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SingaporeBusiness StudiesQuick questions

Understanding Business Activity

Quick questions on Enterprise and entrepreneurship explained: O-Level Business Studies

5short Q&A pairs drawn directly from our worked dot-point answer. For full context and worked exam questions, read the parent dot-point page.

What is the role of enterprise in the economy?
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New enterprises matter to a whole economy because they create jobs, introduce new products and ideas, increase competition (keeping prices down and quality up), and can grow into large firms that pay taxes and export. This is why governments encourage enterprise.
What is the business plan?
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A business plan is a document that sets out what the business will do and how. Typical contents include:
What is q1?
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State two characteristics of a successful entrepreneur. [2 marks]
What is q2?
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Explain one reason a bank would want to see a business plan before lending. [3 marks]
What is q3?
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Analyse why poor cash flow is a common cause of failure for new businesses. [4 marks]

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