ENT 211 - Additional Materials - Theories of Entrepreneurship PDF

***[NOTE ONE]*** **THEORIES OF ENTREPRENEURSHIP** **[Introduction]** Entrepreneurship theory encompasses the study of how new ventures are created, developed, and sustained over time. It explores the processes, motivations, and conditions that lead individuals to identify opportunities, take risk...

***[NOTE ONE]*** **THEORIES OF ENTREPRENEURSHIP** **[Introduction]** Entrepreneurship theory encompasses the study of how new ventures are created, developed, and sustained over time. It explores the processes, motivations, and conditions that lead individuals to identify opportunities, take risks, and innovate. The key concepts in Entrepreneurship theory are: 1\. Opportunity Recognition: At the heart of entrepreneurship is the ability to recognize and exploit opportunities. This involves not only identifying gaps in the market but also understanding customer needs and trends. Theories like the \"opportunity recognition framework\" delve into the cognitive processes and social contexts that facilitate this ability. 2\. Resource-Based View: This theory emphasizes the importance of resources---both tangible and intangible that is available to entrepreneurs. It posits that the unique combination of resources, including human capital, financial assets, and social networks, can create a competitive advantage and drive business success. 3\. Innovation and Creativity: Entrepreneurship is often linked with innovation. Theories such as Schumpeter\'s concept of \"creative destruction\" highlight how new ideas disrupt established markets and create new industries. Understanding the role of creativity in entrepreneurship helps in fostering environments that encourage innovative thinking. 4\. Risk and Uncertainty: Entrepreneurs operate in environments characterized by uncertainty. Theories surrounding risk assessment and management, including the \"entrepreneurial risk framework,\" explore how entrepreneurs perceive and respond to risks in pursuit of their ventures. 5\. Social Entrepreneurship: this is a growing area of interest, and it focuses on ventures that prioritize social impact alongside profit. Theories in this domain examine how social entrepreneurs navigate the challenges of creating sustainable solutions to social issues while maintaining financial viability. 6\. Entrepreneurial Ecosystems: This concept involves the networks and environments that support entrepreneurship. It encompasses various stakeholders, including government entities, educational institutions, and investors, and their roles in fostering a vibrant entrepreneurial landscape. **Entrepreneurship Theory** There are different types of entrepreneurship theories, and they have been categorized into economic, psychological, sociological, management and innovation theory of entrepreneur. **[Economic Theories of Entrepreneurship]** Economic theories of entrepreneurship focus on the role of entrepreneurs in the economy, emphasizing how they contribute to wealth creation, innovation, and market efficiency. Economic theories of entrepreneurship provide insights into the critical role entrepreneurs play in driving economic growth, innovation, and market efficiency. Understanding these theories helps in grasping the complexities of entrepreneurial behavior and the broader economic context in which entrepreneurship occurs. Key frameworks within this category include: **Classic Economic Theory** This theory was propounded by Adam Smith and Richard Cantillon, and they viewed entrepreneurs as essential economic agents who combine resources (land, labor, capital) to produce goods and services. Here, entrepreneurs allocate resources efficiently to meet consumer demand and they respond to market dynamics or market signals and take risks to exploit opportunities. Also, they create wealth by creating new products and services, thus leading to economic growth and increase in overall wealth. **Neoclassical Economic Theory** Alfred Marshall and William Baumol are the propounders of this theory and they integrated the concepts of market equilibrium alongside rational decision-making. Here, entrepreneurs are seen as rational agents who maximize profit via utilizing resources efficiently. This theory emphasizes the role of entrepreneurs in moving markets toward equilibrium by identifying and filling gaps in supply and demand. Likewise, entrepreneurs differentiate their offerings to gain competitive advantage and foster innovation. **Kirzner\'s Entrepreneurial Alertness** Israel Kirzner examined the ability of the entrepreneurs to recognize and act on opportunities in the market. He posited that entrepreneurs possess a heightened awareness of market inefficiencies and unexploited opportunities. Thus, facilitating the market process leads to adjustments in the market by identifying gaps and responding to consumer needs. These actions contribute to competition, driving improvements and better resource allocation. **Institutional Economics of Entrepreneurship** This theory proponents are Douglass North and Oliver Williamson and they examined how institutions (laws, regulations, norms) shape entrepreneurial behavior and economic outcomes. They believed that strong institutions foster entrepreneurship by reducing uncertainty and transaction costs. Likewise, Institutional frameworks create incentives or disincentives for entrepreneurial activity, influencing investment and innovation. **Resource-Based View (RBV)** This theory emphasizes that entrepreneurs leverage unique resources and capabilities to achieve competitive advantage. This can be done through the following. Value Creation: Entrepreneurs who possess rare, valuable, inimitable, and non-substitutable resources can create superior products and services. Dynamic Capabilities: Successful entrepreneurs continuously adapt and renew their resources in response to changing market conditions. Sustainability: Emphasizes the importance of building a sustainable competitive advantage through innovation and strategic resource management. **[Psychological Theories of Entrepreneurship]** Psychological theories of entrepreneurship focus on the individual traits, behaviors, and cognitive processes that drive entrepreneurial action. These theories explore the psychological factors that influence the decision to start a business and the subsequent behaviors that characterize successful entrepreneurs. **Need for Achievement Theory** This theory was proposed by David McClelland and suggests that individuals with a high need for achievement are more likely to become entrepreneurs. The theory posits that entrepreneurs with a strong desire to achieve set goals tend to take calculated risks and seek challenges. Also, individuals often set high standards for themselves and are motivated by personal success rather than external rewards. This implies that it drives them to create and innovate, resulting in entrepreneurial ventures. **Risk-Taking Propensity Entrepreneurship Theory** This theory examines the relationship between an individual's propensity to take risks and their likelihood of engaging in entrepreneurial activities. Here, the risk tolerance of entrepreneurs often allows them to make decisions in uncertain environments. Likewise, successful entrepreneurs evaluate risks strategically, balancing potential rewards against possible losses. Lastly, greater willingness to take risks is often correlated with innovation and opportunity recognition. **Social Learning Theory** This theory was developed by Albert Bandura and it posits that behavior is learned through observation and interaction with others. This theory believes that aspiring entrepreneurs may emulate successful role models, learning entrepreneurial behaviors and attitudes. Similarly, observing the successes and failures of others can influence an individual's willingness to engage in entrepreneurship. Likewise, entrepreneurs develop self-regulatory skills through feedback from their environment, helping them manage challenges. **Entrepreneurial Intentions Model** This model explores the factors that shape an individual's intention to start a business and they consist of the following components: Attitudes: Positive attitudes toward entrepreneurship enhance the likelihood of pursuing entrepreneurial activities. Subjective Norms: Social influences and perceived support from family and peers can impact entrepreneurial intentions. Perceived Behavioral Control: Belief in one's capability to succeed in starting a business plays a crucial role in entrepreneurial intention. **[Sociological Theories of Entrepreneurship]** Sociological theories of entrepreneurship focus on the social contexts, structures, and relationships that influence entrepreneurial behavior. These theories explore how societal norms, networks, and cultural factors shape the entrepreneurial landscape. Also, it highlights the interconnectedness of individual actions and societal structures, providing a more holistic understanding of how entrepreneurship functions in various environments. **Social Network Theory** This theory emphasizes the importance of social relationships and networks in facilitating entrepreneurial activities. Here, entrepreneurs often leverage their social networks to access resources, information, and support. Also, social capital can bring about connections that can provide entrepreneurs with opportunities, mentorship, and potential partners or investors. Strong networks enhance collaboration, leading to innovative ideas and successful ventures for entrepreneurs. **Role Theory** This theory examines how the roles individuals occupy in society affect their entrepreneurial behavior. This implies that individuals may feel pressured to conform to societal expectations regarding entrepreneurship, influencing their decision to start a business. Also, entrepreneurs often face conflicts between their entrepreneurial roles and other social roles (e.g., family, community), which can affect their business decisions. Lastly, the way individuals perceive their identity and societal roles can motivate or inhibit entrepreneurial actions. **[Management Entrepreneurship Theory]** **Strategic Management Theory** This theory focuses on how entrepreneurs formulate and implement strategies to achieve their business objectives. This can be done through the following SWOT Analysis: Entrepreneurs assess their strengths, weaknesses, opportunities, and threats to make informed strategic decisions. Competitive Advantage: Understanding market dynamics and competitors helps entrepreneurs position their businesses effectively. Long-Term Planning: Strategic foresight is critical for navigating uncertainties and ensuring long-term viability. **Effectuation Theory** This theory was proposed by Saras Sarasvathy and focuses on how entrepreneurs use available resources to create opportunities rather than pursuing specific goals. Here, entrepreneurs prioritize what they can afford to lose rather than focusing solely on potential gains. Also, following the Crazy-Quilt Principle which posits that building partnerships and collaborations is essential for resource pooling and opportunity creation. Further, emphasize that the future is shaped by the actions of the entrepreneur, rather than being predetermined by external factors. **[Innovation Theories of Entrepreneurship]** Innovation theories of entrepreneurship focus on how new ideas, products, services, and processes emerge and are implemented within entrepreneurial contexts. These theories explore the role of entrepreneurs as innovators and the impact of innovation on economic growth and competitive advantage. **Schumpeter's Theory of Innovation** This innovation theory was proposed by Joseph Schumpeter and it emphasizes the entrepreneur\'s role as an innovator who disrupts market equilibrium. Here, innovation leads to the obsolescence of existing products, services, and processes, creating new market dynamics. Schumpeter emphasized that the entrepreneur is an innovator who disrupts the status quo through new combinations of resources. The process of innovation describes the death of new industries giving rise to new ones through entrepreneurs who introduce new products, processes, and technologies, which are essential for economic evolution. This innovation fuels economic development by continuously changing market structures. Schumpeter identified five types of innovation, and they are: 1\. New Products: Introduction of entirely new goods. 