Entrepreneurship Reviewer First Quarter PDF

ENTREP REVIEWER 10 COMPETENCINES FOR ENTREPRENEURIAL SUCCESS IMPORTANCE OF ENTREPRENEURSHIP EDUCATION 1. INTEGRITY - Entrepreneu...

ENTREP REVIEWER 10 COMPETENCINES FOR ENTREPRENEURIAL SUCCESS IMPORTANCE OF ENTREPRENEURSHIP EDUCATION 1. INTEGRITY - Entrepreneur has a positive sense of 1. Entrepreneurship is very important VALUES and PERSONAL BELIEFS to our economy as a key driver -Focuses in wealth and a high majority 2. CONCEPTUAL THINKING of jobs are created by small - Is prepared to use new approaches businesses started by and comes up with new ideas that entrepreneurially minded individuals, may enhance work. many of whom go on to create innovative businesses. 3. RISK-TAKING - Understands that risk taking means 2. Entrepreneurship education is an trying to anticipate future problems individual lifelong learning process and thus solve new problems. -Started as early as elementary school and progressed through all levels of 4. NETWORKING/COLLABORATION education, including adult education. - Understands that networking can provide access to information, 3. Entrepreneurship will energize school collaboration, and profits. management -School in the area of 5. STRATEGIC THINKING entrepreneurship must be accessible, - Understands that thinking using affordable and accountable in strategies can help achieve goals in producing successful students. the organization. - STRATEGY: ways to accomplish 4. Entrepreneurship will transform something in relevance to the aims learners to be innovators and objectives. -Learners must equipped with the perseverance and determination of an 6. COMMERCIAL APTITUDE entrepreneurial mindset at the outset - Keeps himself updated with of their careers. developments in the locality - Seeks out best practice - Identifies and determines ENTREPRENEURSHIP opportunities that are not common to - Science of converting processed ideas others into a remarkable business venture. - Capacity for innovation, investment, 7. DECISIVENESS and expansion - Resolves issues as they arise in an unavoidable situation and responds flexibly COMPETENCIES 8. OPTIMISM - Considered as the CAPABILITY, - Persist in pursuing goals despite CAPACITY and ABILITY of the learner hindrances and problems in handling situation in various areas in business operations.  9. CUSTOMER RELATION SERVICE THE MAKING OF AN ENTREPRENEUR - Develops and builds trust and long - A dynamic process and approach term relationships with customers o APPROACH -Considers the business 10. PEOPLE-CENTERED opportunity as a chance to - Create commonality among find new way to solve the stakeholders, see and value the best problem in others ENTREPRENEURSHIP AS A DYNAMIC PROCESS ENTREPRENEURIAL SKILLS AND COMPETENCIES - Entrepreneurship is a dynamic process of innovation and the creation of new Negotiating opportunity for the creation of new Planning venture. Risk Assessing Purchasing Accounting FACTORS THAT DEVELOP ENTREPRENEURIAL Recruiting ACTIVITY Training Selling 1. The entrepreneur Takes the initiative Controlling 2. Organization of Capital Resources Dealing with Emergencies 3. The Development of Administrative Machinery 4. Entrepreneurial Autonomy ENTREPRENEUR AS A MISSIONARY 5. The Development of SWOT Analysis - Perceives opportunities inherent in o SWOT: Strength, Weaknesses, exchange of goods with great desire Opportunities, Threats for profit ENTREPRENEUR IS GOAL DRIVEN THE DEVELOPMENT OF ENTREPRENEURSHIP - And Self-confident as he exercises the FOUNDATION OF NATIONAL locus of control. BOOKSTORE - Extract compliance with set goals and -Founder: Socorro Ramos activities to avoid risk he foresees. -Came from a poor family ENTREPRENEUR IS A MARKETING MAN -Worked as a Sales Clerk in GOODWILL BOOKSTORE owned by her brother - He marshals his resources to pursue the opportunities and makes immediate action to exploit his THE JEEPNEY KING personal gain. -Inventor: Leonardo Sarao ENTREPRENEUR STARTS TO SMALL TO -Philippine Jeepneys are made from BECOME BIG second-hand parts and engines from Japan. - Entrepreneur starts small scale but with the managerial talents and persistence they exploit the opportunities available for their disposal. STARTING POINT TO ENTREPRENEURIAL look into this potential as well as the SUCCESS conditions prevailing in the community. 