Entrep Flashcards
from the Middle French word which means “to undertake.”
Entreprendre
Undertakes the risk of starting a new business venture, aggregates capital and
labor in order to produce goods or services for profit
Pursuing opportunities to understand how to create individuals’ wealth and
add value to society
Not just only creating wealth but a diversion
Entrepreneur
According to the Opinion Research Council, today’s younger people are
more __________ than those of any previous generation
entrepreneurial
Common Elements and Characteristics of Entrepreneurship
Creation and Innovation
Control and Deployment Resource
Economic Organization
Non-profit Organization
Risk and Uncertainty
Economic Growth and Freedom
Characterized as doing something
new as an idea, product, service,
market, or technology in a new or
established organization.
Creation and Innovation
This describes how entrepreneurs themselves build their
businesses from the resources and capabilities they
currently possess or can realistically acquire.
According to the theory, the nature and quality of an
entrepreneur’s resources, competencies, and plans can
contribute to long-term success
Control and Deployment Resource
An organization whose purpose is to allocate scarce resources. It can be a firm, a
business unit within a firm, a network of independent organizations, a social network,
or a non-for-profit organization (NPO)
Economic Organization
refers to the variability of outcomes (or returns)
risk
refers to the confidence entrepreneurs have in their estimates of how the world works—their understanding of the causes
and effects in the environment
Uncertainty
It is vital that the prospective entrepreneur understand the
relationship between the country in which the business will be located
and the climate for business success.
Economic Growth and Freedom
Seven Sources of Opportunity
The unexpected
The incongruous
The process need
Industry and Market Structures
Demographics
Change in Perception
New Knowledge
The current businesses are
surprised by an unanticipated event.
The unexpected
is dissonance, something that
“ought to be” but isn’t, and is sometimes a
source of instability and opportunity
The Incongruous
These are often addressed by
program research projects, which are
systematic research and analysis
efforts designed to solve a single
problem
The Process Need
This change has the potential to
render existing businesses outdated
if they are not prepared for it and are
rigid
Industry and Market Structures
Such changes influence all industries
and firms by changing the mix of
products and services demanded, the
volume of products and services, and
the buying power of customers
Demographics
People have various perspectives on the same reality.
These distinctions influence the products and services they require,
as well as the quantities they spend.
Some groups feel strong and wealthy, while others feel
disenfranchised and impoverished
Changes in Perception
is a dynamic and is not enough; entrepreneurs must also
find a way to make products from this knowledge, the existence of ideas and
innovation to protect the profits of those products from competition as the
knowledge is spread to others
New Knowledge
Nature of Entrepreneurships
Creates opportunity
Ensures social justice
instils in us confidence
Stimulates the Economy
Teaches us to fail and to persevere
Teaches us to become creative, innovative, and inventive
Entrepreneurship is an engine for favorable outcomes to be
created. Through entrepreneurship, jobs are created,
providing a livelihood for people in the community,
providing personal growth through life lessons learned, and
generating financial growth in the form of profits.
Creates Oppurtunity
Not everyone is born into a wealthy family, has access to resources, or is
privileged.
Entrepreneurship makes sure that we all can get on an equal footing.
Bonacich, E. (1987). Through entrepreneurship, we can all generate wealth
and become successful
Ensures Social Justice
Entrepreneurship teaches us to be independent.
Instills in us confidence
Entrepreneurship creates demand
Stimulates the economy
Nothing is ever that easy. Many entrepreneurs have failed in the past but
pressed on in order to reach their dreams of being successful.
Teaches us to fail and persevere
Entrepreneurship stimulates our minds to think of new solutions to
problems, new ways we can do things, and new products for efficient living
Teaches us to become creative, innovative, and inventive
Types of Entreps based on type of business
Trading
Manufacturing
Agricultural
Types of Entreps based on technology
Technical Entrepreneur
Non-Technical
Types of Entreps based on ownership
Private
State Entrepreneur
Joint Entrepreneur
Small-Scale
Medium-Scale
Large-Scale
Types of Entrepreneurs based on danhof classification
Innovating
Imitative
Fabian
Drone