2\. New Processes: Implementation of new production methods. 3\. New Markets: Exploration of previously untapped markets. 4\. New Sources of Supply: Development of new raw materials or suppliers. 5\. New Organizational Structures: Changes in business organization that enhance efficiency. **Rogers' Diffusion of Innovations** This theory was developed by Everett Rogers and examines how, why, and at what rate new ideas and technology spread. The theory posits that innovation occurs in five stages: awareness, interest, evaluation, trial, and adoption. Furthermore, the categories of adopters are: 1\. Innovators: Early adopters who are willing to take risks. 2\. Early Adopters: Influential individuals who adopt new ideas early and help spread them. 3\. Early Majority: Individuals who adopt innovations once they are proven. 4\. Late Majority: Skeptical individuals who adopt innovations after the majority have done so. 5\. Laggards: Those who are resistant to change and adopt innovations last. Also, the factors that influence adoption are Relative advantage, compatibility, complexity, trialability, and observability affect how quickly innovations are adopted. **Open Innovation Theory** This theory was proposed by Henry Chesbrough which advocates for a collaborative approach to innovation, emphasizing the use of external and internal ideas and pathways. It focuses on the following: \- Crowdsourcing: Engaging customers, stakeholders, and the public to generate ideas and solutions can enhance innovative efforts. \- Business Model Innovation: Organizations can innovate their business models by integrating external ideas and leveraging networks. **[Rationale for Entrepreneurship]** The rationale for entrepreneurship encompasses a variety of economic, social, and individual factors that underscore its importance in society. Here are several key reasons: **Economic Development** Entrepreneurship is a catalyst for economic growth. New businesses stimulate demand, drive production, and create jobs, leading to increased income levels and improved standards of living. As entrepreneurs identify and exploit market opportunities, they contribute to the overall prosperity of their communities and nations. **Innovation and Competitive Advantage** Entrepreneurs are often at the forefront of innovation. By introducing new products, services, and business models, they challenge established companies and drive competition. This not only enhances consumer choice but also fosters technological advancement, which is essential for progress in any economy. **Addressing Market Gaps** Entrepreneurs have a unique ability to identify and address unmet needs in the market. By doing so, they fill gaps that larger corporations may overlook, leading to more tailored and diverse offerings for consumers. This responsiveness contributes to a dynamic and adaptable marketplace. **Social Change and Community Impact** Entrepreneurship can lead to significant social change. Social entrepreneurs particularly focus on solving social issues through sustainable business practices. By addressing problems like poverty, inequality, and environmental sustainability, they create positive social impact while generating economic returns. **Empowerment and Personal Fulfillment** Entrepreneurship empowers individuals to take control of their financial futures and pursue their passions. It encourages self-reliance, creativity, and resilience, leading to personal fulfillment and a sense of accomplishment. For many, starting a business represents a pathway to achieving their dreams. **Resilience and Adaptability** Entrepreneurs contribute to economic resilience by diversifying the economy. A robust entrepreneurial ecosystem can better withstand economic shocks, as new businesses can pivot and adapt to changing circumstances more readily than larger, established firms. **Job Creation and Workforce Development** Entrepreneurs are essential for job creation. Small and medium-sized enterprises (SMEs) often employ a significant portion of the workforce. By nurturing entrepreneurship, communities can enhance job opportunities and invest in workforce development, equipping individuals with the skills needed for emerging industries. **Global Connectivity** In today's interconnected world, entrepreneurship fosters global connections. Entrepreneurs engage in international trade, collaborate across borders, and share ideas, contributing to a more interconnected and innovative global economy. In conclusion, the rationale for entrepreneurship is multifaceted, encompassing economic growth, innovation, social impact, and personal empowerment. By supporting and nurturing entrepreneurial endeavors, societies can unlock creativity, address pressing challenges, and drive sustainable development, making entrepreneurship a cornerstone of a thriving economy. **[Relevance of Entrepreneurship]** Entrepreneurship plays a crucial role in driving economic growth, innovation, and social change. Its relevance can be understood through several key dimensions, and it has been explained below; **Economic Growth and Job Creation** Entrepreneurs contribute significantly to the economy by creating new businesses, which leads to job creation. Startups and small enterprises are vital for employment, often accounting for a substantial portion of new jobs in many countries. This job creation helps reduce unemployment rates and enhances overall economic stability. **Innovation and Technological Advancement** Entrepreneurship is a primary driver of innovation. Entrepreneurs often introduce new products, services, and technologies, pushing industries forward. This innovation fosters competition, improves efficiency, and meets changing consumer demands, leading to enhanced quality of life. **Social Impact and Change** Social entrepreneurship focuses on solving pressing societal issues through innovative solutions. By addressing challenges like poverty, education, and health, social entrepreneurs contribute to positive social change, improving the well-being of communities and fostering inclusive development. **Economic Diversification** Entrepreneurs can diversify economies by introducing new sectors and industries. This diversification reduces dependency on traditional industries, making economies more resilient to market fluctuations and global changes. **Global Competitiveness** Entrepreneurship enhances a nation\'s competitiveness on the global stage. Countries that foster entrepreneurial ecosystems are better positioned to attract investment, talent, and resources, enabling them to compete effectively in international markets. **Community Development** Entrepreneurial ventures often play a key role in community development. Local businesses contribute to community identity and cohesion, support local economies, and invest in social initiatives, creating a positive feedback loop that benefits everyone. **Personal Development and Empowerment** Entrepreneurship empowers individuals to take control of their financial futures and pursue their passions. It encourages skills development, creativity, and resilience, fostering a culture of self-reliance and initiative. The relevance of entrepreneurship extends far beyond mere profit-making; it is a fundamental driver of economic, social, and personal development. By supporting entrepreneurial endeavors, societies can harness creativity and innovation to address current challenges and build a more sustainable future. **REFERENCES** Burnett, D. (2000). Hunting for Heffalumps: The Supply of Entrepreneurship and Economic Development.Technopreneurial.com. http://www.technopreneurial.com/ articles/history.asp. Bygrave, W. D. (1989). The entrepreneurship paradigm (II): Chaos and Catastrophes among Quantum Jumps. Entrepreneurship, Theory and Practice. 14 ( 2), 7 -- 30 Drucker, P.F. (1985). Innovation and Entrepreneurship. New York: Harper & Row Publishers Gordon, O.A. (2012). Entrepreneurship Skills. Moi University School of Human Resource Development Kwabena, N.S. (2011). Entrepreneurship theories and Empirical research: A Summary Review of Literature. European Journal of Business and Management, 3 (6), 1-9. Stevenson, H.H & Jarillo J.C. (1990), "A Paradigm of Entrepreneurship: Entrepreneurial Management", Strategic Management Journal, 11, 17-27. Schumpeter, J. A. (1934). The Theory of Economic Development. Cambridge, MA: Harvard University Press. **[\ ]** ***[NOTE TWO]*** **[CHARACTERISTICS OF ENTREPRENEUR]** **[INTRODUCTION]** No nation, organization or enterprise of any kind grew and developed without the injection of the entrepreneurial spirit. According to Mc Clleland 1966), entrepreneur is seen as one who can search and discover economic opportunities and is able to marshal the financial and other resources which are vital for the development of the opportunities, assess alternatives available in the environment and allocate resources to the most profitable ones. Drawing from the above definition, it is apt to say that the entrepreneur is an individual who have eyes for productive opportunities. Kuratko and Hodgetts (2001) describes the entrepreneur as an individual who recognizes opportunities where others see the opposite. In addition, it is essentially important to mention here amongst others that the entrepreneur is an individual that has a strong mental picture of his dream business and the associated opportunities that goes with it. Secondly, He takes corresponding action to actualize his business by engaging the associated risks that comes with it. The entrepreneur makes the required sacrifices to take delivery of the reward of his perseverance, commitment and dedication to the business In the light of the foregoing, entrepreneurship is beyond business formation. It is perceived as the formation and the running of the business to achieve the anticipated goal. Similarly, this concept entails enquiry, gap filling, discoveries of investment opportunities intelligent application of funds for profit maximization, management of the organization, bearing risk and uncertainties and providing creative and innovative leadership for growth and development. More so, it is aptly summed-up by Adeleke et al (2008) that writers have featured the entrepreneur as the innovating man who is willing to search for and undertake business opportunities for profit making. **[Features of Entrepreneurship]** Great entrepreneurs come from all walks of life. They form hypothesis on ways to deliver value to customers and perform structured tests to validate their ideas. Similarly, in entrepreneurship essentials, it is noted that" there is no single personality profile, and it's important to pay attention to the entrepreneurial team, rather than focus on the individual." And while that's true, there are features and skills that are very important for entrepreneurs to have when starting and leading a firm. Here are some of the different characteristics of successful entrepreneurs. 1. **Opportunity Seekers** Progress -- driven or successful entrepreneurs have a unique personality identity that sets them apart from other business leaders, a sense of curiosity. An entrepreneur's ability to remain inquisitive allows them to continuously seek new opportunities. Instead of setting for what they think they know, entrepreneurs ask critical questions and explore different channels where discoveries and new opportunities are noted. 2. **Risk Taker** Entrepreneurship is often associated with risk. While it's true that launching a venture requires an entrepreneur to take risks, they also need to take steps to minimize it. Another aspect of risk is the fact that unforeseen circumstances are always a possibility. The COVID-19 pandemic and subsequent supply chain disruptions showed that businesses need to create and maintain backup plans to minimize the loss of income from insufficient materials and products to satisfy demand. 