CH 1 Foundations of Entreprenuership

Section 1:
The Challenge of Entrepreneurship
Copyright © 2019, 2016, 2014 Pearson Education, Inc. All Rights Reserved
Essentials of Entrepreneurship and Small
Business Management
Ninth Edition
Chapter 1
The Foundations of
Entrepreneurship
Copyright © 2019, 2016, 2014 Pearson Education, Inc. All Rights Reserved.
Learning Objectives (1 of 3)
1. Define the role of the entrepreneur in business in the
United States and around the world.
2. Describe the entrepreneurial profile.
3-A. Describe the benefits of entrepreneurship.
3-B. Describe the drawbacks of entrepreneurship.
4. Explain the forces that are driving the growth of
entrepreneurship.
5. Explain the cultural diversity of entrepreneurship.
6. Describe the important role that small businesses play
in our nation’s economy.
7. Put failure into the proper perspective.
8. Explain how an entrepreneur can avoid becoming
another failure statistic.
9. Discover how the skills of entrepreneurship, including
critical thinking and problem solving, written and oral
communication, teamwork and collaboration, leadership,
creativity, and ethics and social responsibility, apply to
every career choice and every avenue of life.
What is an Entrepreneur?
• Entrepreneur:
‒ One who creates a new business in the face of risk and
uncertainty for the purpose of achieving profit and
growth by identifying opportunities and assembling the
necessary resources to capitalize on them.
Characteristics of Entrepreneurs (1 of 2)
• Desire for responsibility • Desire for immediate
• Preference for moderate feedback
levels of risk • High level of energy
• Willingness to break the • Competitive
rules • Future orientation
• Self-reliance – Opportunity
• Confidence in their ability entrepreneurs
to succeed – Necessity
• Determination entrepreneurs
– Serial entrepreneurs
Characteristics of Entrepreneurs (2 of 2)
• Skilled at organizing • Flexibility
• Value achievement over • Resourcefulness
money • Willingness to work hard
• High degree of • Tenacity
commitment
• Tolerance for ambiguity
• Creativity
Figure 1.3 Most Important Qualities of an
Entrepreneur
Source: Ryan Westwood, “What Traits Do We Need to Succeed as Entrepreneurs?” Forbes, September 4, 2015,
www.forbes.com/sites/ryanwestwood/2015/09/04/what-traits-do-we-need-tosucceed-as-entrepreneurs/#4d7f537f8ff4.
Entrepreneurship
• One characteristic of entrepreneurs stands out: diversity!
• Anyone – regardless of age, race, gender, color, national
origin, or any other characteristic – can become an
entrepreneur (although not everyone should).
Benefits of Entrepreneurship
• The opportunity to:
– Create your own destiny.
– Make a difference.
– Reach your full potential.
– Reap impressive profits.
– Contribute to society and to be recognized for your
efforts.
– Do what you enjoy and to have fun at it.
Drawbacks of Entrepreneurship
• Uncertainty of income
• Risk of losing your entire investment
• Long hours and hard work
• Lower quality of life until the business gets established
• High levels of stress
• Discouragement
Feeding the Entrepreneurial Fire (1 of 3)
• Entrepreneurs as heroes
• Entrepreneurial education
• Demographic factors
• Demographic factors
• Shift to a service economy
• Technology advancements
• Independent lifestyle
• The Internet, cloud computing, and mobile marketing
• Demographic and economic factors
• Shift to a service economy
• Technology advancements
• Independent lifestyle
• The Internet, cloud computing, and mobile marketing
• International opportunities – micromultinationals
The Cultural Diversity of Entrepreneurship
(1 of 4)
• Young entrepreneurs
• Women entrepreneurs
(2 of 4)
• Minority-owned enterprises
(3 of 4)
• Minority-owned enterprises
• Immigrant entrepreneurs
• Part-time entrepreneurs
(4 of 4)
• Home-based businesses
• Family businesses
– Family-owned business
• Copreneurs
• Corporate castoffs
• Encore entrepreneurs
• Retiring baby boomers
Putting Failure into Perspective
• Entrepreneurs are not paralyzed by the prospect of failure.
• Failure: a natural part of the creative process.
• Successful entrepreneurs learn to fail intelligently.
Avoiding the Pitfalls of Small Business
Failure (1 of 2)
• Know your business in-depth
• Build a viable business model – and test it
• Use lean start-up principles
• Know when to pivot
• Develop a solid business plan
• Understand financial statements
Avoiding the Pitfalls of Small Business
Failure (2 of 2)
• Manage financial resources
• Understand financial statements
• Build the right team
• Learn to manage people effectively
• Set your business apart from the competition
• Maintain a positive attitude
Developing Career Skills
• Critical thinking and problem solving
• Written and oral communication
• Teamwork and collaboration
• Leadership
• Creativity
• Ethics and social responsibility
Conclusion
• Entrepreneurs:
– Are an important part of the free enterprise system
– Are a diverse and talented group of people
– Represent a cross-section of society as a whole
– Are able to enhance the profitability of their businesses
through acquiring additional knowledge and experience
What is Ahead?
Chapter 2 Ethics and Social Responsibility
Section 2 The Entrepreneurial Journey Begins
Section 3 Launching the Business
Section 4 Putting the Business Plan to Work
Copyright

CH 1 Foundations of Entreprenuership

Hochgeladen von

Dokumentinformationen

Originaltitel

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

CH 1 Foundations of Entreprenuership

Hochgeladen von

Copyright:

Verfügbare Formate

Section 1:

The Challenge of Entrepreneurship

Das könnte Ihnen auch gefallen