VOCABULARY. Location – местоположение

location – местоположение

entrepreneur– предприниматель, бизнесмен

to undertake – браться (приниматься) за какую-либо работу

with a view to profit – с намерением получить прибыль

addictiveness –привыкание

to take risks – брать на себя риск

gamblers– азартные игроки

obtainable goals – достижимые цели

misconception –неправильное представление, заблуждение

byproduct – побочный продукт

what makes them tick - что придает им силы

conducted a survey – провели опрос

to launch their enterprises – развернуть свои предприятия

to be personally liable –нести персональную ответственность

are in the range – находиться в пределах

retailing – розничная торговля

Economists sometimes identify a forth factor of production – enterprise. It is clear that, left to themselves, land, labour, and capital will not produce anything. There must be some person or persons, who will organize these three factors in order to produce goods and services. Someone must take the decisions (1) what to produce (the type of goods and services and the quantity), (2) how to produce (the methods of production); (3) where to produce (the location of the enterprise).

Whoever takes the decisions, and the consequent risks, is known as the entrepreneur.

Entrepreneur is a person who organizes and manages a business.This is a French word that has been accepted into English language because there is no really suitable English word to describe such a person, perhaps, “enterpriser” is the nearest we can get.

Entrepreneurs are a mystery to some people. The entrepreneur is the person who undertakes production with a view to profit. A driving force in entrepreneurship is addictiveness. Once people have a taste of freedom in a business of their own, they like it. They don’t want to go back to working for someone else. They prefer to take risks in order to be his or her own boss.

Many people think that those who go into business for themselves are naturally high risk-takers. Of course there are risks in business, but real entrepreneurs aren’t gamblers who depend solely on chance to succeed.

In fact, just the opposite is true: successful entrepreneurs do everything possible to minimize the real risks. They manage risk by setting reasonable and obtainable goals – then work to achieve them. In short, the successful small-business owner works hard and intelligently.

One of the biggest misconceptions about entrepreneurs is that they are only interested in making money. Entrepreneurs certainly like and respect money, but money is only a byproduct of an even bigger goal for many very successful entrepreneurs.

One US expert on entrepreneurial management observed:

“Many businesses fail because their owners were only interested in money. Most real successful companies are founded by someone with an idea and a dream. Whatever money and wealth they accumulated is the result of their willingness to work night and day to make this dream a reality. If you want to be really successful, know what your dreams are before going into business.”

The American magazine “Venture” attempted to analyze entrepreneurs and to see what makes them tick.They conducted a survey to which 2,740 readers responded. Here is what they had in common:

1) Typically they were first born children who had a positive relationship with their father.

2) They held jobs before they were 15 and started their first businesses by the time they reached 20.

3) They borrowed money to launch their enterprises and made themselves personally liable.

4) Most of them are college graduates and start work early in the day (82 percent start work before 9 a.m.).

5) 20 percent described themselves as successful; another 53 percent claimed moderate success; 27 percent reported the expectation of success.

How old are the people who start new business? The majority are 30 to 34, with the biggest segment (70%) between 25 and 44.

With what do entrepreneurs start up new business? How much money do they invest? Most businesses require between $20,000 and $50,000 in cash. The vast majority of business start-ups (87%) are in the range of a few thousand dollars to $100,000.

Which business are the most popular? There is no doubt that retailing is number one. Nearly half of all new business start-ups are retail shops.