Risks of an Entrepreneur PDF

**Risks of an entrepreneur** An entrepreneur is someone who sets up in business, takes on risk, usually with the aim of making a profit. Risk is the probability of a person experiencing loss, such as financial loss. The electric scooter market is competitive and experiencing a high number of start...

**Risks of an entrepreneur** An entrepreneur is someone who sets up in business, takes on risk, usually with the aim of making a profit. Risk is the probability of a person experiencing loss, such as financial loss. The electric scooter market is competitive and experiencing a high number of start-up businesses renting the scooters. This may lead to saturation of the market which means some businesses may struggle to compete and establish the business or a Unique selling point. An entrepreneur entering this market may find it difficult to generate sales and enough income to survive. Market demand is unpredictable as consumer trends can change rapidly. Tourists and commuters may find alternative methods of transport or leisure activities, reducing demand/revenue for entrepreneurs of scooters, this is why it will be important to research about how people use scooters An electric entrepreneur may be at risk of financial loss if their savings or loans have been used to start the rental business and buy the electric scooters, resulting in failure of the business. They will also have to ensure that there is sufficient infrastructure in the city they are based in to support e scooters such as charging stations and parking spots as this can affect demand for scooter use. However, the electric scooter market is growing with many cities in the UK trialling the products/service. This may bring financial rewards to the entrepreneur if he or she can successfully get started. The UK Government have stated that they will not allow privately owned electric scooters to be legally ridden on the streets and roads in the UK. This may lead to higher demand for the rental of electric scooters. This may increase the revenue and profits for the start-up business. There is a growing acknowledgement amongst people that we need to move away from fossil fueled vehicles and e bikes are much easier to power than cars, they are also a convenient way of getting around a city quickly so there is definitely potential for growth To conclude, there are several risks entrepreneurs need to be aware of when setting up an e scooter business but these risks can be reduced through the use of decision making tools such as market research. If the e scooter entrepreneur can successfully get started and generate revenue in the first year of operation there will be enormous potential for growth and financial rewards.