ENTREPRENEUSHIP

Entrepreneurship



Entrepreneurship

Question 1.1 Entrepreneurial Capital

As the founder of classical political economy, Adam Smith wrote: "Only in the hands of private individuals begin to accumulate capital, some of them, of course, tend to use them to take work industrious people, whom they provide the materials and means of existence in the calculation of a profit by selling the products of their labor, or the fact that these workers get added to the cost of processing materials " [33, p. 50.].

Most often under the capital imply all three main types including the financial, productive and marketable. Entrepreneurial capital often refers to as capital of large amounts of cash, accumulated wealth and property in kind, i.e. real, terms, or the amount of funds at the disposal of enterprises, etc. However, the most meaningful of all known approaches to the determination of its capital gets owned by one of the founders of classical political economy, Marx, who wrote: "Capital is not a thing, as defined, social belonging definite historical formation of society production ratio, which represented in the thing and give this thing a specific social character "[20, s.380-381].

It is quite obvious is the fact that capital includes all forms of existence of assets (natural resources, means of production, and finance). That is, capital gets manifested as a material substance, and as a relation of production which combined with the difficulty. The basic factor of production and development of society. To this, we must add that this substance may be regarded as capital only if it exhibits the ability to generate income and recover its actual value. Beside the financial resources, the main entrepreneurship capital of Brompton is:

Unique Design

Local manufacturing capabilities

Brompton bikes get designed to ride on asphalt and dirt roads. Carrying capacity is the bike up to 110 kg (includes weight of rider and luggage). Brompton bike is not designed for doing tricks, riding on rowdy terrain or extreme sports. The company started, and although the first units were virtually non-profitable, therefore, Andrew decided to take the project more there, hiring an assistant and starting small-scale production, five months after giving the first bicycles. Pilot production of units fifties came to the 400 machines, which sold without problems, showing that the Brompton was a viable product (Williams, 2007, 68). The important fact in terms of the entrepreneur capital is that these bikes made and were sold at a price of 200 pounds, 20 pounds above the Bickerton, and double the price of folding bicycles 'traditional' Dawes Kingpin like or Stowaway Raleigh. Clearly there was a market for compact folding bikes and high quality. These first units produced essentially the same as currently but with a sharp bend in the main draw which gave them a peculiar aspect.

This unique aspect became the point of distinct and a significant capital resource for the company. This was to bend the standard tools tubes that were useless for the smooth curve required in Brompton. The opinions were generally very ...