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universalism
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an ethical model that suggests that there is a code of right and wrong that everyone can see and follow
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Small and medium enterprise
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The international term for small businesses.
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founders
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people who create or start new businesses
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Incubator
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A facility which offers subsidized space and business advice to companies in their earliest stages of operation
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growth rewards
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what people get from facing and beating challenges
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competencies
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forms of business-related expertise
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specialized business professionalization
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a situation that occurs when businesses have founders or owners who are passionate about one or two of the key business functions, such as sales, operations, accounting, finance, or human resources
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Baldrige Award
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The Malcolm Baldrige National Quality Award is given by the US Government to businesses and nonprofit organizations that have been judged outstanding in seven measures of quality leadership; strategic planning; customer and market focus; measurement analysis, and knowledge management; human resource focus; process management; and results
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personal values
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attitudes regarding what a person believes is important in life and the best way to live one's life
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networking
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interacting with others in order to build relationships useful to a business
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legitimacy
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the belief that a firm is worthy of consideration or doing business with because of the impressions or opinions of customers, suppliers, investors, or competitors
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utililarianism
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an ethical model that supports seeking the greatest good for the greatest number of people
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entrepreneurial alertness
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a special set of observational and thinking skills that help entrepreneurs identify good opportunities; the ability to notice things that have been overlooked, without actually launching a formal search for opportunities, and the motivation to look for opportunities
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microinventory
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a set of goods or services that consists of only one or a few items
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delegation
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the assignment of work to others over whom you have power
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minimalized business professionalization
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A situation that occurs when the entrepreneur does nearly everything in the simplest way possible
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key business function
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activities common to all businesses such as sales, operations (also called production), accounting, finance, and human resources
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ethical dilemma
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a situation that occurs when a person's values are in conflict, making it unclear whether a particular decision is the right thing to do
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poisoning the well
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creating a negative impression among your employers' customers
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ambitious firm sector
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consists of franchises and multisite firms, with low to moderate innovation and high levels of growth.
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Independent small business
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A business owned by an individual or small group.
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Small Business
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Involves 1-5- people and has its owner managing the business on a day-to-day basis
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economic core sector
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the most numerous and most widely available type of firm, also called SB, ranging from low to moderate levels of innovation and growth
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first principles
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basic ideas about what constitudes right behavior
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volatility
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the frequency of business starts and stops
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integrative view
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an ethical overview which involves considering what is the best for every one involves in a situation. Compare to the distributive view
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ethics planning
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a process used to better consider issues of right and wrong
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role conflict
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the kind of problem that arises when people have multiple responsibilities, such as parent and boss, and the different responsibilities make different demands on them
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creativity
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a process producing an idea or opportunity that is novel and useful, frequently derived from making connections among distinct ideas or opportunities
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distributive view
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an ethical overview which involves thinking of problem solving as a win-lose issue. Compare to the integrative view
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innovativeness
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refers to how important a role new ideas, products, services, processes, or markets play in an organization
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bootstrapping
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using low-cost or free techniques to minimize your cost of doing business
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career
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a lifelong series of jobs or occupations
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resource competencies
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the ability or skill of the entrepreneur at finding expendable components necessary to the operation of the business such as time, information, location, financing, raw materials, and expertise
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flexibility rewards
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the ability of business owners to structure life in the way that suits their needs best
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PICS Model of Entrepreneurship
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an acronym for the four forms of entrepreneurship - Public, Independent, Corporate and Social
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registration
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information provided to the government concerning the existence of, name of, nature of, and contact information for your business
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ethics
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a system of values that people consider in determining whether actions are right or wrong
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billboard principle
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an ethical model that asks whether someone would be comfortable having his or her decision and name advertised on a billboard for the public to see
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determination competencies
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skills identified with the energy and focus needed to bring a business into existence
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obligations
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the social force which impels people who make decisions or have responsibilities to act ethically because the actions they take could affect many other people
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Golden Rule
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An ethical model which suggests you treat others in the manner you wish to be treated
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standard business practice
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a business action that has been widely adopted within an industry or occupation
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innovation
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the creation of something new or trying something for the first time
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undercapitalization
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not having enough money available to the business to cover shortfalls in sales or profits
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mutuality
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the action of each person helping another
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certification
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an examination based acknowledgement that the firm is owned and operated as specified
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focuses of entrepreneurship
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the key directions the organization intends to pursue
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equity
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ownership of a portion of a business
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organizational culture
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a set of shared beliefs, basis assumptions, or common, accepted ways of dealing with problems and challenges within a company that demonstrate how things get done.
