Chapter one evaluating your entrepreneurial potential
Chapter OneThe Foundations ofEntrepreneurshipEntrepreneurs are simply those whounderstand that there is a little differencebetween obstacle and opportunity and areable to turn both to their advantages.-Niccolo MachiavelliEntrepreneurs are the new rock stars.-Cindy Boyd.
Chapter OneThe Foundations ofEntrepreneurshipEntrepreneurship is more than simply “starting abusiness.” The definition of entrepreneurship is aprocess through which individuals identifyopportunities, allocate resources, and createvalue. This creation of value is often through theidentification of unmet needs or through theidentification of opportunities for change .http://www.gregwatson.com/entrepreneurship-definition/
Evaluating your entrepreneurialprofile• Profile of an entrepreneur.http://www.youtube.com/watch?v=ZJ8kflo_muc• Success and failure characteristichttp://www.youtube.com/watch?v=BrOE8AdpV6w
• How to self assess whether you willsucceed.• Objective guidelines and answerguidelines.• Appraising your personal skills.• Creating an expertise worksheet.• Consolidating your scores creating abusiness charter.
Who is an EntrepreneurEntrepreneurOne who creates a new business in the face of risk anduncertainty for the purpose of achieving profit and growthby identifying significant opportunities and assembling thenecessary resources to capitalize on them.
Entrepreneurial Profile1. Desire for responsibility.2. Preference for moderate risk.3. Confidence in their ability to succeed.4. Desire for immediate feedback5. High level of energy6. Future orientation.7. Skill at organizing.8. Value of achievement over money.
Entrepreneurial Characteristics1. High degree of commitment.2. Tolerance for ambiguity3. Flexibility
Type of Entrepreneurs1. Opportunity entrepreneursWho start businesses because they spot an opportunity inthe marketplace.2. Necessity entrepreneursWho start businesses because they cannot find work anyother way.3. Serial entrepreneursWho repeatedly start businesses and grow them to asustainable size before striking out again.
The benefits of Entrepreneurship1.Opportunity to create your own destiny.2. Opportunity to make a difference.3. Opportunity to reach your full potential.4. Opportunity to reap impressive profits.5. Opportunity to contribute to society and be recognizedfor your efforts.6. Opportunity to do what you enjoy and fun at it.
The potential drawbacks ofEntrepreneurship.1. Uncertainty of income.2. Risk of losing your entire investment.3. Long hours and hard work.4. Lower quality of life until the business gets established.5. High levels of stress.6. Complete responsibility.7. Discouragement.
The forces that are driving the growthof Entrepreneurship.1. Entrepreneurs as heroes.2. Entrepreneurial education.3. Demographic and economy factors.4. Shift to a service economy.5. Technological advancements.6. Independent lifestyle.7. E-commerce and World Wide Web.WWW. The vastnetwork that link computers around the globe via theInternet and opens up oceans of information to its usersand is a major business opportunity for entrepreneurs.8. International opportunities.
The Cultural Diversity ofEntrepreneurship.1. Young Entrepreneurs.2. Women Entrepreneurs.3. Minority Enterprises.4. Immigrant Entrepreneurs.5. Part time Entrepreneurs6. Home-based Businesses.7. Family Business8. „Copreneurs‟-are entrepreneurial couples who worktogether as co-owners of their businesses.9. Corporate Castoffs.10. Corporate Dropouts.11. Social Entrepreneurs.12. Retiring baby boomers.
Putting failure into perspectiveEntrepreneurs recognize that failure is natural part of thecreative process. Successful entrepreneurs have theattitude that failures are simply stepping stones along thepath to success, and they refuse to be paralyzed by a fear offailure.
How to avoid the pitfalls1. Know your business in depth.2. Develop a solid business plan.3. Manage financial resources.4. Understand financial statements.5. Learn to manage people effectively.6. Set your business apart from the competition.7. Maintain a positive attitude „can do attitude‟