Aaliyah Nicole A.

Orallo
12-Fleming

Definitions
1. Top Management Commitment
- implies the direct participation by the highest level management (top
management) in all specific and critically important aspects such
as safety, quality, environment, security, etc., or programmes of an organisation.
2. Entrepreneurial Domain
- A set of different individuals who can be potential or existing entrepreneurs,
organizations that support entrepreneurship that can be businesses, venture
capitalist, business angels and banks, as well as institutions like universities,
public sector agencies and the entrepreneurial processes that occur inside the
ecosystem such as the business birth rate, the number of high potential growth
firms, the serial entrepreneurs and their entrepreneurial ambition (Mason &
Brown, 2014)
3. Intellectual Property
- a work or invention that is the result of creativity, such as a manuscript or a
design, to which one has rights and for which one may apply for a patent,
copyright, trademark, etc.
4. Trade Mark
- a type of intellectual property consisting of a recognizable sign, design, or
expression which identifies products or services of a particular source from those
of others
5. Focus Group
- a small, but demographically diverse group of people and whose reactions are
studied especially in market research or political analysis in guided or open
discussions about a new product or something else to determine the reactions
that can be expected from a larger population.
6. Trade Barriers
- government-induced restrictions on international trade that could be detrimental
and decrease overall economic efficiency.
7. Motivation
- comes from the enjoyment of the work itself and/or from the desire to achieve
certain goals such as to earn more money or achieve promotion.
8. Synectics
- a problem solving methodology that stimulates thought processes of which the
subject may be unaware which is developed by George M. Prince and William J.J.
Gordon.
9. Retailer
- buys goods or products in large quantities from manufacturers or importers,
either directly or through a wholesaler, and then sells individual items or small
quantities to the general public or end user customers, usually in a shop.
10. Asian Countries
- 48 countries that are located in Asia which is categorized into five areas: Central
Asia, South Asia, East Asia, Southeast Asia, and Western Asia.
11. Cultural
- has the supportive role with its norms, values, and events organized to raise
the entrepreneurial spirit within the ecosystem and it also encompasses risk
tolerance, ambition, orientation to innovativeness, creativity, and experiments.
12. Decentralized Operations
- delegated by top management to middle and lower-level mangers.
13. Market Segmentation
- is the process of dividing a market of potential customers into groups, or
segments, based on different characteristics. The segments created are
 composed of consumers who will respond similarly to marketing strategies and
who share traits such as similar interests, needs, or locations.
14. Turn-key Projects
- a term typically used with reference to construction projects for which the
developer undertakes the whole responsibility from design to completion so that
the building is available to the buyer in a ready-to-use condition.
15. Expertise of an Entrepreneur
- Broad and deep competence in terms of knowledge, skills, and experience of an
entrepreneur.
16. Majority Interest
- membership Interests in the company entitled to more than 50% of the Sharing
Ratios.
17. Financial Plan
- is a comprehensive statement of an individual's long-term objectives for security
and well-being and a detailed savings and investing strategy for achieving those
objectives.
18. Sole Proprietorship
- also known as the sole trader, individual entrepreneurship or proprietorship, is a
type of enterprise that is owned and run by one person and in which there is no
legal distinction between the owner and the business entity.
19. Job Description
- is a written narrative that describes the general tasks, or other related duties,
and responsibilities of a position. It may specify the functionary to whom the
position reports, specifications such as the qualifications or skills needed by the
person in the job, information about the equipment, tools and work aids used,
working conditions, physical demands, and a salary range. 
20. Proprietorship
- the state or right of owning a business or holding property.
21. Small Business Innovation
- is the development and application of ideas that improve the way things are
done or what can be achieved that may result in new products or services, new
or improved business processes, changes in the way your products are marketed
or the introduction of new technology of small businesses.
22. Weakness
- is any resource or process that your business lacks, but needs to
succeed. Weaknesses limit your company's ability to reach its full potential.
23. Debt Finance
- when a firm raises money for working capital or capital expenditures by selling
bonds, bills, or notes to individual and/or institutional investors. In return for
lending the money, the individuals or institutions become creditors and receive a
promise to repay principal and interest on the debt.
