ENTREPRENEURSHIP

- Entrepreneurship boosts the economy by creating job

opportunities, increasing capital income, improving living
standards, and generating revenue for the government through
taxes and regional development.

RELEVANCE OF ENTREPRENEURSHIP TO AN
ORGANIZATION

Development of Managerial Capabilities - This means that one of the

benefits and entrepreneurship gets is to develop his managerial skills.
Creation of Organization - Which means that because the
entrepreneurship many organizations will exist.
Improving Standard of Living - This means that entrepreneurship can
lift up the economic status of an individual.
Means of Economic Development - This means that not the only life of
the entrepreneur is improve, but also the society where business is
located.

CONCEPT OF ENTREPRENEURSHIP
- The word “Entrepreneur” was derived from the French verb
“entreprendre” which means “To undertake”. This is
pinpointing to those who “undertake” the risk of the enterprise.
The enterprise is created by the entrepreneur and the process is
called “Entrepreneurship”.
- Entrepreneurs are innovators. They are willing to take the risks and
generate unique ideas that can provide profitable solutions to the
needs of market and society.
 FACTORS AFFECTING ENTREPRENEURSHIP
1. Personality Factors which include:
Initiative - Doing things even before being told.
Proactive - This means he can classify opportunities and seize
them.
Problem Solver - Means he can retain good relations with other
people.
Perseverance - Meaning he will pursue things to get done
regardless of challenges.
Persuasion - Means that he can entice people to buy even if they
don’t want to.
A Planner - He makes plans before doing things and does not fall
to monitor it.
Risk Taker - Which means that he is willing to gamble, but he
will calculate it first.

2. Environmental Factors - Which include: political, climate, legal

systems, economic and social conditions, and market situations.

COMMON AND COMPETENCIES OF

ENTREPRENEURSHIP
1. Decisive - Entrepreneurs must be firm in making decisions.
2. Communicator - An entrepreneur must have convincing power.
3. Leader - Entrepreneurs must have the charismas to be obeyed by
their employees.
4. Opportunity Seekers - An entrepreneur must have the ability to
be the first to see business chances.
5. Risk-Taker - An entrepreneur has the courage to pursue business
ideas.
 6. Innovative - An entrepreneur has big business ideas and he does
not stop improving and thinking of new worthwhile ideas for his
business.

CORE COMPETENCIES OF ENTREPRENEURSHIP

Economic and Dynamic Activity - Entrepreneurship is an economic
activity because it involves the creation and operation of an enterprise
with a view to creating value or wealth by ensuring the optimum
utilization of limited resources.

Innovative - The entrepreneur constantly looks for new ideas, thus he

needs to be creative.

Profit Potential - The entrepreneur can be compensated by his profit

coming from the operation.

Risk Bearing - The entrepreneur needs to gamble but wise enough to

offset the risk.

TYPES OF ENTREPRENEURSHIP
Innovative Entrepreneurs - They are those who always make new
things by thinking of new ideas. They have the ability to think newer,
better, and more economical ideas.

Imitating Entrepreneurs - They are those who don’t create new things
but only followers the ideas of other entrepreneurs.

Fabian Entrepreneurs - They are skeptical about changes to be made

in the organization. They don’t initiate but follow only after they are
satisfied.
Drone Entrepreneurs - They are those who live on the labors of the
others. They are die-hard conservatives even ready to suffer loss in
business.

Social Entrepreneurs - They are those who initiate changes and drive
social innovation and transformation in the various fields such as
education, health, human rights, environment, and enterprise
development.

CAREER OPPORTUNITIES OF
ENTREPRENEURSHIP
Business Consultant - With expertise in the field of entrepreneurship,
he can be a very good source of advice to other entrepreneurs and
would-be businessmen.

Teacher - A graduate of entrepreneurship can use his knowledge in

teaching.

Researcher - The entrepreneur can be employed as a researcher by an

enterprise.

Sales - The entrepreneurship graduate can apply as a salesman.

Business Reporter - The entrepreneur being an expert in the field can

be employed as a business reporter.

RECOGNIZE A POTENTIAL MARKET

Entrepreneurial Ideas - The creation of an entrepreneurial idea leads to
the identification of entrepreneurial opportunities, which in turn results
in the opening of an entrepreneurial venture. The entrepreneurial process
of creating a new venture is presented in the diagram below.
ESSENTIALS IN ENTREPRENEUR’S OPPORTUNITY
- SEEKING
- Entrepreneurial mind frame
- Entrepreneurial heart flame
- Entrepreneurial gut game

Entrepreneurial Mind Frame - This allows the entrepreneur to see

things in a very positive and optimistic way in the midst of difficult
situations. Being a risk taker, an entrepreneur can find solutions when
problems arise.

Entrepreneurial Heart Flame - Entrepreneurs are driven by passion;

they are attracted to discover satisfaction in the act and process of
discovery. Passion is the great desire of an entrepreneur to achieve
his/her goals.

Entrepreneurial Gut Game - This refers to the ability of the

entrepreneur to be intuitive. This is also known as intuition. The gut
game also means confidence in one’s self and the firm belief that
everything you aspire can be reached.

SOURCES OF OPPORTUNITIES
- Changes in the environment
- Technological discovery and advancement
- Government’s thrust, programs, and policies
- People’s interest
- Past experiences

Changes in the environment - Entrepreneurial ideas arise when

changes happen in the external environment. A person with an
entrepreneurial drive views these changes positively.
External Environment - Refers to the physical environment societal
environment and industry environment where the business operates.

Physical Environment
Climate - The weather conditions
Natural Resources - Such as minerals, forests, water, and fertile
land that occur in nature and can be used for economic gain.
Wildlife - Includes all mammals, birds, reptiles, fish, etc.. that live
in the wild.

Societal Environment
Political Forces - Includes all the laws, rules and regulations that
govern business practices as well as the permits, approvals, and licenses
necessary to operate the business.
Economic Forces - Such as income level and employment rate.
Sociocultural Forces - Customs, lifestyles, and values that
characterize a society.
Technological Environment - New inventions and technology
innovations.

Industry Environment
- Competitors
- Customers
- Creditors
- Employees
- Government
- suppliers

Technological Discovery and Advancement

- A person with entrepreneurial interest sees the possibility of
business opportunities in any new discovery or because of the use
of latest technology.
Government’s Thrust, Program, and Policies
 - The priorities, projects, programs, and policies of the government
are also good sources of ideas.

People’s Interest
- The interests, hobbies, and preferences of people are rich sources
of entrepreneurial ideas the increasing number of internet Cafe at
present could lead to the strong attachment of young people to
computers.

Past experiences
- The expertise and skills developed by a person who has worked in
a particular field may lead to the opening of a related business
enterprise.