Entrepreneurial Management PDF

 ENTREPRENEURAL MANAGEMENT Course Description The course aims to teach the approach entrepreneurs use in identifying opportunity and creating new ventures, the analytic skills that are needed to practice ts approach; and the background, knowledge and managerial skills that a...

 ENTREPRENEURAL MANAGEMENT Course Description The course aims to teach the approach entrepreneurs use in identifying opportunity and creating new ventures, the analytic skills that are needed to practice ts approach; and the background, knowledge and managerial skills that are necessary for dealing with the recurring issues involved in starting, growing, and harnessing the value of new ventures. Introduction to Entrepreneurial Management Welcome to the world of entrepreneurial management! Today, we'll explore the foundations of entrepreneurship, guided by the insights of Marife Agustin-Acierto, a notable Filipino author in the field. Marife Agustin-Acierto emphasizes that entrepreneurial management is not just about starting a business but about strategically managing it to ensure growth and sustainability. She highlights the importance of an entrepreneurial mindset, which involves being innovative, proactive, and willing to take calculated risks.In her work, Agustin- Acierto discusses the critical role of vision in entrepreneurship. Entrepreneurs need to have a clear vision of what they want to achieve and a strategic plan to get there. This vision serves as the foundation for decision-making and drives the direction of the business. Moreover, she stresses the importance of adaptability in entrepreneurial management. The business environment is dynamic, and successful entrepreneurs must be able to pivot and adapt to changes in the market, customer needs, and technological advancements.As we dive deeper into this course, we'll learn how to apply these principles in real-world scenarios, ensuring that your entrepreneurial ventures are not only innovative but also resilient and capable of long-term success.You said:How to apply vision?  Chapter 2 Entrepreneurial Characteristics & Competencies Chapter 2 TABLE OF CONTENTS: I. Meaning of Entrepreneurship II. Characteristics of Entrepreneurship III. Entrepreneurial Skills and Competencies IV. The Decisions to become Entrepreneur V. Reward and Penalties for an Entrepreneur VI. Functions of Entrepreneur VII. Barriers to Entrepreneurship VIII. The Managerial Skills that Makes a Successful Entrepreneur  I. WHAT IS ENTREPRENEURSHIP?  Entrepreneurship: it refers to the decisions he takes in setting up and running a new enterprise. It can be described as creative and innovative response to the environment. Doing new things or doing things that are already being done in a new way. By. Dr. R.K. Singal * Who are Entrepreneurs? They are people who have the ability to see and evaluate business opportunities, to gather the necessary resources to take advantage of them; and to initiate appropriate action to ensure success. By. Dr. R.K. Singal IIa. CHARACTERISTICS OF ENTREPRENEURSHIP 1. ABILITY TO TAKE RISKS – An entrepreneur needs to be courageous and able to evaluate and take risks. 2. INNOVATION – An entrepreneur introduces new product, method, procedure, custom,device among others. 3. LEADERSHIP QUALITY – An entrepreneurs are leaders by the very nature of the functions. They are effective planners, organizer and implementers.  IIb. CHARACTERISTICS OF ENTREPRENEURSHIP 4. FLEXIBLE – An entrepreneur should be flexible and open to change according to the situation. A businessperson should be equipped to embrace the change in the product and sevice as and when is needed. 5. KNOW YOUR PRODUCT – An entrepreneur should know the product offerings and also be aware of the latest trend in the market, if the available product or service meets the demands of the current market. IIc.CHARACTERISTICS OF ENTREPRENEURSHIP 6. POSITIVE THINKERS An entrepreneurs think of success and bright sides, such success conciousness leads entrepreneur to success. 7. DECISION MAKERS An entreprenuers should make decisions on how to improve their products, how to create new market, how to increase consumer satisfactions, or how to maximize profits. 8. CHOOSING THE BEST SOLUTION The problem has to be identified to to be able to organize and analyze the data to be able to come up with alternative solutions.  IIIa. Entrepreneurial Skills and Competencies 1. Problem-solving: Entrepreneurs need to be good at solving problems. They face many challenges in business, so they must think of creative solutions and act quickly to fix issues. 2. Communication Skills: Clear communication is essential for entrepreneurs. They need to explain their ideas, lead teams, and build relationships with customers, investors, and partners. 3. Time Management: Entrepreneurs have a lot to juggle, so managing their time well is crucial. Prioritizing tasks and staying organized helps them stay on top of their responsibilities and move their business forward.  IIIb. Entrepreneurial Skills and Competencies 4. Financial Literacy: Entrepreneurs must understand finances to make informed decisions. This includes budgeting, managing expenses, and forecasting profits to keep the business financially healthy. 5. Adaptability: Entrepreneurs must be flexible and adaptable to changes in the market. This skill helps them adjust their strategies and stay competitive when things shift. 6. Critical Thinking: Entrepreneurs need strong critical thinking skills to analyze situations and make smart decisions. This involves evaluating risks and benefits to find the best way forward. IVa. The Major Decisions to Become an Entrepreneur Here are three major decisions to become an entrepreneur according to Marife Agustin-Acierto: 1. Choosing the Right Business Idea: One of the first big decisions for an aspiring entrepreneur is selecting the right business idea. This involves identifying a product or service that solves a problem or meets a need in the market. Marife Agustin-Acierto emphasizes the importance of choosing a business idea that aligns with your passion, skills, and market demand. Your decision here will influence your long-term success, so it’s crucial to research and assess various ideas before committing. 