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outsourcing
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contracting with people or companies outside your business to do work for your business
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conflict of interest
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a situation in which a person faces two or more competing standards or goals
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flexibility
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the freedom of not having lots of rules, policies, and procedures
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self-employed
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Working for yourself
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modeling
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when SB owners act in ways they want their employees to act
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professionalization
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the extend to which a firm meets or exceeds the standard business practices for its industry
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family business
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a firm in which one family owns a majority stake and is involved in the daily management of the business
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forms of entrepreneurship
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the settings in which the entrepreneurial effort takes place
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innovation
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implementation of a creative idea or opportunity leading to profitable and effective outcomes
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resource constrained sector
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consists of firms high in innovation but low in growth rate due to a lack of resouces
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efficiency
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The entrepreneurial focus wich refers to doing the most work with the fewest resources
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franchise
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a prepackaged business bought, rented, or leased from a company called a franchisor
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visibility
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demonstration of a behavior, attitude, or value in ways that are evident to others
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part-time self-employment
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working for yourself for 35 or fewer hours a week
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opportunity competencies
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skills necessary to identify and exploit elements of the business environment that can lead to a profitable and sustainable business
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imitative
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Characterized by being like or copying sth that already exists
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feasibility
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the extent to which an idea is viable and realistic and the extent to which you are aware of internal (to your business) and external (industry, market, and regulatory environment) forces that could affect your business
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imitative strategy
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an overall strategic approach in which the entrepreneur does more or less what others are already doing
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creative destruction
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the way that newly created goods, services, or firms can hurt existing good, services, or firms
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expert business professionalization
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a situation that occurs when all the major functions of a firm are conducted according to the standard business practices of its industry
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licensor
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the person or organization which is offering the rights to use a particular piece of intellectual property
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buyers
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people who purchase an existing business
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potential for growth
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refers to the potential market size
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occupational structure
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the sequence or organization of jobs and careers in the economy
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zoning
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government specifications for acceptable use of land and buildings in particular areas
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just-in-time inventory
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having just enough product on your shelves to meet the immediate purchases. This usually requires frequent shipment from your supplier
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independent entrepreneurship
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the form of entrepreneurship in which a person or group own their own for-profit business
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public entrepreneurship
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the form of entrepreneurship that involves revitalizing government agencies
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full-time self-employment
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working for yourself for more than 35 hours a week
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innovation
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the entrepreneurial focus which looks at a new thing or a new way of doing things
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social network
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the entrepreneur's set of relationships and contacts with individuals and institutions
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customer-focus
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the entrepreneurial focus which refers to being in tune with one's market
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social entrepreneurship
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the form of entrepreneurship involving the creation of self-sustaining charitable and civic organizations, or for-profit organizations which invest significant profits in charitable activities
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social capital
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characteristics of a business, like trust, consistency, and networks, that represent potential social obligations which are an asset of the firm or entrepreneur
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network marketing
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an approach to selling in which the salesperson recruits customers to become distributors of the product or service to others
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high-growth venture
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firms with exceptionally high innovativeness and growth rates, making them candidates for possible venture capital funding
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dynamic capitalism typology
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a model of an economy categorizing businesses based on their innovativeness and growth rate
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creation
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the entrepreneurial focus which looks at the making of new entities
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personal accountability
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a process in which people take responsibility for decisions they make and the consequences of those decisions
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opportunity recognition
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searching and capturing new ideas that lead to business opportunities. This process often involves creative thinking that leads to discovery or new and useful ideas
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licensee
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the person or firm which is obtaining the rights to use a particular piece of intellectual property
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conversion rate
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the measure of how many visitors to your Web site (or people who click on your online advertisement) actually make a purchase from you
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licensing
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documented permission from the government to run your business
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cannibalizing
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taking business away from your employer
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SB Administration
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A part of the United States government which provides support and advocacy for small businesses
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industry-specific knowledge
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activities, knowledge, and skills specific to business in a particular industry
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royalty
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a payment to a licensor based on the number or value of licensed items sold
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income rewards
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the money made by owning one's own business
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personal ethics
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beliefs about what is right and wrong which guide decisions in everyday life
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Owner-manager
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The individual who owns and runs a business
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pilot test
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a preliminary run of a business, sales effort, program, or Web site with the goal of assessing how well the overall approach works and what problems it might have
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consistency
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maintaining the same behavior, attitude, or value over long periods of time
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ISO
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Stands for the International Standards Organization, and refers to certification for having met a standard of quality that is consistently evaluated around the world
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Entrepreneur
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A person who owns or starts an organization, such as a business
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aggrandizing
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attempting to make your business or yourself seem more accomplished or grander than reality
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time management
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the organizing process to help make the most efficient use of the day
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set-asides
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government contracting funds which are earmarked for particular kinds of firms, such as small businesses, minority-owned firms, women-owned firms, and the like
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consignment shops
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retail stores that sell products as a middle man in exchange for a portion of the profit
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late career entrepreneurs
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(also known as second career entrepreneurs) People who begin their businesses after having retired or resigned from work in corporations at age 50 or later
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mindshare
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the degree of attention your target pays to your idea or organization
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incremental strategy
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taking an idea and offering a way to do something slightly better than it is done presently
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corporate entrepreneurship
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the form of entrepreneurship which takes place in existing businesses around new products, services or markets
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auction
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a variation of consignment selling, where customers place bids on merchandise and the highest bidder wins
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novelty
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Characterized by being different or new
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heir
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a person who becomes an owner through inheriting or being given a stake in a family business
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radical innovation strategy
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rejecting existing ideas, and presenting a way to do things differently
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glamorous sector
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consists of firms with high growth and high innovation. These are among the most visible firms in the media
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SB Development Center
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Offices co-sponsored by states and the federal government that offer free or low-cost help to existing and potential SB
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license
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a legal agreement granting you rights to use a particular piece of intellectual property
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moonlighting
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working on your own part time after your regular job
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succession
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the process of intergenerational transfer of a business
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trust
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a feeling of fairness in all business transactions in which the firm engages, such as financial transactions, employee matters, regulatory compliance, and complaint resolution
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