Entrepreneurship Lesson 1 Flashcards
Entrepreneurship came from the pioneering work of __________?
Joseph Schumpeter
According to him that it is an art of creating new venture businesses?
Dr. Ralph Sorensen
is a reference to individuals who have initiated the establishment of a business enterprise
Entrepreneur
Term for owning a business?
Businessman or woman
Term for managing a business?
professional manager
term used If you bought a franchise?
franchisee
Characteristics & Traits of Entrepreneurs
- Passion fro business
- Confidence
- Self-Determination
- Management of risk
- Initiative & need for achievement
- Creativity
- Seeing the big picture
the trait refers to the eagerness to be involved in commercial activities.
Passion for business
a trait of belief in themselves and their capabilities to see things through and get things done
Confidence
the belief that one’s fate lies really on oneself.
Self-determination
knowing how to take risks but these risks are calculated that are well thought out and considered done
Management of Risk
entrepreneurs usually have a great need to achieve things and to have accomplishments
Initiative & need for achievement
they are not satisfied with just copying or doing the same routine or churning out the same products
Creativity
able to assess how particular decisions about operations or human resources can affect the other aspects of the business
Seeing the big picture
Types of Entrepreneurs
- Innovative
- Imitating
- Fabian
- Drone
- Social
they are those who always make new things by thinking new ideas
Innovative Entrepreneurs
They are those who do not really create new things but only follow the ideas of other entrepreneurs
Imitating Entrepreneurs
They are those skeptical, They don’t initiate but follow only after they are satisfied
Fabian Entrepreneurs
They are those who lives on the labor of others; They are die-hard conservations even ready to suffer the loss of business
Drone Entrepreneurs
Common Competencies in Entrepreneurship
- Decisive
- Communicator
- Leader
- Opportunity Seeker
- Proactive
- Risk Taker
- Innovative
an entrepreneur must be firm in making decisions
Decisive
an entrepreneur must have a convincing power
Communicator
an entrepreneur must have the charisma to be obeyed by his employees
Leader
an entrepreneur must have the ability to be the first to see business chances
Opportunity seeker
controlling a situation by making things to happen or by preparing for possible future problems
Proactive
they have the courage to pursue what is their business ideas
Risk Taker
the entrepreneurs have big business ideas and they do not stop improving and thinking of new worthwhile ideas for their business
Innovative
Core Competencies in Entrepreneurship
- Economic and dynamic activity
- Innovative
- Profit Potential
- Risk Bearing
it involves the creation and operation of an enterprise with a view of creating value and wealth by ensuring optimum utilization of limited resources
Economic and Dynamic activity
Entrepreneurs constantly look fro new ideas, thus needs to be creative
Innovative
the entrepreneur can be compensated by his profit coming from the operation
Profit Potential
the entrepreneur needs to gamble but wise enough to offset the risk.
Risk Bearing
is the exposure a company or organization has to factor(s) that will lower its profits or lead it to fail.
Business Risk
3 types of Business Risk
- Demand
- Competition
- Capability
The risk that product will not be accepted by the market or the market is much smaller than it was thought to be
Demand Risk
Risk that competitors maybe able to replicate the business model
Competition Risk
Considers the possibility that the product or services of the firm would fail to deliver the value proposition that the costumers are willing to pay
Capability Risk
Importance of Entrep
1.Creation of Employment
2. Innovation
3. Impact on Society and Community Development
4. Increase standard of Living
5. Supports Research and development
Generates employment and provides an entry level job, required for gaining experience and training for unskilled workers
Creation of employment
Provides new product ventures, market, technology and quality of goods, etc.
Innovation
It brings out changes in society which becomes greater and employment base is large and diversified
Impact on Society and Community Development
the person living is better due to increasing income
Increase standard of living
New products and services need to be researched and tested before launching in the market
Supports research and development
5 reasons why filipinos don’t go to business
- Money
- Time
- Skills
- Opportunity
- Connection
