Lessons 9–10 · 2 lessons · U. G‘afurov, Q. Sharipov. Basics of Entrepreneurship: textbook for Grade 11 of general secondary schools and for secondary specialised and vocational institutions. 1st edition. “O‘zbekiston” publishing house, Tashkent, 2018
10
Youth entrepreneurship
Textbook: pp. 49–52
GoalExplain the importance of youth entrepreneurship, the concepts of cluster and business incubator, list directions of support for young people and assess one’s own opportunities.
New words
youth entrepreneurship: business activity carried out by young people · Yoshlar tadbirkorligicluster: a group of interlinked organisations concentrated in a particular area · Klasterbusiness incubator: an organisation supporting young entrepreneurs from the idea to its realisation · Biznes-inkubatorbusiness idea: a concept of what product or service to offer and to whom · Biznes-g‘oya
Explanation
Youth entrepreneurship is business activity by members of the younger generation; the state encourages it because young people are mobile and quick to take up novelty, and entrepreneurship provides them with employment, creates new jobs and contributes to the innovative development of the economy. The textbook defines youth entrepreneurship as ages 18 to 35; in practice the age limits of programmes may differ, so each programme’s conditions should be checked. Remember that engaging in entrepreneurship requires legal capacity, normally age 18. A cluster is a group of interlinked organisations concentrated in an area (raw material suppliers, service providers, educational or scientific institutions), and their cooperation improves results. In a youth entrepreneurship cluster young entrepreneurs get preferential services and favourable conditions, while a business incubator helps with training, advice and preparing documents at the stages from developing an idea to realising it. The directions of support are popularising entrepreneurship, teaching skills, helping to finance ideas and helping activity in the market. Before using any programme, check its conditions and the official sources.
Worked examples
Cluster: in one district centre a small sewing workshop, a fabric supplier, a tailoring college and a packing workshop are located near each other and serve each other. The fabric is nearby, staff are trained at the college and transport costs fall — results improve.
Incubator: 17-year-old Laylo has an idea for preparing online lesson materials. At a business incubator she learns to write a business plan, calculates costs with an adviser and plans to register once she turns 18.
Class activity
My idea: each student writes their business idea in one sentence (what is offered to whom). In pairs they play “business incubator” for each other and ask 3 questions: who is the buyer, what cost, what risk. Then they rewrite the idea more clearly.
Practice
1
Why does the state encourage youth entrepreneurship?
It provides youth employment, creates jobs and forms a generation of young entrepreneurs ready for novelty.
2
What is a cluster and why does it improve results?
A group of interlinked organisations in an area; closeness and cooperation cut costs and speed up information exchange.
3
How does a business incubator help a young entrepreneur?
It trains, advises and helps prepare documents from developing the idea to carrying it out.
4
A young entrepreneur earned 4 200 000 so‘m each month for three months and spent 3 100 000 so‘m a month. What is the three-month profit in so‘m?