1. Start on your own 2. Explore business environment FACTORS CONTRIBUTING TO THE 3. Be in control DEVELOPMENT OF CUSTOMER SATISFACTION 4. Have a good accountant or a trusted 1. Business Location for small financial adviser entrepreneurs 5. Seek the advice of professionals a. Rent and space b. Terms of Lease Agreement c. Type of Goods or Merchandise ENTREPRENEURIAL MANAGEMENT DEMAND d. Income level of Prospective - THE ENTREPRENEUR: Customer 1. Is alert to opportunities and e. Prospective Sales Volume perceptive to make things happen f. Municipal or City ordinances 2. Has the health and endurance to work including taxes and fees long hours g. Location of the Areas 3. Is flexible and adapts to change 4. Is self-assured 2. Location for small industrial plant or 5. Seeks other’s opinion or make manufacturing facilities researches a. Land area b. Facilities for expansion c. Power and Utilities PROFILE OF A SUCCESSFUL ENTREPRENEUR d. Building and Other Utilities e. Plant site Accessibility 1. Strong desire for independence 2. Develops strong drive to succeed 3. Strong determination in Decision SWOT ANALYSIS making 4. Develops feedback mechanism for - An entrepreneurial tool in results determining the profitability of 5. Results-driven individual business operation. - STRENGTH, WEAKNESSES, OPPORTUNITIES, THREATS FACTORS TO CONSIDER OF A NEW ENTREPRENEUR BASIC PHASES OF BUSINESS PLAN 1. Know your product or service 1. MARKETING AND DISTRIBUTION 2. Analyze the market potentials STUDY 3. Determine marketing strategy - Shall deal with product demand 4. Know the competitions analysis 5. Do not set on your laurels 2. PRODUCTION AND TECHNOLOGY ENVIRONMENTAL SCANNING STUDY -Refer to the need in making the - The environment of business is vast product or service. with opportunities and the entrepreneur must have a greater  3. FINANCIAL MANAGEMENT 5. Promotional Research -Aspect refers to the capital -Determining the best research in the investment and sources of funding the area of disseminating information operation of the business FACTORS DETERMINING ECONOMIC TIPS IN IDENTIFYING MARKET PROBLEM GROWTH Focusing only on: 1. THE FILIPINO VALUES AND CULTURE LOVE FOR IMPORTANT PRODUCTS 1. Innovation and Competition -Buying important goods develops the 2. Customers economy of the foreign countries and 3. Revenue drains the Philippine economy VALUES OF BAHALA NA PROBLEM IDENTIFICATION RESEARCH -Came from “BATHALA NA” -A true entrepreneur will not put his 1. Brand Image destiny in the hands of the BATHALA -Impression on the customers’ mind CRAB MENTALITY of a brand’s total personality -The action of people to pull down 2. Market Characteristics others who are about to succeed. -Attributes of the buyers in making THE MAÑANA HABIT decision related in purchasing a -Mamaya na or Bukas na certain product. -Culture brought to us by the 3. Market Potential colonizers who were fond of SIESTA -Estimated maximum total sales after lunch time. revenue of all suppliers of a product in THE VALUE OF TIME a market during a certain period. -Filipinos tend to do activities late, not 4. Market Share thinking the meaning of progress rest -Percentage of total sales volume in a in our value of this precious gift of market captured by a brand, product time. company. VALUES OF HIYA PROBLEM SOLVING RESEARCH -HIYA could be a positive value in dealing the business condition. 1. Distribution Research -Some foreigners are afraid to go to -Determining how to transfer the our country because there are still product from the manufacturer to some of us who are WALANG HIYA ultimate user FIESTA AND SOCIAL OCCASIONS 2. Market Segmentation -Celebration of fiestas of saints that -Grouping customers by similar we inherited from the Spanish characteristics or similar purchase colonizers behaviour -Could be another factor in the slow 3. Pricing Research development in our economy -Determining the ideal price for the -Spending a lot just to have BONGGA product. celebration -Setting the price for the product 4. Product Research - Testing new or revised products or completing test marketing 2. AVAILABILITY OF NEEDED CAPITAL BARRIERS TO ENTRY a. REPUBLIC ACT 6977 - Hindrances or something material -Magna Carta for Small Enterprises that block or intend to block passage. -Provide necessary funds for the o INVESTMENT development of entrepreneurs in the - Project that requires a huge countryside investment o TECHNOLOGY b. REPUBLIC ACT NO. 6810 - Application of the -Magna Carta for Countryside and combination of scientific and Barangay Business Enterprises engineering knowledge -Granting exemptions from any ALL o BRAND government rules and regulations and - The huge marketing cost other incentives and benefits and for required to get to a certain other purposes. level of appreciation o REGULATION MARKET ANALYSIS - Long and many processes of licenses and permits - Is a quantitative and qualitative o ACCESS TO RESOURCES assessment of a market ability to - Exclusivity with suppliers, respond positively. accessibility of suppliers o ACCESS TO DISTRIBUTION CHANNELS HOW TO DO MARKET ANALYSIS - Exclusivity with distributors, 1. DEMOGRAPHICS AND availability of intermediaries SEGMENTATION and lack of distribution power. -Statistical characteristics of human o LOCATION population used especially to identify - Lack of access in markets place/venue where the business is located. 