1 the Entrepreneur 1

8/6/2019 1 the Entrepreneur 1

1/71

Entrepreneurshipdevelopment

BY MS. NEHA JAIN


2/71

ENTREPRENEUR

An entrepreneur is a person who haspossession of an enterprise, or

venture, and assumes significantaccountability for the inherent risksand the outcome.

An ambitious leader who combines

land, labor, and capital to create andmarket new goods or services.


3/71

Entrepreneur

8May 2011 3


4/71

Who is an Entrepreneur ?

8May 2011 4


5/71

Requirements to be an entrepreneur

8 May 2011 5


6/71

Entrepreneurship = Entrepreneur + Enterprise

(Process) (Person) (Object)


7/71

What is Entrepreneurship?

8May 2011 7


8/71

WHY

ENTREPRENEURSHIP

Toimprovebackwardnessofthepeople.Economic development oftheregion.Properutilization ofhumanpotentiality.Specialattention to take up new

activities.Tocreateself-employment andgeneration ofemployment opportunity.Bettereconomicgain.


9/71

We're seeing thebeginnings ofthe entrepreneurial economya system built on quick, low-overhead,often times small companies


10/71

But first, some FACTS about

Entrepreneurs


11/71

55-64- Theagegroupshowing the

highest rateof

entrepreneurialactivity.

Surprisingly,20-34 agegrouphaslowerrate


12/71


13/71

66% ofentrepreneurs claim they were

inspired byinnate

(intrinsic) desire, not education ortrainin

g


14/71

50% of all U.S. businesses are home based


15/71

13 Million

people are employed by home busine

sses


16/71

8%ofhome businesses haverevenues of $500,000

ormore

35% have revenues of $125,000

or more


17/71

Remember theRecession


18/71


19/71

71%ofentrepreneursdontexpect

to add any new jobs


20/71

61%ofentrepreneurs think the

economy ison the wrong track


21/71

50%ofinnovation

driven countries,

including the U.S., show a decrease in startups


22/71

But theres hope


23/71


24/71

New and young firms have been the primarysource of new

jobs in the United States over the past three

decades :


25/71

Changeis coming :


26/71

25%

ofentrepreneurs say they will

commitmore resources to socialmedia


27/71


28/71

Find Your InnerEntrepreneurStart a side business

while you're still employed:

The risk islower, security ismuch higher, and yourcurrent job can open thedoors thatyou need


29/71

Promoting Entrepreneurship

8 May 2011Entrepreneurship

Development29

In India, whereover30 crores

peoplearelivingbelow the

poverty line,

it issimplyimpossiblefor

any govt toprovide meansoflivelihood to

everyone.

Such situationssurely demand

foracontinuous

effort from thesociety,

where the

peopleareencouraged tocome up with

theirentrepreneurial

initiative.


30/71

The Builder of Indian Industry

J R D TATA


31/71

Dhirubhai Ambani also known as

Dhirajlal Hirachand Ambani was

born on December 28, 1932, at

Gujarat, into a Modh family. His

father was a school teacher.Dhirubhai Ambani started his

entrepreneurial career by selling

"bhajias" to pilgrims in Mount

Girnar over the weekends.


32/71


33/71

Assisted by his two sons, Mukesh and Anil, Dhiru Bhai Ambani built

India's largest private sector company, Reliance India Limited, from a

scratch. Over time his business has diversified into a core specialization in

petrochemicals with additional interests in telecommunications,information technology, energy, power, retail, textiles, infrastructure

services, capital markets etc.


34/71

N.R.NarayanaMurt y

An Indian IT

chief who's really made itbig without dropping his ethical preceptsby the wayside is Nagawara RamaraoNarayana Murthy, Chairman of Infosys.

Born in 1946, Murthy's father was aschoolteacher in Kolar district, Karnataka,India. A bright student, Murthy went on toacquire a degree in Electrical Engineeringfrom Mysore University and later studiedComputer Science at the IIT, Kanpur,India.


35/71

The Infosys legend began in1981 when Narayana

Murthy dreamt of forminghis own company, alongwith six friends. There wasa minor hitch, though-hedidn't have any seed money.

Luckly, like many Indianwomen who save secretlywithout their husband'sknowledge, his wife Sudha-

ben an engineer with Tatas-

had saved Rs 10,000. Thiswas Murthy's first big break.


36/71

Infosys.

The decade until 1991 was a tough period

when the couple lived in a one-room

house.T

he second break came in 1991when Indian doors to liberalization were

flung open Murthy grabbed the

opportunity with both hands and has never

looked back ever since. Today, Infosys isthe first Indian company to be listed on the

US NASDAQ.

It provides employment to 85,000 people.


37/71

8 May 2011

EntrepreneurshipDevelopment

37


38/71

Food king

When 27-yearold Sarathbabugraduated from the Indian InstituteofManagement, Ahmedabad,

Hecreated quiteastirby refusinga job that offered him a hugesalary.

Hepreferred tostart hisownenterprise-- Foodking CateringService-- in Ahmedabad.

8 May 2011


38


39/71

8 May 2011


39


40/71

The Motivating Force ofFood King

8 May 2011


40


41/71

Food king

8 May 2011


41


42/71

Qualities fan ntre reneur:

8 May 2011


42

Qualities1. CommonSense:

2.Specialised

Knowledgeofthe Field:

3.SelfConfidence:

4. AbilitytoGet Things

Done:

5.

