{"id":30828,"date":"2019-09-28T21:08:29","date_gmt":"2019-09-28T15:38:29","guid":{"rendered":"https:\/\/www.cbselabs.com\/?p=30828"},"modified":"2021-09-18T15:17:11","modified_gmt":"2021-09-18T09:47:11","slug":"ncert-solutions-for-class-11-entrepreneurship-chapter-4-entrepreneurship-as-innovation-and-problem-solving","status":"publish","type":"post","link":"https:\/\/www.cbselabs.com\/ncert-solutions-for-class-11-entrepreneurship-chapter-4-entrepreneurship-as-innovation-and-problem-solving\/","title":{"rendered":"NCERT Solutions for Class 11 Entrepreneurship Entrepreneurship as Innovation and Problem Solving"},"content":{"rendered":"
Question 1. Answer each of these questions in about 15 words:<\/strong><\/span> Question 2. Answer each of these questions in about 50 words:<\/strong><\/span> Question 3. Answer each of these questions in about 75 words:<\/strong><\/span> 2.Natural factors:<\/strong> These are the unforeseen natural calamities like earthquake, flood, famine, cyclone, lightening, etc. These may cause loss and damage to life and property. Entrepreneurs have very little or no control. For example, the land slide in Uttarakhand damaged the business and have adversely affected the whole economy of the State.<\/p>\n 3.Political factors:<\/strong> These are due to political changes in a country like<\/p>\n 4.Change in taste and preference:<\/strong> Tastes change with the change of time and factors. Question 4.Answer each of these questions in about 150 words:<\/strong><\/span> 2. Financial Risk:<\/strong> These are the risks associated with the financial structure and transactions of the particular industry. (ii) Following are the personal barriers to entrepreneurship:<\/strong> (b) Need of customer detail:<\/strong> In order to attract a customer, the entrepreneurs have Question 5. Answer each of these questions in about 250 words:<\/strong><\/span> (iii)\u00a0(a) Environmental Barriers to Entrepreneurship Following are the environmental barriers:<\/strong> Question 6. Higher Order Thinking Skills<\/strong><\/span> I. Very Short Answer Type\u00a0Questions [1 Marks]<\/strong><\/span><\/p>\n Question 1.What are the distinguishing marks of an entrepreneur?<\/strong><\/span> Question 2.How was Ink-Jet Printer created?<\/strong><\/span> Question 3.What is Social Entrepreneurship?\u00a0<\/strong><\/span> Question 4.Who is a Social Entrepreneur in the words of Martin & Osberg?<\/strong><\/span> Question 5. Who is referred as the father of Green Revolution?<\/strong><\/span> Question 6. How the social entrepreneurs improve their standard of living?<\/strong><\/span> Question 7. Define Risk.<\/span><\/strong> Question 8. What are external risks?<\/strong><\/span> Question 9. What do you mean by Business Intelligence?<\/strong><\/span> Question 10. Explain Business Intelligence using example.<\/strong><\/span> Question 11. What do you mean by Smart Mobility?-<\/strong><\/span> Question 12. Cloud-based services is expected to grow sophisticatedly in the future. Give one example in support.<\/strong><\/span> Question 13. What is the future of cloud computing?<\/strong><\/span> Question 14. What are the distinguishing marks of an entrepreneur?<\/strong><\/span> Question 15. What do you understand by business risk?<\/strong><\/span> Question 16. How B.O. Wheeler has defined the term Business Risk?<\/strong><\/span> Question 17. \u2018Fluctuations in price and demand\u2019. Name the type of risk involved into it.<\/strong><\/span> Question 18. What do you understand by social media?<\/strong><\/span> Question 19. Give an example of economic barrier to entrepreneurship.<\/span><\/strong>
\n(i) Name any two institutions involved in Entrepreneurship Development Program.<\/strong><\/span>
\n (ii) Who is a social entrepreneur?<\/strong><\/span>
\n (iii) What are insurable risks?<\/strong><\/span>
\n (iv) What are non-insurable risks?<\/strong><\/span>
\n (v) What is economic barrier?<\/strong><\/span>
\n (vi) Give an example of a social entrepreneur.<\/strong><\/span>
\nAnswer:\u00a0<\/strong><\/span>(i) 1. National Institute for Entrepreneurship and Small Business Development (NIESBUD).
