• Motiva

tion

MODULE 1:

Usefulness of the Course to the Students

✓ Develop skills in starting up a business

✓ Demonstrate skills maintaining business in long term basis
✓ Enhances knowledge of business operations and expansion
✓ Find next level of training or access other resources and services
✓ Demonstrate business management
✓ Uses components of a business plan
✓ Consider to become employer rather than employee
✓ Change attitude toward entrepreneurship as a means of making a living ✓ Change in
personal and career attitudes including:
• Communication
• Self-actualization
• Ability to manage one’s own life
• Self -concept and awareness
• Problem solving
• Collaboration/networking

• Creativity
• Teamwork

Importance of Entrepreneurship Education

❖ Entrepreneurship is very important to our economy.
❖ Entrepreneurship education is an individual life long process.
❖ Entrepreneurship will energize school management.
❖ Entrepreneurship will transform learners to be innovators.

Key Concept and Common Competencies

In starting a business, learners should seek entrepreneurial found competencies such as:

1. Locus of control- Entrepreneurs must know how to determine the state to which a person agreed that or
actions can be directly affect situation, or can control a result.
2. Specific goal setting- Entrepreneurs should be motivated to set goals, particularly business growth
objectives, to increase firm growth resulted in the firm performance and innovation.
3. Self-efficacy- Entrepreneurs must believe in their own ability or self-confidence.
4. Layers of competency- Entrepreneurs should know the group attributes, some of which are applicable to all
entrepreneurs, which others are occupation/industry specific.
5. Need for achievement- Entrepreneurs must have a high need for achievement and take responsibility for
outcome.
6. Ambition- Entrepreneurs must be motivated, persistent, and should persevere even in the face of
situational challenges.
7. Willingness to learn- Entrepreneurs should have strong willingness to learn and pursue opportunities to
acquire new skills and competencies.
8. Strong initiative- Entrepreneurs must have a high initiative and often driven to work.
9. 9. Adaptability and flexibility- Entrepreneurs must learn how to be high flexible and adaptable and often
deal very well with a unique ability to choose actions even without all necessary information.
10. Willingness to take risk- Entrepreneurs are skilled at developing new plans and scenario and can also
identify and calculate risk.
11. Interpersonal skills- Entrepreneurs have the skills of working well with people from different
backgrounds.

➢ Integrity – An entrepreneur has a positive sense of values and personal beliefs, creating in making business
decisions.
➢ Conceptual thinking – The entrepreneur is prepared to use new approaches and comes up with new ideas
that may enhance work.
➢ Risk Taking – The entrepreneur understands that risk taking means trying to anticipate future problems
thus solve new problems that may arise in the business organizations.
 ➢ Networking/Collaboration – The entrepreneur understands that networking can provide access to
information, collaboration and profits; and that careful planning and preparation help achieve desired
results.
➢ Strategic Thinking – The entrepreneur understands that thinking using strategies can help aging achieve
goals in the organization.
➢ Commercial Aptitude – The entrepreneur keeps himself updated with development in the locality; seeks
out best practice; and identifies and determine opportunities.
➢ Decisiveness – The entrepreneur resolves issues as they arise in an avoidable situation and respond flexibly
to deal with changing priorities set by upper priorities.
➢ Optimism – The entrepreneur persists in pursuing goals despite hindrances and problems; performs in
hope of success rather fear of failures; and manages difficult situation.
➢ Customer Relation Service – The entrepreneur develops and builds trust and long term relationship with
customer.
➢ People Centered - The entrepreneur creates commonality among stakeholders, sees and values the best in
others

MODULE 2:

The entrepreneurs are individuals who are alert to profitable opportunities for
the exchange of goods or services. A street vendor in Divisoria takes the opportunity to
make profit by selling school supplies during the opening of class. During Christmas,
they take the opportunity by selling Christmas items and in other occasion sell clothing
apparels at different season.