3. **Natural and Nurtured** From a broader understanding, entrepreneurship often takes a combination of both natural tendencies and nurtured experiences to build strong resilience. Natural resilience has so much to do with inherent traits or qualities that makes someone adaptable and able to bounce back from challenges. This can include personality characteristics or innate coping mechanisms. On the other hand, Nurtured resilience emphasizes the role of external factors, such as support systems experiences, and learned behaviors that helps someone develop resilience overtime. 4. **Problem Solver and Change Agent** Problem solving, however, is more direct. It entails the solution of some problems where a gap exists between a current state and a desired state. Entrepreneurs are problem solvers who offer solutions using creativity or innovative ventures that exploit opportunities. On the other hand, entrepreneurship and change agency entails risk taking assessing issues from different perspectives, questioning and challenging the prevailing norms and selling new ideas. Becoming a change agent is never excluded from risk taking. There can't be any success without experimentation and risks. 5. **Innovation** Innovation is the manifestation of creativity into useable products or services. In the entrepreneurial domain, innovation is any new idea, process or product, or change to an existing product or process that adds value to the existing product or service. On the other hand, the entrepreneur may introduce a new product, use new methods of production, find a new market for the product or look for a new or cheaper source of raw materials. 6. **Creative Thinker** In business, entrepreneurial thinkers are inherently creative. In other words, creative thinking is the ability to explore possibilities to come up with new ideas that can help you achieve goals and overcome thinkers see problems as opportunities for innovative solutions. **REFRENCES** 1. Adepoju Adeleke (2016) Entrepreneurship Development: A Practical Approach. PEACE PRINT AND PACKAGING, Lagos 2. Baum et al., (2014) born to be an Entrepreneur? Revisiting the Personality approach to entrepreneurship. The Psychology of 2014 3. Drucker (1985), Innovation and Entrepreneurship: practices and principles. Harper & row. New York 4. Fadahunsi S.A (1992) Entrepreneurship and Small Industry Development in the Commonwealth. An overview. Nigerian Management Review.7.1 &2. Pp.443-454 5. Hisrich et al., (2017) Entrepreneur Business Growth: In Effective Entrepreneurial Management (Pp 135-157), Springer Charm 6. Luthans et al., (2006) The Impact of Efficacy, Journal of World Business, Elsevier across cultures 7. Kuratko, D.F & Hodgetts R.M. (2004) Entrepreneurship: Theory. Process and Pratice. Mason. OH. Southwestern College Publishers. 8. Mc Clelland D.C. (1966) The Achieving Society. Van Nostrand Reinhold. 9. Osterwalder et al., (2010) Business model Generation: A handbook for Visionaries, Game Changers and Challenges. Willey, New Jersey. 10. Aldrich, H.E., & Zimmer, C (2015) The Entrepreneurial event. Journal of Business Venturing, 30(2)179 -- 196. 11. Cardon, M.S, et al. (2009) The nature and experience of Entrepreneurial Passion. Academy of Management Review, 34(3), 511-532. 12. Harrison, R.T, & Leitch, C.M (2015) Entrepreneurial learning: A review and future research directions. International Journal of Management Review, 17(2), 137-155. ***[NOTE THREE]*** **ENTREPRENEURIAL THINKING** Entrepreneurial thinking is the ability to see things differently than the rest of the world but, it is not necessarily an inherent trait and can be easily developed or improved. It is more like a state of mind that opens your eyes to new learning opportunities and helps you grow in your role. Entrepreneurs possess key traits like creativity, risk-taking, resilience, and adaptability, enabling them to navigate challenges. This mindset drives business success by fostering adaptability, trend identification, and a culture of continuous improvement. Successful entrepreneurs and organizations embrace entrepreneurial thinking to stay ahead in the dynamic business world. Entrepreneurial thinking skills refer to the ability to identify marketplace opportunities and discover the most appropriate ways and time to capitalize on them. Sometimes, it is simply referred to as the ability to find and pursue the problem-solution fits. **Essential Traits of Entrepreneurial Thinkers** Entrepreneurial thinkers embody creativity, risk-taking, resilience, and adaptability. They innovate, embrace calculated risks, bounce back from setbacks, and readily adjust to changing circumstances, driving success in dynamic environments. Here are the elements: i. **Creativity:** Entrepreneurial thinkers are inherently creative. They see problems as opportunities for innovative solutions. They think outside the box, generating fresh ideas and approaches to traditional challenges. ii. **Risk-Taking:** Entrepreneurship often involves risk. Entrepreneurial thinkers are willing to take calculated risks. They understand that calculated risks can lead to substantial rewards and are not deterred by the fear of failure. iii. **Resilience:** Resilience is a hallmark of entrepreneurial thinkers. They embrace setbacks and failures as learning opportunities. They bounce back from adversity with renewed determination, using each experience to grow. iv. **Adaptability:** In the fast-paced business world, adaptability is crucial. Entrepreneurial thinkers readily adjust to changing circumstances. They remain open to new information, insights, and feedback, allowing them to evolve and thrive in dynamic environments **Importance of entrepreneurial thinking** Having entrepreneurial thinking skills and putting them to good use is not important for business owners alone but for everyone pursuing a successful career. Employees with such skills stand out because they tend to think creatively and take ownership of their jobs as well as performance. The following are some benefits of entrepreneurial thinking skills that can translate into employee satisfaction, a positive work environment, and ultimately profits for the organization: 1. **Entrepreneurial thinking helps you stay ahead of others at work.** It helps you tackle the ever-increasing competition and rise through ranks. Your ability to identify problems quicker and provide a timely solution is likely to put forward the best of you in front of your employer. 2. **It allows for more flexibility in you.** Entrepreneurial thinking can change your attitude towards the organization as well as yourself. Through the flexibility that it allows, it enables you to adapt to the changing environment such as the changes in competitive landscape, market dynamics, and consumer trends/demands etc. Little or no time is wasted on resistance towards the change, speeding up your career growth. **How to improve your entrepreneurial thinking skills** **i. Be passionate about your work.** If you are not passionate about what you do, you should simply shift to another industry, department, or company where your experience and expertise can be put to use in a better way. **ii. Try to be a risk-taker.** Almost all business owners are aware of the phrase 'high risk, high reward'. What sets an employee with entrepreneurial thinking apart from the average ones is his appetite for risk. Nobody ever said it's easy to put all you have at stake, but it does pay off! You can start with baby steps e.g. by pitching a new idea or taking up a challenge in the form of a task that is outside your comfort zone. By taking such small risks you are likely to get rewarded in the form of a nod of approval, development of new skills, or even a promotion. **iii. Last but not the least; dream big!** Never limit your dreams because the most important aspect of entrepreneurial thinking skills is the boundlessness that is required. Throughout our lives, we are all conditioned to be practical and realistic. The one thing that has the tendency to set you apart is your ability to dream big and think different. That's where entrepreneurial thinking begins! **FORMS OF ENTREPRENEURIAL THINKING** **CRITICAL THINKING** Critical thinking in entrepreneurship is about making reasoned judgments that are logical and well-thought-out. It involves thinking in a self-regulated and self-corrective way. For an entrepreneur who wants to make the most of their business and themselves, this skill is vital.  This skill transcends the simple accumulation of data and facts; it's about synthesizing and evaluating information from various sources, discerning relevance and accuracy, and applying this knowledge to decision-making processes. Critical thinking in entrepreneurship involves a balanced approach to problem-solving, where emotional impulses are moderated by rational analysis. This balance is crucial in a landscape where decisions often have significant and lasting impacts. Entrepreneurial critical thinking also extends to understanding and predicting market trends, consumer behaviours, and economic shifts. It involves questioning the status quo, challenging traditional business models, and innovating new pathways for growth. In this realm, critical thinking is not just a tool for problem-solving but a framework for envisioning and realizing new possibilities. **Types of Critical Thinking Skills** **i. Problem-Solving Ability** Entrepreneurs with strong problem-solving skills can navigate challenges much better than those who struggle here. That is because problem-solving is the majority of what entrepreneurs do. Legendary entrepreneur Richard Branson once said, "Launching a business is essentially an adventure in problem-solving." Problem-solving is perhaps the most direct application of critical thinking in entrepreneurship. Problem solving involves identifying problems, analyzing their root causes, and developing effective solutions. From there, entrepreneurs need to learn to make informed decisions that mitigate risks and maximize opportunities. This skill is essential for managing day-to-day operations, overcoming obstacles, and achieving long-term business objectives. Without being able to think critically about the problems they face, entrepreneurs have little hope for success. **ii. Decision-Making** Decision-making is another one of those non-negotiable skills needed for business and entrepreneurship. When it comes to hierarchy, entrepreneurs are at the very top of their businesses. This means without a boss telling them what to do, they are primarily the last stop when it comes to making decisions. Even in the realm of co-founders, each person is responsible for a certain level of decision-making. This can add additional stress and anxiety to the already stress-inducing role of the entrepreneur. While Artificial Intelligence (AI) has come a long way, it hasn't reached the decision-making level of a competent entrepreneur with good critical thinking skills. This means that this is still a critical thinking skill that needs to be developed by entrepreneurs who intend to advance their businesses. **iii. Open-Mindedness** Open-mindedness in critical thinking is about being receptive to new ideas, perspectives, and possibilities. It requires an entrepreneur to be flexible and adaptable. The person has to be willing to consider viewpoints that are different from their own. Also, they need to consider that others may have solutions to problems that they have missed. This includes their team, co-founders, and partners. However, it also means customers and competitors too. As a way to build critical thinking skills, an entrepreneur needs to be able to be open to the fact that they do not know it all and will never know it all. They need to practice asking for feedback and accepting that feedback in a way that betters their own ability to run and grow their business. **iv. Identifying Opportunities** Opportunity recognition in entrepreneurship is the process of identifying and evaluating potential business ideas or markets that are not yet fully maximized. This is a really important skill for entrepreneurs, and they need to be able to think critically to do it. The reason is that it involves finding gaps in the market or a specific need that has not been met. Successful opportunity recognition often hinges on an entrepreneur's ability to perceive change. It requires a combination of intuition, insight, and a deep understanding of the market dynamics. While opportunity recognition is similar to entrepreneurial idea generation, which is the step in entrepreneurship that involves coming up with ideas, it is not the same. In opportunity recognition, entrepreneurs are not yet coming up with ideas. Rather, they are recognizing an opportunity to execute a future idea or fill a gap in the market. In entrepreneurship and business, not being able to take advantage of opportunities can mean loss of revenue, market share, and, in some cases, loss of an entire business. Needless to say, capturing the opportunity cannot happen if a person is unable to identify them in the first place. **v. Risk Assessment and Management** Risk is an inherent part of entrepreneurship. However, not all risks are equal, and understanding which risks are worth taking is a crucial aspect of business success. This can be tough because there are several different types of risks associated with entrepreneurship. There are financial risks, operational risks, human resource risks, and several other types. Managing personal and professional risks is important for entrepreneurs as they attempt to grow businesses and themselves. This critical thinking skill means learning which risks are worth taking and mitigating those risks. **How to develop critical thinking skills as an entrepreneur.