\n2.Indian Institute for Entrepreneurship.
\n3.National Institute for Micro, Small and Medium Enterprises (NIMSME).
\n(ii) According to Martin and Osberg, \u201cThe Social Entrepreneur aims for value in the form of large-scale transformational benefit that accrues either to a significant segment of society or to society at large.\u201d Moreover, \u201cThe social entrepreneur targets his\/her programs at the underserved, neglected, or highly disadvantaged population that lacks the financial means or political clout to achieve the transformative benefit on its own.\u201d
\n(iii) These are the risks which are related to life and property against fire, theft, accidents, etc. They are covered and protected by insurance.
\n(iv) These are the risks whose probability cannot be determined and which cannot be insured against. For example:<\/strong> Fluctuations in price and demand. These are further divided into two types
\n(a) Internal Risks:<\/strong> Those risks which arise from the events taking place within the business enterprise.
\n(b) Business risks:<\/strong> These are of a diverse nature and arise due to innumerable factors. These risks can be insurable or non-insurable.
\n(v) The factors of production land, labour, capital, material, etc. contribute equally towards the development of entrepreneurship in any country. If all the factors are readily available to the entrepreneurs, then entrepreneurship is naturally promoted and developed. But if any of the factor of production are not available or not readily available or available in inadequate quality and quantity, they can become barriers to entrepreneurship.
\n(vi)\u00a0(a) Vinoba Bhave:<\/strong> He was the founder of the Bhudaan Andolan, which resulted in redistribution of more than 7,000,000 acres of land to aid India\u2019s untouchables and landless.
\n(b) Ela Bhatt:<\/strong> She founded Self-Employed Women\u2019s Association (SEWA) in 1972 is a trade union of poor, unorganised, self-employed women who work as vendors, hawkers and labourers.<\/p>\n
\n (i) What is business incubation?<\/strong><\/span>
\n (ii) Explain business intelligence.<\/strong><\/span>
\n (iii) List two examples of incubation centres in India<\/strong><\/span>
\n (iv) Write about any two innovations which led to entrepreneurial ventures.<\/strong><\/span>
\n (v) Differentiate between social entrepreneurship and entrepreneurship.<\/strong><\/span>
\nAnswer:\u00a0<\/strong><\/span>(i) Business incubation are programs designed to support the successful development of entrepreneurial ventures through an array of business support resources and services, developed and orchestrated by incubator management and offered both in the incubator and through its network of contacts. Business support resources and services comprises of providing physical space, capital, coaching, networking connections, etc.
\n(ii) Business intelligence is the ability of an organization to collect, maintain, and organize data.
\n(iii) NZTE, Technology NZ.
\n(iv)\u00a0(a) Potato Chips:<\/strong>
\nAim:<\/strong> George Crum, a chef at the Carey Moon Lake House was trying to make a plate of fried potato.
\nCreation: One day, a customer repeatedly sent back the plate of potatoes for more frying and having thinner fried potatoes. In anger Crum sliced the potatoes insanely thin and fried them until they were hard as a rock. On serving it to the customer, the customer loved it and wanted more. This is how potato chips came into existence.
\n(b) The Pacemaker:<\/strong>
\nAim:<\/strong> John Hopps, an electrical engineer was trying to use radio frequency heating to restore body temperature.
\nCreation: During his experiment, he realized that if a heart stopped beating due to cooling, it could be made to beat again by artificial stimulation. This led to the creation of pacemaker.
\n(v) Following is the difference between Entrepreneurship and Social Entrepreneurship:<\/strong>
\n(a) The entrepreneur’s final objective is wealth creation but for the social entrepreneur, wealth creation is simply a means to an end.
\n(b) The entrepreneur participates in entrepreneurial venture with the aim of earning profit. On the other hand, the social entrepreneur participates in profit seeking business ventures if only to use the profits generated to create valuable social programs for the whole community.
