Steven Paul "Steve" Jobs Mark Elliot Zuckerberg

Tony Tan Caktiong

Henry Sy William Henry "Bill" Gates III John L. Gokongwei, Jr.

Entrepreneurship

• It is a proactive process of developing a business venture to make a profit

• It involves seeking opportunities for a market, establishing and operating a business

out of the opportunity, and assessing its risks and rewards through close monitoring of
the operations.
 Risk-taking Art of Correct
Venture Practices

Salient Features
of Entrepreneurship Opening and
Managing the Wealth-
Self-owned creating
Enterprise Venture

Provides
Valuable
Goods and
Services
1. Entrepreneurship produces 2. Entrepreneurship amplifies 3. Entrepreneurship introduces
more jobs that equate to an economic activities of different new and innovative products
increase in national income. sectors of the society. and services.

SOCIETAL AND 5. Entrepreneurship

4. Entrepreneurship ECONOMIC disperses the economic
improves people’s BENEFITS OF income power and
living standards. creates equality.
ENTREPRENEURSHIP

6. Entrepreneurship 7. Entrepreneurship 8. Entrepreneurship

controls the local reduces social conflicts elicits economic
wealth and balances and political unrest. independence and
regional development. capital formation.
 What is an Entrepreneur?

- originated from the French word “Entreprendre”

Entre = between
UNDERTAKE
Prendre = to take

An ENTREPRENEUR is a unique individual who has the innate ability and extraordinary
dedication to establish and manage a business, acknowledging all the risks and reaping
its rewards.
Theory - generalization
- set of facts or phenomena
- not an absolute truth

Learn by heart the theories that you deem appropriate and applicable
in your perspective business and will support your
desire to become a successful entrepreneur.
 Innovation Theory

• Joseph Schumpeter
-an Austrian economist and political scientist who wrote the book
“ The Theory of Economic Development”

• It regards economic development as the product of structural change

or innovation.

• Innovation is the force that will propel the revolutionary change.

• Primary role of the entrepreneur is to introduce innovation in any of the
following forms:

1. New product
2. New production method
3. New market
4. New supplier
5. New industry structure

Will you consider the innovation theory as one of your guiding posts in your journey
as an entrepreneur?
 Keynesian Theory

• Maynard Keynes – a British economist who wrote the book “The General
Theory of Employment” and “Interest and Money”.

• It emphasizes on the role of the government in entrepreneurial and economic

development, most especially when the economy was experiencing
depression.

• During economic depression, money becomes scarce and the number of

unemployed workers is high. This time the government must make a strong
intervention.
 Alfred Marshal Theory

• Alfred Marshal is an English economist who introduced the book

“Principles of Economics”.
• Asserted that there are four factors in the production (land, labor, capital,
and organization) of goods and services in the economy.

• Entrepreneurs are prime movers of organization. Marshal believed that

the entrepreneurs could perform and meet expectations only if they had
a thorough understanding of the industry where they operated.

• Able to foresee possible changes in the demand and supply.

 • Risk and Uncertainty-Bearing Theory

• Frank Hyneman Knight is an American economist who introduced the book “Risk,
Uncertainty and Profit”.

• He viewed entrepreneur as an asset of the production process where he/she

connects the producers and the consumers.

• He added that risk-taking is an important dimension that will differentiate an

entrepreneur from a worker.

• Uncertainty is an important factor in the production.

Common and Core Competencies in Entrepreneurship

Common traits that entrepreneurs should always have:

1. Proactive 6. Networkers

2. Agents of Change 7. Decisive

3. Risk Takers 8. Balanced

4. Opportunity Seeker 9. Innovative

5. Sociable
Core Traits in Managing and Running the Business:

1. Leaders

2. Communicators

3. Specialists

4. Problem Solvers
1. Technopreneur is an entrepreneur who puts technology at the core of his or her business model.

2. Social Entrepreneurship is one who takes advantage of the country’s social problems and
turn them to profitable institutions with the intention of helping the disadvantaged community
rather than making a profit.

3. Intrapreneur is an entrepreneur in a large company or corporation who is tasked to think,

establish, and run a new big idea or project. They are usually the product managers or the
business development managers of a company.

4. Extrapreneur is an entrepreneur who hops from one company to another to act as the
innovation champion, providing creative and efficient solutions.