B.Com II year

1. Manjula Rajput
Assistant Professor
Shri Shankaracharya Mahavidyalaya Junwani
Bhilai

3. 
 An entrepreneur is an individual who creates a new business,
bearing most of the risks and enjoying most of the rewards. The
entrepreneur is commonly seen as an innovator, a source of new
ideas, goods, services, and business/or procedures.
 Entrepreneurs play a key role in any economy, using the skills
and initiative necessary to anticipate needs and bring good new
ideas to market. Entrepreneurs who prove to be successful in
taking on the risks of a startup are rewarded with profits, fame,
and continued growth opportunities. Those who fail, suffer
losses and become less prevalent in the markets.
Who Is an Entrepreneur?

4. 
 “Entrepreneur is a person who pays a certain price
for a product to resell it at an uncertain price then by
making decision about obtaining and usual
resources.”--- Richard Cantillon
 “Entrepreneur is a specialized group of persons who
bears risk and deals with uncertainty.”– F.H.Knight
Definition

5. Key Words
• A person who undertakes the risk of starting a new
business venture is called and entrepreneur.
• An entrepreneur creates a firm, which aggregates
capital and labor in order to produce goods or
services for profit.
• Entrepreneurship is an important driver of
economic growth and innovation.
• Entrepreneurship is high-risk, but also can be high-
reward as it serves to generate economic wealth,
growth, and innovation.

6. 
 Leadership
 Risk taking
 Decision making
 Business planning
 Innovativeness
 Talking initiative
 Goal oriented
 High achiever
 Motivator
 Self confidence
 Human relation ability
 Long term involvement
 Problem solver
Characteristics of an
Entrepreneur

7. 
 Innovating or Discovering business opportunity
 Detailed investigation
 Assembly
 Establishing an enterprise
 Managing enterprise
 Risk taking
 Growth and development
Functions of an
Entrepreneur

8. 
 Establishment of viable Units
 Increase in Employment opportunities
 Optimum Utilisation of Resources
 Minimize Socio-economic problems
 Establishing self sufficient society
 Tool of Social Changes
 Promotes Capital Formation
 Execution of Government policies
 Promote Innovations
Impertinence /Need of
Entrepreneurship

10. 
 Entrepreneurship is the act of creating a business or businesses
while building and scaling it to generate a profit.
 But as a basic entrepreneurship definition, that one is a bit
limiting. The more modern entrepreneurship definition is also
about transforming the world by solving big problems. Like
bringing about social change or creating an innovative product
that challenges the status quo of how we live our lives on a
daily basis.
 What the entrepreneurship definition doesn’t tell you is that
entrepreneurship is what people do to take their career and
dreams into their hands and lead it in the direction they want.
What is Entrepreneurship?

11. 
 The meaning of entrepreneurship involves an
entrepreneur who takes action to make a change in
the world. Whether startup entrepreneurs solve a
problem that many struggle with each day, bring
people together in a way no one has before, or build
something revolutionary that advances society, they
all have one thing in common: action.
 It’s not some idea that’s stuck in your head.
Entrepreneurs take the idea and execute it.
Entrepreneurship is about execution of ideas.

12. 
 Entrepreneurs create jobs
 Entrepreneurs innovate
 Entrepreneurs create change
 Entrepreneurs give to society(Tax)
 Entrepreneurs add to national income
Why is entrepreneurship so
important?

13. 
 Ancient India was known across the world for its
affluence and wealth. Traders from all over the world
travelled to India to take part in this affluence. Be it the
Mughals, the Portuguese, the Turks or the British – all of
them ventured into Indian boundaries for various
financial reasons. While over a long period of time, the
entrepreneurial drive among Indians was notably absent,
modern India has risen up to the task again. Even those
who have little or no entrepreneurial experience are
choosing to take part in an entrepreneurship management
course to gain theoretical knowledge as well as practical
experience before starting their entrepreneurial journey.
The Emergence of Entrepreneurial
Class

14. 
 It is notable how Indian entrepreneurship is seeing a
rise these days. The country stands third in the list of
countries with the fastest-growing list of start-ups.
The first two countries are the USA and the UK. The
digitization of India has led to an ever-increasing
interest in the online market. Both urban and rural
India are seeing a boom in the way internet-based
apps and products are interacting with the people.