\n(c) Entrepreneur has individual motive of self-development whereas social entrepreneur has the motive of societal development.<\/p>\n
\n (i) What is cloud computing?<\/strong><\/span>
\n (ii) How did KFC begin its operations?<\/strong><\/span>
\n (iii) Explain the various external factors which lead to business risk?<\/strong><\/span>
\n (iv) Enumerate three ways as to how incubators help start-ups get funding.<\/strong><\/span>
\nAnswer:\u00a0<\/strong><\/span>(i) The origin of the term cloud computing appears to be derived from the practice of using drawings of stylized clouds to denote networks in diagrams of computing and communications systems. The word cloud is used as a metaphor for the internet, based on the standardized use of a cloud-like shape to denote a network.
\nCloud computing helps the firms to upload all its data on to a cloud and then it can be
\nused it remotely wherever it is required.
\n(ii) In 1930, Sanders was operating a service station in Corby, USA and he observed that travellers who stopped for gas were normally hungry and they wanted to eat something. Sanders saw and understood the problem. He knew how to cook, and so he cooked chicken recipe for the travellers. This spicy chicken receipe became super hit among travellers. This prompted him to start a restaurant which was beginning of the world famous fast food chain \u201cKFC – Kentucky Fried Chicken\u201d.
\n(iii) The various external factors which may give rise to such risks are as follows:
\n1.Economic factors:<\/strong> These arise due to prevalent economic condition and changes in the prevailing market conditions. These can be of following types:<\/strong><\/p>\n\n
\nFor example: Audio cassette player to CD player<\/li>\n<\/ul>\n\n
\nFor example: Earlier home made food was preferred and fast food was considered as luxury. In the present scenario, there has been an increase for the liking towards fast food.
\n(iv)Incubators help the companies\/firms to secure capital in the following ways:<\/p>\n\n
\n (i) Explain the various internal factors which lead to business risk?<\/strong><\/span>
\n (ii) Explain in detail the personal barriers.<\/strong><\/span>
\n (iii) Explain.<\/strong><\/span>
\n (a) Smart, (b) Explain Information Collection as new business forms.<\/strong><\/span>
\nAnswer:\u00a0<\/strong><\/span>(i) Every business organization contains various risk elements while doing the business.
\nBusiness risks implies uncertainty in profits or danger of loss and the events that could pose a risk due to some unforseen events in fugure, which causes business to fail. The Business risk is classified into different 5 main types:<\/strong><\/p>\n\n
\n
\n3. Operational Risk:<\/strong> These are the risks associated with the operational and administrative procedures of the particular industry.
\n4. Compliance Risk (Legal Risk):<\/strong> These are risks associated with the need to comply with the rules and regulations of the government.
\n5. Other Risks:<\/strong> There would be different risks like natural disaster(floods) and others depend upon the nature and scale of the industry.<\/p>\n
\n1. Perceptual:<\/strong> Perceptual barriers that can adversely affect the progress of an entrepreneur and the enterprise. Lack of proper knowledge, lack of clear vision, misunderstanding of a situation, etc. can result in a faulty decisions. These features leave the entrepreneur with limited options and stubbornness in the decisions.
\n2. Motivational:<\/strong> Regular motivation is an essential for keeping the same tempo in the enterprise. Lack of motivation becomes a strong barrier to entrepreneurship. Many entrepreneurs start with enthusiasm, but when they face some difficulties in the execution of their plans, they lose motivation.
\n(iii)\u00a0(a) Smart Mobility:<\/strong> Those devices which are mobile help in the growth of business.
\nSmart mobility is changing the way people interact. Smart devices have become a part of our lives. It includes Mobiles, smart phones, I-pads, I-phones, etc.
\nIn the last quarter of 2010, sales of smart phones overtook the sale of Personal Computers for the first time.<\/p>\n\n
\nto know the customer in detail so that they can know about those customers who are loyal to their product and the company. ,
\nUnderstanding taste and preference of customers: Information collected about the customers related to age, regularity of customer to the shop, preference of purchase, etc. enable the firm to understand the taste and preference of the customer so that customer services can be improved in a better way. Competition: Firms are now competing on analytics to differentiate themselves. The growing number of methods of data collection, growing number of data collecting firms, ways of analysis are generating immense quantities of information.<\/p>\n
\n (i) Enumerate the characteristics of social entrepreneurs.<\/strong><\/span>
\n (ii) Explain in detail three new forms of business which is created because of technological changes.<\/strong><\/span>
\n (iii) Explain \u2018barriers to entrepreneurship\u2019.<\/strong><\/span>
\nAnswer:\u00a0<\/strong><\/span>(i) Social entrepreneurs have following characteristics:<\/strong>
\n1. Social Catalysts:<\/strong> Social entrepreneurs are the visionaries who create fundamental, social changes by reforming social systems and creating sustainable improvements. Their efforts and actions have the potential to bring global improvements in the various fields like education, health care, economic development, the environment, the arts, etc.
