The Entrepreneur

Presented by

Prof.B.Manchanda
 Definition of Entrepreneur

• “The entrepreneur, by definition,

shifts resources from areas of low
productivity and yield to areas of
higher productivity and yield. Of
course, there is a risk the
entrepreneur may not succeed”.
(Peter Drucker, ’85)
 Entrepreneurship Vs
Management
• Entrepreneurship
– Creating something new
– New product, new method of
production, new markets, new
source of raw material
– Challenges the ‘norm’
• Management
– Protects
– Stewardship of existing resources
 Why become an
Entrepreneur?

• Personal situation
• Resources
• Entrepreneurial skills
• Success stories
• Desire for independence
• Opportunity to exploit a gap
• Frustration
 Characteristics of an
Entrepreneur
• Drive • Vision
• Perseverance • Motivation
• Ambition • Self-confidence
• Leader • Self Satisfaction
• Survivor status • Extrovert
• Competitive • Results
• Interpersonal orientated
skills • Committed
• Innovative skills • Risk taker
• Ability to bounce • Sociable
back
 Psychological
Characteristics of
Entrepreneurs
• Need for achievement
• Locus of Control
– Internal
– External
• Risk-taking Prosperity
• Tolerance for ambiguity
• Type A Behaviour
– Impatient, time urgency, driving
ambition, competitiveness
• Need for Independence
 What is the Role of the
Entrepreneur?

• Opportunity recognition
• Market uncertainties
– Dealing with the future
• Risk taking
– Businesses, financial and personal
• Resource gathering
• Profits/Reward
Profile of an Entrepreneur

• Self belief
• Passion and vision
• Risk taking
• Persistence
• Hard work
• Commitment to people
 Skills & Competencies
• I can.…Communicate
• I can.... Present
• I can…. Represent my opinion
• I can…. Co-ordinate tasks
• I can…. Develop alternative plans
• I can…. Hand tasks over to a 3rd party
• I can…. Co-operate with others
• I can…. Negotiate
• I can …. Sell
• I can…. Organise and plan
• I can…. Handle numbers
• I can…. Handle technical devices
• My literacy is ….
• My interaction with people is ….
 Motives for Indian
Start-ups
• Desire for independence
• Opportunity to exploit a gap in the
market
• Frustration
• Solution Orientation
• Money
• Safety Orientation
• Change in their life
– Move, redundant, etc.
 Reasons for
Entrepreneurial Success
• Hard work and long hours
• Dedication, drive, enthusiasm and
belief in the idea
• Unsatisfied market demand
• Managerial competence
• Luck
• Strong control systems
• Sufficient capital
 Hurdles in starting up a a
business

• Lack of the right business idea

• Complicated regulatory efforts
• Own financial risk
• Lack of courage
• Lack of right founding partner
• Lack of equity
• Lack of debt capital
• Know-how-deficit
Hurdles in starting up a a
business

• Lack of contact clients/customers

• Economic cycle
• Business environment
• Fear of failure
• Support by family and friends
• Lack of time
• Lack of entrepreneurial skills
 Some Successful Indian
Entrepreneurs
• Flipkart
• Oyo Rooms
• Reliance
• Ghadi Detergent
• Indigo Airlines
• Big Bazaar (Future Group)
• Ola
• ........and many more..
• Have you the ‘fire in your belly’? – Not indigestion but – a
vision; a concept; a belief; in your future?

• Have you the guts to take the rough with the smooth? –
Sure rough times – but accept it and move on.

• If you are entrepreneur – work is fun!!