ACTIVITY PROFILE

$20 Challenge

54304

14 November 2011 - 19 November 2011

Green Bay, Wisconsin

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Organizer: Southwest DECA

Learning about Entrepreneurship While in the introductory marketing class at Southwest High School in Green Bay, WI, students learn about the concepts and ideals of basic entrepreneurship. Initially, the students analyzed political and economic situations through the World Factbook (www.cia.gov), and conducted global analyses. After learning these foundational concepts, the idea of free enterprise and entrepreneurship was introduced. The summative assessment was for students to start their own entrepreneurial venture within the walls of Southwest High School. The assignment was called “The $20 Challenge”. Students were given a microloan from the school store for $20 to be used for supplies and promotional costs. In order to receive the funding, a modified business plan had to be submitted to the banker (teacher) for approval. Once funding was obtained, students created their products, identified selling opportunities, designed promotional campaigns, and computed cost versus retail math. The students were able to sell their products for five school days. At the conclusion of each selling day, students completed a physical inventory, completed a financial statement (including costs, sales, etc.), and discussed future sales strategies. Most groups were able to repay their loan within three days of sales, thus leaving the final two days of sales as pure profit. Giving back internationally The students in the Marketing class generated a profit of $100 in total. For the winning group, each participant was given a $5 gift card to Moe’s. With the remaining $75, the Marketing class invested in three global entrepreneurs through the Kiva organization. Kiva is a non-profit organization with a mission to connect people through lending to alleviate poverty. Leveraging the internet and a worldwide network of microfinance institutions, Kiva lets individuals lend as little as $25 to help create opportunity around the world. (www.kiva.org) Loan #1 – Agoe, Togo Djaharatou has been working as a retailer since 2005. She buys jewelry such as earrings, necklaces, and bracelets, and she sells them out of her house to anyone. Djaharatou has requested her fourth loan from WAGES to buy jewelry for resale. She is thinking of reinvesting these extra profits to expand her business. In the next few years, she would like to open a store for selling jewelry. With the profits, she says she plans on ensuring that the family's basic needs are met. Loan # 2 – Bayan-Ulgii, Mongolia Umitker started his business as a handyman in 1990. Now he makes roofs, fences, doors and windows. His average monthly income is 1,600,000 Mongolian tugriks (MNT). Recently, he received mass amount of orders for doors and windows. He is a sharp and hardworking man who says, "I will do everything I can in order to educate my kids." He is requesting 3,000,000 MNT to buy more wood materials for doors and windows. Loan #3 – Chwele, Kenya Zadock is the facilitator of the Chemichemi S.H group. Zadock joined One Acre Fund to have additional maize profits to educate his children and ensure food security for his family. In the recent 2011 season, Zadock had a very good maize yield harvesting nine bags on ½ an acre of land. Before joining One Acre Fund, Zadock was only able to harvest two bags of maize on ½ acres of land. With this loan, One Acre Fund will purchase fertilizer, seeds, and other important inputs to distribute to Zadock and his group during Kenya's next planting season in February 2012. The distribution of farming inputs is part of One Acre Fund's integrated agriculture package, which includes training, reliable input supply (such as fertilizer and seeds), credit and insurance. With income from maize sales, Zadock will repay his loan and build a house. In 2012, the members of Chemichemi S. H group will each plant maize on between ½ and one acre of land.