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How to Teach Kids Entrepreneurship

You may recall setting up a lemonade stand or holding a yard sale when you were a kid -- putting up signs, pricing items and negotiating deals. You might not have known it at the time, but you were being an entrepreneur. An entrepreneur is a person who takes on a certain amount of risk to introduce something new, such as a product or business. Teaching your children about entrepreneurship at a young age will enable them to understand the dynamics involved in running a business. They also can use the principles of entrepreneurship in other areas of their lives.

Instructions

    • 1

      Teach your kids about managing money for a business. When your children are young, reward them for doing chores with an allowance. Explain how they can save the money for something they want, like a video game. Working with smaller numbers in the beginning will help prepare them for managing larger finances later on.

    • 2

      Hold a family debate at dinnertime to help develop your children's critical thinking skills. Assign each person a topic to debate and instruct him to learn as much as he can about the topic before the meal begins. You may help your children evaluate information and develop their argument. During dinner, each person around the table should present his argument and responds to what the others have said. To be a successful entrepreneur, your child needs to learn how to communicate ideas and also to take responsibility for his actions.

    • 3

      Establish short-term goals with your children, such as purchasing a new doll or video game. Then brainstorm ideas for earning money to reach those goals, such as running a lemonade stand or selling crafts. Encourage your kids to track the costs, earnings and time required of each activity to help them understand what it means to make a profit. Entrepreneurs confront many challenges, so it is important that children know how to set goals and work through obstacles to achieve them.

    • 4

      Foster a child's curiosity. Curiosity and a willingness to take risks are key characteristics of an entrepreneur. Children have the benefit of inexperience, so they are more likely to think outside the box. Parents can nurture that curiosity and creativity through activities such as challenging children to a silly drawing contest, organizing a wacky dress-up show or even just sitting back to watch clouds and interpret their shapes.

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