24. Strategy
- a plan of action or policy designed to achieve a major or overall aim.
25. Value and Cost
- Cost is the amount spent to produce a commodity and it is based on actual
expenditure done on manufacturing a particular product. Value is what the
consumer believes is the worth of the product or service to them.  
26. Doer
- the person who does something or a particular action.
27. Luck
- Luck is the phenomenon that defines the experience of notably positive,
negative, or improbable events.
28. To be Independent
- being able to take care of your own needs and to make and assume
responsibility for your decisions while considering both the people around you
and your environment.
29. Consumer
- A consumer is a person or organization that uses or consumes economic services
or commodities.
30. Entrepreneur
- a person who organizes and operates a business or businesses, taking on greater
than normal financial risks in order to do so.
31. Business Owner
- the legal proprietor of a business; an individual or group that owns the assets
of a firm and profits from them.
32. Capitalist
- a wealthy person who uses money to invest in trade and industry for profit in
accordance with the principles of capitalism.
33. Entrepreneurship
- Entrepreneurship is the process of designing, launching and running a new
business, which is often initially a small business.
34. Monopoly
- the exclusive possession or control of the supply of or trade in a commodity or
service.
35. Free Society
- all individuals act voluntarily, having the freedom to obtain the power and
resources to fulfill their own potential.
36. Free Enteprise System
- a type of economy where products, prices, and services are determined by the
market, not the government.
37. Capital
- generally refers to financial wealth, especially that used to start or maintain a
business. 
38. Cost
- is the amount spent to produce a commodity and it is based on actual
expenditure done on manufacturing a particular product.
39. Profit
- a financial gain, especially the difference between the amount earned and the
amount spent in buying, operating, or producing something.
40. Surplus
- an amount of something left over when requirements have been met; an excess
of production or supply over demand.
41. Marketplace
- an open space where a market is or was formerly held in a town.
42. Stock Market
- A stock market, equity market or share market is the aggregation of buyers and
sellers of stocks, which represent ownership claims on businesses; these may
include securities listed on a public stock exchange, as well as stock that is only
traded privately.
43. Government
- A government is the system or group of people governing an organized
community, often a state. 
44. Salvage
- Recovering or saving abandoned, condemned, damaged, deteriorated, discarded,
incomplete, obsoleted, or worn property for recycling, refabrication, restoration,
reuse, or scrapping.
45. Company
- A company, abbreviated as co., is a legal entity made up of an association of
people, be they natural, legal, or a mixture of both, for carrying on a commercial
or industrial enterprise.
46. New Venture
 - a business enterprise or speculation in which something is risked in the hope of
profit.
47. Enterprise
- a project or undertaking, typically one that is difficult or requires effort.
48. Business Failure
- refers to a company ceasing operations following its inability to make a profit or
to bring in enough revenue to cover its expenses. 
49. Discontinuance
- the act or an instance of discontinuing.
50. Business Model
- a design for the successful operation of a business, identifying revenue sources,
customer base, products, and details of financing.
51. Value Chain
- the process or activities by which a company adds value to an article, including
production, marketing, and the provision of after-sales service.
52. Supply Chain
- A supply chain is a network between a company and its suppliers to produce and
distribute a specific product to the final buyer. 
53. Marketing Channel
- A marketing channel is the people, organizations, and activities necessary to
transfer the ownership of goods from the point of production to the point of
consumption.
54. Direct Distribution
- is a supply chain strategy that delivers products directly from producer to end
consumer without any intermediaries. This term applies when the manufacturer
takes the product directly to the consumer with its own transport and logistics
network.
55. Strategic Asset
- the set of difficult to trade and imitate, scarce, appropriable and specialized
resources and capabilities that bestow the firm's competitive advantage.
56. Coordination of the Flow
- coordination mechanisms or schemes, which control the flows of information,
materials (or service) and financial assets along the chains.
57. Cost Sharing
- is a process wherein two or more entities work together to secure savings that
one alone would be unable to obtain. 
