Final Assessment, spring – 2020

Short Questions
Course
Title:
Entrepreneurship and Small Business Development.
Course Code: BA-3103

Submitted to
Submitted by
Arifuzzaman Khan
Ruslan Adib
Adjunct Faculty
ID: 20181021101
Department of Business Administration
3rd Year 1st Semester
North Western University, Khulna

North Western University, Khulna

1. Answer:

Things that might be responsible for Rashid’s success:

1. Proper market analysis
2. A good location of business
3. A good purchasing power of people
4. Proper analysis of customers’ needs wants and demand
5. A unique business model that is able to add value to customers.
6. Political stability
7. Economic stability
8. A good government support
9. Having a good amount of capital.
10. Good sales and marketing skill
11. Product differentiation

Things that might be responsible for Rashid’s failure:

1. Lack of capital
2. Choosing a wrong market or niche
3. Lack of knowledge about the target market
4. Poor business model and plan
5. Political instability
6. Economic instability
7. Choosing a wrong place to do business
8. Lack of government support
9. Too much competition
10. Lack of differentiation.

2. Answer:

External environmental forces that I might have to face:

1. Economic dimension: The overall health of the economy will affect my business if the
economy starts to shrink it will affect my shop badly and if the economy stays stable and
positive my business will also be able to grow faster.
2. Technological dimension: Availability of technology helps to operate a business easily
and can boost sales.
3. Political-legal dimension: Relationship between government and business is very
important. New rules, political instability is a nightmare.
4. Socio cultural dimension: Different characteristics, values norms and cultures of a
certain aria may affect my business.
 5. The Task Environment: Competitor, different taskforces, customers, suppliers and other
people and institutions plays an important. A businesses fortune depend on this.

3. Answer:
Recently graduated Sadiq wants to start his own enterprise and to fulfil his dream he need to
take many risk and the risk he must need to take is given billow:
1. Financial Risk: Businesses is full of risk and uncertainty. Every businesses need funding
and if the business fail he will lose all of his money
2. Career Risk: Having a job is more stable than starting a business. If the business fails
Sadiq’s career will be hampered badly because it won’t be easy to start again and getting
a job is also quite hard.
3. Family and Social Risk: Running a business takes a lot of time and Sadiq may not be
able to spend enough time with his family which may create some problem and
misunderstanding in his family.
4. Psychic Risk: Running a business and growing it takes time and is hard and if the
business fails for Sadiq it will be hard to bounce back and it may hamper his mind badly.
5. Market risk: Lack of knowledge about the market can destroy his business.
6. Investor risk: Every business need some short of funding and not having appropriate
investor can kill Sadiqs business in the early step.

4. Answer:
Entrepreneurs are game changers they are the one who tries to change and dominate the
world by providing their products and services. They are different than normal people.
Where normal people thinks short terms, wastes a lot time, don’t educates themselves only
thinks about their family and runs after 9 to 5 job entrepreneurs do the opposite they focus on
the future, they work hard, always tries to learn new skills and tries to educate themselves.
They tries to solve problem of other they are the one who makes impossible thin possible,
they don’t get afraid of changes they loves to take challenges.

5. Answer:
Difference between sole proprietorship, Partnership and corporation:

A sole proprietorship is a business that has a single owner who is responsible for making decisions.
Partnership consists of two or more individuals who share the responsibility of running the
company. A corporation is a business structures and has a separate identity from the owners.
 Sole proprietorship Partnership Corporation

It includes one people. Partnership between two or A Corporation is run by many

more people. people but it has a separate
identity and members are
separate from this.

No paperwork needed. Can be formed orally are by Must be formed in writing

writing.

The owner manages the business. partnership and are generally Company members are not its
entitled to manage the managers or directors.
partnership firm

Can be dissolved informally Can be dissolved informally There must be a formal

procedure for dissolving
the company

Unlimited liability for the In partnership business partners Company members are not liable
business debts also have unlimited liability. for the company's debts once
they hold fully paid company
shares.

Unrestricted borrowing powers Unrestricted borrowing powers Limited in borrowing, only for
the purpose of its objective as
stated in its Memorandum of
Association