Entrepreneurship &

entrepreneurs:
Introduction

Recognise these faces

Tan Sri Robert His

Kuok
Hock
business
interests
range from sugarcane
Nienplantations (Perlis

According to Forbes his net

worth is estimated to be
around $12.5 billion on July
2012, making him the
richest person in Malaysia
and Southeast Asia

Plantations Bhd),
sugar refineries, flour
milling, animal feed,
oil, mining, finance,
hotels, properties,
trading, freight and
publishing.
Biggest source of
wealth is stake in
Wilmar International,
the world's largest
listed palm oil
company.

 Currently,
he has
Tan Sri T Ananda
Krishnan
business interests in

Currently estimated to have a net

worth of US$9.5 billion according
to Forbes' July 2012 list of
wealthiest people,
making him the second
wealthiest in Southeast Asia
behind Robert Kuok, and number
89 in the world.

media (Astro), satellite

(MEASAT), oil and gas
(Bumi Armada, Pexco),
telecommunications
(Maxis, Aircel).
He owns stakes in
Tanjong Public Limited
Company, an
investment holding
company with
subsidiaries involved in
power generation
(Powertek), gaming
(Pan Malaysian Pools),
leisure (Tropical Islands,
TGV Cinemas) and
property.

 the richest
Bumiputra AlTan Sri Syed Mokhtar
corporate figure in
Bukhary
Malaysia.
involvement in
diversified business
areas which
include
transportation and
net worth estimated to be
logistics,
US$2.5 billion according
plantations,
to Forbes in July 2012,
making him the 8th richest
Malaysian.

property

development,
defense and
armory as well as
engineering and

Carlos Slim Helu &

family

retains the title of world's

richest man for the third
year in a row
Estimated Net worth
$US 69 B

Chairman, Telmex
Age: 72
Source of Wealth:
Telecom, Self-made
Residence: Mexico City,
Mexico
Country of Citizenship:
Mexico
Education: Bachelor of
Arts / Science,
Universidad Nacional
Autonoma de Mexico

Bill Gates

Net Worth $61 B

As of March 2012

Age: 56
Source of Wealth:
Microsoft, Selfmade
Residence:
Medina, WA
Country of
Citizenship: United
States
Education: Drop
Out, Harvard
University

Steve Jobs

#110 Forbes Billionaires (2011)

Source of Wealth:
Apple, Pixar,
Self-made
Country of
Citizenship: United
States
Education: Drop
Out, Reed
College

Entrepreneurship &
entrepreneurs?
What they do?
Characteristics?

Entrepreneurship
Shaper & Volery (2007):
The process brought about by individuals,
of identifying new opportunities and
converting them into marketable products
or services

Definition of
Entrepreneurship
Entrepreneurship is a process of creating
and expanding businesses that collectively
form a force for national development and
societal prosperity.
Entrepreneurship involves not only the
process that leads to the setting up of a
business entity but also the expansion and
development of an on going concern.
The study of entrepreneurship is
concerned with the entrepreneurial
behavior, the dynamics of business set up
and expansion and development.

THEORIES & CONCEPTS

ON ENTREPRENEURSHIP
Adam Smith (1776) - An
entrepreneur is a person who acts as
agent in transforming demand into
supply.
Carl Menger (1871) - The
entrepreneur acts as an economic
agent who transforms resources into
products and services. The
entrepreneur transforms and gives
added value.

 Joseph Aloysius Schumpeter (1934) An entrepreneur is an innovator. The

economy moves through leaps and
bounds and the prime mover is the
entrepreneur through the process of
creative destruction.
Alfred Marshall (1936) - The process
of entrepreneurship or business
development is incremental or
evolutionary . It evolves from sole

 Ibnu Khaldun (Abdul Rahman

Mohamed Khaldun) - The
entrepreneur is seen as a
knowledgeable individual and is
instrumental in the development of a
city-state where enterprise will
emerge.
David McClelland - The entrepreneur
is a person with a high need for
achievement. This need for

DEFINITIONS OF AN
ENTREPRENEUR
And the list of
the definitions
could go on
and on and
onthe list is
not
exhaustiveit
can be as many

18

Opportu
nist

Econom
ic Agent

Prime
Mover

Strategi
st

Innovat
or

Busines
s Setter

Initiator

High
Achieve
r

Imitator

Convert
er

Risk
Taker

Energiz
er

DIFFERENCE BETWEEN
ENTREPRENEURS AND
INVENTORS
An
inventor
creates
something new.

