Republic of the Philippines

Bicol University
POLANGUI CAMPUS
NURSING AND HEALTH SCIENCES DEPARTMENT
Polangui, Albay

GEC 20:
The Entrepreneurial Mind

https://paulbradleysmith.com/the-life-of-a-social-entrepreneur/

Name of Student: _________________________________

Course/Year/Section: ______________________________

2nd Semester, SY2020-2021

GEC 20: The Entrepreneurial Mind Page 1

 Learning Contract

COURSE PARTICIATION:
______________________________________
______________________________________
______________________________________
READINGS:
______________________________________
______________________________________
______________________________________
STUDY/DO HOMEWORK:
_______________________________________
_______________________________________
_______________________________________
SUBMISSION OF ACTIVITIES:
________________________________________
________________________________________
________________________________________
CONSULTATION WITH COURSE INSTRUCTOR:
________________________________________
________________________________________
GROUP PROJECT: (if applicable)
________________________________________
________________________________________
_________________________________________

GEC 20: The Entrepreneurial Mind Page 2

 Lesson 1

Introduction to
Entrepre neurship

GEC 20: The Entrepreneurial Mind Page 3

 What will you learn?
After completing this chapter, the students should be able to:

1. Enumerate the four theories that explain economic growth.

2. Discuss the meaning of entrepreneurship
3. Present current developments related to entrepreneurship worldwide and various aspects of
globalization.
4. Explain the relationship between entrepreneurship and economic growth as well as the socio-
economic benefits of entrepreneurship in a community.
5. Discuss the factors that affect entrepreneurship in the Philippines.

What do you already know?

Let’s have a pre-test before starting with the chapter.

1. Define entrepreneur and entrepreneurship

2. What is the relationship between the entrepreneurship to the economic growth of the
community?
3. What is the relevance of entrepreneurship to your future profession as a Nurse?

GEC 20: The Entrepreneurial Mind Page 4

 If you got a perfect score!!!
If not don’t be discouraged you will learn
more as you go along in this chapter

What is the Lesson about?

The first lesson is about the entrepreneurship in economic growth as well as being
acquainted with the theories that help explain the economic growth of the community.

Check out your weekly task considering the internet connectivity that you have in the table
below.

Time Learning Content Instructional Delivery Assessment

Allotment (Fill up the online form to be posted in Tasks/Outputs
the facebook page/Google Classroom. (Please check the box
This form will contain the student’s if you are done with
basic information and preferred mode the activity so that you
of delivery.) will know your
progress.)
Week 1 Orientation Students with strong connectivity Review of VMGO
 Checking of Module Printable/pdf Set learning contract
attendance, COR, VMGO with the students
OR and establish GAD and development concerns
learning contract Netiquette
Output:
with students.
Learning contract Creative work form on
 Re-orient VMGO VMGO, GAD to
Quality Policy and Self-directed study entrepreneurship as
the Four Pillars of BSN students
BU and Gender Students with Poor Connectivity
and Development Module Printable/pdf
concerns VMGO
 Course content, GAD and development concerns
requirements, and Netiquette
emphasize
Online: downloadable video lectures
netiquette for
asynchronous Learning contract
sessions
 Identify the three Self-directed study
categories for the
mode of learning Students without Connectivity

Printable Modules

Learning contract

Self-directed study

GEC 20: The Entrepreneurial Mind Page 5

 Week 2-4 Introduction Students with strong connectivity Activity 1: Discuss the
 Role of Module Printable/pdf four theories in
Entrepreneurship in Read chapter I: Introduction to Entrepreneurship
Economic Development Entrepreneurship
Theory of
 Ethics in
Learning contract Mercantilism, : Laissez
Entrepreneurship Faire Theory, Karl
Self-directed study Marx’s Theory of
Socialism, and Theory
Students with Poor Connectivity of Socio-economic
Module Printable/pdf Development
Read chapter I: (Schumpeter)
Introduction to Entrepreneurship

Learning contract

Self-directed study

Students without Connectivity

Printable Modules

Learning contract

Self-directed study

I’m sure you’re very much eager to complete this module so here are the things that you will be
doing…….

Have an exciting learning experience and don’t hesitate to get in touch with me
for any Clarification or verification……

GEC 20: The Entrepreneurial Mind Page 6

==========================================================================

ROLE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT

This topic focuses on the theories and concepts of entrepreneurship, as well as its important role in
the economic, social, and human development of nations in general and the Philippines in particular.