Entrepreneurial Skills and Competencies

❖ Negotiating
❖ Planning
❖ Risk Assessing
❖ Purchasing
❖ Accounting
❖ Recruiting
❖ Training
❖ Selling
❖ Controlling
❖ Dealing with Emergencies

fe
 ➢ A Missionary
✓ He/she can perceive opportunities to make something new or to improve his
products or services
➢ Goal Driven
✓ He/she sets high goals and strives to attain the projected target and
accomplishment
✓ He accept Challenges and responsibility for result
➢ Marketing Man
✓ He/she can properly identify the needs and wants of the customer and the
society
✓ He/she start at small scale but using the managerial talents and persistence he
grab opportunity to grow and expand.

Factor that Develop Entrepreneurial Activity

➢ The Entrepreneur takes the initiatives
✓ He/she takes the initiative of venturing into business.
➢ The development of Administrative Machinery
✓ He/she assigns individuals with talents and skill to a particular task or duty
➢ The development of Entrepreneurial Autonomy
✓ He/she takes the lead in all the activities of the Organization especially in the
initial stage of operation
➢ The development of SWOT Analysis
✓ He/she must see the environment of the enterprise based on strength,
Weaknesses, Opportunities and Threats of the organization especially on early
stage of operation to forecast future risk.

Job Opportunities

1. New Idea
2. New Product
3. New Business
4. New Employment

Factors to consider in putting up a business

• Start to be on your own

• Explore the Business environment
• Be incontrol
• Have a good accountant or trusted financial adviser.
• Seek professional advise.

Qualities of Successful Businessman

✓ Alert to opportunities and perceptive to make things happen

✓ Endurance to work long hours
✓ Flexible and adapts changes
✓ Self-assured
✓ Personally seeks information or opinion and conduct researches

Opportunity-
seeker

Risk-taker

Committed

Efficient
and Persistent
Quality
Oriented
. Role of Entrepreneurs in the Economy

EMPLOYMENT and INCOME

SAVINGS and TAXES

Entrepreneur’s

Investment
f
e

1. Know your product or services.

2. Analyze the market potentials.
3. Determine the marketing strategy.
4. Know the competitors.
BUSINESS LOCATION

 Small Enterprise – A retail outlet would need a site that is convenient to prospective
customers in terms of parking space or availability of transportation.
Factors to consider
 Rent and space
 Terms of lease agreement
 Type of good or merchandise
 Income level of prospective customers
 Prospective sales volume
 Municipal or city ordinance including taxes and fees
 Location of the Areas
 Small Industrial Plant or Manufacturing Facilities The industrial facility must be in the
investment of funds and its profitability in the long run. It must comply with government zoning
regulation related to pollution and environmental l.

Factors to consider
 Land area
 Facilities for expansion
 Power and utilities
 Building and other utilities
 Plant site accessibility

SWOT ANALYSIS
(Strength, Weaknesses, Opportunities and Threats)

It is an entrepreneurial tool in determining the profitability of the business operation.

Opportunities carries with it some risk involved and this should be look into carefully.
The strength and weaknesses are internal factors to the entrepreneur while
opportunities and threats are external factor.
 Areas of Product Evaluation

 Product strength in the market

 Available technology in the product processing
 Source of raw materials must be abundant and at lower price
 Skilled workers must be available
 Capital investment in machinery and operating expenditure
 Expertise and technical skills of the management team
 Characteristic of weak products and weak management
 Poor quality and high price
 Product Design and Appeal
 Production Cost
 Supply and Demand
 Weak Product Management
 Sustainable product opportunities
 Product Demand
 Presence of poor Quality in the Market
 Government Policies and Support
 Liberal Credit Terms and Interest Rate
 Threats to product profitability
 Entrance of Competition
 Depletion of raw materials as competition arise.
 The Emergence of Labor Unions
 ➢
Factors to consider when business opportunities arise:

 The needs of the society

 Availability of capital resources
 Business inclination
 Clientele
 Availability of raw materials
 Human resources
 Nature of products or services
Business Plan is prepared using a scientific approach in determining possible
business situation considering the different perspectives of people who are interested
in the business. The business plan is actually the roadmap of the new business. It is
the
only single written document that must be prepared before opening a new business or expanding
an existing business. It provides a clear direction to any uncertain business endeavor.
Business Plan is defined as a detailed and integrated written document that describes the
various activities involved in opening and operating a new entrepreneurial venture. The content
and structure of the business plan are almost the same as those of the feasibility studies. The
data shown in the feasibility study are the same set of data presented or used in business plan.

