ENTREPRENEURSHIP DEVELOPMENT

End Next
 SYLLABUS
MODULE 1-INTRODUCTION TO ENTREPRENEURSHIP
1.1 Entrepreneur and Entrepreneurship
1.2 Characteristics of Entrepreneurs
1.3 Types of Entrepreneurs
1.4 Role of Entrepreneur in Economic Development
1.5 Factors Affecting Entrepreneurial Growth in India
MODULE 2- ENTREPRENEURIAL PROCESS
2.1 Steps in Entrepreneurial Process – Deciding, Developing, Moving, Managing, Recognizing
2.2 Identification of Business Opportunities for Small Business -Project Ideas, Screening of Project Ideas; Environment
Scanning and Opportunity Analysis; Technical Analysis
2.3 Entry Strategies – New Product, Franchising, Partial Momentum, Sponsorship & Acquisition
2.4 Intellectual Property – Creation & Protection
 SYLLABUS

MODULE 3- SMALL ENTERPRISES AND ENTERPRISE LAUNCHING

3.1 Meaning of Small Scale – Rationale, Objective & Scope of SMEs– Role of SMEs in Economic
Development of India – An overview of Women Entrepreneurship in India – Problems &Prospects
3.2 SME – Floating of SMEs – Registration – NOC from Pollution Board – Machinery &
Equipment Selection
3.3 Methods of Project Appraisal –Economic Viability and Market Feasibility
3.4 Requirement of Financial Institutions – Projected Financial Statement Preparation
 SYLLABUS

MODULE 4- ROLE OF SUPPORT INSTITUTIONS FOR SMEs

4.1 Government Policies for Small Scale Industries (SSIs)
4.2 Role of DICs, SFCs, SIDBI, Entrepreneurship Development Institutes (EDIs)
4.3 Khadi and Village Industries Corporation / Board
4.4 Critical Appraisal of Support Institutions & Govt. Policies
MODULE 5- CASE STUDIES ON ENTREPRENEURSHIP
5.1 Case Studies – Successful & Unsuccessful Entrepreneurs
5.2 Key Variables explaining Success / Failures
5.3 Industrial Sickness – Reasons
5.4 Discussion on Future of SMEs in India
 WHO IS AN ENTREPRENEUR..?

• He is someone who introduces something new into the business

• According to Peter Drucker “An entrepreneur as the one who always searches
for changes, responds to it and exploits it as an opportunity”
LULU, WHERE THE WORLD COMES TO
SHOP
WHAT IS ENTREPRENEURSHIP?

• IT IS THE ABILITY AND READINESS TO

DEVELOP, ORGANIZE AND RUN A
BUSINESS ENTERPRISE ALONG WITH
ANY OF IT’S UNCERTAINITIES IN ORDER
TO MAKE A PROFIT

• ENTREPRENEURSHIP = ENTREPRENEUR+
ENTERPRISE

1-9
 Entrepreneurship

Entrepreneurship is the act of being an entrepreneur,

who starts any economic activity for being self-
employed.

Entrepreneurship is the “process of the

entrepreneur”. It is an attempt to create value
through recognition of business opportunity. It is
basically communicative and management functions
to mobilize financial and material resources.

The entrepreneurial activity is governed by varying

combination of socio-economic, psychological,
cultural and other factors: Caste/religion, Family
background, Level of education, Level of perception,
Occupational background, Migratory character, Entry
into entrepreneurship, Nature of enterprise,
Investment capacity and Ambition/moderation.

End Previous Next

 ENTREPRENEUR V/S MANAGERS

• Certain parameters differentiate these 2

1. Meaning
2. Focus
3. Primary motivation
4. Approach to task
5. Status
6. Reward
7. Decision making
8. Driving force
9. Risk orientations
 ENTREPRENEURS V. INTRAPRENEURS

• Entrepreneurs are people that notice opportunities and take the

initiative to mobilize resources to make new goods and services.
• Intrapreneurs also notice opportunities and take initiative to mobilize
resources, however they work in large companies and contribute to the
innovation of the firm.

• Intrapreneurs often become entrepreneurs.

