CONCEPT OF ENTREPRENEUR, ENTREPRENEURSHIP AND ENTERPRISE;

ADVANTAGES ENTREPRENEUR

EVOLUTION OF ENTREPRENEUR

Entrepreneur French language to designate an organizer of musical entertainments. Oxford English dictionary Director or manager of a public musical institution, who gets up entertainment. In 16th Century people engaged in military activities. In 17th century extended to cover construction activities. In 18th century this referred to economic aspects.

Risk bearer

Organizer

Innovator

The entrepreneur, by definition, shifts resources from areas of low productivity and yield to areas of higher productivity and yield. Of course, there is a risk the entrepreneur may not succeed. Innovation has to be market driven. (Drucker, 85) The entrepreneur is a person with a high need for achievement. This need for achievement is directly related to the process of entrepreneurship. ( David McClelland

Francis Walker says :: Entrepreneurs should be pioneer, captain of the ship, must have huge capabilities , a good knowledge of managerial functions.

Qualitie s of a Good Leader

Qualitie s of Good Manage r

Operati onal Excelle nce

WHICH IS THE BEST AGE TO BECOME AN ENTREPRENEUR ????

Global Entrepreneurship Monitor Report :::

Average age of Entrepreneurs at start up is 32 years.

DEFINITION OF ENTREPRENEUR

Entrepreneurship is derived from the French verb ENTERPRENDRE. According to Oxford Dictionary : One who undertakes an enterprise, especially a contractor acting as intermediary between capital and labour Joseph a. Schumpeter defines entrepreneur for an advanced economy as: The creation of a new good or a new quality; The creation of a new method of production; The opening of a new market; The capture of a new source of supply; The creation of a new organization or industry In case of a developing economy :: One who starts an industry old or new, undertakes risk, Uncertainties, performs managerial functions. Innovation, Risk Taking, Vision, Organising skills.

Latest concept on entrepreneur Perceives opportunities for profitable investments. Arranges capital. Provides personal guarantees. Supplies technical know how. Warren Bennis, a noted writer on leadership, says: "To choose a direction, an entrepreneur must have developed a mental image of the possible and desirable future state of the organization. This image is vision. The vision is something like a dream which an entrepreneur keeps in his/her heart 24 hours a day, 365 days a year. The vision reflects the heights where an entrepreneur wants his/her venture to reach

CHARACTERISTICS OF ENTREPRENEUR

Drive Perseverance Ambition Leader Competitive Interpersonal skills Innovative skills Ability to bounce back

Vision Motivation Self-confidence Self Satisfaction Extrovert Results orientated Committed Risk taker Sociable

Characteristic Behavior Characterized by Management Style Driving Force

Entrepreneur Desire for Control One-Man Show Creativity - Innovation

Manager Delegation of Authority Management Team Establish and Preserve the Status Quo Strategic Planning Organized

Organizational Growth Organization Structure

Rapid Reaction Informal, Flexible

Decision-Making
Definition of Aims Attitude to Money Attitude to Risk Organizational Culture

Intuitive
In terms of "Vision" A By-Product Calculated Risks "Entrepreneurial Culture"

Collect Information and Seek Advice

In Commercial Terms Measure of Success Avoidance of Risks "Management Culture"

ENTREPRENEUR V/S MANAGER

Characteristics Behavioural Differences Entrepreneur Manager Wants to "be in control" of his life, his Enters a company which needs business and especially of his to delegate authority. employees. Is very demanding, leaving very little room for error? In most cases the business is a "one man show", even if there are other employees. He must be tolerant of failure (and see it as a basis for learning) and develop an administrative team.

Management Style

The Moving Force

This is characterized by concepts such as "entrepreneurship", "creativity", "innovation", and so on, indicators of the desire to create "something from nothing".

This is characterized by concepts such as "order", "organization", "procedures", and so on, indicating the desire to organize and maintain what exists.

Growth

Has ability to react quickly and effectively to new business opportunities. Is the foundation for rapid growth of the company!

Professional management is noted for medium and long term strategic planning, which leads to controlled growth of the company during the process of establishment.

Organizational Structure

The entrepreneurial organization is characterized by its informal, flexible structure, which allows it to adapt to changes required by its rapid growth.

Professional management requires a formal and fairly rigid structure, which leaves no room for rapid reactions to business opportunities, but protects the organization from sudden collapse.

Decision-Making

They usually makes decisions, even those of critical importance for his business, on the basis of his own personal intuition and "gut feelings".

They makes decisions after collecting detailed information and reaching operative conclusions, while relying on experts both from within and outside the organization.

Definition of Aims

He describes his organization in terms of "vision", "dream" and "mission" and manages to give his employees the feeling that they are working for a higher aim than just marketing a product and/or service.

He describes the company aims in terms of market segments, yield per worker and profitability.

Attitude to Money

Myth: They are driven by the desire for power and money, but they are driven by the desire for success rather than power.

Driven by Financial returns.