** **a. Learn to Analyze Problems** Analyzing a problem effectively is a foundational aspect of critical thinking. The way you analyze a problem will greatly affect the solution you develop. Great business owners develop systems around analyzing business problems. One of the key aspects of analyzing a problem effectively is understanding what the problem is. You should first clearly define the issue at hand, gather as much information about the issue and begin to look at it from different angles. By clearly defining the issue first, you can avoid wasting time and resources on solving symptoms instead of the root problem. There are several problem-solving strategies out there, some of a few strategies to try out include: ***SWOT Analysis--*** This is a strategic planning technique used to help a person or organization identify Strengths, Weaknesses, Opportunities, and Threats related to business competition or project planning. ***Brainstorming--*** This is a group creativity technique by which efforts are made to find a conclusion for a specific problem by gathering a list of ideas spontaneously contributed by its members. The goal is to generate as many ideas as possible. ***The 5 Whys Technique--*** This is a simple but powerful technique for getting to the root cause of a problem. Essentially, you ask 'why' five times, each time drilling down further into the cause of the problem. **b. Ask Good Questions-** As an entrepreneur, always ask questions. Making assumptions can be detrimental. By asking questions, entrepreneurs can challenge assumptions and uncover hidden opportunities for improvement. Asking questions can help to identify the root cause of an issue. It also helps to better understand a situation from all angles. Asking the right questions can sometimes be tricky though. **c. Think Alternate Views-** By diversifying where you get your information you will expose yourself to new perspectives and broaden your knowledge of a topic. To take it another step forward, you can participate in engaging dialogue around a topic as well. Seek to understand others' perspectives and see an issue from another angle. **d. Observant-** Being observant of the world around you is useful for understanding how things operate. It allows you to notice when things change or aren't working the way they were intended to and be able to act. **REFLECTIVE THINKING** Reflective thinking is the process of introspection and analysis to understand past experiences and improve future decision-making. In the context of entrepreneurship, it involves evaluating one\'s actions, strategies, and outcomes to enhance business performance and personal growth. **Why is Reflective Thinking Important for Entrepreneurs?** Reflective thinking is crucial for entrepreneurs because it allows them to learn from successes and failures. By reflecting on their experiences, entrepreneurs can identify what worked well and what didn\'t, leading to more informed and effective business strategies. This continuous learning process is essential in a dynamic business environment where adaptability is key to sustainability. **How Can Entrepreneurs Practice Reflective Thinking?** Entrepreneurs can adopt several practices to integrate reflective thinking into their routine: - *Journaling:* Keeping a daily or weekly journal to document experiences, decisions, and outcomes. - *Feedback Loop:* Seeking feedback from mentors, peers, and employees to gain different perspectives. - *Regular Review:* Setting aside time periodically to review business goals, strategies, and performance metrics. - *Mindfulness:* Practicing mindfulness to stay present and aware of thoughts and emotions that influence decision-making. **Benefits of Reflective Thinking in Entrepreneurship?** Reflective thinking offers numerous benefits to entrepreneurs: - *Improved Decision-Making:* By understanding past decisions, entrepreneurs can make more informed future choices. - *Enhanced Problem-Solving:* Reflecting on challenges helps in identifying root causes and developing effective solutions. - *Increased Self-Awareness:* Entrepreneurs gain a deeper understanding of their strengths and weaknesses, enabling personal and professional growth. - *Better Risk Management:* Reflecting on past risks and their outcomes allows for better risk assessment and management in future ventures. - *Continuous Improvement:* Reflective thinking fosters a culture of continuous improvement, essential for long-term success. **What Questions Should Entrepreneurs Ask Themselves?** To practice reflective thinking, entrepreneurs should ask themselves a series of questions: - What were my objectives? Understanding the initial goals can help assess if they were realistic and achieved. - What worked well and why? Identifying successful strategies and their reasons helps replicate success. - What didn\'t work and why? Analyzing failures can provide invaluable lessons to avoid similar mistakes. - What could I have done differently? Considering alternative actions can broaden the perspective and improve future decisions. - What have I learned? Summarizing key takeaways ensures that lessons are remembered and applied. **Examples of Reflective Thinking in Action** Many successful entrepreneurs attribute their achievements to reflective thinking. For example, Steve Jobs was known for his introspective walks, during which he reflected on Apple's direction and innovations. Similarly, Elon Musk often reviews his company's performance and iterates on strategies to improve efficiency and product quality. **How can reflective thinking influence business strategy?** Reflective thinking can significantly influence business strategy by providing insights that lead to better planning and execution. For instance, understanding customer feedback can help refine products or services. Similarly, reflecting on market trends can guide strategic pivots or innovations. Reflective thinking is an invaluable tool for entrepreneurs, aiding in better decision-making, problem-solving, and strategic planning. By integrating reflective practices into their routines, entrepreneurs can foster continuous improvement and achieve sustained success in their ventures. **CREATIVE THINKING** If entrepreneurs all did business in the same way, in the same industries, in the same marketplace, and with the same products and services, nobody would stand out with a competitive advantage and many businesses would not be in business for very long. Carving out a niche for yourself as an entrepreneur or making sure that your Unique Selling Proposition (USPs) helps differentiate your business to make it stand out from the clutter, you need to implement high levels of creativity and innovation into all of your entrepreneurial practices. Innovation and entrepreneurship, and more specifically, cultivating creativity in entrepreneurship is an important process which helps entrepreneurs generate value, useful unique products, services, ideas, procedures, or new business processes.  **Role of Creativity and Innovation in Entrepreneurship** Creativity and innovation help develop new ways of improving an existing product or service to optimize the business. Successful innovation is the driving force that allows entrepreneurs to think outside the box and beyond the traditional solutions. Through this opportunity new, interesting, potential yet versatile ideas come up. Overall, creativity and innovation are integral to entrepreneurial success. They empower entrepreneurs to discover opportunities, solve problems, differentiate themselves, adapt to change, continuously improve, and drive business growth. By embracing creativity and fostering an innovative mindset, entrepreneurs can build successful ventures in an ever-evolving business landscape. **ENTREPRENEURS AND CREATIVITY** Creativity is an indispensable trait for entrepreneurs. It drives idea generation, opportunity recognition, problem-solving, innovation, and differentiation. Creative entrepreneurs embrace risk, communicate effectively, and continually learn and adapt. By harnessing their creativity, entrepreneurs can navigate challenges, seize opportunities, create new solutions and build successful and impactful ventures. **ENTREPRENEURS AND INNOVATION** Entrepreneurs and innovation go hand in hand. Innovation is a key driver of entrepreneurial success, and entrepreneurs play a critical role in bringing innovative ideas to life. They adapt to change, solve problems, and fuel business growth through innovation. By embracing innovation, entrepreneurs can create disruptive solutions, differentiate themselves in the market, and ultimately achieve entrepreneurial success. Having a good hold on innovation and as a net result, innovative ideas, is very important for entrepreneurs. Not only will an innovative mindset be advantageous in coming up with products, services, and business ideas, it will also be exceptionally helpful when it comes to adapting to change and finding new and improved ways of doing things in your business structure. **Benefits of using creativity for innovation** For decades, advertising and marketing companies have used creativity to differentiate innovative products and services being advertised against other like products in the marketplace. Using creativity for innovation can lead you to be a better entrepreneur and infusing creativity into your business makes you an innovative leader within your industry. Without creativity, businesses run the risk of slipping into the clutter that may exist in an industry. To improve your chances of successful entrepreneurship, here are some of the benefits of being a creative and innovative entrepreneur: - You will be able to create new products or services that solve problems for people - You will be able to improve processes and make them more efficient - You will be able to find new markets for existing products or services - You will be able to create new jobs - You will be able to make a positive impact on society - You will be able to have a lot of fun and satisfaction in what you do **Example of Entrepreneurial Creativity and Innovation** **Apple (Steve Jobs)** He may have passed away on the 5th of October 2011, but the creative entrepreneurial legacy that Steve Jobs left behind will have a marked impact on all other intrepid tech entrepreneurs that come after him.  Steve Jobs had a never-said attitude and an incredible flair when it came to producing products that were leagues ahead of the competition and so creative that they stood head and shoulders above the competition.  