Entrepreneurship and Economic Growth

Looking back at the past….

About 50,000 years ago

Men were living in stone caves or in trees.
Man did not know how to build houses.
They ate mostly meat, thus, hunting was their primary
means of livelihood.
They live were there was efficient supply of animals to
hunt.
 Entrepreneurship and Economic Growth

About 10,000 years ago

Man had acquired some knowledge and skills.

Mad had learned to settle down since they could now
hunt better with sharper tools, tame animals, use fire
and plant crops.
They also learned to make earthenware pot to hold
their food.
They learned how to soften and pound metal into
plates and bowls and weave clothing and baskets.
Between 5,000 B.C. and 1,500 B.C.

 Man learned how to engage in trade.

 Schools for studying and writing have been
established.
 Sailing to other lands in search of new homes had
begun.
 A primitive form of government had been
established.

“Man’s mobility led to the further flourishing of trade

and widespread sharing of knowledge”.
Who has been responsible for the changes in
man’s history?

 Climate?

 Natural Resources?

 Natural order of things in the world?

“It is man, himself, who is responsible for the changes

and improvements that have led to the evolution of
civilization”.
The forerunners of modern-day
entrepreneurs are those who had:

1.The courage to challenge and attempt to change the

way things are.

2.The pioneering and independent spirit to explore

new opportunities.

3.The ability to transform dreams and ideas into reality.

4.The determination to succeed.

Are entrepreneurs born or made?

There was a time when it was believed that

entrepreneurs were born not made.

Nowadays, evidences show that entrepreneurial

qualities can be developed early in life as a
result of training in independence and self
reliance, and exposure to certain cultural
values relating to work and industry.
Social and Economic Impact of
Entrepreneurship

Entrepreneurship:

□ Creates employment.
□ Improves the quality of life.
□ Contributes to more equitable distribution of income
□ Utilizes and mobilizes resources for great national
productivity.
□ Brings social benefits through the government.
Cultural Values
People who have studied the origins of entrepreneurship
found that entrepreneurs emerge from cultures with
specific views on certain activities and concepts such
as:

1. Ideal Competition
Entrepreneurship flourishes under a climate that
stimulates competing parties to find ways of using and
managing their resources more efficiently and more
productively.

2. Time Orientation
Long-range planning and anticipation of future trends
are essential for success in business.
3. View in Trading
Trading has been the seedbed of many entrepreneurs. Peddlers,
vendors, and traders must be viewed with admiration and praise.

4. Conferment of social ranks

A culture that promotes entrepreneurship is one that confers
social ranks in terms of actual achievements rather than
circumstances of birth.

5. Work Ethics
A culture must regard work as a duty, and work, honestly and
diligently to achieve goals.

6. View on Money
The thrifty attitude encourage inventiveness or innovation
because entrepreneurs will try to look for ways to manufacture a
given product at lesser cost, or by using other types of material,
process, or equipment.
What is Entrepreneurship?
- Entrepreneurship is the process of creating
something new of value by devoting (giving) the
necessary time and effort
- by accepting and acknowledging the necessary
financial, psychological, and social risks, and
- finally, receiving the resulting rewards be it
monetary and personal satisfaction and freedom
to do what you want.
Simple Definition
- Process of creating something new and assuming
the risks and rewards (Robert Hisrich, M.P. Peter
& D.A.Shepherd).
What/Who is an Entrepreneur?
- He or she is an individual who actively form or
lead their own business and nurture them for
growth and prosperity.

- A person who creates and manages change by

the recognition of opportunities (needs,
wants, opportunities, problems, and
challenges) and develops people and manages
resources to take advantage of the resources
to take the opportunity and creates a venture
(profitable business).
Give three characteristics of
personal competency of an
entrepreneur.
Characteristics of Personal Competency of an
Entrepreneur

- Innovativeness
- Sees an act of opportunities
- persistence
- Information seeking
- Concern for high quality work and output
- Commitment to work contract
Characteristics of Personal Competency of an
Entrepreneur

- Efficiency orientation
- Systematic and organized planning
- Problem solving
- Self-confidence
- Assertiveness
- Persuasiveness and influential
- Inspirational a
What are the different outcomes of engaging in
entrepreneurship?

- Innovation or newness – product or service

- Organizing resources – finance, people, physical
and information resource.
- Create new product or service
- Generating wealth
- Taking risks in a business venture
- Prepared to face uncertainty
- Create job opportunity
- Increase the abundance of wealth generation for
the nation.