What makes to be an entrepreneur?

1. Innovative
2. Business
3. Market
4. Flexible
5. Leaderhip

Entrepreneurship – is a science of converting processed ideas into a remarkable business venture.

What is entrepreneurship – the capacity and willingness to develop, organize and manage a business
venture along to make a profit.

Entrepreneurship
Entrepreneurship is encouraged by the economy because it can provide a lot of opportunities
for the unemployed people, it will increase per capital income, improve standard of living and
increase individual savings, provide revenue to the government in the form of income tax, value
added tax, export duties, import duties, and balanced regional development.

Relevance of Entrepreneurship to an organization

Development of Managerial Capabilities – this means that one of the benefits an entrepreneur
gets is to develop his managerial skills.
Creation of Organization – which means that because of entrepreneurship many organizations
will exist.
Improving Standard of Living – this means that entrepreneurship can lift up the economic
status of an individual.
Means of Economic Development – this means that not only the life of the entrepreneur is
improved but also the society where the business is located.

Concept of Entrepreneurship
The word “entrepreneur” was derived from the French verb entreprendre, which means “to
undertake.” This is pinpointing to those who “undertake” the risk or enterprise. The enterprose
is created by an entrepreneur and the process is called “Entrepreneurship.”
Entrepreneurs are innovators. They are willing to take the risks and generate unique ideas that
can provide profitable solutions to the needs of the market and the society.

Factors Affecting Entrepreneurship

1. Personality Factors which include:
a. Initiative – doing things even before being told.
 b. Proactive – which means he can classify opportunities and seize it.
c. Problem Solver – which means he can retain good relations with other people.
d. Perseverance – meaning he will pursue things to get done regardless of challenges .
e. Persuasion – means that he can entice people to buy even if they don’t want to
f. A planner – makes plans before doing things and does not fail to monitor iy.
g. Risk taker – which means that he is willing to gamble but he will calculate it first.

2. Environmental Factors which include political, climate, legal system, economic and
social conditions and market situations

Common competencies of Entrepreneurship

1.
2. Decisive – an entrepreneur must be firm in making decisions.
3. Communicator – an entrepreneur must have a convincing power
4. Leader – an entrepreneur must have the charisma to be obeyed by his
employees.
5. Opportunity seeker – an entrepreneur must have the ability to be the
first to see business chances.
6. Proactive – an entrepreneur must have the ability to the first to see
business chances.
7. Rist taker – an entrepreneur has the courage to pursue business ideas,
8. Innovative – the entrepreneur has big business ideas that he does not
stop improving and thinking od new worthwhile ideas for his business.

What you have learned

Entrepreneur are people who take the risk. They are innovators and contributors to the
development of the economy

Core Competencies in Entrepreneurship

1. Economic and Dynamic Activity – Entrepreneurships is an economic activity because
it involves the creation and operating of an enterprise with a view to creating value
or wealth by ensuring optimum utilization of limited resources.
2. Innovative – The entrepreneur constantly looks for new ideas, thus he needs to be
creative.
3. Profit potential – The entrepreneur can be compensated by his profit coming from
the operation.
4. Risk bearing – The entrepreneur needs to gamble but wise enough to offset the risk.
Types of Entrepreneurship
1. Innovative Entrepreneurs – They are those who always make new things by thinking
of new ideas. They have the ability to think newer, better and more economical ideas
2. Imitating Entrepreneurs – They are those who don’t create new things but only
follow the ideas of other entrepreneurs.
3. Fabian Entrepreneurs – They are skeptical about changes to be made in the
organization. They don’t initiate but follow only after they are satisfied.
4. Drone Entrepreneurs – They are those who live on the labor of others, They are die-
hard conservatives even ready to suffer the loss of business.
5. Social Entrepreneurs – They are those who initiate changes and drive social
innovation and transformation in the various fields such as education, health, human
rights, environment and enterprise development

Career Opportunity of Entrepreneurship

1. Business Consultant – with the expertise of the field of entrepreneurship, he can be
a very good source of advices to other entrepreneurs and would be business men.
2. Teacher – a graduate of an entrepreneurship can use his knowledge on teaching
3. Researcher – the entrepreneurs can be employed as a researcher by an enterprise
4. Sales – the entrepreneurship graduate can apply as a salesman
5. Business reporter – the entrepreneur being expert in the field, can be employed as a
business reporter.

Recognize a potential Market

Essentials in Entrepreneurs' Opportunity – seeking
These are the basic foundation that the entrepreneur must have in seeking opportunities:
 Entrepreneurial mind frame – this allows the entrepreneur to see things in a very
positive and optimistic way in the midst of difficult situation. Being a risk taker, an
entrepreneur can find solutions when problems arise.
 Entrepreneural heart frame - entrepreneurs are driven by passion; they are attracted to
discover satisfaction in the act and process of discovery. Passion is the great desire of an
entrepreneur to achieve his/her goals.
 Entrepreneural gut game – this refers to the ability of the entrepreneur of being
intuitive. This is also known as institution. The gut game also means confidence in one’s
self and the firm belief that everything you aspire can be reached.
Sources of opportunities
1. Changes in the environment – entrepreneurial ideas arise when changes happen in the
external environment. A person with an entrepreneurial drive views these changes
positively. External environment refers to the physical environment where the business
operates.
1.1 The physical environment
a. Climate- the weather condition
b. Natural resources- such as minerals forests, water, and fertile lang that occur in
nature and can be used for economic gain.
c. Wildlife- includes all mammals, birds, reptiles, fish, etc., that live in the wild.

