The document provides information about entrepreneurship and the entrepreneurial journey of E. Sarathbabu, founder and CEO of Foodking. It discusses the challenges he faced in his childhood and college days, and his thought process behind starting a new venture in the food sector. It summarizes Foodking's current operations with 180 employees across outlets, and its strategy for cost leadership and franchise expansion to 10 major cities in India within 5 years. The document also defines entrepreneurship and small business ownership and discusses the personality traits and opportunities that make an entrepreneur.

1. Days of My Years
Contributed by
E. Sarathbabu
Founder & CEO, Foodking
Presented on 23rd Feb 2008 at
Bharathiar School of Management &
Entrepreneur Development (BSMED),
Coimbatore
A NEN Member Institute

2. PART -- I

3. Entrepreneurship – a Mission
with burning desire

4. Entrepreneurship- Rational Fears
• I want safety, I’m risk averse
– Uncertainty about next paycheck
– What safety does corporate life provide?
– What are the essential traits needed in the personality?
• How do I get the magic idea
– When do I stop theorizing and get on with the implementation
• What will my parents say, how do I go against what people generally
do
– If many are doing it, then surely it is more difficult to get profits,
and go to the top.
• Can I develop the heart for entrepreneurship, how long should I try,
what are the exit options
– How do I jump of the cliff

5. Definitions (Carland et.al, 1984)
Entrepreneur Small Business owner
•Establishes and manages a •Establishes and manages a
business for principal business for principal
purpose of profit and growth purpose of furthering
personal goals
•Characterized by innovative •Business primary source of
behaviour income and consumes
majority of one’s time and
resources
•Will employ strategic
•
management practices in the Business perceived as
business extension of personality,
family needs, desires

6. Definitions (Carland et.al, 1984) Contd.,
Entrepreneurial venture Small business venture
•Engages in behavior that is •Independently owned and
aimed at profitability and operated
growth. •Not dominant in its field.
•Business characterized by •Doesn’t engage in any new
innovative strategic practices marketing or innovative
practices.

7. What makes an entrepreneur
The factors can be classified as
• Personality factors
– Motivation and emotion– gives the drive and purpose and
self confidence (whybrow 1999)
– High need for achievement( Roberts 1991)
– Competitiveness – main motivator
– Need for independence
• Behavioral characteristics( kuratko and hodgetts
1998)– perseverance, determination, take calculated risks,
creativity, honesty and integrity, initiative, taking responsibility

8. What makes an entrepreneur Contd.,
• Environmental factors( Roberts 1991)
– Family background – fathers career, inheritance
– Education – not important, start at early age
– Work experience– important
• Action factors– what entrepreneurs do
– Are creative and innovative
– Spot and exploit opportunities
– Find resources to exploit opportunities
– Manage risk, create capital
– are good net workers, determined

9. Types of Opportunities
• Creation of new products
• Discovery of new geographical markets
• Creation or discovery of new raw materials
• New methods of production
• New ways of organizing

10. Entering New Businesses
• Strategic Questions
– Which product market to enter
– How to avoid failure and maximize gain
• Selection Framework
– Newness of Technology
– Familiarity of Technology
– Newness of Market
– Familiarity of Market

11. Categorization: Dimensions Individuals
Need for achievement
Locus of control
Risk taking propensity
Environment Job Satisfaction Organization
Venture capital availability Previous work experience Overall cost leadership
Presence of experienced entrepreneurs Entrepreneurial parents Differentiation
Technically skilled workforce Age Focus
Accessibility of suppliers Education The new product or service
Accessibility of customers or markets Parallel competition
Govt influences Franchise entry
Proximity of universities Geographical transfer
Availability of land or facilities Supply shortage
Accesibility of transportation Tapping unutilized resources
Attitude of the area population Customer contract
Availability of supporting services Becoming a second source
Living conditions Joint ventures
Occupational & industrial differentiation Licensing
More recent immigrants in population Market relinquishment
Large industrial base Sell off of division
Availability of financial resources Favored purchasing by govt.
Barriers to entry Governmental rule changes
Existing competitors
Substitute
Bargaining power buyers/suppliers
L

12. Types of Plan
• Benefits of Planning
– Introspection, External factors, Goals & Objectives
Working Plan Investment Plan
Strategic, Functional, Gain access for financing
Tactical
• Both plans are equally important and one is not a
substitute for the other
– To accomplish objectives of investment plan, and hence obtain
funding working plan has to be in function
– Without funding, the working plan cannot be implemented

13. Creating entrepreneurs in India
• Efforts to foster entrepreneurship
• Government efforts—post independence
• Support for small businesses
• Institutions involved-
– NIESBUD– training, dissemination of information—
videos, manuals
– PHD chamber of commerce and industry (1905)—
develop entrepreneurial spirit and initiative---- promote
small business
– EDII—(1983) –training and skill development programs

14. References
• Social Entrepreneurs and Catalytic Change -- Sandra A.
Waddock, James E. Post
• Creating entrepreneurs in India -- Leo Paul Dana, Journal of
small business management—2000
• Opportunities and Entrepreneurship -- Jonathan T Eckhardt
& Scott A Shane, Journal of Management, 2003, Vol 29, Iss. 3;p.333
• Entering New Businesses: Selecting Strategies for
Success -- EB Roberts & CA Berry, Sloan Management Review
1985)

15. PART -- II

16. Challenges faced
• During Childhood
– Malnutrition
– Poverty- Education
• During College days
– Thought to be an alien
– Communication
– Lack of Family support

17. Overcoming Challenges
• Exploring within
• Help from Societies
• Few entrepreneurial activities

18. Thought Process behind starting a
New Venture
• Passion to create something on own
• Unemployment problems

19. PART -- III

20. Why Food Sector?
• Food Sector in India is mostly unorganized
• Potential to generate large number of
employment opportunities
• Food sector in India is largely untapped

21. Foodking… Current Scenario
March 26th, 2006 – Incorporated “Foodking
Catering Services Private Limited”
April 1st, 2006 – “Foodking” was inaugurated by
Shri Narayana Murthy, Chairman
Infosys Technologies Limited
May 10th, 2006 – Ist Operation started
June 30th, 2006 – 1st outlet at IIM Ahmedabad was
inaugurated by Shri Bakul H.
Dholakia

22. Foodking… Current Scenario Contd.,
•Currently 180 persons are working for
the company

23. Strategy
• Overall Cost Leadership Strategy
• Cities will be formed as clusters of
businesses
• Expanding through franchise route for
Snack outlets

24. Future goals
• Establish an Indian brand for fast food
chain
• To be operational in at least major 10
cities in India in 5 years

25. Thank You!!