ENTREPRENEURSHIP Common Competencies in

Entrepreneurship
Relevance of the Course
1. Decisive - an entrepreneur must be firm in
 Development of Managerial making decisions.
Capabilities – this means that one of
the benefits an entrepreneur gets is to 2. Communicator - an entrepreneur must
develop his managerial skills. have a convincing power.
 Creation of Organizations – which
3. Leader - an entrepreneur must have the
means that because of
charisma to be obeyed by his employees.
entrepreneurship many organizations
will exist. 4. Opportunity seeker - an entrepreneur
 Improving standard of living – this must have the ability to be the first to see
means that entrepreneurship can lift business chances.
up the economic status of an
individual. 5. Proactive – an entrepreneur can control a
 Means of economic development – situation by making things happen or by
this means that not only the life of preparing for possible future problems.
the entrepreneur is improved but also 6. Risk Taker – an entrepreneur has the
the society where the business is courage to pursue business ideas.
located.
7. Innovative - the entrepreneur has big
Concept of Entrepreneurship business ideas and he does not stop
The word “entrepreneur” was derived improving and thinking of new worthwhile
from the French verb enterprendre, which ideas for his business
means “to undertake.” This is pinpointing to Core Competencies in Entrepreneurship
those who “undertake” the risk of
enterprise. The enterprise is created by an 1. Economic and Dynamic Activity -
entrepreneur and the process is called entrepreneurship is an economic activity
“Entrepreneurship”. because it involves the creation and
operation of an enterprise with a view to
Entrepreneurs are innovators. They are creating value or wealth by ensuring
willing to take the risks and generate unique optimum utilization of limited resources.
ideas that can provide profitable solutions to
the needs of the market and the society. 2. Innovative – the entrepreneur constantly
looks for new ideas, thus he needs to be
COMPETENCIES IN creative.
ENTREPRENEURSHIP
3. Profit Potential - the entrepreneur can be
compensated by his profit coming from the
operation.
4. Risk bearing – the entrepreneur needs to Essentials in Entrepreneur ’s
gamble but wise enough to offset the risk. Opportunity Seeking

Types of Entrepreneurs  Entrepreneurial Mind Frame -

allows the entrepreneur to see things
 Innovative Entrepreneurs - have in a very positive and optimistic way
the ability to think newer, better and in the midst of difficult situation.
more economical ideas of business Being a risk taker, an entrepreneur
organization and management. can find solutions when problems
 Imitating Entrepreneurs - they are arise.
those who don’t create new things  Entrepreneurial Heart Flame -
but only follow the ideas of other entrepreneurs are driven by passion;
entrepreneurs. they are attracted to discover
 Fabian Entrepreneurs - they are satisfaction in the act and process of
skeptical about the changes to be discovery. Passion is the great desire
made in the organization. They wait of an entrepreneur to achieve his/her
for some time before the innovation goals.
becomes well tested by others and do  Entrepreneurial Gut Game - the
not result in a huge loss due to its gut game also means confidence in
failure. one’s self and the firm belief that
 Drone Entrepreneurs - they are everything you aspire can be
satisfied with the existing mode and reached.
speed of business activity. They are
die-hard conservatives even ready to Sources of Opportunities
suffer the loss of business.
1. Changes in the environment
Career Opportunities of  Physical Environment
Entrepreneurship  Societal Environment
 Industry Environment
 Business Consultant
2. Technological Discovery and
 Business Reporter Advancement - sees the possibility
 Mid-level Management of business opportunities in any new
 Sales discovery or because of the use of
 Teacher latest technology.
 Researcher 3. Government’s thrust, programs
 Recruiter and policies - the priorities,
programs, and policies of the
government are also good source of
DEVELOPMENT OF BUSINESS PLAN ideas.

