Principles of Entrepreneurship PDF

Principles of Entrepreneurship PREMID LECTURE Unit I: Entrepreneurial Thinking and Developing a Business Plan Module 1: Becoming an Entrepreneur The Entrepreneurial Mindset Mindset is the state of mind or mental attitude on a given situation or resources given to you. Entrepreneurial...

Principles of Entrepreneurship PREMID LECTURE Unit I: Entrepreneurial Thinking and Developing a Business Plan Module 1: Becoming an Entrepreneur The Entrepreneurial Mindset Mindset is the state of mind or mental attitude on a given situation or resources given to you. Entrepreneurial mindset is defined as way of thinking, reasoning, and having a perspective on seizing an opportunity, adopting a holistic approach, and building o leadership. The Entrepreneurial Mindset An entrepreneur is usually described as an individual who establishes a business to make profit, runs it even through the risks and enjoys most of rewards. However, other individuals who are not entrepreneurs who work in a large corporations may think and act in an entrepreneurial manner. The Entrepreneurial Mindset So, a proper definition of an entrepreneur is a person or a group who creates something new such as a new idea, a new product or service, or new possibilities. Therefore it is the power of the mindset that makes an entrepreneur. Common Competencies of Entrepreneur They constantly seek opportunities and act on them. They recognize and prepare for risks and uncertainties. They maintain flexibility and resiliency. They develop and maintain social relations and network.  The Skill of Reflection Core Competencies or The Most The Skill of Experimentation Essential Skills in Becoming an The Skill of Creativity Entrepreneur The Skill of Empathy The Skill of Play THE SKILL OF REFLECTION The Skill of Reflection Reflection is examining what you observe, think, feel, react, reason out, make assumptions, draw conclusions, evaluate outcomes, and act upon what you believe. It makes you aware of your thoughts, feelings, and what your bodily sense tell you. In the context of entrepreneurship, reflection skills allow you to constant learn from your experiences. The Skill of Reflection Through self-realization, you acquire the ability to stand back and analyze what went wrong, and how would you react in similar situation in the future. It enables you to improve and grow as an entrepreneur. Perception is governed by your physical senses at the same time filtered by your assumptions, beliefs, and expectations which allow you to see the things differently from other people which this phenomenon is called selective perception. The Skill of Reflection Selective perception, the tendency for individual to pay attention to things in their environment that are only consistent with their own expectations or assumptions. The problem with this is committing misperception or bias with the observation. Next time you observe a specific situation, try to reflect to your perception if there’s hidden bias or false assumption to what you‘re exposed to. The Skill of Reflection Reflection skills are essential for an entrepreneur to effectively discern what is going on around and to ponder how to be better and respond to various stimuli.  THE SKILL OF EXPERIMENTATION The Skill of Experimentation Experimentation is trying an approach or a solution and the learning from it. Analysis paralysis, when you may get overwhelmed when you think of all possible solutions and approaches and not act on any of them. This skill involves taking concrete action to test an approach or several possible approaches (learning-by- doing-approach) The Skill of Experimentation In the context of entrepreneurship, this skill is seen when you go through the experience of testing things out, then gain knowledge and finally form the basis for developing your experiment. Note that experimentation is hands-on, errors will be encountered in the initial attempt. Move on and persists in what you are experimenting, learn from it, and continue to build your skill as entrepreneur never get tired of experimenting with new ideas, processes and tactics. THE SKILL OF CREATIVITY The Skill of Creativity Creativity is being open to new perspectives or other ways of looking at things that are better or of higher quality. Creativity is about unleashing your ideas, concepts, or approaches that have been tried before. In the context of entrepreneurship, this skill will allow you to innovate so as to differentiate your product or service. This way, you secure your competitive advantage over your competitors. The Skill of Creativity Innovation does not always mean breakthrough; it can also be incremental or made in small ways. Creativity and innovation require leadership because one must will to go into a path that has not been tried. THE SKILL OF EMPATHY The Skill of Empathy Empathy is the ability to put yourself in the shoe of another person to understand how the other person think and feels enables you to relate to that person. This skill is important to understand the actual condition of other people, know and meet their needs. The Skill of Empathy In the context of entrepreneurship, empathy skills enable you to tailor your product or service offering to the needs and wants of your customer This requires active listening to people involved in your business it will help you become more attuned with what another entrepreneur are going through and learn from it. THE SKILL OF PLAY The Skill of Play This involves some fun, excitement, and joy in what you are doing as you go through your task. It is cultivating a sense of wonder an enjoyment in the midst of performing your duties. This will help you calm your mind, maintain your focus, and improve your well-being. In the context of entrepreneurship, it is about appreciating and developing a sense of fun and adventure as you pursue your goals.  1.2 Creativity Through Design Thinking Design Thinking Design Thinking is defined as a thinking process commonly used by designers to solve certain problems related to products and services. It involves exploring the alternative features and ways of doing things. Design Thinking It is creating something new or better than the ones currently available to better satisfy the user's or customers’ need. Design thinking, as an approach, will guide you in exploring different ways to make your product or service satisfying to your customers - to make them come back to buy from you again (repeat purchase)  Principles and Processes in Design Thinking  1. EMPHATIZE The starting point of business should cater human needs - human-centered. View your product from the perspective from the person who will consume in their daily lives. 2. DEFINE Business should inspire you to identify and solve a problem and serve as an opportunity to help you identify the needs of people. Design challenge is identifying the specific need for a particular group. Think how to solve a specific problem and respond to this to improve their living conditions—by observing the actual experience or living conditions of people.  2. DEFINE Design Challenge is formed in the following manner: How might we (choose verb) _______ choose an (adjective or adverb) ______ for (choose specific person) _____? Examples: How might we produce more nutritious beverages to our neighbors? How might we offer quicker transportation facilities to medical personnel? How might we deliver food more conveniently to undernourished children? 3. IDEATE Involves generating and developing new ideas to address the needs of people through collaborative discussion (brainstorming) among groups of people from different backgrounds on how to solve their identified problem (design challenge). The objective of ideation is to bounce off “wild ideas” from the mind of all members by holding back criticisms, suspend judgements to generate as much ideas as possible. 4. PROTOTYPE Involves creating a sample product or service desired by the target users or customers. It should be according to the specifications preferred by the users and customers. Acquire resources and use correct information in creating product or service. 5. TEST Try out or sell the sample product or service to an initial group of users or customers. Gather their feedback about their experiences in using the prototype product or service.