The document discusses the concept of entrepreneurship and entrepreneurs. It defines an entrepreneur and provides types of entrepreneurs categorized by business type, technology use, ownership, gender and business size. The key characteristics of entrepreneurs include risk-taking, innovation and mobilizing resources to seize business opportunities. The document also examines theories of motivation including Maslow's hierarchy of needs and McClelland's achievement motivation theory as they relate to entrepreneurial behavior and success.

1. ENTREPRENEUR

2. ENTREPRENEUR
 The term “entrepreneur” is derived from the
French word entreprendre which means, “to
undertake”.

3. Definition
 “Entrepreneurs are those people who have the
ability to see and evaluate business opportunities,
together with the necessary resources to take
advantage of them and to initiate appropriate
action to ensure success”.

4. Characteristics of an
entrepreneur

5. Difference between wage
employment and self employment

7. intraprenuer
 Intrapreneur is a entrepreneur within an already
established organization

9. Types of entrepreneurs
 Based on the type of business
 Based on the use of technology
 Based on ownership
 Based on gender
 Based on the size of enterprise

10. Types of entrepreneurs
 Based on the type of business
 Trading entrepreneur
 Manufacturing entrepreneur
 Agricultural entrepreneur

11. Based on the use
of technology
Based on the use
of technology
Technical
entrepreneur
Non-technical
entrepreneur

12. Based on ownership
 Private entrepreneur
 State entrepreneur
 Joint entrepreneur

13. Based on gender
 Men entrepreneur
 Women entrepreneur

14. Based on the size of enterprise
 Small-scale entrepreneur( Rs. 1crore)
 Medium-scale entrepreneur(Rs. 1-5crore)
 Large- scale entrepreneur(more than Rs.5crore)

15. Entrepreneurial Functions
1. Managerial Functions
2. Promotional functions
3. Commercial functions

16. Managerial functions

17. Promotional functions
 Identification and selection of business idea
 Preparation of business plan or project report
 Requirement for finance

18. Commercial functions
Commercial
functions
Accounting
Marketing
Production/
Manufacturing

19. Importance of entrepreneurs
 Develop new markets
 Discover new sources of material
 Mobilize capital resources
 Introduce new technologies
 Create employment
 Increase in national income
 Balanced regional development
 Bringing change in structure of business and
society.

20. Importance of entrepreneurs
 Knowledge and social need filling
 Dispersal of economic power
 Better standard of living
 Creating innovation
 Production evolution process
 Enhancing welfare amenities

21. Entrepreneurship
 Entrepreneurship is the act of being entrepreneur.
 Entrepreneurship= entrepreneur+ enterprise
 (Process)= (Person) +(Object)
 “Entrepreneurship is based on purpose and
systematic innovation. It included not only the
independent businessman but also company
directors and managers who actually carry out
innovative functions”.

22. Importance of
Entrepreneurship
 Provides employment to huge mass of people.
 Contributed towards research and development
system.
 Creates wealth for nation and for individuals as
well.
 Challenging opportunity for the people.
 Entrepreneurship provides self sufficiency.
 Fosters economic growth.
 Increase productivity.
 Creates new products, services and technology.

23. Characteristics of
entrepreneurship
 Economic activity
 Decision making
 Risk taking
 Dynamic process
 Skilful management
•Purposeful activity
•Accepting challenges
•Building organization
•Innovation
•Mobilization of
resources

24. Role of entrepreneurship in
economic development
 Balanced regional development.
 Increase in national income
 Bringing change in structure of business and
society
 New products, new services,& new business

25. Role of entrepreneurship in
economic development
 Knowledge and social need filling
 Dispersal of economic power
 Better standard of living
 Creating innovation
 Production evolution process.
 Enhancing welfare amenities.

26. Factors influencing
entrepreneurship
Factors
influencing
entrepreneurship
Cultural
environment
Political
environment
Economic factors
Availability of
resources
Personal
characteristi
cs

27. Stages in entrepreneurial
process

28. Aspects of entrepreneurial
process

29. Barriers to entrepreneurship
Barriers to
entrepreneurship
Economic Non- Economic
Capital
Labour
Raw material
Credit access
Excessive licensing
Taxation policy
Poor banking system
Personal barrieSocial barriers
Practical values
Emotional block
Cultural barriers
Tradition binding
Lack of motivation
Difficulty & ambiguity
Impatience
Inability to dream

30. Entrepreneurship as career
 Entrepreneurs start new businesses and take on
the risk and rewards of being an owner.

31. Aspects of entrepreneurship as
a career

32. Aspects of entrepreneurship as
a career
 High need of independence
 To satisfy the dream
 Income generation
 Self employment
 Creative activity
 Opportunity to deal with all the aspects of a
business
 Achievement orientation
 Implementation of ideas
 Govt economic policies

33. Negative aspects of
entrepreneurship

34. Developing Entrepreneurial skills
 The approach of developing entrepreneurial skills is
more complete and systematic as it concentrates
on the development of entrepreneurs themselves.

35. Types of entrepreneurial skills
 Administrative skills
 Leadership skills
 Conflict and consensus management skills
 Interpersonal skills
 Communication skills
 Problem solving skills
 Technical skills
 Marketing skills
 Selling skills
 Decision making
 Financial skills

36. Process of developing
entrepreneurial skills

37. Programs for Developing
Entrepreneurial Skills
 Entrepreneurship Development Programes(EDPs)
 Entrepreneurial Skill Development
Programme(ESDP)
 Business Skill Development Programe(BSDP)
 Management Development Programe(MDPs)
 Industrial Motivation Campaign(IMCs)
 Vocational and Educational Training

38. Institutional support to small
entrepreneurs
 National Small Industries Corporation
Ltd(NSIC)Est.1955.
 Small Industries Development Organization(SIDO)
 Small Scale Industries Board(SSIB)
 State Small Industries Development
Corporations(SSID)
 Small Industries Service Institutes(SISIs)
 District Industries Centers(DICs)

39. Entrepreneurial Motivation
 The word motivation originally comes from the
Latin word “movere”, which means “to move”.
 Definition; Motivation is a process that starts with
physiological or psychological need that activates
behavior or a drive that is aimed at a goal or
incentive.