Recognize a Potential Market

 4. People’s Interest - the interest, Data Collection - is the most valuable tool
hobbies and preferences of people in any type of research study. Inaccurate
are rich sources of ideas data collection may cause mistakes and
5. Past Experience - expertise and ultimately lead to invalid results.
skills developed by a person who has
worked in a particular field may led 3 Data Collection Techniques
to opening of a related business  Surveys - are the most common way
enterprise to gather primary research with the
Recognize and Understand the Market use of questionnaires or interview
schedules. These can be done via
Value Proposition (VP) - is a business or direct mail, over the phone, internet
marketing statement that summarizes why a or email, face-to-face or on the web
consumer should buy a company's product (Skype or Viber).
or use its service. This statement is often  Interview - is one of the most
used to convince a customer to purchase a reliable and credible ways of getting
particular product or service to add a form of relevant information from target
value to their lives. If we can’t explain how customers. It is typically done in
an idea makes someone’s life better, then person between the
why should anyone pay attention? researcher/entrepreneur and a
respondent where the researcher asks
Unique Selling Proposition (USP) - a
pertinent questions that will
statement that highlights the unique features
significant pieces of information
and benefits that a product or service offers
about the problem that he will solve.
compared to its competitors.
 Focus Group Discussion (FGD) - is
You may ask the following questions in an excellent method for generating
doing this: and screening ideas and concepts. It
can be moderated group interviews
 What do the customers want? and transforming sessions that
 What brand does well? provide information on user’s needs
 What does your competitor sell well? and behaviors.

Market Research Marketing Mix

- It is defined as the process of - is a business mechanism used for

gathering, analyzing and interpreting effective marketing of the products.
the information about the products or Marketing mix is a set of
the services to be offered for sale to controllable and connected variables
the potential consumers in the that a company gathers to satisfy a
market. customer better than its competitor.
 - Originally, there were only 4P’s but cost, and the overhead costs for a product,
the model has been continually - and add to it a mark-up percentage in order
=modified until it became 7P’s. to derive the price of the product.

7p’s

1. PRODUCT - It refers to any goods

or services that is produced to meet
the consumer wants, tastes
preferences.

There are 2 types of goods.

 Consumer goods are products that

people buy for day-to-day use
 Business goods are various goods
not for final consumption but for
producing other goods or providing
services.
4. PROMOTION - It refers to the
2. PLACE - It represents the location
complete set of activities, which
where the buyer and seller exchange
communicate the product, brand or
goods or services.
service to the user. The idea is to
It is also called as the distribution channel. It create awareness, attract and induce
can include any physical store as well as the customers to buy the product, in
virtual stores or online shops on the internet. preference over others.

3. PRICE - The amount or value of PROMOTIONAL MIX

money that a customer gives up to
- the medium in promoting a product
enjoy the benefits of having or using
a product or service. 1. Advertising

One example of a pricing strategy is the  Radio

penetration pricing. It is when the price  Television
charged for product and service is set  Print
artificially low in order to gain market share.  Electronic
Another pricing strategy is the Cost Plus  Word of mouth
Pricing. It involves adding a mark up to the  Generic
cost of goods and services to arrive at a 2. Public Relations - in public relations, the
selling price. Under this approach, you add article that features your company is not
together the direct material cost, direct labor
paid for. The reporter, whether broadcast or - The best packaging should be
print, writes about or films your company as attractive enough and cost efficient
a result of information he or she received for the customers. Packaging is
and researched. highly functional. It is for protection,
containment, information, utility of
3. Personal Selling - occurs when an use and promotion.
individual salesperson sells a product,
service or solution to a client. Salespeople
match benefits of their offering to the 7. POSITIONING
specific needs of a client
- It refers to the process used by
 Prospecting marketers to create an image in the
 Making first contact minds of a target market
 The sales Call - Positioning outlines why your
 Objection Handling product is unique in comparison to
 Closing the sale market alternatives.

4. Sales Promotions - any initiative

undertaken by an organization to promote an
increase in sales, usage or trial of a product
or service.

Sales promotion Technique

 Free gifts
 Free samples
 Free Trial
 Customer Contests
 Special pricing
5. PEOPLE - Your team, the staff that
makes it happen for you, your
audience, and your advertisers are
the people in marketing. People are
the ultimate marketing strategy.
They sell and push the product If not
handled with right people the
product will not be sold.
6. PACKAGING
- A silent hero in the marketing world.
It refers to the outside appearance of
a product and how it is presented to
the customer