 WHY BECOME AN
ENTREPRENEUR?
The three primary reasons that people become
entrepreneurs and start their own firms

Desire to be their own boss

Desire to pursue their

own ideas

Financial rewards

1-14
 TRENDS IN THE ECONOMIC
DEVELOPMENT
• Technology as a resource
• Competition in domestic and international markets
• The role of invention
• Government as stimulator
• Entrepreneurial and Intrapreneurial development
• Innovative capital formation
• Active financial sector
• Innovative entrepreneurship
• Progressive management
• Quality as a goal
• Supremacy of the customer
• Collaborative relationships
 Management consultants continue to be high in demand
due to changing technology and a trend toward outsourcing
of services.

E-learning and training is growing, since technology has

improved the ability to deliver quality content to office
workstations instead of the need to go off-site.
 In twenty years baby boomers are not going to opt for expensive
long-term hospital care. The home care industry will not be able to
serve the surge in demand, so house bound senior check-in services
and home meal replacement for those with dietary restrictions will
flourish.
Do you see the pattern? Trends are nearly impossible to
predict, but small businesses do not need to be trendsetters,
but you can capitalize on following trends. There is usually a
piece of business for everyone.
 Entrepreneurship development

ENTREPRENEURIAL CHARACTERISTICS

Being an entrepreneur requires specific characteristics and skills that are often achieved
through education, hard work, and planning.

Risk Taker
Businesses face risk. Entrepreneurs minimize risk through research, planning, and skill
development.

Perceptive
Entrepreneurs view problems as opportunities and challenges.

Curious
Entrepreneurs like to know how things work. They take the time and initiative to pursue
the unknown.
21

End Previous Next

 ENTREPRENEURIAL CHARACTERISTICS

Imaginative
Entrepreneurs are creative. They imagine solutions to problems that encourage them to create new
products and generate ideas.

Persistent
True entrepreneurs face bureaucracy, make mistakes, receive criticism, and deal with money, family,
or stress problems. But they still stick to their dreams of seeing the venture succeed.

Goal-setting
Entrepreneurs are motivated by the excitement of staring a new business. Once achieved, they seek
out new goals or ventures to try.

Hardworking
Entrepreneurs need a great deal of energy to see a venture start and succeed. Yet they are not
deterred by the long hours to achieve their goal.
22

End Previous Next

 ENTREPRENEURIAL CHARACTERISTICS

Self-confident
Entrepreneurs believe in themselves. Their self-confidence takes care of any doubts they may have.
Flexible
Entrepreneurs must be flexible in order to adapt to changing trends, markets, technologies, rules, and economic
environments.
Independent
An entrepreneur’s desire for control and the ability to make decisions often makes it difficult for them to work
in a controlled environment.
Technical knowledge

23

End Previous Next

 ENTREPRENEURIAL CHARACTERISTICS
• Mental ability – It consists of intelligence and creative thinking. An entrepreneur must be reasonably intelligent,
and should have creative thinking and must be able to engage in the analysis of various problems and situations in
order to deal with them.
• Clear objectives –An entrepreneur should have a clear objective as to the exact nature of the business, the nature
of the goods to be produced and subsidiary activities to be undertaken
• Business secrecy- An entrepreneur must be able to guard business secrets. Leakage of business secrets to trade
competitions is a serious matter which should be carefully guarded against by an entrepreneur
• Human relation ability- The most important personality factors contributing to the success of an entrepreneur are
emotional stability, personal relations, consideration and tactfulness.
• Communication ability- An entrepreneur who can effectively communicate with customers, employees,
suppliers and creditors will be more likely to succeed than the entrepreneur who does not
 RADICAL INNOVATOR

• “GET ATTENTION BY COMMUNICATING THE DREAMS THAT YOUR

CUSTOMERS ASPIRE TO LIVE”
 WHAT MAKES APPLE UNIQUE ?

1
• HIGHER ORBIT

2
• NEATNESS IMPACTS PERFORMANCE

3
• LESS IS MORE

4
• CALLIGRAPHY
• INNOVATION IS ABOUT
5
SUBTRACTION
 WHAT MAKES APPLE UNIQUE ?

6
• PUSHING HERD TO A CULT

7
• FIRST V/S BEST

8
• ASPIRATION IS VALUATION
• PEOPLE WITHOUT A PASSION ARE
9
POISON
1 • STAY HUNGRY/STAY FOOLISH
0
 CHARACTERISTICS OF SUCCESSFUL
ENTREPRENEURS

• Passion for the Business

• The number one characteristic shared by successful entrepreneurs is a passion for the business.
• This passion typically stems from the entrepreneur’s belief that the business will positively
influence people’s lives.
• Product/Customer Focus
• A second defining characteristic of successful entrepreneurs is a product/customer focus.
• An entrepreneur’s keen focus on products and customers typically stems from the fact that
most entrepreneurs are, at heart, craftspeople.