Apple Computer Inc. was founded on April 1, 1976, by college dropouts Steve Jobs and Steve Wozniak, who brought to the new company a vision of changing the way people viewed computers. Jobs and Wozniak wanted to make computers small enough for people to have them in their homes or offices. And they succeeded beyond their wildest imagination. Entrepreneur magazine says that Steve Jobs systematically cultivated his creativity and so can others. While there\'s no doubt that Jobs had a naturally creative brain, thanks to modern research, we can see that Jobs\' artistry was also due to practices every entrepreneur can adopt to enhance creative thinking. Jobs\' meditation practice helped him develop creativity. Meditative practices, such as \"open-monitoring training,\" encourage divergent thinking, a process of allowing the generation of many new ideas, which is a key part of creative innovation. **\ ** ***NOTE THREE B*** **INNOVATION AND ENTRPRENEURS** In emphasizing on the importance of entrepreneurship in nation building, Akinnawo (2020) revealed that entrepreneurship development is today identified as the panacea to the problem of high unemployment and poverty among educated youths in the country and many other African countries. He went further to note that the word entrepreneur is derived from the French verb "entrprendre" which means 'to undertake". Akinnawo added that entrepreneurship then refers to those who undertake the risks of new enterprise. What then is entrepreneurship? To answer this question, it is pertinent that we are guided by the premise of Uzukwu (2021) who observed that in today's tech driven world, many have become billionaires from tech start-ups (Bill Gates of Microsoft; Mark Zuckerberg of Facebook are examples), lending an affirmation to innovation particularly in science and technology, being the biggest driver of general improvement in standards of living. Similarly, in their book on African Entrepreneurship: Theory and Reality, Anita Spring and Barbara McDade noted on the importance of entrepreneurship on African development that: **Who is an entrepreneur?** In a simple manner, a businessperson could be regarded as a person who starts or owns a business. The business of an industrialist for example could be in farming, retail, and manufacturing or in the service sector; entrepreneurs therefore are business people who find their success by taking risks. In their chase, they often become disruptors in recognized industries. In other words, the entrepreneur is defined as someone who has the ability and desire to establish, administer and succeed in a startup venture along with risk entitled to it, to make profits. The best example of entrepreneurship is the starting of a new business venture. The entrepreneurs are often known as a source of new ideas or innovators, and bringing new ideas in the market by replacing old with a new invention. There are some entrepreneurial traits which an entrepreneur is expected to have; Some of the most important entrepreneurial traits are: 1. Passion 2. Risk taking ability 3. Persisting nature 4. Innovative 5. Leading from the front 6. Ethical in nature **Innovation** Innovation is a new idea, method, or device, or rather the introduction of something new. In the approaches to the typology of diverse innovations, there are representations of various authors. The institutional science also has its own approach to the typology of innovation as the good and the typology of the subjects of innovation, the relationship between the first and second disclose the advantages of using certain types of innovation actor's specific innovation. Thus, the theme of this work is relevant enough. Schumpeter, which may be called the founder of the theory of innovation in the economy generally, regarded innovation as the economic impact of technological change, as the use of new combinations of existing productive forces to solve the problems of business (Schumpeter, 1982). Innovation is a powerful source of entrepreneurship, according to Deakins & Scott (2021) it can generate growth and eventually develop new industry. Once an innovative product is accepted in the market or society, it disrupts and challenges existing industries (Christensen et al, 2015; Schneider, 2017). According to Twiss, innovation - a process that combines science, technology, economics and management, is to achieve novelty and extends from the emergence of the idea to its commercialization in the form of production, exchange and consumption (Twiss, 1989). In Schumpeter's perspective, the process of constantly changing the structure of the economy can be described as creative destruction (Schumpeter, 1942; Abernathy & Clark, 1985; Acemoglu, et al 2018). In general, the concept of \"innovation\" - a rather complex and multifaceted, his study of the subject of many studies, but, despite this, the generally accepted definition of innovation in science does not exist. There are three main approaches to the consideration of the term. This classification is presented in the (Fig. 1) below: Figure 1: Approaches to the definition Approaches to the definition of innovation Source: Siauliai, 2013 Innovation interprets as \"improved\", \"innovation\", to some extent, even the \"invention\". However, for use in scientific, legislative practice should clearly grasp the difference between these words. It is pertinent to note that entrepreneurial skills include the ability to identify and develop creative and innovative business ideas. This shows that innovation is crucial in the practice of invention. More so that Akinnawo (2020) posited that innovation is a continuous and almost infinite process. He added that tomorrow's competitive advantage will be different from today's competitive advantage. Therefore, entrepreneurs must continually be looking for opportunities to effectively compete for the future. The way out is through creativity and innovation. Drucker (1985) observed that innovation is an essential tool for entrepreneurs. **What is creativity in entrepreneurship?** There is need to differentiate between innovation and creativity. It is pertinent to note that entrepreneurial innovation is the ability to turn an idea into reality. This means that it is about finding new ways to do things and making them better. This way entrepreneurial innovation is about creating new products or services, improving processes or finding new markets for existing products or services. On the same way, entrepreneurial creativity is the ability to develop new ideas and solutions to problems. This is the ability to see into the future and generate ideas, solutions and innovations before they are needed. Creativity could be said to be the ability to solve your customer\'s or client\'s problems before they even realize the problem exists. Creativity is the ability to see the world in new ways, find hidden patterns, make connections between seemingly disparate things and generate new ideas. Innovation often drives creativity, but creativity does not always lead to innovation. Nexford University revealed that creativity is an indispensable trait for entrepreneurs. The University noted that creativity drives idea generation, opportunity recognition, problem-solving, innovation, and differentiation. This way, creative entrepreneurs would embrace risk, communicate effectively, and continually learn and adapt. They also need to harness their creativity through which entrepreneurs could navigate challenges, seize opportunities, create new solutions and build successful and impactful ventures. This makes creativity not only to assist entrepreneurs in the initial stages of coming up with a business idea but also to be a driving force and also highly valuable in terms of: - Coming up with branding and marketing ideas - Creative ideas for blogs, other SEO-related(Search Engine Optimisation) content - Finding creative solutions to everyday business problems - Fun and exciting social media strategies - A good balance of linear and lateral thinking Thus, creativity could be seen as a continuous process in which the required party has to work hard and continually improve ideas and solution. This means that a creative person should work hard by making gradual alteration and refinements to their work. This makes creativity in entrepreneurship to imply that the organizational environment such as team climate, teamwork and others are effectively used. **Attributes of an innovative entrepreneur** One of the good attributes of innovative entrepreneurs is that they possess a variety of skills that enable them to be successful at bringing new ideas, and also that they communicate effectively in a timely manner. This is further enriched by the fact that they can position new products in crowded marketplace successfully through their ability to win negotiations and build high-performance teams. Moreover, they have the ability to develop good strategy that would give them market advantages over their competitors as well as having good decisions that are backed by sound financial analysis. The reason for innovation is that the success of the entrepreneurs often hinges on bringing to market a new product or services that are better in some way than the older products in the market. Little wonder then the DNA of innovation is attributed to the reinvention of something that brings competitive advantage, in this way entrepreneurs are constantly re-imaging the business world in innovative ways and in ways that are more effective or efficient. For instance, the innovation of the personal computers, the introduction of the smartphones, Apple siri, Gogle assistant, the creation of artificial intelligent network, etc. that everyone enjoys today. Entrepreneurs therefore have been bringing to market new ideas for centuries and have also been champions of innovation before the word entrepreneur was founded. This way there have been uniquely talented individuals that have a diverse set of skills through which they promote new business success. These skills would have been acquired by them from their financial acumen, knowledge of market forces, effective communication, active listening, strategic thinking, network building, negotiation, leadership and motivation, time management and being agents of change. **Types of innovation in entrepreneurship** There are different types of innovation that could be applied in your day-to-day activities in order to optimize results, each with a different objective. Disruptive, incremental, and drastic innovation are among them. Every company wants to innovate, stand out in the market, and offer the best to its customers, employees, and partners. These types of innovation are discussed below: Essentially, there are three types of innovation, which are **radical, incremental, and disruptive**. These types of innovation might vary from one another depending on the niche, market, brand essence, services, and products offered. Thus, if your company wants to innovate, it is essential that you know these varieties as well as finding out the characteristics of each of them:  **Source: Sydle.com (2024) accessed online from ** **Radical innovation** A **radical innovation really changes the circumstances** of the nature of the organization or its product or services, whether in terms of market or of business dynamics. This could be done through a complete change in a company\'s positioning, work method, processes, services, and products offered, or how it relates to customers. A good example of this form of innovation is the Apple\'s iPhone. When this product was released, smartphones already existed, but Apple included features that changed the market and made it more popular than the existing smartphones before it. **Incremental innovation** This form of innovation adds new features to a product, brand, or production methods without promoting a very drastic change. In other words, it is an **evolution of an innovation already implemented by the organization which provides features** that complements and offers improvements, be it to employees, customers, or features of a business. An example of incremental innovation is Gmail, which was created with the purpose of sending emails quickly -- but over time, different features were added to improve the customer experience and make it more useful and competitive. **Disruptive innovation** This form of innovation is attributed to technological and behavioural changes that favoured the emergence of disruptive innovation in recent decades. This type of innovation linked to a more than a specific brand, product, or service. This is because is based on something a company has offered and, as a result, made their name. In general, it is an **accessible change that influences many people at the same time**. Examples of disruptive innovation include Netflix, as the market used to rely