Attitude to Risk

Are Calculated Risk taker.

He is afraid of risks and tries to maintain the status quo.

Company Culture

He does not usually try to define a "culture" for the organization he sets up culture which is characterized by large doses of charisma and manipulativeness."

He does try to establish a welldefined company culture, based on company values on one hand and commercial aims on the other

ENTREPRENEURIAL SKILLS
Individual skills Functional knowledge, Negotiator, behavioral skills, learning nature, listening skills etc. Group Skills Team spirit. Business Management Skills Human relations, Decision making, Goal setting etc. Enterprise Skills Setting vision, market sensing skills etc. Communication Skills -- putting intelligence into words. Soft skills --- clarity of expressions, Alertness.

ENTREPRENEURSHIP

It involves not only the process that leads to the setting up of a business entity but also the expansion and development of an on going concern. The study of entrepreneurship is concerned with the entrepreneurial behavior, the dynamics of business set up and expansion and development. It is a process of innovation and new venture creation. Process of creating something new and assuming the risks and rewards.

Enterprise---- Capital, Labor, Entrepreneur, Land.

MATCH THE FOLLOWING

Entrepreneurs / Successor Kiran Mazumdar Shaw Late. Dhirubhai Ambani

N. R. Narayana Murthy Dr. Verghese Kurien Karsanbhai Patel Azim Premji Sam Walton Bill Gates Shahnaz Husain Late P. C. Mahalanobis

Venture / Known as. Wal- Mart Co founder of Microsoft Father of White Revolution Nirma brand Buzz in Biotech Infosys technologies. Wipro Indias Quality Guru. Reliance Group Herbal Usage

Richard Branson, Virgin empire Bill Gates, Microsoft Steve Jobs, Apple Thomas Edison, General Electric Walt Disney ... ?????

QUALITIES Thrill, excitement and risk Highly creative problem solver Are impulsive in nature Are ambitious Have tons of energy for things they are interested in Love to be the hero in an emergency

SUMMARIZE

Drive, as defined in the study, is composed of responsibility, vigor, initiative, persistence and health. Thinking ability consists of original, creative, critical, and analytical thinking. Competency in human relations means emotional stability, sociability, good personal relations, consideration, cheerfulness, cooperation. and tactfulness. Communications skills include verbal comprehension, and oral and written communications. Technical knowledge is the manager's comprehension of the physical process of producing goods or services, and the ability to use the information purposefully.

ENTREPRENEURSHIP QUIZ

1. Are you a self-starter? Yes, I like to think up ideas and implement them. If someone helps me get started, I will definitely follow through. Frankly, I would rather follow than lead. 2. How do you feel about taking risks? I really like the feeling of being on the edge a bit. Calculated risks are acceptable at times. I like the tried and true. 3. Are you a leader? Yes. Yes, when necessary. No, not really.

4. Can you and your family live without a regular paycheck? Yes, if that is what it takes. I would rather not, but understand that may be part of the process. I do not like that idea at all. 5. Could you fire someone who really needed the job your business provided? Yes, I may not like it, but that is the way it goes sometimes. I hope so. I really can't see myself doing that. 6. Are you willing to work 50 hours a week, or more? Again, if that is what it takes, yes. Maybe in the beginning. I think many other things are more important than work. 7. Are you self-confident? You bet! Most of the time. Unfortunately, that is not one of my strong suits.

8. Can you live with uncertainty? Yes. If I have to, but I don't like it. No, I like knowing what to expect. 9. Can you stick with it once you have put your mind to something? I usually will not let anything get in the way. Most of the time, if I like what I am doing. Not always. 10. Are you creative? Yes, I do get a log of good ideas. I can be. No, not really. 11. Are you competitive? To a fault sometimes. Sure, mostly. Not really, my nature is more laid-back.

12. Do you have a lot of willpower and self-discipline? Yes. I am disciplined when I need to be. Not really. 13. Are you individualistic or would you rather go along with the status quo? I like to think things through myself and do things my way. I am sometimes an original. I think strongly individualistic people are a bit strange. 14. Can you live without structure? Yes. Actually, the idea of living without a regular job makes me nervous. No, I like routine and structure in my life. 15. Do you have many business skills? Yes I do, and those I don't have, I'll learn. I have some. No, not really.

16. Are you flexible and willing to change course when things are not going your way? Yes. I like to think so, but others may disagree. No, I have a fairly rigid personality. 17. Do you have experience in the business you are thinking of starting? Yes. Some. No. 18. Can you juggle multiple tasks? Yes. I think so. I think not.

19. Are you willing to really hustle for clients and customers? Sure. If I have to. I would rather not. 20. How well do you handle pressure? Quite well. Its not my strongest trait, but I can do it. Not well at all.

Your score: Scoring: 80 - 100: You have both the temperament and the skills to become an entrepreneur.. 60 - 79: You are not a natural entrepreneur, but may become one over time. Below 60: You would be wise to think of something else to do besides self-employment.