Chapter 1-Entrepreneurs, The driving force behind small business. (1).pdf

‫قسم‪ :‬نظم المعلومات ‪ -‬تقنية المعلومات ‪ -‬علوم حاسوب‬ ‫جامعة العلوم والتكنولوجيا‬ ‫البرنامج‪ :‬جميع برامج البكالوريوس‬ ‫كلية الحاسبات وتكنولوجيا المعلومات‬ ‫مقرر‪ :‬ريادة األعمال في تكنولوجيا المعلومات‬...

‫قسم‪ :‬نظم المعلومات ‪ -‬تقنية المعلومات ‪ -‬علوم حاسوب‬ ‫جامعة العلوم والتكنولوجيا‬ ‫البرنامج‪ :‬جميع برامج البكالوريوس‬ ‫كلية الحاسبات وتكنولوجيا المعلومات‬ ‫مقرر‪ :‬ريادة األعمال في تكنولوجيا المعلومات‬ ‫‪Entrepreneurship for Information Technology‬‬  Chapter 1 Entrepreneurs: The driving force behind small business 2  1. Define the role of the entrepreneur in the economy and describe the entrepreneurial profile. 2. Explain how entrepreneurs spot business opportunities and describe the benefits of owning a small business. Learning 3. Describe the potential drawbacks of owning a small business and explain the forces that are driving the growth in Outcomes entrepreneurship. 4. Discuss the role of diversity in small business and entrepreneurship. 3 1. What is an Entrepreneur? 4  What is an Entrepreneur? Entrepreneur is one who establishes new business in a situation that is full of risk and uncertainty for the purpose of achieving profit and growth by identifying opportunities and assembling the necessary resources to capitalize on those opportunities. 5 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  What is an Entrepreneur? An Entrepreneur tends to exhibit the following characteristics: Desire and willingness to take initiative Preference for moderate risk Confidence in their ability to succeed Self-reliance Perseverance entrepreneurs do not give up even in the time of failure, they simply keep trying Desire for immediate feedback 6 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  What is an Entrepreneur? More on characteristics of entrepreneur High level of energy Competitiveness Future orientation Serial entrepreneurs are those who create multiple companies and usually run more than one business simultaneously. Skill at organizing Value of achievement over money 7 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  What is an Entrepreneur? Other characteristics of an entrepreneur High degree of commitment Tolerance of ambiguity Flexibility Tenacity 8 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  What is an Entrepreneur? Entrepreneurship is a skill that is learned. Anyone can become an entrepreneur irrespective of age, race, gender, color, or any other characteristic. Success in entrepreneurship does not depend on a single characteristic rather diversity seems to be a central characteristic of successful entrepreneurs. 9 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 2. How to Spot Entrepreneurial Opportunities? 10  How to Spot Entrepreneurial Opportunities? Creativity and Innovation are the keys to solve problems and capitalize on opportunities that people face every day. Creativity refers to the ability of developing new ideas and discovering new ways of looking at problems and opportunities. Innovation refers to the ability of applying creative solutions to those problems and opportunities to enhance or to enrich people’s lives. Creativity is thinking new things and Innovation is doing new things. 11 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  How to Spot Entrepreneurial Opportunities? Techniques that can be used to identify business opportunities Monitor trends and exploit them early on Take a different approach to an existing market Put a new twist on an old idea Look for creative ways to use existing resources Realize that others have the same problem you do Notice what is missing 12 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 3. The Benefits of Owning a Small Business 13  The Benefits of Owning a Small Business The benefits of owning a small business include Opportunity to gain control over your own destiny Opportunity to make a difference Social entrepreneurs Opportunity to reach your full potential Opportunity to reap impressive profits Opportunity to contribute to society and be recognized for your efforts Opportunity to do what you enjoy doing 14 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 4. The Potential Drawbacks of Entrepreneurship 15  The Potential Drawbacks of Entrepreneurship Uncertainty of Income Risk of losing your entire invested capital Long hours and hard work Lower quality of life until the business gets established High levels of stress Complete responsibility Discouragement 16 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Potential Drawbacks of Entrepreneurship 17 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 5. Why the Boom: The Fuel Feeding the Entrepreneurial Fire 18  Why the Boom: The Fuel Feeding the Entrepreneurial Fire Factors that have led to this age of entrepreneurship include Entrepreneurs as heroes Entrepreneurial education Economic and Demographic factors Shift to a service economy Technology advancements Outsourcing Independent lifestyle E-commerce and the World Wide Web International opportunities 19 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 6. The Cultural Diversity of Entrepreneurship 20  The Cultural Diversity of Entrepreneurship Cultural diversity is one of the entrepreneurship’s greatest strengths. The contributors to the cultural diversity include: Young entrepreneurs Women entrepreneurs Minority enterprises Immigrant entrepreneurs 21 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Part-Time entrepreneurs Home-Based business owners Family business owners Copreneurs Corporate castoffs Corporate “Dropouts” Retired baby boomers 22 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Figure 1.2 Entrepreneurial Activity by Age Group 23 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Figure 1.3 Entrepreneurial Activity by Gender 24 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Figure 1.4 Minority Business Ownership in the United States 25 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Rules of a Successful Home-based Business Rule 1. Do your homework Rule 2. Find out what your zoning restrictions are Rule 3. Create distinct zones for your family and business dealings Rule 4. Focus your home-based business idea Rule 5. Discuss your business rules with your family Rule 6. Select an appropriate business name Rule 7. Buy the right equipment 26 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Rules of a Successful Home-based Business Rule 8. Dress appropriately Rule 9. Learn to deal with distractions Rule 10. Realize that your phone can be your best friend … or your worst enemy Rule 11. Be firm with friends and neighbors Rule 12. Maximize your productivity Rule 13. Create no-work time zones Rule 14. Take advantage of tax breaks 27 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Cultural Diversity of Entrepreneurship Rules of a Successful Home-based Business Rule 15. Make sure you have adequate insurance coverage Rule 16. Understand the special circumstances under which you can hire outside employees Rule 17. Be prepared if your business requires clients to come to your home Rule 18. Get a post office box Rule 19. Network Rule 20. Be proud of your home-based business 28 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 7. The Contributions of Small Business 29  The Contributions of Small Business Small business refers to a business that employs less than 100 people. 99.7% of the total businesses in the United States are categorized as “small” 50.2% of the nation’s private sector workforce is employed by small businesses 45% of the nation’s total private payroll is paid by small businesses Compared to big businesses, small businesses create more job opportunities 30 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  The Contributions of Small Business Figure 1.5 Small Business by Industry 31 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition 8. Putting Failure into Perspective 32  Putting Failure into Perspective About 54 percent of new businesses fail within 4 years Entrepreneurs are not paralyzed by the fear of failure Failure is a natural part of the creative process Successful entrepreneurs exhibit the ability to fail intelligently 33 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition  Putting Failure into Perspective Figure 1.6 Small Business Survival Rate 34 This Presentation is mainly dependent on the textbook: effective SMALL BUSINESS management, AN ENTREPRENEURIAL APPROACH, 10th Edition