on companies like Blockbuster for movies and TV series. Netflix started offering DVD-by-mail rental services but decided to innovate. It started offering video streaming services through a monthly subscription and, in doing so, drove Blockbuster out of the market. In addition to being innovative, this also gave Netflix predictable monthly revenue. **Examples of innovation** Examples of innovation in the marketplace would be discussed below: **Product innovation** In this form of innovation the entrepreneur brings into the market a new product different from what exist. For instance, television was something innovative when it was invented, bringing image, sound, and entertainment into people\'s houses. It was a radical innovation that, **with acceptance of the public, became disruptive** and over time began to rely on incremental innovation. The whole world followed the release of different kinds of TV: colour, cable, flat-screen, and, today, smart TV. **Service innovation** A good example of service innovation is food delivery, our Mr. Biggs, Chicken Republic, etc. The services these eateries were given in the past have changed over time. For a long time, in order to eat something from a restaurant, customers needed to walk into the place or order takeout. That's when the market innovated and offered delivery service so that customers could order whatever they wanted with just a phone call. Over time, it became possible to order food on websites, and now we can order food on mobile apps at our fingertips. **Innovation in production processes** Organisations involved are very mindful of the environment in the production and distribution of their products. A good example could be taken from the cosmetic producing companies that, for example, innovate by implementing cruelty-free processes that don't involve animals. Several companies have worked to increase environmental sustainability. NIKE created a mechanism in its Flyknit sneakers that reduces the volume of material waste used in the cutting and sewing process of shoe manufacturing by 60%. **Innovation in business model** Innovation in the business model is **very common in startups**. A simple example would be **marketplaces**. Virtual stores like Amazon mediate between buyers and sellers. Another example would be virtual banks. Today, there are many financial institutions with no physical facilities for customer service and whose transactions are all performed online. **Technological innovation** This is commonest form of innovation that are easily seen and felt by the people. There are many technological products around us today, For instance, Al and chapbots, drones etc. **Theories of innovation** The main theory on innovation with regards to entrepreneurship is usually associated with Joseph Schumpeter and he states that entrepreneurship is based on innovation. His position is that entrepreneurs are innovators who create new products, processes, and business models that can disrupt markets. Schumpeter held that entrepreneurship involves bringing together new ways of production, new products, and new organizational forms. He also posited that innovations have need of the same ability and courageous as invention. ### There are fifteen popular theories of innovation according to Taylor (2024) and we would discuss them briefly. These fifteen theories of Taylor (2024) are: ### ### 1) **Economic Entrepreneurship Theory**  The Economic Theories of Entrepreneurship is based on the fact that the economic factors shape Entrepreneurial activities. This is as a result of Classical economists on the importance of the Entrepreneur as a risk-taker and an organiser. It emphasises on the element of innovation and the Entrepreneur\'s ability to disrupt markets. This could be carried out through the introduction of newer products and processes. Schumpeter\'s concept of \"Creative Destruction\" shows how Entrepreneurial innovation can lead to economic growth. It displaces old technologies and business models.  ### 2) **Sociological Entrepreneurship Theory**  The Sociological Theories look at how social structures and community networks and cultures impact on Entrepreneurial behaviour. It argues that Entrepreneurship is not only an individual endeavour. It is shaped, or rather influenced by the social environment.   This theory takes cognisance of issues like family background, social status, and community support significantly on how they could influence an individual\'s livelihood of becoming an Entrepreneur. Sociologists also examine the role of social movements and collective action in nurturing entrepreneurial goings-on within specific cultural or demographic groups.  ### 3) **Entrepreneurship Innovation Theory**  The Innovation Theory is mainly associated with Joseph Schumpeter. It says that Entrepreneurship is fundamentally established on innovation. Entrepreneurs influence economic development by creating new products and processes. This also includes various industry models that have the capability to disrupt present markets. This theory says that the Entrepreneur\'s role is of an innovator.   The innovator syndicates assets in various ways to generate worth in an organisation. The emphasis on innovation underlines the importance of creativity, technological advancements, and the capability to predict market movements in entrepreneurial success.  ### 4) **Psychological Entrepreneurship Theories**  The Psychological Theories emphasis on individuals characteristics and mental processes. These theories maintain that these factors drive Entrepreneurial behavior and that these are certain key traits associated with successful Entrepreneurs. The theories focus on a high need for achievement, internal locus of control, risk-taking propensity, and resilience.   For instance, cognitive theories look at how Entrepreneurs receive opportunities. It helps in decision making and problem solving. Understanding the psychological aspects of Entrepreneurship helps in pointing out and nurturing potential Entrepreneurs by recognising their mental attributes that contribute to success.   ### 5) **Cultural Theory**  The Cultural Theories of Entrepreneurship examine the cultural values, beliefs, and practices build Entrepreneurial activities. It noted that different cultures nurture varying levels of entrepreneurial spirit based on their attitudes toward risk, innovation, and individualism.   Cultures that value independence and reward innovation are more likely to produce successful Entrepreneurs for example.  ### 6) **Resource-based Theory**  The Resource-based Theory emphasises the importance of access to resources in the success of entrepreneurial ventures. This theory suggests that Entrepreneurs with unique resources or capabilities, such as financial capital, human talent, or proprietary technology, have a competitive advantage in the marketplace.   The ability to acquire, manage, and leverage these resources effectively is crucial for creating and sustaining a successful business. Resource-based theory highlights the strategic role of resource allocation and management in Entrepreneurship.  ### 7) **Effectuation Theory**   The Effectuation Theory was developed by Saras Sarasvathy and focuses on the decision-making processes of Entrepreneurs. Unlike traditional workings that focused on predictive planning, this theory is about Entrepreneurs starting with available means and continuously adjusting their goals according to emerging opportunities and constraints.   In other words, it focuses on the importance of adaptability, experimentation, and using existing resources to achieve entrepreneurial success. Effectuation showcases the dynamic and iterative nature of the entrepreneurial process.  ### 8) **Social Network Theory ** The Social Network Theory looks at the role of social relationships and networks in entrepreneurial activities. Entrepreneurs rely on their networks which are used for accessing information, resources, and support. Strong social ties can provide valuable mentorship, funding opportunities, and business partnerships.   It states that weak ties, on the other hand, can offer new perspectives and connections to diverse networks. Understanding the structure and dynamics of social networks helps Entrepreneurs build and leverage their connections to enhance their chances of success.  ### 9) **Human Capital Theory**  The Human Capital Theory examines the importance of individual skills, knowledge, and experience in Entrepreneurship. It notes that entrepreneurs with higher levels of education, industry experience, and specific competencies are more likely to identify and exploit business opportunities successfully.   This entails that investing in human capital, through education and training, enhances an entrepreneur\'s ability to innovate, adapt, and grow their business. This theory emphasizes on the critical role of continuous learning and skill development in entrepreneurial success.  ### 10) **Institutional Theory**  The Institutional Theory notes on how formal and informal institutions, such as laws, regulations, norms, and values, influence entrepreneurial activities. The institutional environment could facilitate or hinder Entrepreneurship through supportive institutions, such as robust legal frameworks, property rights, and access to finance, create a conducive environment for entrepreneurial ventures. Conversely, bureaucratic red tape, corruption, and restrictive policies can stifle entrepreneurial initiatives. Understanding the institutional context is essential for fostering a favourable ecosystem for Entrepreneurship.  ### 11) **The Knowledge Spillover Theory ** The Knowledge Spillover Theory of Entrepreneurship suggests that new knowledge and innovations often spill over from established firms, research institutions, or other sources, creating opportunities for new ventures. Entrepreneurs capitalise on these spillovers by commercialising new ideas and technologies.   This theory focuses on the importance of knowledge transfer, collaboration, and proximity to innovation hubs in driving entrepreneurial activity. It underscores the role of research and development, education, and knowledge networks in fostering a vibrant entrepreneurial ecosystem.  ### 12) **The 4Ps of Creativity Theory: Person, Process, Press, and Product**  The 4Ps of Creativity theory, developed by Mel Rhodes, provides a comprehensive framework for understanding creativity in Entrepreneurship. The four dimensions are as follows:  **1) Person:** The individual characteristics and traits that foster creativity.  ### 13) **The Profit Theory**  The Profit Theory examines the role of profit as a driving force in Entrepreneurship. The theory reveals that entrepreneurs are motivated by the potential for profit, which serves as a reward for taking risks and innovating. Profit maximisation is the primary goal of most entrepreneurial ventures. This theory underscores the importance of financial incentives and market opportunities in motivating entrepreneurial behaviour and sustaining business growth.  ### 14) **The Opportunity Theory**  The Opportunity Theory provides that entrepreneurship arises from the recognition and exploitation of opportunities and those entrepreneurs are alert business people who can recognize opportunities in the market, unmet needs, or emerging trends. The ability to notice and act on these opportunities is a defining characteristic of successful Entrepreneurs. This theory highlights the importance of market research, opportunity recognition, and strategic planning in the entrepreneurial process.  ### 15) **The Ownership Theory**  The Ownership Theory, also known as property rights theory, looks at the affiliation between ownership structures and entrepreneurial outcomes. This theory proposes that clear and secure ownership rights are essential for fostering entrepreneurship. When Entrepreneurs have assurance in their property rights, they are more likely to devote capitals in their ventures, innovate, and take risks. The theory highlights the role of legal and institutional frameworks in protecting property rights and promoting entrepreneurial activity.  