1-32
 CHARACTERISTICS OF SUCCESSFUL
ENTREPRENEURS

• Tenacity Despite Failure

• Because entrepreneurs are typically trying something new, the failure rate is naturally high.
• A defining characteristic for successful entrepreneurs’ is their ability to persevere through
setbacks and failures.
• Execution Intelligence
• The ability to fashion a solid business idea into a viable business is a key characteristic of
successful entrepreneurs.

1-33
 ENTREPRENEURIAL COMPETENCIES

• Creativity
• Problem Solving
• Decision Making
• Communication
• Leadership
• Self-Analysis
• Personal Efficacy
• Culture & Values
• Risk Taking Behavior
• Technology backup
 ENTREPRENEURIAL COMPETENCIES

• Initiative
• Looking for opportunity
• Persistence
• Information seeker
• Quality consciousness
• Commitment to work
• Commitment to efficiency
• Proper planning
• Self confidence
• Assertive & Persuasive
 ROLE OF ENTREPRENEURS IN THE
ECONOMIC DEVELOPMENT OF THE COUNTRY

Economic development means a process of upward change whereby the

real per capita income of a country increases over a long period of
time.
What causes economic development?
What is the significance of entrepreneurship for economic development?

https://www.entrepreneur.com/article/415950
Economy-
- General area of production, distribution, trade and consumption

- Follows a simple rule of demand and supply.

FUNCTIONS OF ENTREPRENEURS IN THE
ECONOMY
Introduce new
technology
Bringing FDI

FUNCTIONS OF
Eradicating Contribution to
ENTRE. IN ECONOMIC
poverty DEVELOPMENT GDP

Foreign
Generates
employment exchange
earnings
 PROMOTES
PROMOTES CAPITAL
COUNTRY’S EXPORT
FORMATION
TRADE

IMPROVEMENT IN THE EMPLOYMENT

STANDARD OF LIVING OPPORTUNITIES
ROLE OF
ENTREPRENEURSHIP
IN ECONOMIC
DEVELOPMENT

PROMOTES
INCREASES GNP AND
BALANCED REGIONAL
PER CAPITA INCOME
DEVELOPMENT

WEALTH REDUCES
CREATION AND CONCENTRATION OF
ECONOMIC POWER
DISTRIBUTION
 ROLE OF ENTREPRENEURS IN THE
ECONOMIC DEVELOPMENT OF THE COUNTRY

1.Promotes Capital Formation:-

i. Mobilizing the idle savings of public
ii. Employ their own as well as borrowed resources for setting up their
enterprises
iii. Value addition and creation of wealth
iv. industrial and economic development of the country
2.Creates Large-Scale Employment Opportunities
i. small and large-scale numerous job opportunities are created
ii. direct and indirect employment opportunities
iii. reducing the problem of unemployment in the country
3.Promotes Balanced Regional Development
iv. Remove regional disparities through setting up of industries in less developed
and backward areas.
v. a large number of public benefits like road transport, health, education,
entertainment, etc.
4. Reduces Concentration of Economic Power:-
i. the natural outcome of industrial and business activity.
ii. Prevent growth of monopolies
5. Wealth Creation and Distribution
iii. equitable redistribution of wealth and income in the interest of the country
to more people and geographic areas
iv. give benefit to larger sections of the society.
v. generate more activities and give a multiplier effect in the economy.
6. Increasing Gross National Product and Per Capita Income

i. is a sign of economic growth.

ii. explore and exploit opportunities
iii. bring in new products and services and develops markets for growth of the
economy
iv. meet this increasing demand for goods and services.
7.Improvement in the Standard of Living
i. adopting latest innovations in the production of wide variety of goods and services in
large scale that too at a lower cost.
ii. enables the people to avail better quality goods at lower prices which results in the
improvement of their standard of living.
8.Promotes Country's Export Trade:
iii. Produce goods and services in large scale
iv. Earn huge amount of foreign exchange from export in order to combat the import dues
requirement.
v. Import substitution
9.Induces Backward and Forward Linkages
-work in an environment of change and try to maximise profits by innovation.
10.Facilitates Overall Development
i. process of industrialization
ii. increase in demand and setting up of more and more units
iii. entrepreneurs multiply their entrepreneurial activities