Professional Documents
Culture Documents
Intrapreneurial culture:
Employees with talents to act with
freedom to take initiatives or try out
new ideas as if they were running
their own business
Differences between entrepreneurship
and entrepreneurship
Intrapreneurship Entrepreneurship
Acts within the confines Acts outside the
of existing organization organisation
Challenges the status Challenges the status
quo and fights to change quo outside the
the system from within organisation
Has “free” resources Has to look for his
found in the organisation resources
Factors retarding intraprenuership
The cost of failure too high, the reward of
success too low
• No space is provided for failure
• No reward for innovative ideas
Inertia caused by established systems that
no one is willing to changed
“we have always done it like this’ If it
ain’t broken, don’t fix it” “changing now
would be too much effort”
Factors retarding intraprenuership
(cont…)
Hierarchy – the deeper the hierarchy, the more
difficult it is to get permission for anything new.
Support from top management
Recognition that entrepreneurship culture needs
to be compatible with the overall organizational
culture
Communication system within the organization is
strong so that entrepreneurs within the company
can be heard
Lecture 2
Characteristics of successful
entrepreneurs
Research has shown that
certain traits seem to be
associated with entrepreneurs
Who are entrepreneurs?
Are opportunity driven, not resource driven
Managers ask:
“given the resources under my control,
what can I achieve?”
Entrepreneurs ask:
“Given what I want to achieve, what
resources do I need to acquire?”
Good as seeing pattern changes within the
environment
Who are entrepreneurs? (cont…)
“The reasonable man adopts him/herself
to the world: the unreasonable one persist
in trying to adapt the world to him/herself”
The entrepreneur is the unreasonable
man/woman who is motivated by the
dream of things that conventional wisdom
says can’t, won’t or shouldn’t be
Entrepreneurs have therefore stubborn
perseverance
Who are entrepreneurs? (cont…)
Stand up to ridicule
Stand up to failure, good at failure but
See failure as a temporary setback and an
opportunity to learn and do better next time
“success is the ability to go from failure to
failure with no less of enthusiasm”
Who are entrepreneurs? (cont…)
Profit maximization
The drive to maximize profits will make potential
entrepreneurs work harder, be more innovative and even
venture into other enterprises
Internal factors affecting motivation
(cont…)
Desire to succeed
This is an aspiration to achieve success toward ones
welfare to maximize pleasure and happiness. This will
give an entrepreneur public appreciation and recognition,
especially if they have accomplished difficult tasks where
others have failed
Survival
An entrepreneur has to face many challenges,
completion, internal and external forces. To succeed,
entrepreneurs have to strive to overcome these
obstacles. This sprit of survive sustains them through a
challenging environment
Internal factors affecting motivation
(cont…)
Adventure
This is a way of taking risks or challenges without knowing the end
result. This gives a potential entrepreneur an opportunity to explore
and this helps and enhances his knowledge and innovativeness
Independence/self reliance
An entrepreneur does not like being controlled by others. They have
their own original thoughts and ideas and generally do not conform
to routine jobs and practices. To satisfy their needs they seek
opportunities that provide independent hence become masters of
their own activist and taking full responsibilities for their outcome
Power
The desire to feel in total control of all situations
External motivation
Right attitude:
Positive – entrepreneurship can be a
way of life
Not a get rich quick business
Be motivated to an entrepreneur
Lecture 3
Idea Generation and
Opportunity Assessment
What is a business idea
Purpose:
To assess whether an idea is feasible
(workable) and viable (give the owner
good returns)
Characteristics of a good business
opportunity - check points
For an idea to be an opportunity, it has to
have several characteristics
A Good Opportunities - characteristics
Good Business
Opportunity
Value
Attractive creating
Achievable Durable
Do you have:
The required skills and appropriate
technology
An entry strategy
Organizational plan (Technical and
management)
Enough capital to finance the business
6. The environment – PESTEL
Evaluate the environment in terms of:
Political environment
Economic environment – market conditions,
competition, resource availability, business trends,
infrastructure
Social environment - culture, demographics
Legal environment – government policies and laws and
regulations, eg taxes, quality regulations
Technology environment – technology advancement,
social media etc
Environmental - climate, land, soil,
Business Planning
Optional pricing
e.g. optional extras
Captive product pricing
products that complement others
e.g Gillette razors (low price) and blades (high price)
Product-bundle pricing
sellers combine several products at the same price
e.g software, books, CDs
Promotional pricing
Geographical pricing
different prices for customers in different parts of
the world
e.g. Include shipping costs
Value pricing
usually during difficult economic conditions
e.g. Value menus
Predatory pricing
If your price is higher than competitors,
justify it( on the basis of newness, quality,
services etc)
If lower explain how you can do this and
maintain profitability e.g. greater efficiency
labour market costs, lower overheads,
lower material costs, lower distribution costs
Marketing plan – sales tactics