In a free enterprise system, the ability to make a profit motivates individuals to start a business.
Further Explanation:
A free enterprise system refers to an economic system in which individuals have the ability to create their own businesses, choose what resources/products they sell, and have their prices determined by the market (not the government). In this system, competition between businesses helps to determine prices. When an individual sees a particular good or service lacking in a particular market, they may create a business in order to fulfill a need that they think will generate a profit.
In a free enterprise system, the goal of any business is to make a profit. This idea of free enterprise is critical to the American economy. For example, companies like Apple, Microsoft, McDonalds, etc. all started with the goal of making significant profits of their resources. This desire for profit continues to motivate companies to adapt to the current economic climate.
Learn More:
Role of Entrepreneurs in a Free Enterprise System- https://brainly.com/question/11211989
Key Details:
Topic: Economics
Grade Level: 9-12
Keywords: Free enterprise, capitalism, profit