15. 
 Caste
 Family Background
 Occupational Background
 Religious Background
 Education & Technical Knowledge
 Migratory character
 Individual Factor
 Form of ownership
Development of
Entrepreneurial Class

16. 
 Raising Funds for the Business: The challenge for any
start-up lies in raising funds for the business. To do so,
they need to have a dependable business plan and a
strategy on how they want to enter the market. Start-ups
get funds from venture capitalists once they have
convinced them about the venture’s potential for success.
 Knowledge on How to Run a Business: As simple as it
may seem, any venture needs to have a good plan, to
begin with. Various business schools have started
entrepreneurship courses to answer the requirements of
interested students who seek to become an entrepreneur.
Challenges for Indian
Entrepreneurs

17. 
 Keeping Up with Technology: this point is important for
start-ups in the technology sector. It is important for them
to keep track of the latest technology and stay ahead of
the curve. These days, technological innovations are
happening every day leading to technology getting
obsolete quickly. They need to keep on improving their
products and give new and innovative products to their
customers.
 Quality of Human Resources: Any business’ success is
dependent on the people who work for it. It is critical to
have the right mix of people. These people should be
trained for their job profiles.

18. 
 Encouraging schemes by the government
authorities
 The Rise of Technology
 Female Entrepreneurs
Factors Leading to Increase in
Entrepreneurship

19. 
 Economic development of a country is a complex
phenomenon dependent upon socio-economic
environment. Role of socio economic environment
can be studied by analyzing the following factors:
 Social Factor
 Economic Factor
Role of Socio Economic
Environment

20. 
Social Factors
 Cast & Community
 Family Background
 Educational
Background
 Occupational
background
 Motivation
 Managerial ability
Economic Factors
 Capital
 Labour
 Raw material
 Market
 Stage of the economy
 Investment
opportunities

21. Theories of Entrepreneurship

22. 
 Economic theory
 Sociological Theory
 Theory of Cultural Values
 Psychological theory
 Innovative / Dynamic Theory
 Harvard school theory
Theories of
Entrepreneurship

23. 
 Economic theories of entrepreneurship The economic theory is
among the main economic theories of entrepreneurship. This
theory asserts that the economy and entrepreneurship are
closely linked together. Entrepreneurship and economic growth
can only work when the economic conditions are favorable. As
such, it is usually hard for entrepreneurs to realize growth
when the economy is doing poorly. This theory further states
that entrepreneurs find motivation in the presence of economic
incentives which include industrial policy, policies of taxation,
financial and resource sources, availability of infrastructure,
investment opportunities, marketing opportunities, availability
of information regarding the conditions of the market and
technology among others . An entrepreneur is therefore a risk
taker because he can never fully predict about the favorability
of the economic conditions in future.
Economic theories

24. 
 Sociological theories of entrepreneurship This is also
among the contemporary theories of
entrepreneurship. It argues that the success of an
entrepreneur is affected by their social culture. They
are more likely to achieve growth in particular social
settings. Among the social aspects that affect an
entrepreneur include the social values, customs,
taboos, religious beliefs and other cultural activities.
He or she has to conform to the social expectations
when carrying out their business.
Sociological theories

25. 
 This is also the top theories of entrepreneurship in Kenya. An entrepreneur
does not merely conduct business to better their lives alone. Rather,
through their activities, they are able to cause development in the economy
and the society at large. The inventor of this theory, Joseph Schumpeter,
argued that an entrepreneur grows by being creative and having a
foresight. One of the creative things that an entrepreneur does is introduce
a new product. A new product often comes to solve a certain problem in
the society or make it more convenient. Another innovative aspect is that
in a bid to achieve growth and have more profits, an entrepreneur
introduces a new production method. Notably, enhanced production
methods lead to a reduction in the cost of production and an increase in the
goods manufactured. Innovation also comes in when an entrepreneur
opens a new market. This is often done after the identification of a growth
opportunity or a void in the economy. The discovery of new sources of raw
materials and establishment of organization are also aspects of
entrepreneurs being innovators. These activities of an entrepreneur lead to
the creation of jobs and accessibility of commodities, thus improving the
economy.
Entrepreneurship
Innovation theory

26. 
 According to this theory, an entrepreneur
experiences growth when the society has several
individuals with the necessary psychological
characteristics. These characteristics include having a
vision, being able to face opposition and having the
need to achieve highly. A person can only possess
these traits during their upbringing, when they excel,
when they are self-reliant and when there is low
father dominance.

27. 
 Theory of high achievement/Theory of achievement motivation
Not all people are interested in being entrepreneurs. But David
McClelland argued that people who aim to become
entrepreneurs must have a need for achievement, a need for
affiliation and a need for power. These act as the basis upon
which an entrepreneurial personality is established.
Achievement motivation has a lot of significance in
entrepreneurship because it is the one that leads to economic
and social development. Entrepreneurs always want to achieve
success in their endeavors. The need for power comes from the
urge to gain dominance in a certain field and thus cause
influence among other people. The need for affiliation comes
from the urge to motive of maintain friendships with other
people.
Theory of high
achievement/Theory of
achievement motivation

28. 
 Fundamental of entrepreneurship Book : SBPD Dr.
O.P.Gupta
 www.google
 Fundamental of entrepreneurship Book Sahitya
bhawn publication.
 https://www.tuko.co.ke/283663-theories-
entrepreneurship.html
References