2. Deciding on Funding: Entrepreneurs need to determine how they will finance their business. This could involve personal savings, loans, or seeking investors. Marife Agustin-Acierto highlights that securing enough capital is vital to starting and sustaining a business. Understanding your financial needs and exploring different funding options is a key decision that will impact how you grow your business in its early stages. IVb. The Major Decisions to Become an Entrepreneur Here are three major decisions to become an entrepreneur according to Marife Agustin-Acierto: 3. Committing to the Entrepreneurial Lifestyle Becoming an entrepreneur requires more than just starting a business; it involves a commitment to the entrepreneurial lifestyle. Marife Agustin-Acierto stresses that this lifestyle includes long hours, constant problem-solving, and facing risks. Entrepreneurs must decide if they are ready to handle these challenges and dedicate themselves fully to their business. This is crucial because entrepreneurship demands perseverance and resilience. V. Rewards and Penalties for an Entrepreneur According to Dr. R.K. Singal the following are the rewards and penalties of an Entrepreneur. A. Rewards: 1. Freedom to work 2. Satisfaction of being own boss 3. Rewards of ownership and retirement assurance 4. Respect of family and friends B. Penalties: 1. Constraints of financies,labourers,customers,suppliers, 2. Frustration due to availability of limited capital and othe r resources 3. Social and family life is affected due tohard long hours of working. 4. Frustration due to non-achievement of full objectives 5. Risk of failure VI. Functions of an Entrepreneur An entrepreneur performs the following functions from generation of an idea up to establishment of an enterprise: 1. Innovating: Entrepreneurs bring new ideas and products to the market. They think creatively and develop unique solutions that haven’t been tried before. 2. Adapting to Change: Entrepreneurs are flexible and quick to adapt to new situations. They adjust their business strategies to stay ahead of competitors and changing market conditions. 3. Building Networks: Entrepreneurs build relationships with customers, suppliers, and other business partners. Networking helps them access resources, find opportunities, and grow their business. 4. Managing Resources: Entrepreneurs gather the right people, money, and tools to make their ideas happen. They make sure everything is in place to get their business up and running smoothly. VIIa. Barriers to Entrepreneurship 1. Lack of Business Skills: Some entrepreneurs may have a great idea but lack the knowledge and skills to run a business. Without knowing how to manage money, market a product, or deal with customers, it becomes difficult to succeed. 2. Limited Access to Education: In some areas, access to education and training in entrepreneurship is limited. Entrepreneurs may find it hard to gain the knowledge they need to turn their ideas into a successful business. 3. Fear of Failure: The fear of failing can be a huge mental barrier. Many entrepreneurs hold back or give up because they worry they won’t succeed, preventing them from even trying. VIIb Barriers to Entrepreneurship 4. Lack of Funds: Many aspiring entrepreneurs struggle because they don't have enough money to start or grow their business. This can make it hard to buy the equipment, materials, or even hire people needed to get started. 5. High Costs: Starting a business often comes with high costs, like renting space or buying supplies. These expenses can become a barrier when entrepreneurs can’t afford them, causing delays or preventing the business from launching. 6. Difficulty in Securing Loans: Sometimes, banks or investors are hesitant to lend money to new entrepreneurs. Without loans, it’s tough to gather the funds needed to start or expand a business. VIIc. Barriers to Entrepreneurship. 7. Government Regulations: Sometimes, the rules and regulations set by the government make it difficult to start or grow a business. Complicated paperwork and strict requirements can be frustrating for entrepreneurs. 8. Market Competition: Entrepreneurs often face tough competition from other businesses, especially larger, more established ones. Competing with these businesses can make it hard to attract customers and grow. 9 Economic Conditions: Unfavorable economic conditions, like a recession or high inflation, can be a barrier to entrepreneurship. These factors can reduce customers’ purchasing power and make it hard for a business to survive or grow. VIIIa. The Managerial Skills that makes a Successful Entrepreneur 1. Problem-Solving Skills: Successful entrepreneurs know how to analyze situations and solve problems quickly. Whether it’s figuring out how to handle a customer complaint or deciding which products to launch, good problem-solving skills help them keep their business running smoothly. 2. Decision-Making Skills Entrepreneurs often have to make tough decisions, like where to invest money or which strategies to pursue. Being decisive and making informed decisions can help guide the business in the right direction. 3. Planning Skills: A successful entrepreneur plans for the future. They set clear goals, develop action plans, and stay organized to make sure their business stays on track and grows over time. VIIIb. The Managerial Skills that makes a Successful Entrepreneur 4. Leadership Skills: Entrepreneurs need to lead their teams effectively. This means guiding, motivating, and inspiring their employees to work towards the business’s goals. Good leadership helps build a strong, productive team. 5. Communication Skills: Effective communication is key for entrepreneurs. They need to clearly express their ideas to employees, customers, and partners. Good communication ensures that everyone is on the same page and working toward the same goals 6. Delegation Skills: Successful entrepreneurs know they can’t do everything themselves. They trust their team and delegate tasks to the right people. This allows them to focus on more important strategic decisions while ensuring that day-to-day operations run smoothly. VIIIc. The Managerial Skills that makes a Successful Entrepreneur 7. Financial Management Skills : Entrepreneurs must manage their money wisely. They need to create budgets, track expenses, and make sure the business stays profitable. Good financial management helps them make smart investments and avoid financial troubles. 8. Negotiation Skills: Entrepreneurs often negotiate deals with suppliers, investors, and partners. Good negotiation skills help them secure better terms, save money, and build strong business relationships. 9. Risk Management Skills: A successful entrepreneur knows how to assess risks and take calculated steps to minimize them. Whether it’s entering a new market or launching a new product, good risk management helps protect the business from unexpected challenges.  SOURCES: Entrepreneurial Management Copyright 2019 By : Marife Agustin-Acierto:DBA,LPT,FRI (Rs)CPME * Entepreneurship Development & Management By : Dr. R.K. Singal End of Chapter 2. THANK YOU FOR LISTENING