Finally, it is important to argue that knowledge of the various Theories of Entrepreneurship thus provides a comprehensive view of the importance that innovation plays in entrepreneurship. These theories revolve around economic incentives, social networks, psychological traits, or institutional support which could play important role in the business, innovating itself effectively and efficiently. **The advantages of innovation** Innovation as earlier identified is what makes the difference between entrepreneurs in the marketplace. It gives innovative entrepreneurs the opportunity to be ahead of their competitors. This is behind Sydle (2024) position that when a sector, segment, or brand decides to innovate, it contributes to the development of society as a whole. But, in practical terms of a commercial organization, a company that innovates, mainly in its processes, gains many advantages, accordingly to Sydles in the areas below: - **Keeping processes organized:** By being innovative in how you perform processes, especially if you use technology, you create standards and systematize the best work method for your brand. And this is crucial for strategies to be successful, results to be achieved, and goals to be reached. - **Developing creativity:** With innovation, a company shows that it\'s open to changes and that employees can contribute with new ideas and to see practically the benefits the new things can bring to the day to day running of the business. - **Increasing the business's competitiveness:** By adopting strategic resources, a company becomes more attractive to customers, partners, and talents and gains a competitive advantage in the market. - **Increasing productivity:** Innovation proposes more effective processes, more production control, effective strategy, and more engaged employees. - **Adding value to a product or service:** When you innovate, you boost the marketing of products and services, because you bring something different and unique for your target audience. - **Increasing profits:** With more productivity, a more attractive business, and more effective management, your business will consequently see greater profits. **REFERENCES** Abernathy, W. J. & Cark, K. B. (1985). Innovation: Mapping the winds of creative destruction. Research Policy, 14(1), 3-22 Acemoglu, D., Akcigit, U., Alp, H., Bloom, N. & Kerr, W. (2018). Innovation, relocation and growth. American Economic Review, 108 (11), 3450-3491. Christensen, C. M., Raynor, M. E. & McDonald, R. (2015). What is disruptive innovation? Harvard Business Review, 93(12), 44-53. Drucker, P. (1985). Innovation and Entrepreneurship. London: Routledge Drucker, P. (1985). Management: Tasks, Responsibilities and Practices. New York: Harper & Row. Hisrich, R. D., Peters, M. P. Shepherd, D. A. & Mombourquette, P. S. (2006). Entrepreneurship. Canadian Edition. Toronto: McGraw-Hill Ryerson Hisrich, R. D. & Brush, C. G. (1985). The women entrepreneur: Starting, financing, and managing a successful new business. Lexington, MA: Lexington Books. Ronstadt, R, C, (1984). Entrepreneurship. Dover, MA: Lord Publishing Co. Schneider, H. (2017). Creative destruction and the sharing economy: Uber as destructiveinnovation. Cheltenham: Edward Elgar Publishing. Schumpeter, J. (1942). Capitalism, Socialism and Democracy. New York: Harper & Row. Siauliai A. (2013). The Essence Of The Concept Of \"Innovation\" As An Economic Category And Economic Systems Management, Electronic Scientific Journal. Spring, A. & McDade, B. (1998). African entrepreneurship: Theory and reality. Florida: University Press of Florida. Sydle, (2024). Types of innovation: What are they, and how do you apply them in your business. Innovation and technology. Accessed from **Taylor, E (2024). 15 Theories of entrepreneurship: All you need to know about. The knowledge Academy. Accessed online from ** Twiss, B. (1989). Managing Technology For Competitive Advantage: Integrating Technological And Organisational Development: From Strategy To Action. Trans-Atlantic Publications. Uzukwu' M. (2021). Leadership skills & Entrepreneur: How to become a successful entrepreneur. Maryland (USA): Feli Publishing. ***[NOTE FOUR]*** **BUSINESS REGISTRATION IN NIGERIA** Business Registration in Nigeria is done by the Corporate Affairs Commission (CAC). When you start your business, the first step toward structuring it is to register with the CAC. And, after the business registration, you must comply with other post-incorporation requirements, such as paying annual returns and filing your taxes in Nigeria. **Why You Should Register Your Business in Nigeria** In Nigeria, the biggest economy in Africa, there are many chances to start and grow a business in different areas. This country is rich in natural resources, has many people who can buy goods and services, and a growing technology sector. So, Nigeria is a great place for both local and international businesspeople to invest. Its location is also important because it serves as a door to the markets of the rest of Africa, which is very appealing to new businesses and startups. As Nigeria diversifies its economy, opportunities in agriculture, manufacturing, digital services, and renewable energy continue to grow. This is a great time for people with business ideas to start their projects and register their businesses with the Corporate Affairs Commission. **Importance of Legal Business Registration in Nigeria** The importance of legal business registration cannot be overstated for a country like Nigeria. It confers formal recognition to your business, and it also provides a framework for protecting proprietary interests and securing financial support. Registering your business in Nigeria signals to customers, suppliers, and investors your commitment to long-term operations and ethical business practices. It's the cornerstone of establishing trust and credibility, which are indispensable in the competitive Nigerian market. In Nigeria, legal business registration also unlocks access to government support, tenders, and incentives designed to bolster business growth. **The Companies and Allied Matters Act (CAMA) and the Corporate Affairs Commission (CAC)** The Companies and Allied Matters Act (CAMA) is a foundational legal framework in Nigeria that outlines the regulations for the establishment, organization, and management of companies. The Act requires businesses to register officially, a process the Corporate Affairs Commission (CAC), the government body in charge of business registration in Nigeria, oversees. While CAMA sets the broad legislative framework for business operations, including the requirement for timely registration of businesses, specific details like the registration timeframe and any penalties for late registration, such as a default fee for each day of delay, are subject to the provisions in the Act and the administrative guidelines issued by the CAC. CAMA and the CAC share an integral relationship; CAMA sets the statutory provisions, and the CAC, as the executive agency, implements and enforces these provisions. This includes registering businesses and ensuring they comply with CAMA's requirements. **Corporate Affairs Commission (CAC)** The Corporate Affairs Commission (CAC) is the statutory body empowered to regulate the formation and management of companies in Nigeria. Acting as a gatekeeper to the country's business registry, the CAC ensures compliance with the Companies and Allied Matters Act (CAMA), facilitating smooth business registration processes and promoting public access to corporate information in Nigeria. With initiatives aimed at streamlining the process, such as the introduction of the Company Registration Portal (CRP), the CAC is pivotal in fostering a conducive business environment in Nigeria. The body's dedication to due process ensures it sets up businesses on a solid legal foundation, crucial for navigating Nigeria's complex business terrain. **Choosing Your Business Structure** Understanding and selecting the right business structure is crucial for any entrepreneur looking to start a new venture in Nigeria. The chosen entity can affect everything from your liability and tax obligations to your ability to raise funds and manage your company. In Nigeria, categorization of business structure depends on ownership, liability, tax arrangements, and scale of operations. Specific legal and regulatory frameworks guide the formation, operation, and dissolution of each type. Your decision will have a significant impact on the day-to-day operations and the future of your business, influencing risk, investment opportunities, and governance. **Types of Business Registration in Nigeria** Here are the different business registration types in Nigeria. **[Sole Proprietorship]** A sole proprietorship is a business owned and operated by one individual. It is also known as business name, ventures or enterprise. It's the simplest and most common structure chosen by those looking to have full control over all decisions and profits. However, it also means that the owner is personally liable for all business debts and obligations. **[Partnership]** A partnership is when two or more people co-own a business and share in the profits and losses. Partnerships in Nigeria are easy to establish but require a clear agreement on the role and investment of each partner. **[Private Limited Company (LTD)]** This is the most popular type of incorporation in Nigeria. It's a legal entity separate from its owners, offering liability protection to its shareholders. The shares of a private limited company are not available to the public. **[Public Limited Company (PLC)]** A PLC is a larger-scale business entity where shares are offered to the public. It requires at least two shareholders and has more regulatory requirements, including disclosure of company financials and operations to the public. **[Company Limited by Guarantee]** Non-profits, NGOs, and charitable organizations often use this entity. The liability of the members is limited to the amount they agree to contribute if the company winds up. **[Unlimited Liability Company (UNLTD)]** Here, there is no limit to the members' liability, meaning personal assets can be used to cover business debts. This is less common due to the high level of risk involved. **[Limited Liability Partnership (LLP)]** The LLP is a blend of partnership and corporation. Partners have limited liability, and it's particularly beneficial for professional services firms. **How to Select the Right Structure for Your Business Registration in Nigeria** Selecting the right business structure requires a nuanced understanding of each entity's implications. Here are the factors to consider before you choose a business structure: - **Liability:** How much personal risk are you willing to take on? - **Control:** Do you want to make all the decisions yourself or share control with partners or shareholders? - **Taxation:** Each structure has different tax implications. Sole proprietors and partnerships report business income on their personal tax returns, while companies are taxed as separate entities. - **Capital Requirements:** Some entities, like PLCs, might provide easier access to capital through public investments. - **Regulatory Requirements:** Understand the regulatory framework of each entity to ensure you can meet all legal obligations. - **Business Goals and Size:** Align the structure with your long-term business vision and the scale at which you aim to operate. Making the right choice involves a careful evaluation of these factors and how they align with your business objectives. Consulting with a legal or business advisor can provide further personalized insights. The aim is to ensure that your business structure optimizes opportunities while minimizing risks and challenges. The pre-registration phase is critical as it lays the foundation for your business' future operations and success. This stage involves conceptualizing your business idea, conducting market research and choosing an appropriate business name. Before diving into the practical steps of registering your business with CAC, it's essential to conceptualize and refine your business idea. This means taking a deep dive into understanding what products or services you'll offer and identifying what makes your business unique. You'll need to define your business goals, objectives, and the value proposition that will set you apart from the competition. Consider the social, economic, and