Entrepreneurship PDF

Entrepreneurship
Who is an Entrepreneur............ 
word 'Entreprendre’ e term 'Entrepreneur' -French (meaning to unde ake ce ain activities) 1) Produces a product 2) Sells & market the product 3) Bear overheads like :-...

Entrepreneurship
Who is an Entrepreneur............ 
word 'Entreprendre’ e term 'Entrepreneur' -French (meaning to unde ake ce ain activities) 1) Produces a product 2) Sells & market the product 3) Bear overheads like :- *Pays rent of Land and building *wages to labor *interest on capital *later generate pro t  Working De nition An entrepreneur is a person who combines various factors of production, processes raw material, conver ts the raw material into a f inished product and creates utility and sells the produce in the market to earn pro t. ENTREPRENEURS ARE MADE AND NOT BORN.  ENTERPRISE : Entrepreneurial activity, especially when accompanied by initiative and resourcefulness.




ENTREPRENEURSHIP
May de ned in various ways, but the four key elements involved in it are:

i. Innovation. ii. Risk-taking. iii. Vision. iv. Organizing skill. e capacity and willingness to develop, organize and manage a business venture along with any of its risks in order to make a pro t. e most obvious example of entrepreneurship is the sta ing of new businesses.  Types of Pa icipants  DOERS : Achievers  DREAMERS : Doing something but not their dream project  DWADLERS : Undecided  DUDS : Abandoned their ideas of being entrepreneur Entrepreneurial Characteristics
Being an entrepreneur requires specif ic characteristics and skills that are often achieved through education, hard work, and planning. Risk Taker Businesses face risk. Entrepreneurs minimize risk through research, planning, and skill development. Perceptive Entrepreneurs view problems as oppor tu nities and challenges. Curious Entrepreneurs like to know how things work. T hey take the time and initiative to pursue the unknown. Entrepreneurial Imaginative Characteristics Entrepreneurs are creative. T hey imagine solutions to problems that encourage them to create new products and generate ideas. Persistent True entrepreneurs face bureaucracy, make mistakes, receive criticism, and deal with money, family, or stress problems. But they still stick to their dreams of seeing the venture succeed. Goal-setting Entrepreneurs are motivated by the excitement of staring a new business. Once achieved, they seek out new goals or ventures to t. Entrepreneurial Self-con dent Characteristics Entrepreneurs believe in themselves. con dence takes care of any doubts they may have. T h e ir self- Flexible Entrepreneurs changing trends,must be f markets,le xible in order technologies, to adapt rules, to and economic environments. Independent An makeentrepreneur decisions ’ s desire for control and the ability to often makes it dif f i c ult for them to work in a controlled environment. Hardworking Entrepreneurs venture star tandneed a great succeed. Yet deal they of areenergy not to deterredseebya the long hours to achieve their goal. 


Stages of Entrepreneurship
 Stage One – e Dreamer. is is where the idea for a business is born. e dream is the culmination of the entrepreneur’s life experiences and passions.  Stage Two – e Architect. is stage is where the dream is interpreted into a business model which becomes the blueprint of the venture. e Dreamer typically does not make a good Architect. Stage ree – e Builder. is is the stage where the dream can rst become reality. e Builder then literally turns the dream into reality. We are now at a critical juncture of the venture. Stage Four – e Cultivator. is is the growth stage. Once the business is launched the Cultivator’s prima role is to guide the business through the various levels of growth. Classi cation of Innovative entrepreneur : - Entrepreneur Such entrepreneurs introduce new goods or new methods of production or discover new markets or reorganize the enterprise. Examples of rst movers include innovative companies such as eBay and Coca- Cola. eBay was the rst company to take the auction process online, kicking o operations in 1995. Imitative or adoptive entrepreneur :- Such entrepreneurs don’t innovate, they copy technology or technique of others.. Such entrepreneurs are signi cant for under-developed economies because they put such economies on high rate of economic development`EX: Chinese mobiles. Prime mover :- is entrepreneur sets in motion a powe ul sequence of development expansion and diversi cation of business. EX: Ambani Manager :- Such an entrepreneur doesn’t initiate expansion and its content in just staying in business. e a ists:- Are highly creative type, ve conscious about business. EX: Aamir Khan, Michael Dell (Dell), Deep Kalra (Make my trip) e visiona :- Too focused on dreams with little focused on reality. EX: Jack Welch(GE), Bill Gates (Microsoft), Kishore Biyani(Future Group), Warren Bu et (Berkshire Hathaway), Sam Walton(Wall Ma ). Problems of Entrepreneurship Development Programmes (EDPs) are: 1. No Policy at the National Level. ough Government of India is fully aware about the impo ance of entrepreneurial development, yet we do not have a national policy on entrepreneurship. It is expected that the government will formulate and enforce a policy aimed at promoting balanced regional development of various areas through promotion of entrepreneurship. 2. Problems at the Pre training Phase. Various problems faced in this phase are — identi cation of business oppo unities, nding & locating target group, selection of trainee & trainers etc. 3. Over Estimation of Trainees. Under EDPs it is assumed that the trainees have aptitude for self employment and training will motivate and enable the trainees in the successful setting up and managing of their enterprises. ese agencies thus overestimate the aptitude and capabilities of the educated youth. us on one hand the EDPs do not impa su cient training and on the other nancial institutions are not prepared to nance these risky enterprises set up by the not so competent entrepreneurs. 4. Duration of EDPs. An attempt is made during the conduct of EDPs to prepare prospective entrepreneurs thoroughly for the various problems they will be encountering during the setting up and running of their enterprises. Duration of most of these EDPs varies between 4 to 6 weeks, which is too sho a period to instill basic managerial skills in the entrepreneurs. us the ve objective to develop and strengthen entrepreneurial qualities and motivation is defeated. 5. Non Availability of Infrastructural Facilities. No prior planning is done for the conduct of EDPs. EDPs conducted in rural and backward areas lack infrastructural facilities like proper class room suitable guest speakers, boarding and lodging etc. 6. Improper Methodology. e course contents are not standardized and most of the agencies engaged in EDPs are themselves not fully clear about what they are supposed to do for the attainment of pre-determined goals. is puts a question mark on the utility of these programmes. Need of Entrepreneurship Increases national production Balanced area development Dispersal of economic power Reinvestment of pro t for the welfare of the area of pro t generation Development is a function of motivation and human resource Entrepreneurial awareness  Steps to Promote Entrepreneurship Setup Entrepreneurial Development Institutes in eve state. Recognize and celebrate entrepreneurship among youth as a preferred career. Enhance access to nance for sta -ups in eve possible way. Reduce the time of sta ing a business and ease down the complex procedures of Govt licensing and other such activities like nance and banking etc. Promote entrepreneurship among women and other underprivileged. Eve Big Enterprises Sta s with
a small Dream  THANK YOU