\n2. Socially aware:<\/strong> Social improvement, is the ultimate goal of the social entrepreneurs. The success of their efforts is measured by their social changes and impact on various social groups of the society.
\n3. Opportunity-seeking:<\/strong> Social entrepreneurs view every obstacle as an opportunity. They develop their business on the same grounds.
\n4. Innovative:<\/strong> Social entrepreneurs are creative, willing to think differently and ready to apply ideas to new situations. They see failures as learning opportunities.
\n5. Resourceful:<\/strong> Social entrepreneurs\u2019 visions are not limited by the resources which they acquire or have but they actively expand their resource pool through positive collaboration with others.
\n6. Accountable:<\/strong> Social entrepreneurs are accountable to their beneficiaries like customers, investors, etc. and they often take measures to keep themselves on the right track by asking themselves,\u2014Am I creating value for the people I am serving? Do I understand their needs?
\n(ii) (A) Business intelligence: Sales data during an off season discount produces
\nlarge amounts of information. This can be use for developing new opportunities. Implementing an effective strategy for the new opportunity for gaining competitive edge and having long-term stability.
\nThe importance of business intelligence is as follows:<\/strong>
\n(a) Strategy:<\/strong> Business intelligence is used to make better strategic decisions.
\n(b) Data:<\/strong> Business intelligence, enables organizations to gather quantifiable data on each area of the organization.
\n(c) Analysis:<\/strong> Business intelligence, enables organizations to analyse data in a way that yields information they can act on.
\n(d) Efficiency:<\/strong> It helps firms to enhance decision-making, improve performance
\nand mitigate risk.
\n(B) Smart Mobility:<\/strong> Those devices which are mobile help in the growth of business. Smart mobility is changing the way people interact. Smart devices have become a part of our lives. It includes mobiles, smart phones, I-pads, I-phones, etc.<\/p>\n\n
\n1. Economic:<\/strong> The factors of production land, labour, capital, material, etc. contribute equally towards the development of entrepreneurship in any country. If all the factors are readily available to the entrepreneurs, then entrepreneurship is naturally promoted and developed. But if any of the factor of production are not available or not readily available or available in inadequate quality and quantity, they can
\n2. Social:<\/strong> Sociological factors such as religion, caste structure, age groups, standard of living, mobility of labour, cultural heritage, respect for senior citizens, values, etc. have a deep impact on business. In India, attitudes have changed with respect to food and clothing, due to changes in educational pattern, rise in standard of living, increase in literacy rate among men and women, employment of women in factories and offices, etc. Due to it there is growth of food processing and garment manufacturing units.
\n3. Cultural:<\/strong> Every society has its own culture, cultural values, customs, beliefs and norms. If the culture of a society is encouraging creativity and risk-taking, entrepreneurship gets encouragement leading to development.
\n4. Political:<\/strong> Political factor provides the legal framework for the functioning of the enterprises in the economy. Political environment poses challenge in front of entrepreneurs. Political environment is affected by political parties, stability of the government, government\u2019s interference in business world, taxation and subsidies policies, etc.
\n(b) Personal barriers. Following are the personal barriers to entrepreneurship:<\/strong>
\n1. Perceptual:<\/strong> Perceptual barriers that can adversely affect the progress of an entrepreneur and the enterprise. Lack of proper knowledge, lack of clear vision, misunderstanding of a situation, etc. can result in a faulty decisions. These features leave the entrepreneur with limited options and stubbornness in the decisions.