THREE (3) BASIC PHASE OF BUSINESS PLAN

1. Marketing and Distribution Study
 Product demand analysis
 Competitive product advantage
 Design of the marketing program
 Analyzing the market share
 Means of promoting the product and service offered
 Marketing mix
2. Production and Technology Study
 Making of the product or service
 Choosing the appropriate 7P’s of marketing
 Floor plan
 Human resources
3. Financial Management
 Source of investment
 Rate of return on investment
 Break-even sales
 Pricing sensitivity test
GENERAL FORMAT OF A COMPREHENSIVE BUSINESS PLAN

I. INTRODUCTION
The introduction contains the rationale and the background of the study undertaken. It
should include the importance of the project and the proponents’ background and their desire to
establish the business.
II. PROJECT SUMMARY
B. Business location
C. Brief description of the business
 Usually is all about the history or how the business was organized
 Highlight of the findings in every phase of the business study
III. MANAGEMENT AND PERSONNEL COMPONENTS
IV. MARKETING STUDIES
A. Market Profile- covers the information about the potential users of the product how to
reach them.
B. Demand Analysis

 Projected consumption in the first year of operation, the five years and ten years
operation.
 Major segment users of the product and their location.
C. SUPPLY ANALYSIS
1. Source of Product Supply
a. Foreign suppliers
b. Local suppliers
2. Factor Analysis of the Past and Future Supply Chain
D. COMPETITIVE ANALYSIS
1. Selling Price refers to the selling price of the product.
2. Competitors the competing product in the market as to its quality and market
acceptability.
3. Distribution and Cost of Transportation refers to the transfer or movement of
products from the producer to the ultimate consumer.
4. Channel of Product Distributions refers to the means of reaching the
target market or it is the method or strategy to penetrate a particular
market segments.
5. General Competitive Practice is the analysis of how competitors
distribute the product to existing end users.

MODULE 4

DISSCUSSION

In building product, entrepreneurs can meet customer’s needs. In identifying market problem,

the following can be considered.

➢ Existing customers – people who already purchased the product you are selling
➢ Target market users – people in your target market who are not currently looking for a
solution to their market need.
➢ Prospect or Potential buyers – people who have not yet purchased your product but
have an intention to buy.

Tips in Identifying Market Problem

o Focusing only on innovation and the

competition o Focusing only on customers o
Focusing only on revenue

Potential users say that the goal of the seller is to understand the target market’s
everyday problem; whether or not you believe that you can initially solve those problem
How to evaluate market problems?

➢ Is the market problem urgent?

✓ If YES, prepare ACA (alternative courses of action). Enumerate their advantages and
disadvantages
➢ Is the problem pervasive or easily diffused?
✓ If YES, apply temporary solution or first aid
➢ Determine whether customers are willing to pay the cost to solve the problem.

Problem-Identification Research

Objective: To discover whether the problem or opportunity is existing in the business Note:

Entrepreneurs perceive market problems as opportunity and expand their business.

Content of the study:

• Brand Image – Anything that distinguishes a company’s product from other similar
product. Example of brands, include logos, catchphrases, or symbols. Brand makes a product
more recognizable and therefore is likely to attract customers and customers’ loyalty.
• Market Characteristic – describes attributes of the buyers in making decision related in
purchasing a certain product.
• Market Potential – the estimated maximum total sales revenue of all suppliers of a product
in a market during a certain period.