1.2 The societal environment

a. Political forces – includes all the laws, rules, and regulations that govern business
practices as well as the permits, approval, and licenses necessary to operate the
business.
b. Economic forces - such as income level and employment rate.
c. Sociocultural forces – customs, lifestyles and values thar characterize a society.
d. Technological environment – new inventions and technology innovations.
1.3 The industry environment
a. Competitors
b. Customer
c. Creditors
e. Government
f. Suppliers
2. Technological discovery and advancement - a person with entrepreneurial interest sees
possibility of business opportunities in any new discovery or because of the use of latest
technology.
3. Government's thrust, programs, and policies – The priorities projects, programs, and
policies of the government are also good sources of ideas.
4. People interest – The interest, hobbies, and preferences of people are rich sources of
entrepreneurial ideas, like the increasing number of internet cafes at present couls lead
to the strong attachment of young people to computers.
5. Past experiences – The expertise and skills developed by a person who has worked in a
particular field may lead to the opening of a related business enterprise.
Opportunity – seeking – it is the process od considering, evaluating, and pursuing market-based
activities that are believed to be advantageous for the firm.
Entrepreneurial gut game – it is the ability of entrepreneurs that can sense without using the
five senses, also known as intuition.
Entrepreneurial mind frame – This is the essential to opportunity – seeking which allows the
entrepreneurs to see things in a positive and optimistic light in the midst of crisis or difficult
situation.
Entrepreneurial heart frame – one of the essential of entrepreneurs opportunity – seeking that
refers to the driven passion of an individual.
Economic forces – variables of societal environment includes income level and employment
rate

Product
 A product can be anything that can be offered to the market to satisfy a want or a need
 A bundle of attributes, offering for use/consumption by the final customer.
Level of products
 Tangible products – basic physical appearance which can be a service or idea having
precise specifications and is offered under a given/specified description or model
number
 Augmented products – includes the image and service features of a certain entity. It
gives emphasis on the tangible benefits that the customer will be getting from buying
and selling.
 Generic product – emphasizes the impact of the product to the customer, not the seller.
This will signify the purpose of its existence and the primarily objective in creating the
product.
Types of product
1. Goods - sale of the physical products from the manufacturer to the consumer or
ultimate user; tangible products.
 Durable goods – physical products that are used over a long period of
time.
 Non-durable goods – physical goods that are quick and easily be
consumed or worn out.
2. Services – intangible products that satisfaction can be measured in future
preferences.
 Rented-goods services – consumers rented facility of the seleers in a
certain period of time.
 Owned-goods services – repair and maintenance services rendered by
the sellers to the products of the customer.
 Non-goods services – personal services on the part of the seller, most
common are the expertise and profession of the seller.
Consumer products – these are goods and services destined/produced for the final consumer
personal, family, or household use. The use of the goods and services designates it as a
consumer product.
 Convenience products – are purchased with the minimum or less effort because the
buyer has knowledge of product characteristics prior to shopping.
 Shopping products – are products that the consumers acquire through further
knowledge and information in order to make final purchase decision.
 Speciality products – are the items with particular brands and stores which consumers
are loyal. They are willing to make a significant effort to acquire the brand desired units
and will pay a higher or above the price of similar products.
Industrial products – industrial products are goods or services purchased for use/consumption
in the production/manufacturing of other goods or services, in the operation of a business or
for resale to other customers.
The Entrepreneur should look deeper into the following areas:
 Viability – management must be able to set the direction of the enterprise with a clear
mission and vision as the guiding tool for its plans and programs. They must give
emphasis on the technical and manpower complements. They must introduce new
technology to make work easier for the working team.
 Profitability – whatever capital is available determines the kind of business operation.
Savings and wise investments are characteristic of successful business entrepreneurs.
 Customer requirements – the marketing program needs demand analysis. The
demographic profile of the customer must be taken into account as the success of the
product depends on the target costumer.
 Productivity – product specifications mist be maintained according to product standards
that are acceptable to customers-quality.
The new product planning process Involves a series of steps:
Idea Generation - searching and looking for new product or business opportunities.
Idea Screening - ideas which are not suitable, not Attractive, or poor are junked. Ideas together
with characteristics are rated on the basis of a rating from 1-10.
Concept testing - ideas which have proceed the screening stage will now require feedback from
the consumer.
Business Analysis - is a evaluation of market factors, revenues, cost and trends.
Product Development - ideas are transformed into tangible form.
Test Marketing - requires a selling of a fully developed product in a selected city and observing
the actual or on the spot performance under the chosen marketing plan.
Commercialization - this involves the real/actual marketing of the product in the target market.

Growth – the product acquires wider consumer acceptance, and the objective are to expand
distribution and the range of available products alternative.
Maturity – the products sales level and companies try to keep lower prices better product
features for as long as possible.
Product life cycle – it describes and relates the products sales, profits, customers, competitors,
and marketing emphasis from its beginning until it is removed or pulled out from the market.
Idea Generation – is searching and looking for new product or business opportunities
Test marking- it requires selling a fully developed product in a selected city and observing the
actual or on the spot performance under the chosen marketing plan.
Commercialization – this involves the real/actual marketing of the product in the target market.
Idea Screening – its idea which is not suitable, not Attractive, or poor are junked. Ideas together
with characteristics are rated based on rating 1-10
Product Development – ideas are transformed into tangible form
Business Analysis – it is an evaluation of market factors, revenues, cost and trends
Concept testing – ideas which have proceed the screening stage will now require feedback from
the consumer