ECONOMICS

ECONOMICS
 Is the social science that deals
with man making activities by
doing proper allocation of
scarce resources to satisfy
unlimited human needs and
wants.
3 BASIC NEEDS

 Food
 Shelter
 Clothing
BASIC ECONOMIC
QUESTION
 What to produce?
 How to produce?
 How much to produce?
 For whom to produce?
FACTORS OF
PRODUCTION
 Land
 Labor
 Capital
 Entrepreneurship
LAND
 Refers to all natural resources,
which are given by and found in
nature and are therefore not
man-made
LABOR
 Is any form of human effort
exerted in the production of
goods and services.

 Covers a wide range of skills,

abilities, and characteristics.
CAPITAL

 A man-made goods used in the

production of the others goods
and services.
ENTREPRENEURSHIP
 An entrepreneur is a person
organizes, manages, and
assumes the risk of a firm,
taking new idea or a new
product and turning into a
successful business.
 CIRCULAR FLOW
MODEL
ECONOMIC
RESOURCES

HOUSEHOLDS
FIRMS
(RESOURCES
(PRODUCERS)
OWNERS)

OUTPUT: GOODS AND

SERVICES
ENTREPRENEURSHIP
 derived from the French verb enterprendre, which means
‘to undertake’. This refers to those who “undertake” the
risk of new enterprises. An enterprise is created by an
entrepreneur. The process of creation is called
“entrepreneurship”.
 the entrepreneurial function- can be conceptualized as
the discovery of opportunities and the subsequent
creation of new economic activity, often via the creation
of a new organization (Reynolds, 2005).
 process of actions of an entrepreneur who is a person
always in search of something new and exploits such
ideas into gainful opportunities by accepting the risk and
uncertainty with the enterprise.
 IMPORTANCE OF
ENTREPRENEURSHIP
 Development of managerial
capabilities
 Creation of organizations
 Improving standards of living
 Means of economic
development
 TYPES OF
ENTREPRENEURS
 Innovative entrepreneurs
 Imitating entrepreneurs
 Fabian entrepreneurs
 Drone entrepreneurs
 Social Entrepreneur
 FUNCTIONS OF AN
ENTREPRENEUR
 Innovation
 Assumption of Risk
 Research
 Development of Management Skills
 Overcoming Resistance to Change
 Catalyst of Economic Development
10 TRAITS ALL SUCCESSFUL
ENTREPRENEURS

 Full of determination
 Unafraid to take risks
 A high level of confidence
 Craves learning
 Understands failure is part of the game
 10 TRAITS ALL SUCCESSFUL
ENTREPRENEURS
 Passionate about his or her business
 Highly adaptable
 Good understanding of money management
 Expert at networking
 Ability to sell and promote
 Providing values
to customers

Opening and
Wealth-
managing self-
creating
owned
Ventures ENTREPRENEURSHIP business

Art of Correct Risk-Taking

practices Ventures