58. Proprietary Information
- also known as a trade secret, is information a company wishes to keep
confidential. 
59. Management Complexity
- is a business methodology that deals with the analysis and optimization
of complexity in enterprises. Effects of complexity pertain to all business
processes along the value chain and hence complexity management requires a
holistic approach.
60. Decision Making Autonomy
- refers to the ability of a person to make decisions.

Enumeration
1. Steps in the Entrepreneurial Process
 Discovery: The stage in which the entrepreneur generates ideas, recognizes
opportunities, and studies the market.
 Concept Development: Develop a business plan: a detailed proposal
describing the business idea.
 Resourcing: The stage in which the entrepreneur identifies and acquires the
financial, human, and capital resources needed for the venture start-up, etc.
  Actualization: The stage in which the entrepreneur operates the business and
utilizes the resources to achieve its goals or objectives.
 Harvesting: The stage in which the entrepreneur decides on business’s future
growth or development, or demise.
2. Characteristics that tend to make some people better at recognizing opportunities.
 Prior Experience - Several studies show that prior experience in an industry
helps entrepreneurs recognize business opportunities. Once an entrepreneur
starts a firm, new venture opportunities become apparent. This is called the
corridor principle, which states that once an entrepreneur starts a firm, he or she
begins a journey down a path where “corridors” leading to new venture
opportunities become apparent.
 Cognitive Factors – Opportunity recognition may be an innate skill or a
cognitive process. A sixth sense--entrepreneurial alertness, which is formally
defined as the ability to notice things without engaging in deliberate search.
 Social Networks– The extent and depth of an individual’s social network
affects opportunity recognition. People who build a substantial network of social
& professional contacts will be exposed to more opportunities and ideas than
people with sparse networks.
 4. Creativity– Is the process of generating a novel or useful idea.
a)Preparation– The background, experience, and knowledge that an
entrepreneur possesses.
b)Incubation- The stage during which a person considers an idea or thinks about
a problem.
c)Insight– The flash of recognition – when the solution to a problem is seen or
an idea is born.
d)Evaluation–an idea is subjected to scrutiny and analyzed for its viability.
e)Elaboration– the creative idea is put into
f)Final Form--details are worked out, and the idea is transformed into something
of value.
3. A business model serves as an ongoing extension of the feasibility analysis. It
focuses attention on how all the elements of a business fit together and
constitute a working whole. Additionally, a business model describes why the
network or participants needed to make a business idea viable would be willing
to work together. It also articulates a company’s core logic to all stakeholders,
including the firm’s employees. Ultimately, a business model is viable to the
degree to which the buyer, the seller, and the partners involved, see it as an
appropriate method of selling the product or service.
4. 4 Major components of a business model
o Value Proposition
The value proposition describes the benefits and therefore the value a customer or a
value partner gains from the business model. The value proposition addresses two
different stakeholders:
Customers: A business model defines itself not via an existing product, but via the
value creation to its customers. Value is being created by fulfilling a customer need.
With the determination what value the firm wants to create the value proposition
implies also what the firm does not offer to its customers.
Value Partners: A business model also contains a value proposition for partners that are
required to fulfill the value proposition to the customer. The value proposition to the
partners must be strong enough to motivate them to participate in the business.
o Product or Service
The product or service is the link between the firm and the customer. The product or
service fulfills the value proposition and generates the promised benefit to the
customer. In the decision what product to supply the firm also decides implicitly what
not to produce.
o Value Architecture
Third component of a business model is the architecture of value creation. It comprises
out of three modules. The Market Design, the Internal and External Architecture. The
aim of the value architecture is to create the promised benefit to the customer in an
efficient way. With the choice of the architecture the firm also decides what degree of
stability it wants to have in its value architecture.
o Revenue Model
While the value proposition and the chosen value architecture define the costs of a
business model, the revenue model contains a description from what sources in what
ways the firm generates its revenues. The business can have different sources of
revenue. All sources together make up the revenue mix of the firm. From the revenue
model and the costs the margin structure of the business is derived which determines
the value of the business to the owner. The revenue model rules if the business model
is sustainable.