For students doing the topic: Establishing a Business: Production

1. Description of business In this part you are required to give a brief description of your
intended business.

(a) The name of your intended business e.g. Jax Enterprise Ltd

(b) The type of business e.g. sole, proprietorship etc.

(c) What is the proposed business engaging in? e.g. selling of clothing

(d) The major aims or aims of your business e.g. To maximise profit by ensuring customers
satisfaction.

(e) If possible you can give example(s) of the goods and/ services you will be producing.

2. Justification of location- in this part you are required to :

(a) State the location of your intended business, e.g. opposite Vegetable market

(b) Secondly, you will have to list and explain the factors which influence your choice of
location. e.g. Closeness to raw materials.

3. Selection of appropriate labour- as we already know labour is an important of production

and if you dont select the most appropriate type of labour then inefficiency would take occur
and productivity will decline. You are required to

(a) List the type of labour you will enjoy employ. e.g. salesperson, cashiers

(b) Then classify them under the three main categories of labour namely:

- Skilled

- Unskilled

- Semi-skilled

4. Sources of fixed and working capital- Capital refers to money and all other assets of a
person, company or industry that can be converted into money. Fixed capital refers to capital
that is of a lasting nature and which does not change its form during the course of production,
e.g., factory buildings, machines and tractors. Working capital changes its form or state during
the course of production, e.g., raw materials and partly finished goods. You are required to
identify the sources of these capitals. e.g. loans, savings
5. Roles of the Entrepreneur- Define role of entrepreneur. You are required to list and briefly
explain the roles of the entrepreneur. E.g to ensure that the factors of production are used
efficiently

6. Type of production- Production refers to the combining of the factors to create goods and
services to satisfy peoples wants and needs. You are required to state the type(s) of production
your intended business will engage itself in. ( primary, secondary and tertiary production)

7. Levels of Production The levels of production classify the amounts of goods and services
produced under three different headings:

subsistence
domestic
surplus or export levels.

8. Quality control measures- in this part you should be able to define quality as it relates to
your business and then you will state the measures/ ways of ensuring quality in your intended
business. E.g. hiring only trained employees.

9. Use of technology- Technology plays an important part in any business. You are required to
show how you will employ technology in your operations via the use of examples such as
computers, phones etc.

10. Linkages-. A linkage industry is an industry which is associated or connected to other

industries in such a way that the existence of one is dependent on the other, or it enhances the
others production process. You will be required to:

(a.) state the type(s) of linkages your intended business will create and

(b) Why will you create those linkages?

11. Potential for growth- You are required to state how the business can grow internally or
externally. E.g. employing more machineries or open a new branch elsewhere

12. Government Regulations- Governments in any country has regulations as it relates to the
setting up and operations of a business. You are required state some regulations that are enforced
in your country as it relates to businesses. e.g. require to pay taxes, NIS

13. Ethical Issues- Ethics has to do with right and wrong, good and bad. You as the
entrepreneur should be aware of such issues and its consequences. You are required to list and
briefly explain some of those issues as it relates to your business. E.g. avoiding of poor
labelling, disposing of waste properly