2. TARGET MARKET -Type of customers that are focused within the market LEVELS OF PRODUCT -Focused on more qualitative side of TANGIBLE PRODUCTS market analysis by looking at what -Nahahawakan na products drives the demand -Basic physical appearance which can be a service or idea having precise 3. MARKET NEED specifications -Investors must determine the needs of the market through analysis based AUGMENTED PRODUCTS from research conducted focusing on -Image and service features of a their needs certain entity -Gives emphasis to INTANBLE 4. COMPETETION BENEFITS - Determining competitors positioning and describe their strength and weakness  GENERIC PRODUCT o NON-GOOD SERVICE -Impact of product to the consumer, -Personal service on the part not the seller. of the seller; most common -Will signify the purpose of its are the expertise and existence profession of the seller. EX: Tutor, the accountant will act as a bookkeeper, lawyer TYPES OF PRODUCTS will act as legal consultant, receptionist, and guest 1. GOODS relation officer. -Are sale of the physical products from the manufacturer to the consumer or final and ultimate user. CONSUMER PRODUCTS o DURABLE GOODS -Physical products that are -Goods and services destined/produced for used over a long period of the final consumer for personal, family, or time. household use. -These products are expensive -EX: Products normally and routinely used by EX: Steel, stainless, appliances consumers o NON-DURABLE GOODS -Physical products that are CONVENIENCE PRODUCTS quickly and easily be consumed or worn out. - Purchased with the minimum or less EX: Products made of plastics effort because the buyer has knowledge of the product characteristics prior to shopping. 2. SERVICES o STAPLES -Intangible products that satisfaction -Low priced items that are can be measured in future routinely purchased on a preferences. regular basis, products that EX: Relaxation in salon and spa, we used everyday Education from school -EX: Rice, soap, toothpaste o RENTED-GOODS SERVICES o IMPULSE -The consumer rented facility -Products are the items that of the sellers in a certain consumers does not plan to period of time. buy. Attracted to buy it. EX: Car rental, space or office for rental o OWNED-GOODS SERVICES SHOPPING PRODUCTS -The repair and maintenance services rendered by the - Products that consumers acquire sellers to the products of the through further knowledge and customer information in order to make final EX: Laundry business, car purchase decisions. wash SPECIALTY PRODUCTS without further changes in form. - Items with particular brands and stores to which consumers are LOYAL. - They are willing to make a significant PRODUCT SATISFYING FEATURES or specific effort to acquire the brand PRODUCT PATRONAGE desired units and will pay a higher or above the price of similar products. -Is conditioned by the strategies and policies employed by the manufacturer and the marketing organization on the INDUSTRIAL PRODUCTS product’s attributes. - Goods or services purchased for 1. DESIGN use/consumption in the - It matters to the elements that production/manufacturing of other collectively form of good or service goods or services. that will satisfy customers and gain a o ACCESSORY EQUIPMENT competitive advantage. -Selected priced portable - Good design can improve the goods which last long period marketability of the product of time. 2. PRODUCT COLORS o RAW MATERIALS - It is the customers’ rejection or -Unprocessed basic materials acceptance of the product from extractive and - Important consideration for higly agricultural industries. technical products. o INDUSTRIAL OR OPERATING 3. PRODUCT QUALITY SUPPLIES - Set of features and attributes of a -Inexpensive convenience product or service that determines its goods which are rapidly ability to satisfy human needs. consumed and are necessary 4. PRODUCT WARRANTIES for the day-to-day operation - Very important attribute of the of the firm. product o COMPONENT MATERIALS - It state where the buyer is assured -Semi-manufactured goods that the product meets the which undergo further specifications stated in the product changes in form and later to labels. be a part of the finished products. -Strengthens the credibility