ENTREPRENEURSHIP

Objective:
• Explain the core
competencies in
Entrepreneurship;
SCRAMBLED WORD
SHIPNUERPRETREEN
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SHIPNUERPRETREEN
ENTREPRENEURSHIP
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ROTAVONNI
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ROTAVONNI
INNOVATOR
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PRENEURERTNE
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PRENEURERTNE
ENTREPRENEUR
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TIONONNIAV
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TIONONNIAV
INNOVATION
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MITCOMTNEM
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MITCOMTNEM
COMMITMENT
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COMCYTENPE
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COMCYTENPE
COMPETENCY
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CORONADIONIT
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CORONADIONIT
COORDINATION
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SSECCUS
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SSECCUS
SUCCESS
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KSIR
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KSIR
RISK
INNOPRENEURSHIP:
Entrepreneurship +
Innovation
The Entrepreneur and The
Innovator
• Because of the capacity for
challenging status quo or for
changing rules of business,
entrepreneurs are often describes
as innovators, or creative minds
that can make things happen.
The Entrepreneur and The
Innovator
• While some
entrepreneurs are also
innovators, this is not
always the case.
The Entrepreneur and The
Innovator
• It is important to make
this distinction as
making things happen is
not the same as making
new things happen.
Who is an Entrepreneur?
• Is an owner of a business who
invests his/her resources to bring
an idea to life, setting the direction
that transforms that idea into
reality, thus providing and gaining
value that balances effort, purpose
and profit.
Who is an Entrepreneur?
• The first description is different from
a corporate entrepreneur who does
everything like an entrepreneur who
does everything like an entrepreneur
but does not have a financial stake in
the business, i.e. an intrapreneur with
entrepreneurial spirit.
FIVE COMPONENTS OF AN
ENTREPRENEUR

Five What it involves Key Factors

Components for Success
of an
Entrepreneu
r
Owner who Entails risk taking, hence, a Commitment
invests person can be an entrepreneur of
resources he/she has reasonable risk
appetite, not just any risk but
calculated risk taking.
FIVE COMPONENTS OF AN
ENTREPRENEUR

Five What it involves Key Factors

Components for Success
of an
Entrepreneu
r
Brings an idea The idea may or may not be Competency
to life coming from the entrepreneur,
but turning an idea into revenue
maximation entails defining the
best options.
FIVE COMPONENTS OF AN
ENTREPRENEUR

Five What it involves Key Factors

Components for Success
of an
Entrepreneu
r
Setting Entails getting quality Competency
direction information and making choices
from these pieces of information,
mindful of heuristics as well as
biases in decision-making.
FIVE COMPONENTS OF AN
ENTREPRENEUR

Five What it involves Key Factors

Components for Success
of an
Entrepreneu
r
Making things Entails the need to ensure all the Coordination
happen interdependent elements are in
harmony to attain defined goals.
FIVE COMPONENTS OF AN
ENTREPRENEUR

Five What it involves Key Factors

Components for Success
of an
Entrepreneu
r
Adding value Entails financial understanding Commitment
that the reward of
entrepreneurship needs to be
much higher than putting cash in
high-yielding financial
investment, such as preferred
shares with guaranteed dividend
Who is an Innovator?
• Is a person who introduces
either a new process,
product, service or business
model to the marketplace
that becomes commercially
successful.
Who is an Innovator?
• The first description is
different from an inventor
who creates something
new but has not attained
commercial success.
Elements of Innovation

• New
• Commercial Success
• Anything requires customer
acceptance and there must
be a critical mass of target
customers willing to pay for
innovation.
Relevance of Studying
Entrepreneurship ang Innovation
• Entrepreneurs are
modern rock stars! –
(Go and Go, 2018)
Relevance of Studying
Entrepreneurship ang Innovation
• The richest people in
the Philippines and in
the world are mostly
entrepreneurs.
Relevance of Studying
Entrepreneurship and Innovation
ENTREPRENEURSHIP
• Is also key to healthy economy, and yet based
on various cited statistics, including one
provided by the Bureau of Small and
Medium Enterprise Development, the success
ratio of micro, small and medium scale
enterprise (MSMEs) is typically less than
50%, where less than half of establishments
will still be operating after four years.
Relevance of Studying
Entrepreneurship and Innovation
• As the idea of failure is not
at all appealing to any
person, it would be wise for
aspiring entrepreneurs to
already mitigate or lessen
the risks.
Relevance of Studying
Entrepreneurship and Innovation
• Many entrepreneurs jump a
bandwagon and follow a trend,
sometimes they misinterpret a fad as a
trend without bothering to think hard
of business fundamentals, not
understanding consumer’s unmet
needs, as well as the industry dynamics
to be profitable and cash flow positive.
Why be an Entrepreneur?

