with or
takes over another one in the
same industry but at a
different stage of production.
Vertical integration can be
forward or backward.
 Conglomerate integration is when one
business merges with or takes over a
business in a completely different
industry. This is known as
diversification

Characteristics of successful Reasons why important

entrepreneurs
Hard working
Optimistic
Innovative
Effective communicator

Benefits Disadvantages

Entrepreneurs

Common
characteristics
Business plans:

Business plans

Uses

How governments support business start ups:

Business start up need Governments often give support by

Premises
Finance
labour

Comparing business size:

Useful to

Comparing
business size

Methods
How business grow:

Internal growth

How business grow

External growth

Merges or takeovers

Problem resulting from expansion Possible ways to overcome problem

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