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Creative entrepreneurial buslness leader

Introduction
The word entrepreneur is derived from a French word that was originally used to refer to leaders of military expeditions. Early entrepreneurs provide men and materials needed by feudal lords to wage wars. The term entrepreneur for a person who bears uncertainty and risk. Entrepreneurship is meant the function of seeking investment and production opportunity, organizing an enterprise to undertake a new production process, raising capital, hiring labour,arranging the supply of raw materials, finding site, introducing a new technique,discovering new resources of raw materials and selecting top managers for day to day operations of the enterprise. An Entrepreneur as a Person who unites all the factors of production Land, Labor, Capital etc and earn profits after making payments for these factor of productions. Entrepreneur: Refers to the person who set up his business Enterprise: it is the outcome of entrepreneurship According to Joseph A. Schumpeter-An Entrepreneur as organizer or coordinator or as Innovator Introduction of a new product Introduction of a new method of production Opening of a new market Discovery of a new source of supply of raw-materials Carryout of the new firm of organization of any Industry.
2. explain the advantages of this business leader An Entrepreneur should be Hard working Desire for high achievement Highly optimistic Independence Good organizer Innovative Team spirit WHO IS AN ENTREPRENUER? He is a person who develops and owns his own enterprise He is a moderate risk taker and works under uncertainty for achieving the goal.

He is innovative He peruses the deviant pursuits Reflects strong urge to be independent. Persistently tries to do something better. Dissatisfied with routine activities. Prepared to withstand the hard life Determined but patient Exhibits sense of leadership Also exhibits sense of competitiveness Takes personals responsibility Oriented towards the future. Tends to persist in the face to adversity Convert a situation into opportunity. Entrepreneurial Functions: Managerial Function Planning Organizing Staffing Directing Controlling Promotional Functions Identification and Selecting of Business Ideas Preparation of Business Plan or Project Report Requirement for Finance Commercial Functions Production/Manufacturing Marketing Accounting Accounting is the art of recording, classifying and summarizing in a significant manner and, in terms of money,trnsactions and events which are, in part at least of financial character and interpreting the result thereof. Thus accounting involves a process consisting of the following five stages: Recording the Transactions Classifying the Transactions Summarizing the Transactions Preparing the Final Accounts Analyzing and Interpreting the Results 1. how they differ from another business leader in terms of leadership strategy and motivational style

Difference between an Entrepreneur and a Manager Qualities for an Entrepreneur

Entrepreneurial Competencies A competency may be defined as underlying characteristics of a person which results in effective performance of a job. It may be include such motives, traits.skills.aspects of ones selfimage or a body of knowledge which one uses in the practical life. Only knowledge can not ensure success. Success depends upon the ability or skills of using the acquired knowledge for achieving desired results. Skills refer to practical application or use of the knowledge. Thus, performance depends upon both knowledge and skills. The personality of the person making use of knowledge and skills important in this context. Personality represents the, whole person, concept. It includes perception, learning and motivation. Elements of Entrepreneurial Competencies Knowledge Skills Motives and traits KNOWLEDGE Innovation is possible only through knowledge. In simple words, knowledge means collection of information and retention of facts an individual store in some parts of his brain. Creative process provides imagination, germinates ideas, nurtures them and develops them successfully But innovation is the development process which translates an idea into an application. It requires persistence in analytical working out the details of product design or service, and to develop marketing, obtain finances and plans

operations. SKILLS Skill is ability to demonstrate a system and sequence of behaviours that are functionally related to attaining a goal. An Entrepreneur is required to have certain skills which are as follows: Anticipatory Skills-foresight into a constantly changing environment. Visioning Skills-inducing a group to act in accordance with the leaders purposes or the shared purposes of larger group. Value Congruence Skills-the need to be in touch with employees economic,safety,psychological,spiritual,swxual,aesthetic and physical needs in order to engage people on the basis of shared motives, values and goals. Empowerment Skills-the willingness to share power and to do so effectively. Self Understanding Skills-introspective or self knowledge skills as well as framework within which leaders understand both their needs and goals and those of their employees. MOTIVES AND TRAITS Motives deals with current concern for a goal, state or condition appearing in fantasy which drives, directs and select behaviour of Individual. In simple words, motive represents thoughts related to a particular goals or state. Trait may be defined as a disposition or characteristic way in which a person responds to a set of stimuli.