technological context of Nigeria to ensure your business idea is viable and sustainable. This phase might include brainstorming sessions, consultations with business advisors, and preliminary feasibility studies to shape a robust business concept. **Market Research and Business Planning** After shaping your business idea, you must validate it with thorough market research. This step is about understanding your target market, customer demographics, preferences, and behaviours. Look at the current trends in the Nigerian market, what competitors are doing, and where there are gaps in the market that your business could fill. With these insights, begin drafting a detailed business plan. Your business plan should cover your business model, marketing strategies, financial projections, and operational plans. This document is not only a roadmap for your venture but also a necessary tool to attract investors and partners. It should include a clear description of your product or service, market analysis, marketing and sales strategies, management structure, and financial projections. For guidance, you can use business plan templates or software that aligns with Nigerian business standards and expectations. **Choosing a Business Name and Checking with CAC** Selecting the right name for your business is more than a branding exercise; it's a legal necessity. The chosen name should resonate with your brand identity and be easy to remember, pronounce, and search for online. It must also be unique and not infringe on existing trademarks or business names. Once you've brainstormed a list of potential names, the next step is to ensure their availability. Use the Corporate Affairs Commission's (CAC) online portal to check if your chosen name is not already in use. Remember, the name should not only be distinctive but also reflect the nature of your business. If available, you can reserve your chosen business name through the CAC's name reservation process. This step is crucial as it secures the name for a specified period during which you can complete the necessary registration paperwork without the risk of someone else taking your preferred name. We have answered any question you may have about business registration and the law in the Ultimate Legal Guide to doing Business in Nigeria in Nigeria  **Business Name Registration Process** **Step 1: Name Reservation** Reserving your business name is the first formal step in legitimizing your venture with the Corporate Affairs Commission (CAC) in Nigeria. This process is vital as it secures your chosen business name against use by others during and after your registration process. It requires careful consideration of your brand identity and checks for availability to ensure that the name aligns with your business ethos and is not already in use or similar to an existing company's name. The reservation is temporary, usually lasting for 60 days, giving you enough time to complete your registration formalities. **Step 2: Pre-registration Form For Business Name** Once your business name is reserved, the next step is to fill out the pre-registration form provided by the CAC. This is a critical stage where you detail the particulars of your business, including the nature of your operations, the principal place of business, and the particulars of the proprietor(s). This form, often referred to as CAC Form 1.1, requires accurate and precise information as it forms the backbone of your business's legal documentation. Any errors or omissions at this stage can lead to delays or rejection of your application. **Step 3: Business Information and Requirements** After submitting the pre-registration form, you must provide additional business information and meet specific requirements. This may include detailed information about the business owner(s) and a declaration of compliance with the Companies and Allied Matters Act (CAMA). These requirements aim to ensure your business meets the Nigerian government's legal and regulatory standards and to maintain a transparent business environment. **Step 4: Business Name Filing Fees and Payment** The final step in the business name registration process involves the payment of the prescribed filing fees. These fees are mandatory and cover the cost of processing your business registration. It is important to keep records of all payments made, as proof of payment is often required to complete your registration process. The CAC has streamlined these payments, and they can now be made online, which adds convenience and efficiency to the process. Upon successful payment, the CAC will process your application and, if everything is in order, register your business name. Remember, the accuracy and timeliness of each step in this process are crucial to a successful business name registration in Nigeria. It is advisable to double-check all submissions and meet all deadlines to avoid delays. Additionally, maintaining a digital or physical file of all documentation, receipts, and correspondence related to your business registration can help resolve any issues that may arise during or after the process. **Requirements For Registration of Business Name with CAC** To register a business name in Nigeria, you will need to follow a series of steps and meet specific requirements outlined by the Corporate Affairs Commission (CAC). Here's what you need to prepare for the registration: **Proposed Business Name:** You should have at least two options for your business name in case one is already in use. **Business Purpose:** Clearly define the aim of your business. **Business Address:** This includes the full address with specifics such as building number, street, town or village, local government area, and state. **Personal Details:** For the owner or proprietors, you will need to provide names, date of birth, contact address, phone number, and a valid form of identification, such as a national ID, voter's card, international passport, or driver's license. **Passport Photograph:** Recent passport photographs of the proprietor(s). **Signature:** Signatures of the proprietor(s) need to be scanned and uploaded. **Nature of Business:** Describe what the business entails, including business classification and activities. As for the documents you will need to upload to the CAC registration dashboard: - **Signature Scans**: Your signature on a plain sheet, scanned for upload. - **Passport Photograph**: A clear, recent passport photograph. - **Identification**: A scanned copy of your identification document. **Company Registration Process By CAC** **Step 1: Articles of Association** The Articles of Association, forming the company's constitution, are essential for registering a company in Nigeria. It sets the regulations for company operations and defines the company's purpose, detailing the directors' rights and responsibilities, the business type, and how shareholders control the board of directors. In Nigeria, drafting the Articles of Association typically demands legal expertise to ensure compliance with the Companies and Allied Matters Act (CAMA) and to meet the company's specific needs. **Step 2: Incorporation Details** Incorporation details are the core elements that identify and establish your company within the legal framework. This includes the company name, registered address, the nature of the business activities, details of the shareholders and directors, and the share capital information. For your business registration in Nigeria, the Corporate Affairs Commission (CAC) requires this information to be filled out on the prescribed forms. This step is crucial as it defines the legal standing and structure of your company, including its governance and financial makeup. **Step 3: Payment of Stamp Duty and Fees** After submitting your Articles of Association and incorporation details, the next step involves the payment of Stamp Duty and the relevant registration fees. Stamp Duty, a tax levied on legal documents, requires payment before these documents gain legal effectiveness. The Stamp Duty amount changes according to the company's share capital. Additionally, you must pay the company registration fees, which differ based on the company type, to the CAC. **Step 4: Submission and Approval** The final step in the company registration process is the submission of all your documents and proof of payments to the CAC for review. This includes the Articles of Association, the filled-out incorporation forms, receipts of payment of Stamp Duty, and CAC filing fees. Once submitted, the CAC reviews the documents for compliance with CAMA. If the documents are in order and the fees have been properly paid, the CAC approves the registration and issues a Certificate of Incorporation, the final evidence of the company's existence. This process may take a few weeks, and it's important to periodically check the status of your application and be responsive to any inquiries or requests for additional information from the CAC. **Requirements for Registration of Limited Liability Company with CAC in Nigeria** Registering a limited liability company in Nigeria involves a comprehensive process with specific requirements as stipulated by the Corporate Affairs Commission (CAC). Here are the essential steps and requirements: **Name Availability Check:** You'll need to propose two company names for the CAC to search for availability. Once a name is approved, you will receive an approval notice with an availability code for registration. **Company Details:** Provide the full office address, phone number, and an active email address for the company. **Directors' Details:** Include full names (matching identification documents), date of birth, contact address, email address, phone number, and share allotment for each director. **Witness Details:** As part of the Memorandum of Association requirements, you must provide details of at least one witness to the directors' signatures, including the witness's names, date of birth, contact address, active email, phone number, means of ID, and signature. **Company Secretary Details:** While optional for a private company, details of the company secretary are required and should be provided. **Objectives and Business:** Outline the objectives and nature of the business, detailing the activities the company intends to carry out. **Shareholders' Details:** Details for each shareholder are required, such as names, occupation, residential address, email address, phone number, and a copy of their ID. **Memorandum and Articles of Association (MEMART):** A legal professional can draft this legal document, outlining the company's constitution, or you may adopt a standard MEMART provided by the CAC. **Payment of Fees:** There will be a CAC official filing fee and a stamp duty fee to be paid to the Federal Inland Revenue Service (FIRS). Once these details are provided, and the documents uploaded to the CAC's portal, the application will be reviewed. If approved, the CAC issues a Certificate of Incorporation along with the Company Status Report and MEMART, now digitally via the portal. Additionally, the Certificate of Incorporation includes a Tax Identification Number (TIN) for tax filings with FIRS. You can now complete the process online without the need for physical document submission. However, we advise enlisting the services of an accredited agent or a lawyer to ensure seamless registration. **NGO Registration Process in Nigeria with CAC** Registering an NGO, known as an Incorporated Trustee, in Nigeria involves a series of steps coordinated by the Corporate Affairs Commission (CAC). Here's a detailed process to get your NGO up and running: **Step 1: Convene a Meeting and Elect Trustees** The initial step involves holding a foundational meeting to elect trustees and governing body members. You should keep the minutes of this meeting, as they will become part of the necessary documentation later. **Step 2: Name Search and Reservation** Once the trustees are in place, the next move is to choose a name for your NGO. Before you proceed to the Corporate Affairs Commission for name search, the Registrar General in Abuja must approve the name. The approved name will be reserved for 60 days. **Step 3: Newspaper Advertisements** You must then advertise the intention to register the NGO in two newspapers -- one with national co