• Some enjoy the personal freedom or

control of being the owner-boss,
others expect financial independence
much larger than being employee,
and while others want personal
growth from the boredom they have
been doing the past.
Why be an Entrepreneur?

• The challenges of an
entrepreneur attract those
whose idea may have been
rejected by former employers,
while others want to leave
legacy within their control.
Why be an Entrepreneur?

• For many Filipinos, to be

an entrepreneur is a
powerful choice besides
going abroad to earn for
the family.
Why be an Entrepreneur?

• As entrepreneurs, they
can now admire and
follow the footsteps of
other entrepreneurs.
Some of Successful Entrepreneurs

• Malvin and Mae Hosena founded

Follicles Salon in Las Pinas in
2012 with Php 250,000.00 capital,
after they decided that being with
family members was more
important than money.
Some of Successful Entrepreneurs

They were both OFW working in

cruise ships – Malvin, who is an
architect, had to work as a waiter,
while Mae worked as a youth
counselor similar to her guidance
counselor role in her previous job
in a school.
Some of Successful Entrepreneurs

Both of them had to leave for work abroad

four months after Mae gave birth to their
child who was quite sickly and often in the
hospital. Mae’s parents, who were taking
care of their child, were getting old; so they
decided to resign, a tough decision as they
had to give up high paying jobs that could
very well provide for their child’s needs.
Some of Successful Entrepreneurs

They set up a small salon business using some

money they saved, buying second-hand
equipment. The desire to have a better
location led them to take a risk and expanded
their second store fronting SM South Mall.
They acquired a loan for this as the capital
required was double that of their salon due to
the costs of brand new equipment.
Some of Successful Entrepreneurs

This turned out to be a good decision as their

return of investment was just one year (while
franchisees recovered their investment in
about 18 months). By the time they had three
salons, their income from their salons already
exceeded what they were earning as OFWs.
Follicles grew to 10 branches in less than six
years – four company-owned while close
friends franchised six.
Some of Successful Entrepreneurs

• Many car owners became

Uber or Grab transport
entrepreneurs.
• Massage therapists became
Zennya service
entrepreneurs.
Some of Successful Entrepreneurs
• Online companies like Lazada, Zalora and
Shopee help educate digital start-up
companies, then distribute products for them
and finally deliver to end users, sparing start-
up entrepreneurs from opening their own
retail stores, or paying millions in listing fees
to be accepted in many supermarkets or
setting up their own distribution and logistics,
providing an opportunity equalizer.
Some of Successful Entrepreneurs

• Many students, employees

and millennials can now start
part-time business via the
online channel, which is
without many restrictions.
Business + Personal Plan

• Any firm needs to have a business

plan , whether it is a written
document (for outside investor)
or a simpler outline of a business
model (for internal guidance), as
a business plan provides the
direction where the firm is going.
Business + Personal Plan

• For entrepreneurs, a business

plan is not enough; it is
important to determine if the
personal goals of partners fit
so the business proceeds in
one direction and focus.
Business + Personal Plan
• For instance, a founding partner may want
to start an enterprise to gain independence
from his/her family, another might want to
gain control of a business (typically the
motivation of those starting their first
business), or a partner might just want to
prove something to self or others, like gain
a title or role, or even to be trusted with
certain responsibilities.
Business + Personal Plan

• While growth is a requirement,

another partner may want to exit or
sell the business subsequently, as an
end goal. And even with a growth
goal, entrepreneurs or partners in
business need to decide if they want to
grow slowly but surely, or attain rapid
growth.
Business + Personal Plan
• Another important aspect of a personal
plan is having the buy-in of one’s spouse
from the beginning since a business may
encounter many adversities, and the last
thing the entrepreneur wants his/her
spouse, or the spouse of the business
partner being upset about pushing the risk
too far as to jeopardize everyone’s financial
well being.
Business + Personal Plan

• While entrepreneurs should be

comfortable with the certain levels
ambiguity, their personal plan should
not be one of uncertainty.
• When spouses work with the business
partners, their joint personal plans
must be taken into consideration.
Answer the following questions:

• Who is an
Entrepreneur? 
• Who is Innovator?
• What is the meaning of
Innopreneurship?
• While failure is a real thing, so is success,
so why not accept the challenge of an
entrepreneurship adventure? You could
study well, and work for others forever
but you might miss the opportunities to
do more for yourself and for your family.
You only have one life to live and leave a
legacy. What will you choose?
Evaluation:

1. What are the

components of an
entrepreneur?
2. What are the elements
of innovation?
Reference:

Go, Josiah and Escarel-Go,

Chiqui, Entrepreneurship
Starting An Enterprise. Having
An Innovation Mindset. pp. 1-
5