Such responses represent intelligence, enthusiasm, strength, bravery, integrity and self-confidence. An entrepreneur provides leadership to his enterprise and so he must possess the leadership traits. He/She should be Adaptable to situations faced Alert to social environment Ambitious and achievement oriented Assertive Co-operative Decision maker Dependable Dominant Energetic Self-confident Tolerant of stress Willing to assume responsibility. TYPES OF ENTREPRENEURIAL COMPETENCIES Behavioural competencies Initiative Creativity and innovation Risk-taking and risk management Problem solving and decision-making Persistence-----faith of the Entrepreneur to the system with confident. Quality of work performance Information seeking Systematic planning Persuasion competency-mob
2. What motivates them and their team to succeed

INFLUENCING ENTERPRENURESHIP The emergence of entrepreneurs in a society depends upon closely

interlinked social, religious, cultural, psychological, and political and economic factors. FAMILY TRADITION: Individuals who for some reason, initiate, establish maintain and expand new enterprises generate entrepreneurship in society. It is observed that entrepreneurs grow in the tradition of their families and society and accept certain values and norms from these sources. RELIGIOUS, SOCIAL AND CULTURAL FACTORS: Religious, social and cultural factors also influence the individual taking up an entrepreneurial career, in some countries there is religious and cultural belief that high profit is unethical. This type of belief inhibits growth of entrepreneurship. PSYCHOLOGICAL FACTORS: The psychological factors like high need for achievement, determination of unique accomplishment, self confidence, creativity, vision, leadership etc, promote entrepreneurship among individuals. On the other hand psychological factors like security, conformity and compliance, need for affiliation etc restrict promotion of entrepreneurship. POLITICAL FACTORS: The political and also the political stability of country influence the growth of entrepreneurship. The political system, which promotes free market, individual freedom and private enterprise, will promote entrepreneurship. ECONOMIC POLICIES: The economic policies of the government and other financial institutions and the opportunities available in a society as a result of such policies play a crucial role in exerting direct influence on entrepreneurship. In view of the haphazard development of economic zones, Government is encouraging the entrepreneurs to establish their business in backward and tribal areas. This is primarily to arrest the migration of people from the villages to cities and to create employment opportunities locally. Government is promoting such development by giving incentives like tax holidays (both sales and income), subsidized power tariff, raw materials, transportation cost etc.

Difference between an Entrepreneur and a Manager


Qualities for an Entrepreneur

Entrepreneurial Competencies
A competency may be defined as underlying characteristics of a person which results in effective performance of a job.

It may be include such motives, traits.skills.aspects of ones selfimage or a body of knowledge which one uses in the practical life. Only knowledge can not ensure success. Success depends upon the ability or skills of using the acquired knowledge for achieving desired results. Skills refer to practical application or use of the knowledge. Thus, performance depends upon both knowledge and skills. The personality of the person making use of knowledge and skills important in this context. Personality represents the, whole person, concept. It includes perception, learning and motivation.

Elements of Entrepreneurial Competencies


Knowledge Skills Motives and traits

KNOWLEDGE
Innovation is possible only through knowledge. In simple words, knowledge means collection of information and retention of facts an individual store in some parts of his brain. Creative process provides imagination, germinates ideas, nurtures them and develops them successfully But innovation is the development process which translates an idea into an application. It requires persistence in analytical working out the details of product design or service, and to develop marketing, obtain finances and plans operations. SKILLS Skill is ability to demonstrate a system and sequence of behaviours that are functionally related to attaining a goal. An Entrepreneur is required to have certain skills which are as follows: Anticipatory Skills-foresight into a constantly changing environment. Visioning Skills-inducing a group to act in accordance with the leaders purposes or the shared purposes of larger group. Value Congruence Skills-the need to be in touch with employees economic,safety,psychological,spiritual,swxual,aesthetic and physical needs in order to engage people on the basis of shared motives, values and goals.

Empowerment

Skills-the willingness to share power and to do so

effectively.
Self

Understanding Skills-introspective or self knowledge skills as

well as framework within which leaders understand both their needs 3. and goals and those of their employees.
4. What makes them different from other business people?