of the product to the public. USP STRATEGY TO INCREASE SALES o INSTALLATIONS - USP: Unique Selling -Very expensive materials Proposition/Point -Non portable goods which - Is the term that refers to any aspect of are used in the production an object that differentiates it from process and do not become similar objects. part of the finished product. - It makes a business stand out from o FABRICATED PARTS the rest in a market. -Finished products of other Sympathize with your customer’s companies which form part of needs the manufactured product  Determine price as a factor to obtain 3. Estimates of market size, initial sales targeted geographic area, enterprise's Consider what motivates your targeted market share. customer Expose the primary reasons why customers are buying the product BUSINESS-TO-CONSUMER MARKETS Unique personalities in your industry INCLUDE: leverage 1. Demographic factors, such as income Develop personal involvement level, age range, gender, educational level, ethnicity of the target market; 2. Psychographic factors of the target VALUE FOCUSED ENTERPRISE (VFE) market; - Requires a fundamental rethink of the 3. Behavioral factors such as frequency way things are organized and of product purchase and shopping managed. behavior of the target market TARGET MARKET CATEGORIES OF CONSUMER - Defined as the potential buyer of the product. Price Shoppers o PHILIP KOTLER (p.d.) - This group is interested in the best -Target market is a well- deal for a product. They are defined set of customers commonly called as PRAKTIKAL and whose needs the organization price-conscious. plans to satisfy. Brand-Loyal Customers -This group believes that their present brands are superior to others DESCRIPTION OF THE TARGET MARKET and are willing to pay fair prices for products just to acquire it. 1. Distinguish or determine the Status Seekers consumer from the customer. -People who are interested in 2. Enumerate the benefits of the prestigious or called (signature) proposed product to the target brands or known product categories market and willing to pay at any price 3. How and why would the target market Service or Feature Shoppers buy the product or service? -This group seeks a high value on 4. Is there a potential to increase the customer service and product target market? features and will pay for them. Convenience Shoppers - People who value nearby locations, BUSINESS-TO BUSINESS MARKETS INCLUDE: long store hours and are willing to 1. Target market pay for easier shopping. 2. Frequency of product purchase. Tendency for replacement needs versus expansion purchasing process. SEAMLESS SENSATION through information gathering and analysis - Online and offline experiences are intertwined as consumers navigate their daily. MARKETING RESEARCH SLOVEN’S FORMULA - Everything is changing (Culture, language, physical and digital worlds, etc.) MARKET PRIZE N= Population size n= sample size - Number of individuals in a certain e= margin of error market who are potential buyers and/ or sellers of a product or service. RESEARCH DESIGN ESTIMATING MARKET SIZE QUANTITATIVE STEP 1: Define Target Customer -Employed on data that have been assigned numerical value. STEP 2: Estimate the number of target QUALITATIVE customers -Mode of research is not based on STEP 3: Determine the penetration rate precise measurement and quantitative claims. STEP 4: Calculate the potential market size: -Social analysis frequently used VOLUME and VALUE STEP 5: Apply the market-size data TYPES OF RESEARCH 1. EXPLORATORY RESEARCH MARKET VOLUME -Can be performed using literature search, survey of people about their Number of target customers x experiences Penetration Rate= MARKET VOLUME 2. DESCRIPTIVE RESEARCH -Seeks to describe issues related future demands of a particular MARKET VALUE product. -Determine the number of population Market Volume x Average Value = that uses the product to predict future MARKET VALUE demand. 3. CAUSAL RESEARCH -Seeks to find cause and effect MARKET RESEARCH between one or more variables - The process or sets of multiple affecting the market conditions activities that link the marketing organization with its customers  4. HISTORICAL DESIGN -Answer questions about the past, use historical approaches in collecting and interpreting data. 5. EXPERIMENTAL RESEARCH -Manipulates variables in controlled laboratory conditions using randomly selected subjects. SAMPLING TECHNIQUES 1. Pure random sampling 2. Systematic random sampling 3. Stratified random sampling 4. Cluster sampling THINGS THAT NEEDED TO CONSIDER Size of the population Study population Margin of error Proportion of the study population