• Market Share – is the percentage of a total sale volume in a market captured by a brand,
product or company.

Problem -Solving Research

Content of the study:

• Distribution Research – determine on how to transfer the product from the

manufacturer to ultimate user.
• Market Segmentation – grouping of customers by similar characteristic or similar
behaviours.
• Pricing Research – determining the ideal price for the product. Setting the price for the
product is one of the most important marketing steps.
 • Product Research – testing the new or revised product or completing marketing
• Promotional Research – determining the best research in the area of information

TECHNIQUES ON SEEKING, SCREENING, AND

SEIZING OPPORTUNITES

Factors that are Contributory Determinants to Slow Growth in Economic

Development

1. The Filipino Values and Culture

➢ Love for Imported products – We still feel that imported products are superior in quality.
We love the taste of imported chocolates, the taste of apple rather than our local fruits like
guava, love of imported cloth rather made in the Philippines. Buying imported goods develops
the economy of the foreign countries and drains the Philippine economy.

➢ Values of Bahala Na – concept of belief in BATHALA, the Gods of lazy of bones and
undetermined individuals. A truth Filipino entrepreneur will not put his destiny in the hand of
BATHALA. He must act with strong determination and push for the development of idea. Faith in
GOD could be the driving force of any entrepreneur to make things happen as he believes that
his power to think and innovate comes from true GOD that guides the destiny of man.

➢ Crab Mentality – Act of people to pull down others because of envy and jealous. This is a
sample of unhealthy competition. There are many of us who destroy others to get reach of
success. Clear example is the opening of SARISARI STORE where in same kind of business is
found in the next corner.

➢ MANANA HABIT – MAMAYA NA or BUKAS NA is a culture that is bought to us by the

colonizer who were found of SIESTA after lunch time. We take time in stride wasting time.
according to their plans. Hard work and dedication are the qualities in the making of successful
entrepreneur.

➢ Value of Time – Time wasted is opportunity lost in making fortune. Time is gold as the saying
goes. Entrepreneurs get the golden opportunity as they do not lost time to make money and
fortune.

➢ Value of HIYA – could be a positive value in dealing with business condition. It could be
propelling reason for us to create better service and proper dealings in business transaction.
There are still many of us who make short cut in business dealings. Good in its face value but
with hidden agenda of fraud and deception. Our political and social systems have not developed
 the value of HIYA, as graft and corruption still exist because of our love for material things,
money, and power. Power is the hands of WALANG HIYA that amass the wealth of the
people’s taxes which supposed to eliminate poverty, and develop and improve education.

➢ Fiesta and Social Occasion – The celebration of Fiesta of Saints we inherited from the
Spanish colonizers could be another factor in the slow development of our country. People
specially in the country side would have all their savings spent in a day of the fiesta, entertaining
guest, only to find out the next day that there is no more rice to feed their children. There could
be nothing wrong with celebration as it is a part of happy Filipino. negative side is the little
money that we could spent in more important business that would generate more profit in the
long run. Spending money in birthdays, baptism, and other social occasions is no means for an
alarm but if we need to make loans with a high interest rates, then that creates problem with
our daily budget.
2. Information of the Means to Obtain Capital – most of the aspiring entrepreneur came
from the poor status of life and majority do not have the means to start a small business.
a. RA 6977 Magna Carta for Small Business or Enterprise
✓ Developmental funds for entrepreneurs in the country
side
✓ Small and Medium Enterprise
✓ Engaged in Agribusiness

