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Different Mindsets EntrepreneurJust do it Face the failure 24/7 online Passionate Long term Multi-disciplines Capital growth No regret Achievement > $ Employee Don’t make mistakes Avoid risks Stop and rest Hide away Daily worker Specialized Stable salary Only for money
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Employee or Entrepreneur?Most people wish to start their business but finding many excuses not to start: No money Family burden No personal network Not smart enough No time No supporting partners Too risky Too old
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Rich Dad said:Creating a business is like jumping out of a plane with no parachute how fast one can construct a parachute under free falling Most got hit on the ground seriously Rebound is difficult but not impossible
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Cashflow Quadrant BeingEmployed It’s a job the Cashflow Quadrant is the trade mark of Robert T. Kiyosaki as extracted from the book, Rich Dad’s Guide to Financial Freedom E B S I Self employed It’s your own job Start your business Someone work for your Invest your money Money works for you TM Safety Freedom
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Can you bean entrepreneur? Two sets of basic skills 1. Are you willing to start and take the risks? Entrepreneurship, French word “to undertake” ; “to do things with your own hands” A startup must have a lot of risks. It’s not for someone who want safe and stable payroll 2. Can you sell? No resources but your idea and presentation devices Be able to organize your idea, then sell it to your family, friends and anyone else Created by Kevin Au of the CUHK Center for Entrepreneurship
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What is Entrepreneurship?To pursue opportunity without regard to resources currently in hand opportunity a market, preferably large and fast growing resources currently in hand entrepreneurs find resources as they pursue the opportunity vs. managers look at the amount of resources at hand and decide what opportunity to pursue Created by Kevin Au of the CUHK Center for Entrepreneurship
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In-born Entrepreneur Adesire to achieve Hard work Nurturing quality Acceptance of responsibility Reward orientation Optimism Orientation to excellence Organization Profit orientation extracted from Business Horizons, Sep-Oct 1986 edition, by John G. Burch
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Acquired Entrepreneur Timingextracted from Business Horizons, Sep-Oct 1986 edition, by John G. Burch Opportunities People Information Access to capital Competition
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Life style Entrepreneurs1 to 2 times of growth in 10 years The entrepreneur spotted a “pain point”, an under-served market, and developed an independent business based on personal skills and knowledge The entrepreneur runs the firm in a way that suits his life style and interest, earns good money, and shows little interest to grow the firm Created by Kevin Au of the CUHK Center for Entrepreneurship
Foundation Entrepreneurs ThomasNeir, Founder of Pacific Coffee He was transferred to HK as a regional financial manager. Coffee at that time was from fast-food shops and instant coffee package. People had a hard time finding quality coffee. He opened his first store at the Bank of America Tower, Central, in 1993 Tom is not a life style entrepreneur because he opened 3 more shops in 1994, and grew Pacific Coffee to be sold at $200M+ in 2005 Created by Kevin Au of the CUHK Center for Entrepreneurship
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5 times in5 years; 10-30 times in 10 years (see diagram) The founder are able to scale up their business to reap a much larger benefit This kind of entrepreneurship contributes more to the society in creating jobs and other economic impact All college graduates should go beyond life style entrepreneurship Foundation Entrepreneurs Created by Kevin Au of the CUHK Center for Entrepreneurship
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Hi-growth Entrepreneurs 10times in 5 years; 100-300 times in 10 years The founder usually opens up a new market or industry YouTube, Yahoo!, Blackberry, Tencent (QQ) Many people ask how they can predict the future. They ask the wrong question because The only way to predict the future is to create one yourself! Created by Kevin Au of the CUHK Center for Entrepreneurship
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Entrepreneurs from OccupationAthlete 李寧 李寧有限公司 (Li Ning Co. Ltd.) lining.com Doctor 曹貴子 康健醫務中心 (Town Health Centre) townhealth.com Sports Medical