This document provides an overview of entrepreneurial behavior. It defines entrepreneurial behavior as understanding, predicting, and influencing individual behavior in entrepreneurial settings. It discusses characteristics of entrepreneurial behavior such as representing a behavioral approach to management. It also outlines different approaches to studying entrepreneurial behavior, including the human resources, contingency, and productivity approaches. Several models of entrepreneurial behavior are described, such as the autocratic, custodial, and supportive models. Finally, the document discusses the role and importance of studying entrepreneurial behavior, such as understanding and predicting human behavior, controlling behavior, and improving motivation.

1. NAME –KM ARCHANA YADAV
CLASS-M.COM III SEM
ID NO -50510
TOPIC-ENTREPRENEURIAL BEHAVIOUR
TABLE OF CONTENTS
 Introduction
 Definition
 Characteristics of entrepreneurial
 Approaches of the study of entrepreneurial behavior
 Model of entrepreneurial behavior
 Role and importance of entrepreneurial
INTRODUCTION
Human behaviour in an enterprise is
generally concerned with the
thoughts, felling ,emotions and
action of the people working in it . It
is rightly said that the success of any
enterprise primarily depends upon
the efficiency of entrepreneurs
depends primarily upon its human
skills and how well he understands

2. the needs and desire of the people
working in the enterprise.
DEFINITION
“ Entrepreneurial behaviour is a
subset of entrepreneurial activities
concerned with understanding
,predicting and influencing individual
behaviour in entrepreneurial
settings”
-Callahan
CHARACTERISTICS OF
ENTREPRENEURIAL
1. BEHAVIOURAL APPROACH TO
MANAGEMENT: Represents the
behavioural approach of
management .it emerged as a
distinct field of study because of
the importance if human
behavior in enterprise.

3. 2. CAUSE AND EFFECT
RELATIONSHIP:- Human
behavior is generally taken in
term of cause and effect
relationship. Provides
generalization that entrepreneurs
can use to anticipate the effect of
certain activities on human
behavior.
3. A BRANCH OF SOCIAL
SCIENCES:- is greatly by other
social sciences viz.,psychology ,
sociology and anthropology.
4. THREE LEVELS OF
ANALYSIS:Entrepreneurial
behavior is the study of three
levels of analysis i.e.individual
behavior ,inter individual
behaviour of organistions.
5. A SCIENCE AS WELL AS AN
ART: Systematic knowledge about

4. human behaviour is a science and
the application of behavioural
knowledge and skills is an art.
6. A BODY OF THEORY
,RESEARCH AND APPLICATION: -
Helps in understanding the
human behaviour in organization.
7. BENEFICIAL TO BOTH
ENTERPRISE AND INDIVIDUALS:-
Reasonable climate is created so
that employees may get much
needed satisfaction and the
entrepreneur may attain its
objectives.
8. RATIONAL THINKING:
Entrepreneurial behaviour
provides a rational thinking
about people and their behaviour.
The major aim of entrepreneurial
behaviour is to explain and

5. predict human behaviour in
enterprise.
9. HUMAN PART OF
ENTERPRISE: Focuses on people
,their desires and needs.it is the
systematic study of the action
and attitudes of people working
in enterprise.
10. CHANGE PART OF
ENTERPRISE:-need for change in
human behaviour with change in
technology and other fields of
environment.
APPROACHES TO THE STUDY
1. HUMAN RESOURCES
APPROACH:-Entrepreneurs
should provide active support to
workers by threating them part
and parcel of the unit.
Entrepreneurs should provide

6. opportunities and encouragement
to workers to work under loose
supervision.
2. CONTINGENCY APPROACH:
There is no single way to handle
the human resources under all
conditions. The behaviours or
methods successful in one
situation may fail in other
situation.
3. PRODUCTIVITY APPROACH:-
Means the numerical value of the
ratio of output to input ,higher
the value of this ratio, greater is
the efficiency and effectiveness
of the entrepreneur.
4. SYSTEM APPROACH:- An
enterprise is a powerful system
with several subsystems which
are highly and closely
interconnected. Any action taken

7. to solve the problem in one
subsystem will have its effect on
the other subsystems also.
MODEL OF ENTREPRENEURIAL
BEHAVIOUR:
1. AUTOCRATIC MODEL : “ The
probability that one actor, within a
social realationship ,will be in a
position to carry out his own will
despite resistance.”
ESSENTIAL FEATURE OF THIS
MODEL ARE AS FOLLOWS:
 Enterprise with an autocratic
environment is authority
oriented.
 Employees ‘ orientation is
obedience to the boss, they need
not be respectful to him.
 Has been successful in some
situations where the workers are

8. actually lazy and have a tendency
to shirk work.
 Leadership in an autocratic
model is negative.
2. CUSTODIAL MODEL:- Overcomes
the shortcomings of the Autocratic
model. The insecurity of the
autocratic model. The insecurity
and frustration felt by the workers
under the autocratic model
sometimes led to aggression
frustration. This will improve the
employer-employee relations.
SOME OF THE IMPORTANT
FEATURES:
 Success depends upon the
economic resources because
this emphasize the economic
reward & benefits.

9.  Employees are satisfiled &
happy but aren’t strongly
motivated
 Main benefit is to bring
security & satisfaction to the
employees.
 Employees depends upon unit
rather than their boss.
3. SUPPORTIVE MODEL: - Has
supportive relationships.
MAIN FEATURES:
 Depends on leadership instead of
power or money.
 Leader assumes that the workers
will take responsibility , make
contribution and improve
themselves.

10.  Should be the duty of the
entrepreneur to support the
employees ‘ job performance.
 Take care of the psychological
needs of the employees in
addition to their subsistence and
security needs.
5.COLLEGIAL MODEL:-The
dictionary meaning of collegial is
a body of persons having a
common purpose.
THE MAIN FEATURES OF THIS
MODEL ARE AS FOLLOWS:
 Creates a favorable climate in
the unit as the workers feel
they are the partner in the
enterprise.
 Inculcates the team spirit in
an unit.

11.  The workers have job
satisfaction , job involvement,
job commitment.
5. OTHER METHODS:
 NORMATIVE MODELS: - Seek
to find out that what should be
done to produce optimum
result.
 EMPIRICAL MODELS –
Describe the activities that the
employees actually perform.
 ECOLOGICAL MODELS- Deals
with the changes w/c take
place in the environment.
-understand the complexities
of enviromet.
 NON-ECOLOGICAL MODELS-
assume stabilitiy in the
environment ( everything will
remain the same)

12.  IDEOLOGICAL MODELS-
developed to deal w/ specific
cases or unique situations.
 NOMOTETHIC MODELS- deals
w/general situations.
Concerned w/theory building
on the macro level basis.
ROLE AND IMPORTANCE OF
ENTREPRENERIAL
1.UNDERSTANDING HUMAN
BEHAVIOUR : - Develop full
knowledge about the behavior of
the employees.
2. PREDICTING HUMAN
BEHAVIOUR :- Predicting the
future of the employees ‘
behavior (allow them to take
preventive actions).
3. CONTROL AND DIRECT
BEHAVIOUR:-Assists

13. entrepreneur to direct and
control the human behavior
to take preventive actions).
4. ENTREPRENEURIAL
EFEECTIVENSS :- Helps in
better use of raw mat’ l and
other resources to improve
the quality of work.
5. MOTIVATION-to identity
the needs and requirement of
the employees.
6. BETTER HUMAN
EFFECTIVENESS: -
maintaining cordial human
relations in the enterprise.
(To find out casuses of
industrial conflicts).