b. RA 6810 Magna Carta for Countryside and Barangay Business Enterprise

Contribution of the Entrepreneurs to Socio Economic Development

➢ Employment – Generates income and those employed pay taxes to the

government which in turn gives benefits to the social and educational need of the
greater population.
➢ Pay Taxes – Entrepreneurs pay taxes in the form of real estate tax, sale tax,
import and export tax, and permit from the local and national government. Taxes
collected from the entrepreneur pump up the development of better
communities in terms of better road facilities, buildings for the masses, and other
social services.
➢ Improves Capital Base of the Economy –Entrepreneurs mobilize
economic activity as the circulation of money which pumps up the economic
development of the community. Product innovation and development is the
making of entrepreneurs. Mobile phone is the newest contribution of the
entrepreneur to make a new life style for more Filipinos. Communication between
individuals and business became so easy and handy as everyone enjoys new
innovation.
 ➢ Earn Profit –Profit, in return, is growth in investment base that will propel
more business activities. Entrepreneurs do not keep their money in the piggy
banks or make this as idle deposit in the banks. The greater money in the
circulation the greater is the economic activity of the nation. More investment
generates more employment opportunities for the people.
➢ Create People Empowerment and Social Mobility –Entrepreneurs
accumulate financial resources that give them social power in the community.
They can afford to buy some personal luxuries of life. They acquire new life style
of travel and pleasure.

➢ Provides Healthy Competition – Healthy competition provides people with

choices of new products or better services. Entrepreneur seeks better product and
develops new ones that will satisfy their target customer. Competition develops
pride for the entrepreneur that their product or service is superior from the other.

MARKET NEED ANALYSIS

“ There’s nothing wrong with staying small.
You can do big things with a small team “– Jason Fried

Define the Market Need for the New Business

In analyzing the market need, the following question should be asked: o

Who will get interested in my product? o What does the market
need or want? o Who is buying the product? o What and how
much? o How, where and why are they buying those goods or
services?

Market Analysis – is defined as quantitative and

qualitative assessment of
market’s ability to respond positively.
How to do a Market Analysis?

1. Segmentation
Segmentation is the process of dividing into segment with similar characteristic. It can be segmented
through its size (number of potential customer) and the value of the number of potential customers. It is
based on the following variables:

2. Needs and wants

3. Attitude
4. Social Class
5. Personality traits
6. Knowledge and awareness
 7. Brand concept
8. Life style

2. Demographic is the statistical characteristic of a human population (as age or income) used
specially to identify market. The common demographic variables are the following:

➢ Gender (Male or Female)

➢ Age ( 0 -5, 6 – 12, 13 -19, 20 above)
➢ Income ( below minimum wage, minimum wage and above minimum wage)
➢ Occupation ( laborer, office staff and manager)
➢ Religion ( Catholic, Muslim, and Christian)
➢ Family size ( it depend on the number of family member)

2. Target Market
This is the type of customers that are focused within the market. It is focused more on the
qualitative side of the market analysis by looking at what drives the demand.

4. Competition

Determining the competitors’ positioning and describe their strength and weaknesses.

Barriers to Entry

IMPOTANTE TO! TANDAAN NYO HAHA

➢ Investment Requirement (Project that requires a huge investment)

➢ Technology (application of the combination of scientific and engineering
knowledge)
➢ Brand (The huge marketing cost required to get a certain level of appreciation)
➢ Regulation (licenses and permit)
➢ Access to distribution channel (exclusivity with distributors, availability
of intermediaries)
➢ Location (place, venue)
TANDAAN NYO TO KASI SURE NA LALABAS TO!!!! Ito ung binigay ni Ma’am

- all business people are entrepreneur – FALSE

- goals are broad while objectives are specific – TRUE
- poverty is making its people choose the kind of leaders that hold the wheels of econ
future – TRUE
- the executive summary appears at the end of the business plan and summarizes the
details of the plan - FALSE (start of the business plan)
- a person who is efficient produces more products using more production input - TRUE

SWOT analysis
Missionary
Executive Summary
Encourage students to get a job
Sound Familiar
consumer
Optimism
Self efficacy
Entrance of competition
Business Plan

HINDI NYO TO KAILANGAN KABISADUHIN! INTINDIHIN NYO KUNG PANO GAWIN!!!!

