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ENTREPRENEURSHIP operated from the home or shop LESSON 1: THE WORLD OF ENTREPRENEUR - Personal service (e.g. beauty parlors, laundry and...

ENTREPRENEURSHIP operated from the home or shop LESSON 1: THE WORLD OF ENTREPRENEUR - Personal service (e.g. beauty parlors, laundry and dry-cleaning shops, photography studios, travel ENTRE- ENTER agencies) PRE- comes from Latin and means "before" or "in advance. NEUR- CENTER - Business service (e.g. advertising agencies, janitor and building maintenance services, store and Entrepreneur building security firms) - a person who organizes and directs a business enterprise - comes from the French word “ENTREPRENDRE” which means - Repair services (e.g. repair cars, motorcycles, to UNDERTAKE electronics, home appliances, cell phones, watches, shoes) Enterprise – establishment that supplies us with product and services in exchange for payment - Entertainment recreation (e.g. bowling alleys, swimming pools, movie theaters, amusement Product can be: parks)  Tangible - Hotel and lodging (e.g. hotels, motels, and resorts)  Manufactured  Perishable Lesson 2: ENTREPRENEURIAL DEVELOPMENT  Large facilities Entrepreneurial development - is a drive to achieve overall economic development through industrial activity.  International market 1. Discover Service can be : - Initiated with identifying new ideas and objectives.  Intangible - Entrepreneurs analyze market opportunities and  Rendered integrate insights from various stakeholders (e.g.,  Not perishable employees, consumers). - Innovative entrepreneurs utilize creative intelligence to  Small facilities identify opportunities, which diverges from other  Local market intelligence types defined in Howard Gardner’s multiple intelligences theory. Entrepreneurship- is an act of process of organizing and directing a business enterprise Discovery Skills: -people also takes risk, invest money, and energy apply their - Associating: Connecting unrelated ideas. own creativity  Example: Pierre Omidyar created eBay by linking his Three activities of entrepreneur interest in efficient markets with his fiancée's need for 1. Organizing – process of gathering the money, people, collectibles. and machineries needed to get business started - Questioning: Challenging conventional wisdom. 2. Managing- involves seeing the day-to-day tasks are performed appropriately  Example: Michael Dell questioned the high markup of computers and developed a direct-to-consumer model. 3. Assuming responsibility- making sacrifices for enterprises - Observing: Noticing small behavioral details in customers and competitors.  Example: Ratan Tata's inspiration for the Nano car Features to start a business: came from observing families struggling on scooters. 1. The owner is the manager - Experimenting: Trial and error to test new ideas. 2. The owner supplies most of the money used in starting  Example: Jeff Bezos continuously evolved Amazon’s enterprise offerings from books to a wide range of products and innovations like the Kindle. 3. The business is usually local, serving immediate community and nearby cities and municipality - Networking: Engaging with diverse individuals for fresh perspectives.  …. Example: Michael Lazaridis was inspired by a wireless data system for vending machines, leading to the 8%2% 45 development of the BlackBerry. % micro 45 2. Evaluation- Assessing an opportunity through critical % questioning: - Is it worth the investment? Five fields of small business - Will it attract customers? 1. Extractive – take raw materials from nature - What are its competitive advantages and associated 2. Manufacturing- take raw materials to change into form risks? 3. Wholesaling – buy goods from extractive or 3.Developing a Plan manufacturing to sell them to other business - Crafting a comprehensive business plan following 4. Retailing- buy goods from wholesales, manufacturing, opportunity identification. or extractive - Essential for setting standards and goals, and for 5. Service – generally the easiest to enter money can be assessing the business's progress.  4.Resources produced by every entrepreneur is a source of pride and identity for a country - Identifying sources of finance and acquiring necessary human resources.  Not only the entrepreneur will benefit but also the country - Finding investors to support the new business. 9. ENHANCE COMPETITIVE CONCIOUSNESS 5.Managing the Company  An entrepreneur does not only bring competitiveness - Implementing the management structure and for his product but it goes with it an aura and image operational strategy. that can benefit other people or sectors as well. - Addressing ongoing operational challenges and 10. IMPROVES QUALITY OF LIFE maintaining streamlined processes.  Entrepreneur desire for innovation and development 6. Harvesting of new products result for the betterment of the a. Evaluating business performance against projected products and services and hence the quality of life growth. 11. ENHANCE EQUITABLE DISTRIBUTION OF INCOME b. Making plans for future expansion or security based on AND WEALTH real-time development metrics.  