INTRODUCTION TO ENTREPRENEURSHIP UTS SUMMARY

I. Entrepreneur, Consumer, and Producer Behavior

A. Entrepreneurship: The concept of entrepreneurship is about creativity of
identifying opportunities and managing to build innovation for new products and
services which brings an impact to the business. Building innovation requires a
lot of skills which could be developed in entrepreneurship as long as they are
required to be innovative, visionary, and able to take risks. Moreover,
entrepreneurship frees us in expressing our ideas in innovating our business.
Hence, entrepreneurship gives huge impacts on both individuals and the society.
B. The Differences between Entrepreneur, Consumer, and Producer Behavior
1. Entrepreneur: individuals who identify opportunities and take risks to create
and manage businesses. Their behavior is characterized by innovation,
resourcefulness, and a willingness to bear uncertainty. Entrepreneurs exist to
fulfill products and services demand of customers.
2. Producer Behavior: the actions and decision-making processes of individuals,
businesses, or organizations involved in the production of goods and
services. Producers are responsible for creating, manufacturing, or providing
goods and services to meet the demands of consumers or other businesses.
Hence, this behavior consists of factors and variables that influence the
efficiency of process and overall production such as Land, Labor, Capital,
and Entrepreneurship.
3. Consumers: an individual or entity that purchases goods or services for
personal use or consumption. In the context of economics, consumers are the
end-users of products and play a crucial role in the demand side of the
market. Consumers make decisions based on their preferences, needs, and
budget constraints.
II. Type of Income
A. Passive Income: Passive income is earned from investments or business activities
in which the individual is not actively involved. Examples include rental income
from real estate properties, dividend income from stocks, interest income from
savings accounts or bonds, or royalties from intellectual property.
 B. Earned Income: This is income earned through active work or employment. It
includes salaries, wages, tips, bonuses, and commissions. Earned income is
typically the primary source of income for individuals during their working years.
C. Retirement Income: Retirement income is earned after individuals retire from
active employment. It can come from various sources, including pensions,
annuities, Social Security benefits, or distributions from retirement savings
accounts like 401(k) plans or individual retirement accounts (IRAs).
III. Characteristic of Entrepreneurship
A. Bricolage: an entrepreneurship and innovation concept that refers to the skill of
using whatever is at hand and recombining all that to create something new. The
ability of entrepreneurs in making something under utilized resources and
combining them into productive resources or creating a business.
B. Effectuation: causal and effectual logics differ in terms of the way entrepreneurs
react to unexpected events and deal with the market context and challenges.
Under causation, entrepreneurs aspire to implement an initial strategic plan and
respond negatively to unforeseeable events, which are considered obstacles to
executing the plan (Sarasvathy, 2001). Effectuation, on the other hand, is an
adaptive process whereby entrepreneurs seek out and incorporate external
feedback. This flexibility allows effectual decision-makers to use unforeseen
events to the emerging firm's advantage. Entrepreneurs who adopt a causal
framework are competitor oriented, focus on building their competitive
advantage, and protect their venture's know-how from outsiders.
C. Thinking Structurally: a problem-solving approach that focuses on understanding
and analyzing the underlying structures and systems that influence a business or
industry. Entrepreneurs who think structurally often apply systems thinking,
which is a discipline that emphasizes understanding the whole system rather than
focusing solely on individual parts. By thinking structurally, entrepreneurs can
gain a deeper understanding of their business environment, anticipate potential
risks and opportunities, and make more informed decisions to create sustainable
and scalable ventures.
D. Cognitive Adaptive: How entrepreneurs give feedback by embedding cognitive
processes into the environment and adjusting their decision-making approach
effectively and adequately, which emphasizes the effect of entrepreneurs'
self-reflection and self-adjustment on cognitive process and ability
 E. Lean Startup
1. Determine target customers
2. Identify Underserved Customer Needs
3. Define Value Propositions
4. Specify Minimum Viable Products
5. Create MVP Prototype
a) Delightful
b) Usable
c) Reliable
d) Functional
IV. Business Idea
A. Problem-Solution Fit Analysis
1. Problem: Indonesia is facing a plastic waste emergency. Traditional
packaging waste (plastic and styrofoam) is one of the biggest contributors to
pollution and environmental degradation in Indonesia.
2. Root/Cause: The growing concern over climate change and pollution due to
the use of non-renewable materials. During COVID-19 pandemic, the
dependency and usage of packaging for food and beverages is increasing,
leading to companies to exchange their packaging into the eco-friendly ones.
3. Behavior: Referring to the records of the Indonesia Packaging Federation in
2020, it is known that the use of packaging materials in Indonesia is
dominated by plastic, which is 44%. The remaining 28% use paperboard and
14% use rigid plastic packaging
4. Customer Segments: Business Owners and Consumers who are
environmentally conscious
5. Customer Limitation:
a) Budget: Eco-friendly packaging is often more expensive than traditional
packaging materials. This is because eco-friendly packaging is often
made from sustainable materials, which can be more expensive to
produce.
b) Ease of Access: Eco-friendly packaging is not always as widely
available as traditional packaging materials. This is because it is still a
relatively new and niche market.
 c) Habit; Some people in Indonesia may prefer traditional packaging
materials because they are more familiar with them. They may also
believe that traditional packaging materials are of higher quality.
d) Lack of Awareness: Many people in Indonesia are not aware of the
benefits of eco-friendly packaging, or they may not understand the
different types of eco-friendly packaging available.
6. Available Solution: Several eco-friendly packaging vendors, however there’s
no top-of-mind brand yet.
a) Reducing pollution: Eco-friendly products are often made from natural
materials and are free from harmful chemicals that can pollute the air,
water, and soil
b) Conserving natural resources: Eco-friendly products are often made from
renewable resources and are designed to be reused or recycled, reducing
the need for new resources
c) Protecting human health: Eco-friendly products are free from harmful
chemicals that can cause health problems, such as respiratory issues, skin
irritation, and allergies
d) Reducing waste: Eco-friendly products are often designed to be durable
and reusable, reducing the amount of waste that ends up in landfills
e) Reducing greenhouse gas emissions: Eco-friendly products are often
made using sustainable manufacturing processes and renewable energy
sources, reducing the amount of greenhouse gasses emitted during
production
B. Disruption as Business Idea
1. The existence of product packaging in the market
2. Improve the product packaging by modifying into an eco-friendly that
supports in reducing the use of plastics
V. Business Canvas Model
A. Key Partners
1. Suppliers:
2. Manufacturers:
3. Expeditions: JNE, J&T, dkk
B. Key Activities:
1. Product Design
 2. Sustainable Packaging Production
3. Sales and Logistics
C. Key Resources:
1. Product Sales
2. Community Engagement
D. Value Propositions
1. Customer Gain: Sustainable packaging could increase competitive
advantages of business by offering sustainable practices and reduce the
plastic waste problems in Jakarta
2. Pain Relievers: This product could decrease the going concern of climate
changes and waste pollution and create satisfaction of the positive impact to
environment
3. Products: Eco-friendly Packaging consists of Biodegradable Packaging,
Recycled Packaging, and Reusable Packaging
E. Customer Relationship
1. Social Media
2. Newsletter
3. Social Campaigns
F. Channels
1. Instagram
2. Web stores
3. Surveys
4. E-commerce
G. Customer Segments:
1. Environmentally-conscious people
2. Seller in-need of eco-friendly packaging
H. Cost Structure
1. Production Cost
2. Marketing Cost
3. Salaries
I. Revenue Streams
1. Sales
2. Sponsorship
3. Partnership with F&B business