Creativity:

6.Leadership:


43/71

Qualities fan ntrepreneur:

8 May 2011

EntrepreneurshipDevelopment 43

7.Communication

Skill:

8. Willingnesstotake Risk:

9. Willingnessto AcceptCriticism:

10.SelfMotivation and

11.Determination


44/71

SuccessfulEntrepreneurs

Drive,

which is defined as the

most important attribute. Entrepreneurscanexpect long hours, highstressand endlessproblems,as they launcha new business.

8 May 2011



45/71


8 May 2011



46/71


8 May 2011


AptitudeforHuman

Relations.

Thischaracteristicrecognizes theimportanceof

theability to motivateemployees, sell tocustomers, negotiate with suppliersand

convincelenders. Personality playsabigpart in

successin thisarea..


47/71


8 May 2011



48/71


8 May 2011


Technical

Ability

They must considerthelong- and short-term

implicationsoftheirdecisions, theirstrengthsand weaknesses,and theircompetition.

In short, they need strategicmanagement skills.


49/71


50/71

Entrepreneurship

8 May 2011


SomeDisadvantages

Will need toput in long

hours

Needmoney to

start

Have tokeep up

withgovernment

rulesandregulations

May haveto mark

harddecisions

(hiring,firing,etc.)

May losemoney


51/71


52/71

PsychologicalPsychological

CharacteristicsofCharacteristicsofEntrepreneursEntrepreneursy Need forachievement

y LocusofControl

Internal

Externaly Risk-taking Prosperity

y Toleranceforambiguity

y Type A Behaviour

Impatient, time urgency, drivingambition,competitiveness

y Need forIndependence


53/71

Whatis theRoleof theWhatis theRoleof the

Entrepreneur?Entrepreneur?

y Opportunity recognition

y

Market uncertainties Dealing with thefuture

y Risk taking Businesses,financialand personal

y

Resourcegatheringy Profits/Reward


54/71

TYPES OF

ENTREPRENUERS

Innovative Entrepreneurs.AdoptiveEntrepreneurs.Fabian Entrepreneurs.

Drone Entrepreneurs.SoloOperators.Active Partners.Simply Partners.Inventors.

Buyers.Life timers.


55/71

INNOVATIVE ENTREPRENEUR

Sensetheopportunitiesfor

Introduction ofNew Ideas,

New Technology ofproduction

OpeningofNew Markets.

Launches new products,

discovers new markets,establishes new methodsofproduction and restructurestheenterprise.

Can workonly whendefinitelevelofprogress hasbeen previouslyaccomplished.

They focuson revolutionand development.


56/71

ADOPTIVE ENTREPRENEUR

InsteadofInnovating, Imitate

Technology

Methodsinnovated by others

Imitate theexistingentrepreneur& setup theirenterpriseinthesame manner

Adopt victoriousinnovationslaunched by theinnovative

entrepreneurs.

Duplicate the technology and techniquesinnovated by others.

Suitableforunderdeveloped countries.


57/71

FABIAN ENTREPRENEUR

Adoptnewtechnologywhen-

Realize that failure toadopt willlead

tolossorcollapseoftheenterprise

They are not adaptable to thechangingenvironment

show by great caution and disbeliefin experimentinganychangein theorganization.

They imitateonly in situations whereit becomes necessary todoso.


58/71

DRONE ENTREPRENEUR

Ref et dopt c nges-

T e are laggard .

Co tinue to operate in t eir tradition

a resist c anges.

T e are Conservative orOrt odoxin outlook.

Drone Entrepreneurs sufferlosses, as t e refuse tomake any modifications in t e existing production met ods.


59/71

SOLO OPERATORS

Theseentrepreneursbasically workaloneand ifrequired may recruit few

people.


60/71

ACTIVEPARTNERS

Theseentrepreneursset upanenterpriseasa joint ventureand they

actively takepart in theactivitiesoftheorganization.


61/71

SIMPLY PARTNERS

Theseentrepreneurscontributefunds,but are not involved in theoperations

oftheenterprise.


62/71

INVENTORS

Theseentrepreneursareinvolved intheresearch and development and

innovativeactivities.


63/71

BUYERS

Theseentrepreneursin ordertoreduceriskbuy an already established

and ongoingenterprise.


64/71

LIFETIMERS

Theseentrepreneurs takebusinessasprimary part oftheirlife.

Family enterprisefallsinto thisgroupofentrepreneurs.


65/71

FUNCTIONS OF AN

ENTREPRENEUR

Planningoftheproject

Management

ToFace RisksDistribution ofRewards

SaleofProducts

ScaleofProduction

Joint stockOrganizationEarn Profit


66/71

PRODUCTION

SALES/MARKETING

FINANCETECHNOLOGY/ SYSTEM

HUMAN RESOURCES

ENTREPRENUER


67/71

FUNCTIONS

PERFORMED

Identifyingentrepreneurialopportunity

Turningideasintoaction

Feasibility studyResourcing

Setting upofthe Enterprise

Managing theenterpriseGrowth and Development


68/71

ENTREPRENEUR

Person Organizer RiskTaker

Innovator Good Planner Leader Decision-Maker Visualizer Administrator Initiator

ENTREPRENEURSHIP

Process Organized form ofInitiative Risk-takingactivity ProcessofInnovation Planningforsuccessfulperformance

CruxofLeadership Decision makingactivity

Vision Administration Taking Initiative


69/71


70/71

TheEnvironment

ThePerson

Entrepreneurship

The OrganizationalContext

The Task

KAOs Conceptual Model


71/71

QUESTIONSu.

1 the Entrepreneur 1

Documents