Lecture 1 Flashcards
What is entrepreneurship about
- seeking opportunities
- taking risk beyond security
- having the tenacity to push on ideas through to reality
What is entrepreneurship
Entrepreneurship is an integrated concept that permeates an individual business in an innovative manner
Who was the first man to use the word entrepreneur
Richard Cantillon, France (1680-1734)
He said “the entrepreneur buys at a certain price and sells at an uncertain price”
List others
Adam Smith, British Economist (1723-1790).
He said “the enterpriser is a person with unusual foresight and could recognize the potential for goods and services”
Hisrich (2014)
He said “entrepreneurship is the process of creating something new with value
Roles of entrepreneurship in economic development
- new venture creation
- création of jobs through entrepreneurial action
- raising productivity through new product innovation
- commercialization of new inventions
- Harnessing resources that were previously lying idle
- redistribution of wealth
- entrepreneurs giving back to the city
Benefits of entrepreneurship
The opportunity to
- create your own destiny
- make a difference
- reach your full potential
- reap impressive profits
- contribute to society and to be recognized for your efforts
- do what you enjoy and to have fun at it
Drawbacks of entrepreneurship
- uncertainty income
- the risk of loosing your entire investment
- long hours and hard work
- lower quality of life until business gets established
- high levels of stress
- complete responsibility
- discouragement
Avoiding the pitfalls of small business failures
- know your business in depth
- develop a solid business plan
- manage financial resources
- understand financial statements
- set your businesses apart from the competition
- maintain a positive attitude
Feeding the entrepreneurial fire
- entrepreneurs as heroes
- entrepreneurial education
- demographic and economic factors
- shift to a service economy
- technology advancement
- independent lifestyle
- e commerce and the internet