With entrepreneurs succeeding in their respective LESSON 3: FUNCTIONS OF ENTREPRENEURSHIP endeavors, chances are that distribution of income and wealth can be likewise expected. 1. DEVELOP NEW MARKETS  Under the modern concept of marketing, markets are people who are willing and able to satisfy their needs LESSON 4: TYPES OF ENTREPRENEURS  Entrepreneurs are resourceful and creative. They can 1. SOLO SELF-EMPLOYED INDIVIDUALS create customers or buyers - Entrepreneurs who work alone or with only few 2. DISCOVER NEW SOURCES OF MATERIALS employees  Entrepreneurs never satisfied with traditional or - They generally perform the work themselves rather existing sources of materials. Due to their innovative than assigning it too other. nature, they persist on discovering new sources of - E.g. small stores, independent sales, representatives, materials to improve their enterprises attorneys and physicians 3. MOBILIZE CAPITAL RESOURCES 2. TEAM BUILDERS  Entrepreneurs are the organizer and coordinators of - Entrepreneur who expands small usually one-person the major factors to production such as land and business into larger companies are team builders. capital. They mix the factors of productions to create goods and services 3. INDEPENDENT INNOVATORS  Capital resources, from layman’s view refers to money - Who create companies to manufacture and sell products they have invented are independent  In economics, capital resources represent machine, innovators building and other physical productive resources 4. PATTERN MULTIPLIES 4. INTRODUCE NEW TECHNOLOGIES, NEW INDUSTRIES AND NEW PRODUCT - Who builds several units of an effective business are known as franchisers  Aside from being innovators and reasonable risk takers, entrepreneur take advantage of business 5. ECONOMY-OF-LARGE-SCALE EXPLOITERS opportunities and transform into profits - Entrepreneurs who can sell large volume of goods at  They introduce something new or something different reduced prices are economy-of-large-scale exploiters. 5. CREATE EMPLOYMENT - Discount store operator is one of example  The biggest employment is the private sector 6. CAPITAL AGGREGATORS  Entrepreneur helps or assists the government not only - Entrepreneurs who take the lead in establishing providing employment for himself, but also by financial institution that require a large amount to providing employment to those employed by the firm startup capital. 6. PROVIDE TAXES TO THE ECONOMY - E.g. banks and insurance company  All entrepreneurs contribute to the economy a kind of 7. ACQUIRERS income out of the real estate, income tax and etc. - People who become entrepreneurs by buying an 7. EMPOWER INDIVIDUALS existing business are acquirers.  The real indicator of economic well being among - E.g. buy out a company and take over their ownership citizen and the masses are in some ways gauged by typically through a purchase of a large portion of the the number of financial resources that every citizen target company's stock accumulates 8. BUY AND SELL ARTISTS  Because of high income earning potentials or - Rather than making their money from the day-to-day entrepreneurs as compared to those who are operations of a business, buy-sell artist turn profit by employed, the possibility of wealth accumulation is buying a business and then selling it at a higher price. enhanced. 8. ENHANCE NATIONAL IDENTITY AND PRIDE LESSON 5: ENTREPRENEURIAL TRAITS AND  The quantity and quality of products and services CHARACTERISTICS  1. TAKE MODERATE RISK 4. Socorro Ramos( national bookstore) - Financial risk - possibility of losing money or 5. Cecilio Kwok Pedro ( happee toothpaste) experiencing a negative financial outcome in various situations 6. Mariano que (mercury drugs ) - Government risk or legal risk - involves the potential for 7. Alfredo m. Yao (zest-o) losses or adverse effects on an organization or 8. Corazon D. Ong (cdo) investment due to changes in laws, regulations, or government policies. 9. Gregorio Sanchez jr. ( asia brewery ) - Risk return 10. Diosdado Banatao (computer chips) 2. HAVE SELF CONFIDENCE - Believing you can achieve, what you set out to do 3. WORK HARD - Sacrifice (time, energy , family and etc. ) 4. SET GOALS - A goal you want to achieve - You should focus one goal at a time 5. RESPONSIBLE - You’re accountable to your actions - You will be responsible for the success of failure of a business 6. INNOVATIVE - They introduce new ideas and something need to improved 7. HAVE TECHNICAL KNOWLEDGE - What you know about your product 8. HAVE BUSINESS KNOWLEDGE - Knowing how to operate business SELF EMPLOYMENT – WORKING FOR YOURSELF ADVANTAGES FOR WORKING FOR YOURSELF 1. Personal satisfaction 2. Independence (Kalayaan) 3. Profit (kita) 4. Job security 5. Status DISADVANTAGES FOR WORKING FOR YOURSELF 1. Possible loss of invested capital 2. Uncertain or low income 3. Long hours 4. Routine chores LESSON 6: HOW TO BECOME SUCCESSFUL 1. Don’t take “no” for an answer - 2. Learn from the best 3. Stay hungry and ambitious 4. Never stand still; evolve with time 5. Nurture long term business relationship 6. Inspire those around you SUCCESSFUL ENTREPRENEURS 1. Henry Sy (shoe mart / SM) 2. Tony tan Caktiong (Jollibee) 3. John Gokongwei jr. (robinson)