An
entrepreneur
puts
together all the resources
neededthe money, the
people, the strategy, and
the risk bearing ability to
transform
the
invention
into a viable business.

20

Key Elements
Opportunity
Recognises
Evaluates
Exploits

Environment
focus
Attracts
Combines

Resources

The
entrepreneur
Builds
Manages

configuration
Environment

Environment
fit

Organisation

medec

All
these
qualities
were
exemplified by Pierre Omidyar,
the founder of eBay. Omidayar
saw an opportunity to create a
marketplace where people could
find each other online, he risked
his career by quitting his job to
work on eBay full time, and he
worked hard to build a profitable
company that delivers a creative
and
useful
service
to
its
customers.
ETR 300

22

WHY BECOME AN
ENTREPRENEUR?

Control over
time

Fulfillment

Control over Compensation

Salary, Wage, Dividend &
Commission

Creation /
Ownership

Control over Working

Conditions

COSTS AND BENEFITS OF

ENTREPRENEURSHIP

Costs

Business failure
Obstacles
Loneliness
Financial Insecurity
Long Hours/Hard Work

Benefits

Independence
Satisfaction
Financial Reward
Self-Esteem
Contribution to Society

OUTCOME OF
ENTREPRENEURSHIP
Economic
growth
New
industry
formation
Job creation

2
5

ENTREPRENEURSHIP DEVELOPMENT
IN MALAYSIA

Entrepreneurship has existed in

Malaysia since the interaction of
Malacca with foreign traders.
When the British colonized in Malay
Peninsular, they practiced the divide
and rule system :
Malays engaged in administration and
agriculture
Chinese engaged in mining and
business
Indians engaged in rubber plantations

ENTREPRENEURSHIP DEVELOPMENT
IN MALAYSIA

After independence, the Malaysian government

has
been
focusing
on
the
field
of
entrepreneurship until today.
Several agencies established to manage and
promote the growth of entrepreneurship are SME
Corp, TEKUN, MARA, PUNB, and etc.
Others: The New Economic Policy (1971-1990),
The National Development Policy (1990 2000),
Vision 2020

ISLAMIC ENTREPRENEURSHIP

ISLAMIC ENTREPRENEURSHIP
EIGHT PRINCIPLES OF THOUGHTS :

Integration
Human Nature
Motivation
Ibadah
Position of Business and
Entrepreneurship

System

Guidelines

Exemplary Conducts

INTEGRATION
Islam is a complete way of life. There is
no separation between business and
religion. Islam has its own
entrepreneurship culture.

HUMAN NATURE
By virtue of the human nature, the person
must firstly be a Muslim, then an
entrepreneur. He has the responsibility to
perform ibadah and be a khalifah. Muslim
entrepreneur should search for Gods
blessings above all other factors. A Muslim
entrepreneur perform business not solely for
profit, but above all, to fulfill the fardhu
kifayah.

MOTIVATION
The successful path and means for achieving
success for entrepreneurs are unique.
Success in Islam is not merely measured by
the end result, but also the means and ways
of achieving them.

The pursuit of wealth must be

accompanied by intention, means,
management and usage as stipulated by
Islam

SUCCESS FORMULA BY ALQURTUBI

Halal (lawful livelihood)

Qanaah (be pleased with ones earnings)

Taufiq (blessings of Allah in proportion to

ones expections)

Saadah (happiness)

Jannah (heaven)

IBADAH
In Islam, involving in business is part
of ibadah through the fulfilment of
fardhu kifayah.

MUSLIM ENTREPRENEURSHIP
ETHICS
To prevent laziness

To eradicate fear

To search for legitimate ventures

To avoid forbidden sources of income

property

To show gratitude and thankfulness of

whatever has been acquired

To grow and develop capital and profit

To diversify business ventures

To avoid greediness

and

MUSLIM ENTREPRENEURSHIP ETHICS

To avoid malicious behavior

To avoid squandering

To avoid stinginess

To pay alms (zakat)

Trustworthy

To pray consistently

Tawakkal

Patience

Qanaah