Entrepreneurship

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 Entrepreneur

• One who creates a new business

• in the face of risk and uncertainty
• for the purpose of achieving profit
and growth
• by identifying opportunities
• and assembling the necessary
resources to capitalize on them
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Evolution of Entrepreneurship
Richard Cantillon (in 1755)
• who pays a certain price for a product to resell it as an
uncertain price, there by making decision about obtaining
and using resources while consequently assuming the risk of
enterprise ie work in uncertain situation

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 Richard Cantillon (in 1755)

Investment Transformation Profit /loss

Entrepreneur Entrepreneur repacks Entrepreneur sells

buys farm and transports farm food produce in
product at products to market city at uncertain
certain price price

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 Evolution of Entrepreneurship
Adam Smith (1776)
• Individual who could recognize potential demand for
good and services

Carl Manger (1871)

• The change agent who transforms resources into
useful good and services

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Entrepreneur

• The economic agents who transform demand into

supply
• David Silver -
• Entrepreneurs are those who are energetic, single minded
and having a mission and clear goal.

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 Jeffry A. Timmons

High

Creativity
Inventor Entrepreneur
&
Innovation

Promoter Manager,
administrator

Low High
1. General Management Skills
2. Business Know – How
3. Networks

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Entrepreneurs

• Incubate new ideas,

• Start enterprise based on those ideas
• Provide added value to the society based
on independent initiative.

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 Entrepreneurship

Jean Baptiste Say (1803)

• Art and skills of creating new economic enterprises
Joseph Schumpeter
• A force of creative destruction where by established way of
doing things are destroyed by the creation of new and better
ways to get the things done

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 Entrepreneurship

Robert Rohnstadt
Entrepreneurship is a dynamic
process of creating incremental
wealth by individuals who assume
the risk of equity, time and careers to
infuse resource with value for society.

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 Entrepreneurial Characteristics

• Desire for responsibility

• Preference for moderate (calculated) risk: not wild
risk taker
• Confidence in their ability to succeed
• Desire for immediate feedback
• High level of energy (energetic and diligent)
• Future orientation

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 Entrepreneurial Characteristics

• Dynamic leader (Skilled at organizing )

• Value achievement over money
• Response positively to change
• Flexible and able to adapt
• Independent
• Versatile knowledge

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 Intrapreneurship
• Corporate entrepreneurship
• Exists in the organization
• where managers brings innovative ideas for their
organization
• It implies more than helping a company to become
more productive
• or to introduce new products or services.

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Benefits of entrepreneur
• Create your own destiny
• Make a difference
• Reach your full potential
• Reap unlimited profits
• Contribute to society and to be recognized for your efforts
• Do what you enjoy and to have fun at it

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Drawbacks of entrepreneur
Uncertainty of income
Risk of losing your entire investment
Long hours and hard work
Lower quality of life until the business gets established
High levels of stress
Complete decision making responsibility
Discouragement

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Sustainable Entrepreneurship
• Focused on the preservation of nature, life support and community in
the pursuit of perceived opportunities to bring into existence future
product, process and service for gain, where gain is broadly
constructed to include economic and non economic gains to
individual, the economy and society.

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 Questions: Group work
1. List down five reputed Nepalese companies and
select one of them. Discuss with your colleague
whether the company is sustainable enterprise or
not. To convert sustainable enterprise what should
be corrected?
2. Choose an entrepreneur in your community and
Interview him or her. What is the story behind the
business? What make them initiate to start the
business?

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