Entrepreneurship: Approaches and Philippines Context

• The practice of entrepreneurship involves understanding different views, recognizing its role in economic development, developing skills, and identifying truths.

Entrepreneurship View

• Older/Predictive Approach: Views entrepreneurship as a linear processes, where steps are followed, and the results are usually predictable.
• Older/Predictive Approach: Focuses on business planning, forecasting, and sticking to structured paths.
• Recent/Creation Approach: Regards it as a mindset and method that needs practice and is useful when the future is unpredictable.
• Recent/Creation Approach: Centers on adaptability, innovation, and responding to changing conditions.
• Reflection and Discussion: Raises questions about the advantages and disadvantages of strict planning, the importance of adaptability, strategy changes, team collaboration, leadership roles, problem-solving, real-life challenges, and key takeaways.

Entrepreneurship in the Philippines

• The Philippines faces challenges due to a high poverty rate compared to other Asian countries.
• The Philippine government views entrepreneurship as the primary way to address the nation's poverty issues.
• The 1987 Philippine Constitution recognizes entrepreneurship as an instrument for economic growth.
• Entrepreneurship lessons are included in the school curriculum to foster a culture of enterprise and develop competitive entrepreneurs.

Essential Entrepreneurial Skills

• Skill of Play (Creativity and Innovation): Allows imagination to explore and exposes one's mind to opportunities and potentials, making one very innovative.
• Skill of Experimentation (Learning from trial and error): Calls for acting to learn, attempting new things, and structuring learning for future situations.
• Skill of Empathy (Understanding customer needs): Involves being sympathetic to the feelings, situations, purposes, opinions, and wants of others.
• Skill of Creativity (Developing unique solutions): Means being open-minded and letting loose one's ability to create, discover opportunities, and resolve problems.
• Skill of Reflection (Learning from experience): Organizes previously discussed skills, and allows entrepreneurs to make sense of skills.

Ways to reflect

• Narrative Reflection: Describing events, what was said, and who was involved.
• Emotional Reflection: Centering on feelings and managing them during a situation.
• Perceptive Reflection: Focusing on insights and feedback related to how different views affected the experience.
• Critical Reflection: Considering the role, approach, potential actions, and possible results in a situation.
• Analytical Reflection: Analyzing the skills and understanding gained from an experience, noting what went well and what went poorly.
• Evaluative Reflection: Concerns assessing what went well, what went poorly, and whether the experience was useful.

Truths about Entrepreneurship

• Entrepreneurship extends beyond startups and exists in large businesses.
• Businesses can evolve and grow beyond the startup phase.
• Exceptional Personality is not a requirement for success.
• Anyone can learn entrepreneurship.
• Entrepreneurs don't need special personality qualities.
• Entrepreneurship, can be taught and entails practice.
• Requires practice and learning by doing.
• A person needss a set of skills that can be continuously improved through practice.
• Entrepreneurs prioritize minimizing risks rather than taking extreme risks.
• Entrepreneurs "reduce risk, not take extreme ones"
• There is an existing stereotype that entrepreneurs are "gamblers".
• Entrepreneurship thrives in partnerships more than competition.
• Collaboration is better than competition.
• Most entrepreneurs learn from the shared experiences of others.
• Entrepreneurs prioritize action over extensive planning.
• Execution is more important than planning.
• A business plan is not always required for a business to succeed

Skills for Entrepreneurs

• Resilience (Overcoming failures)
  • Ability to handle setbacks by bouncing back and refocusing
• Agility (Adapting to changes)
  • Responding quickly and decisively to adapt to dynamic environments.
• Negotiating (Building strong partnerships)
  • Setting boundaries, ensuring good relationships
  • Understanding that a good rapport is necessary give any business the best chance of success.
• Problem Solving (Finding creative solutions)
  • Creating solutions for everything from minor technical difficulties to major financial headaches.
• Relationship building (Networking and Collaboration)
  • Involves give and take with suppliers, investors, or employees.
• Mindfulness (Managing stress and staying focused)
  • Disconnecting from pressure and focusing using techniques like breathing and meditation.

Types of Entrepreneurship

• Intrapreneurship (Innovating inside a company)
  • Encouraging high-risk and high-reward concepts with the backing of a large organization.
• Entrepreneurs Inside (Innovating in non-business settings)
  • Functioning inside organizations like government agencies, non-profits, or religious entities.
• Buying a Franchise (Using an established brand)
  • Purchasing a license from a franchisor to conduct business under the brand's name.
• Buying a Small Business (Taking over an existing business)
  • Buying out the owner to manage and operate the business.
• Social Entrepreneurship (Solving community problems)
  • Pursuing innovative applications that solve community-based problems.
• Family Business (Running a business with family)
  • A business owned and managed by family members, typically passed down through generations.
• Serial Entrepreneurs (Constantly starting new businesses)
  • Consistently developing fresh ideas and starting new ventures.

Activity: Matching Entrepreneurs

• Examples of entrepreneurs and their corresponding types of entrepreneurship:
  • Elon Musk (Serial Entrepreneur): Continuously starts innovative businesses like Tesla, SpaceX, and Neuralink.
  • Jeff Bezos (Entrepreneur Inside): Started Amazon as an online bookstore and expanded into a global e-commerce empire.
  • Steve Jobs (Intrapreneurship): Innovated within Apple, creating revolutionary products like the iPhone.
  • Mark Zuckerberg (Entrepreneurs Inside): Started Facebook within a university setting and grew it into a global business.
  • Ray Kroc (Buying a Franchise): Turned a burger stand into McDonald's, the world's largest fast-food chain.
  • Oprah Winfrey (Social Entrepreneurship): Uses media and business ventures to empower communities and support social causes through OWN Network and Harpo Productions.
  • Tony Tan Caktiong (Family Business): Started Jollibee as an ice cream parlor and grew it into a successful family-run fast-food chain.
  • Vicki Belo (Small Business Owner): Founded and manages her own beauty and dermatology clinic, Belo Medical Group, expanding locally.
  • Blake Mycoskie (Social Entrepreneurship): Created TOMS Shoes with a business to donate a pair of shoes for every pair sold.

Entrepreneurship as a Method

• "The Entrepreneurial Method" by Professor Saras Sarasvathi consists of five effectual principles.
• Effectuation is based on the idea that the future is unpredictable yet controllable.
• Five Principles Behind Effectuation:
  • Bird in Hand (Use what you already have)
    • Creating solutions using available resources instead of predetermined goals.
  • Affordable Loss (Only risk what you can afford to lose)
    • Only investing what the entrepreneur is willing and able to lose.
  • Crazy Quilt (Build strong partnerships)
    • Entering into new partnerships to create opportunities and reduced uncertainties.
  • Lemonade (Turn unexpected problems into opportunities)
    • Viewing bad surprises as potential new opportunities.
  • Pilot in the Plane (Focus on what you can control)
    • Focusing on entrepreneurial activities within a leader's control.

Conclusion

• Entrepreneurial thinking is a valuable life skill that helps solve problems, create opportunities, and build a better future beyond just business.