1. Why will entrepreneurship have the best chance of surviving under capitalism?

Under capitalism, entrepreneurship has the best chance of surviving since it encourages
entrepreneurs who develop new products, which in turn spurs innovation. The atmosphere that
capitalism creates is beneficial to entrepreneurship because it places a strong focus on private
ownership, competition, and market-driven decision-making.
2. Explain how profits motivate people to become entrepreneur?
An important source of motivation for would-be business owners is profit. It stands for
achievement and recognition in addition to the gaining of wealth. A company's ability to turn a
profit indicates that customers value what it offers. In addition, entrepreneurs try to produce the
best products because they are motivated by the desire for mastery and the thrill of competition.
Entrepreneurs find fulfillment not only in monetary gain but also in adding value and becoming
well-known in their industry.
3. Explain the role of entrepreneur in capitalist economy.
An important part of a capitalist economy is played by entrepreneurs. They are the engine of
innovation, employment, and the formation of new businesses. Entrepreneurs support economic
expansion by spotting possibilities and taking measured risks. Their business endeavors
strengthen the dynamics of the market, encourage healthy competition, and result in better goods
and services. In the end, entrepreneurs help society by providing ease, streamlining procedures,
and resolving pressing issues.
4. Why do some business enterprises provide training to future entrepreneurs?
Business enterprises provide training to future entrepreneurs for several compelling reasons.
First, it helps develop essential skills and competencies required for entrepreneurship, such as
business planning and financial management. Second, training fosters creativity and innovation,
enabling aspiring entrepreneurs to stay ahead in a competitive market. Third, these programs
facilitate networking opportunities and connect future entrepreneurs with valuable mentors and
industry experts. Lastly, effective communication and negotiation skills are honed through
training, preparing entrepreneurs for success.
5. What is the limiting factor for profits earned by entrepreneurs?
Profits earned by entrepreneurs can be constrained by various factors. First, unclear targeting
—not knowing your ideal customer—can lead to ineffective marketing and products that don’t
resonate with the right audience. Second, a shortage of labor or capital can hinder business
growth. Without trained labor or fresh capital, profit potential is limited. Third, risk and
uncertainty play a role; fluctuations in market conditions, unexpected expenses, or competitive
pressures create uncertainty. Lastly, intense competition can squeeze profit margins, impacting
overall earnings.