40. Nature of Motivation
 Motivation is internal to man
 A single motive can cause different behaviors
 Different motives may result in single behavior
 Motives come and go
 Motives interact with the environment

41. Motivational cycle/Process

42. Entrepreneurial motivating
factors
 Internal factors
 External factors

43. Internal factors
 Desire to do something new
 Become independent
 Achieve what one wants to have in life
 Be recognized for one’s contribution
 One’s educational background
 One’s occupational background and experience in
the relevant field.

44. External Factors
 Government assistance and support
 Availability of labor and raw materials
 Encouragement from big business houses
 Promising demand for the product
 Other factors,
 Ambitious factor
 Compelling factors
 Facilitating factors

45. Maslow’s Need Hierarchy Theory

46. Maslow suggest the following
points:
 There are five levels of needs.
 All these needs are arranged in a hierarchy.
 A satisfies need is no longer a need.
 Once one level of need is satisfied, the next level of
need will emerge.
 The physiological and security needs are finite but
the needs higher order are infinite.
 Levels are interdependent.

47. Criticism
 Not a theory of work motivation.
 No existence of hierarchy of needs.
 Hierarchy of needs differ across countries.

48. McClelland’s Need for
Achievement Theory
 Theory developed by David C. McClelland and his
associates.
 McClelland’s need theory is closely associates with
learning theory, because he believed that needs
are learned or acquired by the kinds of
events people experience in their
environment and culture.
 Focused on 3 needs:
1. “n Ach”
2. “n Pow”
3. “n Aff”

49. McClelland’s Need for
Achievement Theory

50. McClelland’s Need for
Achievement Theory
 Need for Achievement(“n Ach”):
 “n Ach” is a behavior directed towards competition
with a standard of excellence.
 6 characteristics of high need achievers:
 Strong desire to assume personal responsibilities for
performing a task or finding solution to a problem.
 Set moderately difficult goals and take calculated risks.
 Strong desire for performance feedback.
 Attaining personal accomplishment.
 Challenging risks.
 Not buck passers.

51. McClelland’s Need for
Achievement Theory
 Need for Power (“n Pow”):
 Making an impact on others.
 Characters:
 A desire to influence and direct somebody else.
 A desire to exercise control over others.
 A concern for maintaining leaders-followers
relationship.

52. McClelland’s Need for
Achievement Theory
 Need for affiliation(“n Aff”):
 A desire to establish and maintain friendly and
warm relations with other people.
 Characters:
 A strong desire for acceptance and approval from others.
 They tend to confirm to the wishes of those people
whose friendship and companionship they value.
 They value the feelings of others.

53. ACHIEVEMENT MOTIVATION
 McClelland tried to induce achievement
motivation.
 he conducted an experiment among the group of
businessman in America, Mexico and Mumbai.
 He carried out a separate full – fledged training
program in the Kakinada city of Andhra Pradesh.
This training program is popularly known as
Kakinada experiment.

54. Kakinada Experiment(Achievement
Motivation)
 The main objective of this experiment was to break
the barrier of limited aspiration by inducing
achievement motivation.
 A total of fifty two persons were selected from
business and industrial community of the town.

55. Kakinada Experiment
 participants were grouped into three batches.
They were put under training for three months.
The achievement development course contained
four main items.
 The individuals strived to attain concrete and frequent
feed back.
 The participants watched those who have performed well
and tried to emulate.
 The participants thought of success and accordingly set
plans and goals.
 The participants are asked to talk and think to
themselves in a positive manner.

56. Result
 After the training program the behaviour of the
participants was observed after a period of two
years. The observations were encouraging.
 It was analyzed that there was a greater different
between those who participated and those who
have not.

57. Thematic Appreciation Test
 In the Thematic Appreciation Test frustration
cartoons are shown to the respondent.
 The respondent is asked to interpret the situation
with regards to a particular product, company or
other business phenomenon

58. Kakinada Experiment
 Conclusion: McClelland reached to this
conclusion that the training programme
positively influenced the entrepreneurial
behavior of participants

59. Features of Achievement
Motivation
 It is lateral personal disposition to strive for
particular goal.
 It’s person’s deep and driving desire to do
something important to attain the feelings of
personal accomplishment.
 It is personal disposition to achieve something
difficult and bigger.

60. Characteristics of Entrepreneurs
with Achievement Motivation
 They like to undertake risks for personal accomplishment.
 They have high level of perseverance to attain their goal.
 They show courage and fortitude to keep on moving
towards their goal instead of adversities.
 Entrepreneurs with high level of achievement motivation
tend to be more creative and innovative.
 They tend to be more future oriented.
 Such entrepreneurs are more adaptive and mobile.
 They always have desire for more and more.

61. Significance
 It is essential for leading industrial and
economic development.
 Major sources of the entrepreneurial supply.
 This is a psycholoical construct that keeps
entrepreneurs activated towards their goals.
 Being inner drive, it is significant for the
people for all walk of life be entrepreneurs,
managers, leaders etc.
 It helps for organizational development, in
turn national development

62. How to Develop Achievement
Motivation
 Know your self stage.
 Knowing the destination stage.
 Empowering stage.