MARKET SEGMENTATION is the process of dividing your target market into smaller, more
manageable groups of people based on common ground they share to optimize their
marketing, advertising, and sales efforts. Its is based on GEOGRAPHIC, DEMOGRAPHIC,
PSYCHOGRAPHIC AND BEHAVIORGRAPHIC
Ang market segmentation po ay paraan na kung saan pinaghahati hati nyo o ginugrupo nyo po
ang ang mga customer or ang inyong target market- (ibig sabihin po ng target market ay grupo
ng mga mamimili na inyong pinag tutuunan ng higit na pansin upang sila ang lubos na
makinabang sa inyong product na tinitinda or ibinibigay na serbisyo.

Example ng target market ay if kung ang negosyo nyo ay milktea, ang inaasahan nyong
tatangkilik ng milktea ay mga teenager or students dahil sila ang mahilig uminom nito. Ang mga
students na ito ang target market nyo. Sila ang nagiging rason ng mas lalo nyong papagpupusige
na mas lalo pang masarap ang product nyo.

Ang mga target market natin na ito ay kailangn natin i-divide or ihati ihati (or i-segment) para
mas mapadali natin malaman ang knilang mga gusto or pangangailangan. This practice allows
you to focus your marketing efforts on individual customer segments so that you can better
cater to their specific wants and needs.

Ang market segmentation ay naka categorized sa apat na method:

Geographic segmentation- na kung saan binabase natin ang pangangailangn ng mga customers
base sa knilang region, or lugar kung saan sila kabilang.

Demographic segmentation- binabase ntin ang needs of the customers depende sa kanilang
age, gender, education level, family size, occupation

Psychographic segmentation- ito po ay base sa kanilang values, personalities, interests,

attitudes, conscious and subconscious motivators, lifestyles, opinions, and more.

Behavioral segmentation-ay base naman sa kanilang behavior or hoe they respond or react into
certain thing or situation
Kung milktea ang product mo, and those teenagers or students are your target market, I
segment mo sila according sa:
GEOGRAPHIC- mas marami ang mga teen agers or students na iinom ng milktea sa mga lugar na
hindi kalamigan, like dito sa NCR or iba pang mga lugar na pwedeng inumin ang milktea dahil ito
ay nakakapawi ng init or uhaw. Hindi magiging masyadong priority sa mga lugar na malalamig
dahil malamang wlang gaanong bumili katulad ng Baguio or Tagyatay.

DEMOGRAPHIC- depende sa:

age- more or less 15-28 years old ang mhihilig sa milktea
gender: mostly mga girls
education level- high school to college
etc..

PSYCHOGRAPHIC- Halimbawa naman nito ay kung milktea ang product mo at ang target market
mo ay mga estudyante or teen agers, iisipin mo din ang lifestyle nila,, baka may mga ilan dito na
hindi mahilig sa lasa ng Tea, kaya pwede nyo silang gawaan ng milktea na may ibang substitute
at di nila masyado malalasahan ang lasa ng tea.

BEHAVIORAL- Kung mga teen agers or students na ito ay binibigyan mo ng reward sa palagian
nilang pagbili or pangtakilik ng inyong product, mas magiging mataas ang chance na uulit ulit
sila sa pagbili sa iyo. at dito pumapsok ang behavior or kung paano sila magrereact sa
pagbibigay mo sa knila ng rewards.

Example sa module:
PRODUCT: SKIN CARE
METHODS OF SEGMENTING: DEMOGRAPHIC and PSYCHOGRAPHIC

** DEMOGRAPHIC ksi nakadepende sa age, gender at sa financial capability ng isang consumer

ang mga skin care na iooffer ntin. anong edad ba ang pwedeng gumamit, babae ba or para sa
lalaki, o kaya ba ng kanyang financial ang presyo, kung medyo mahal ang price baka dapat
middle class ang target mo.

Pwede rin PSYCHOGRAPHIC kasi nakadepende opinion or lifestyle ang paggamit ng mga skin
care na yan