FOUR THEORIES THAT EXPLAIN ECONOMIC GROWTH

THEORY 1: Theory of Mercantilism

Have you ever heard about this theory? If not here it is, It is the first major economic theory known
that drove the economic system during the 16th to 18th centuries. It was based on the idea that a nation’s
WEALTH will INCREASE ONLY if government REGULATED ALL the nation’s commercial interests.
As per mercantilism, the government should take care of all the economic activities of a country.

The Theory of Mercantilism says that the wealth of the nation can be measured by its ready supply
of CAPITAL, generally held in the concrete form of GOLD or SILVER. Furthermore, states that the
GLOBAL SUPPLY OF WEALTH is a FIXED amount, and that any gain of wealth by one nation must
necessarily represent a LOSS by another.

National strength was based on limiting imports through high tariffs and exporting as many goods
as possible. Due to its systems of “me first” and “no imports”, mercantilism could not be maintained,
because the reality was that it led to a stagnant global economy.

So the, each country wanted to export and NO ONE wanted to IMPORT. After some time, many
people began to revolt against the idea of mercantilism and stressed the need to conduct free trade among
nations. The continue pressure resulted in the implementation of Laissez Faire economics in the 19 th
century. Mercantilism therefore in many ways opposes Laissez Faire capitalism promoted by economist
such as Adam Smith.

Further reading on mercantilism :

http://www.wisegeek.com/what=is-mercantilism-htm
Mercantilism: A Lesson for our Times/http://mises/org/daily/4304
http://www.investopedia.com/terms/m/mercantilism.asp#ixzz2Ggy6uZ64

GEC 20: The Entrepreneurial Mind Page 7

THEORY 2: Laissez Faire Theory

Towards the 18th century, Adam Smith wrote “An inquiry into the Nature and Causes of the
Wealth of Nations” where he documented industrial development in Europe. He then expounded the need
to minimize the role of government INTERVENTION and TAXATION in the free markets, such that AND
“invisible hand” guides SUPPLY and DEMAND, reflecting the concept that each person, by looking out
for herself, creates the best outcome for all.

Adam Smith referred Laissez-Faire Theory, which along with other philosophers “it is not from the
benevolence of the butcher, the brewer, or the baker, that we can expect out dinner, beet from their regard
for their own interest.”

Further reading:

http://www.investopedia.com/articles/economics/08/adam-smith-
economics.asp#ixzz2N212kVDY

By selling their products, the butcher, brewer, and baker will make money, If they meet the
customers’ needs, they will be rewarded financially, which is the point of being in business. While engaged
in enterprises to earn money, they provide the products that people NEED and WANT. According to A.
Smith, this CREATES WEALTH not only for the people in the business, but also for the whole country
where the citizens work to provide for themselves and others and where they take care of their own financial
needs.

Further reading:

https://www.thebalance.com/laissez-faire-definition-4159781

THEORY 3: Karl Marx Theory

Karl Marx disagreed with Adam Smith and the Laissez-Faire theorists. K. Marx interpreted human
history as a class struggle between workers and employers. He also declared that FREE ENTERPRISE
(Laissez-Faire) would lead to increasingly severe losses and would eventually bring about revolution by
the workers. They called for an economy where the government owned all the property and distributed
everything equally among all the people through SOCIALISM.

Further reading:
http://www.economictheories.org/2008/07/karl-marx-economic-theory-economics.html

EORY 4: Joseph Schumpeter Theory

In 1934, an economist names JOSEPH SCHUMPETER explained that economic growth is started
by people (whom he called ENTREPRENEURS) who produce goods not only for personal profit but also
for the good of everyone around them. J. Schumpeter called entrepreneurs the BACKBONE of the

GEC 20: The Entrepreneurial Mind Page 8

ECONOMY. According to J. Schumpeter ENTREPRENEURS are people who FIND JOY in CREATING
or PRODUCING goods;

 who finds self-fulfillment in getting THINGS DONE;

 Who have a strong need for ACHIEVEMENT.

This Entrepreneur-centered theory is widely used to answer the need for socio-economic
development.

Further readings:

https://www.mbaknol.com/managerial-economics/analysis-of-joseph-schumpeters-theories-of-
economic-
development/#:~:text=Theory%20of%20Economic%20Development%20and%20Dynamism%20
of%20the,cycle%20as%20an%20important%20pattern%20of%20economic%20growth.