\n2. Motivational:<\/strong> Regular motivation is an essential for keeping the same tempo in
\nthe enterprise. Lack of motivation becomes a strong barrier to entrepreneurship. Many entrepreneurs start with enthusiasm, but when they face some difficulties in the execution of their plans, they lose motivation.<\/p>\n
\n Application based exercise:<\/strong><\/span>
\n Explain the success story of Lijjat Papad.<\/strong><\/span>
\nAnswer:\u00a0<\/strong><\/span>Lijjat Papad<\/p>\n\n
\nBy the second year of its formation, 100 to 150 women had joined the group, and by the end of the third year it had more than 300 members. The members were called as Ben\/Sister.<\/li>\n
\nThey have a committee of 21, that decides how the profits are to be distributed.<\/li>\n
\nExports alone account for ? 10 crores.<\/li>\n<\/ul>\nMORE QUESTIONS SOLVED<\/strong><\/span><\/h3>\n
\nAnswer:\u00a0<\/strong><\/span>\u00a0Creativity and innovation are the distinguishing marks of the entrepreneur.<\/p>\n
\nAnswer:\u00a0<\/strong><\/span>\u00a0A Canon engineer accidently rested his hot iron on his pen, ink was ejected from the pens point a few moments later. This principle led to the creation of the inkjet printer for the world.<\/p>\n
\nAnswer:\u00a0<\/strong>\u00a0<\/span>According to J. Gregory Dees, Social entrepreneurship is which combines the passion of a social mission with an image of business-like discipline, innovation, and determination.<\/p>\n
\nAnswer:<\/strong>\u00a0<\/span>According to Martin and Osberg, \u201cThe Social Entrepreneur aims for value in the form of large-scale transformational benefit that accrues either to a significant segment of society or to society at large.\u201d Moreover, the social entrepreneur targets his\/her programs at the underserved, neglected, or highly disadvantaged population that lacks the financial means or political clout to achieve the transformative benefit on its own.\u201d<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0Father of Green Revolution in India is M.S. Swaminathan and in the world is Norman Borlang.<\/p>\n
\nAnswer:\u00a0<\/strong>\u00a0<\/span>Social entrepreneur can assess a social problem and find a solution to remove poverty among the masses and thus improve their standard of living.<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0Risk is the chance of loss and refers to the possibility of some adverse occurrence.<\/p>\n
\nAnswer:<\/strong>\u00a0<\/span>External risks are the risks that arise due to the events occurring outside the firm or the business venture. These are beyond the control of entrepreneurs as they cannot be forecasted. Probability occurrence cannot be determined.<\/p>\n
\nAnswer:\u00a0<\/strong><\/span>Business intelligence is the ability of an organization to collect, maintain, and organize data.<\/p>\n
\nAnswer:\u00a0<\/strong><\/span>Sales data during an off season discount produces large amounts of information. This can be used for developing new opportunities. Implementing an effective strategy for the new opportunity for gaining competitive edge and having long-term stability.<\/p>\n
\nAnswer:\u00a0<\/strong>\u00a0<\/span>Those devices which are mobile help in the growth of business. Smart mobility is changing the way the people interact. Smart devices have become a part of our lives. It includes mobiles, smart phones, I-pads, I-phones, etc.<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0By 2016, Gartner-a consultancy firm, expects all Forbes\u2019 Global 2000 companies to use public cloud services, transforming much of the current IT hardware, software and database markets into infinitely flexible utilities.<\/p>\n
\nAnswer:<\/strong>\u00a0<\/span>Over time, cloud-based services is expected to grow sophisticatedly and is expected to evolve into full-scale business processes as a service. It enables the firms to reduce cost, increase efficiency and will enable the firms to reduce risk.<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0Creativity and innovation are the distinguishing marks of the entrepreneur.<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0Business risk means the possibility of some favourable occurrence.<\/p>\n
\nAnswer:<\/strong>\u00a0<\/span>According to B.O. Wheeler, \u201cRisk is the chance of loss. It is the possibility of some adverse occurrence\u201d.<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0The type of risk is non-insurable risk.<\/p>\n
\nAnswer:<\/strong>\u00a0<\/span>Social media refers to an interaction among people in which they create, share, and\/or exchange information and ideas between various people around the world and through networks.<\/p>\n
\nAnswer:<\/strong><\/span>\u00a0If a prospective entrepreneur does not have access to capital for setting up his her new enterprise. He or she will feel discouraged to proceed further.<\/p>\n