Entrepreneurship

Entrepreneurship is an important factor of industrial development of a country. It is the primary trait of an entrepreneur. The degree and quality of entrepreneurship differ from entrepreneur to entrepreneurs

Entrepreneurship

Entrepreneurship is the dynamic process of creating incremental wealth. This wealth is created by individuals who assume the major risks in terms of equity, time and career commitment of providing value for some product or service.

Entrepreneurship

The product or service itself may or may not be new or unique but value must somehow be infused by the entrepreneur by securing and allocating the necessary skills and resources.

Entrepreneurship

In practice, entrepreneurship changes the direction of national economies, industries or markets. It initiates new products and develop organizations and means of production to make them marketable.

Characters tics of Entrepreneurship

Dynamic Process Innovation Risk Taking Decision making Accepting Challenges Organisation Skillful Management Making the Enterprise a Success

Characteristics of a successful Ent.

CREATIVITY : INNOVATION: DYNAMISM: LEADERSHIP: TEAMBUILDING: ACHIEVMENT MOTIVATION: PROBLEM SOLVING: GOAL ORIENTATION: COMMITMENT: RISK TAKING AND DECISION MAKING ABILITY:

An entrepreneur is the risk bearer and works under uncertainty.

INNOVATION THEORY: propounded by by J.A. Schumpeter. entrepreneur is basically a innovator and innovator is one who introduces new combinations.

New combination theory covers five cases.

New good or New quality of good New method of Production New market New source of supply of raw material New organisation of any industry

Critical Evaluation

Schumpeters concept of entrepreneurship is quite broad based. Entrepreneurship includes not only the independent businessmen but also executives and managers who actually undertake innovative functions. It excludes individual who merely operate an established business without performing innovative functions

It represent the most vigorous type of enterprise. It laid too much emphasis on innovating functions An entrepreneur cannot have large scale operations from the very beginning. It fails to provide a suitable answer to question likewhy some countries had more entrepreneurial talent then others.

Need for Achievement Theory

Human values and motives that lead man to exploit opportunities, to take advantage of favorable trade conditions. The entrepreneur is cocerned with need for achievement. Need for achievement is called as a desire to do well,not so much for the sake of social recognition or prestige. But for the sake of an inner feeling of personal accomplishment.

There are two important things

First doing thing in a new and better way. Secondly , decision making under uncertainty. Utlimate goal is personal accomplishment.

Critical Evaluation

Research studies on the psychological roots of entrepreneurship reveal that high achievement orientation ensures the success but the empirical tool of concept used, are found to be highly suspect and one wonders how many of the individuals who are judged to have high n-ach.could succeed in utilising it in practice in the present day developing countries unless strengthened by other reinforcing circumstances.

Theory of Leadership

Entrepreneurship is a function of managerial skill and leadership. Theory explain that a person who is to become an industrial entrepreneur must have more than the drive to earn profits and amass wealth. In this process he has to show his ability to lead and manage.

Critical Evaluation

It is quite true that managerial men or groups enjoying an ambiguous culture and social position having no bondage of trading to inhibit them from entrepreneurship development. But there are certain economic and political factors also which encourage the people to initiate entrepreneurial behaviour.

What is an Entrepreneur?
An

Entrepreneur (ahntra pra nur) is a person who organizes and manages a business undertaking, assuming the risk for the sake of profit. Any person (any age) who starts and operates a business is an entrepreneur.

Three Aspects of Entrepreneurship

1. The identification/recognition of market opportunity and the generation of a business idea (product or service) to address the opportunity

Three Aspects of Entrepreneurship

2. The marshalling and commitment of resources in the face of risk to pursue the opportunity

Three Aspects of Entrepreneurship

3. The creation of an operating business organization to implement the opportunitymotivated business idea

Successful Entrepreneurs

According to the Small Business Administration, successful entrepreneurs have five characteristics:

Drive, which is defined as the most important attribute. Entrepreneurs can expect long hours, high stress and endless problems, as they launch a new business.

Successful Entrepreneurs

According to the Small Business Administration, successful entrepreneurs have five characteristics:

Thinking Ability, or the characteristic that encompasses creativity, critical thinking, analytical abilities and originality.

Successful Entrepreneurs

According to the Small Business Administration, successful entrepreneurs have five characteristics:

Aptitude for Human Relations. This characteristic recognizes the importance of the ability to motivate employees, sell customers, negotiate with suppliers and convince lenders. Personality plays a big part in success in this area..

Successful Entrepreneurs

According to the Small Business Administration, successful entrepreneurs have five characteristics:

Communication Skills, or the ability to make yourself understood.

Successful Entrepreneurs

According to the Small Business Administration, successful entrepreneurs have five characteristics:

Technical Ability speaks to the need of the entrepreneur to know their product and their market. They must consider the long- and shortterm implications of their decisions, their strengths and weaknesses, and their competition. In short, they need strategic management skills.

Entrepreneurship
Some
You

advantages

are your own boss Enjoy the profits from you efforts Sense of pride in your business Flexibility in your work schedule

Entrepreneurship

Some disadvantages
Will need to put in long hours Need money to start Have to keep up with government rules and regulations May have to mark hard decisions (hiring, firing, etc.) May lose money