===========================================================================

Here’s how some definitions:

Howard H. Stevenson (Sarofim-Rock Professor of Business Administration, Harvard Business

School defines Entrepreneurship as:

 process of creating or seizing an opportunity, and pursuing it regardless of the resources

currently controlled
 Entrepreneur (J. Schumpeter): special persons, innovator; anyone who has the potential to be
an entrepreneur and operates within set production constraints
 H. Stevenson steered the study of entrepreneurship at Harvard Business School through the
past 30 years
 According to Rick Goossen “At Harvard, we define entrepreneurship as the pursuit of
opportunities without regard for the resources controlled.”
 Entrepreneur (Knight): a calculated risk taker; an individual who is prepared to undertake risk
and reward-profit- is the return for bearing uncertainty

GEC 20: The Entrepreneurial Mind Page 9

Further Readings:

Online Reading: Mercantilism:

http://enotes.com/mercantilism-reference/mercantilism.
http: wisegee.com/what-is-mercantilism.htm Mercantilism: A Lesson for our Times?
http://misses.orga/daily4304
http://ww.investopedia.com/terms/m/mercantilism Asp#ixzz2G6Uz64
Laissez-faire theory:
Htt://www.invetopedia.com/articles/economics/08/adam-smith-economics-asp#ixzz2N212Kvdy
http://www.investopedia.com/articles/economics/08//adm-smith-
economics.asp#ixzz2GgwmofBL

Karl Marx:
http://www.internationalviewpoint.org/spip.php?artcile 287
http://www.infoplease.com/cig/economics/three-economists-their-theries.html

Joseph Schumpeter:
http://www.transcriptions.english.ucsh.edu/archive/courses/liu/english25/materials/schumpeter.h
tml

=========================================================================

ENTREPRENERUSHIP as a CONCEPT
Professor Stevenson, spells out four tenets of entrepreneurship:
1. Entrepreneurship flourishes in communities where resources are mobile.
2. Entrepreneurship is greater when successful members of a community reinvest excess capital
in the projects of other community members.
3. Entrepreneurship flourishes in communities in which success of other community members is
celebrated rather than derided.
4. Entrepreneurship is greater in communities that see change as positive rather than negative.
Entrepreneurship is an opportunity-focused orientation to general management, one which is
applicable in many situations, regardless of near-term career aspirations. Professor Stevenson encourages
students of Harvard Business School that entrepreneurial career may be a more interesting alternative to a
standard-issue investment banking or management consulting job.
According to his philosophy, students can learn that “controlling your own life is
something an entrepreneur does.” Prof. Stevenson believes student need to be exposed to an
entrepreneur friendly culture and positive entrepreneurial role models. Finally, entrepreneurship
is like having children; it requires a moment of enthusiasm; followed by decades of hard work in
order to be successful.

GEC 20: The Entrepreneurial Mind Page 10

 Process Definition of Entrepreneurship
ENTREPRENEUR
Driven by Perception of opportunity
Quick Commitment
Multi-stage with minimal exposure at
each state
Episodic use of Rent of Required
Resources
Flat with Multiple Informal Networks
Value Based and Team Based
KEY BUSINESS DIMENSION ADMINISTRATOR
Strategic Orientation Driven by Resources Currently
Controlled
Commitment to Opportunity Evolutionary with Long Duration
Commitment Process Single-stage with Complete
Commitment upon Decision
Control of Resources Ownership or Employment of
Required Resources
Management Structure Formalized Hierarchy
Reward System Resource-Based; Individual and
Promotion Oriented

After reading this are the activities that you need to accomplish :

[1] Theory of Mercantilism

[2] Laissez Fairre Theory

[3] Karl Marx's Theory of Socialism

[4] Theory of Socio-Economic Development by J. Schumpeter

The discussion should be related to you as BSN student. It may be in the form of
narrative discussion or in any creative manner that you want to present your
ideas/concept on the 4 theories discussed.

GEC 20: The Entrepreneurial Mind Page 11

 I’m sure you are…. make time for this and the output should be in my
email on or before February 11. 2021 not later that 12:00moon.

What is your commitment?

I will be announcing the top 3 best VMGO, GAD –

Entrepreneurship – BSN student soon output……..
Activity 1: Writing title page and accomplishing checklist

GEC 20: The Entrepreneurial Mind Page 12