baeb510 chapter 1: introduction to entrepreneurship

BAEB501 : ENTREPRENEURSHIPCHAPTER 1:INTRODUCTION TO ENTREPRENEURSHIP

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Chapter 1: Introduction to Entrepreneurship

© 2010 Cosmopoint

Topic Outlines

1.1 Introduction to Entrepreneurship

1.1.1 Who is an entrepreneur?1.1.2 Entrepreneurial Profile

1.2 Benefits of Entrepreneurship

1.2.1 Advantages

1.3 Drawback of Entrepreneurship

1.3.1 Drawback of Entrepreneurship 1.3.2 Factors that lead to entrepreneurship 1.3.3 10 mistakes of entrepreneurship

1.4 How to avoid the mistakes?

1.5 Discussion

© 2010 Cosmopoint

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© 2010 Cosmopoint

Learning Outcomes

At the end of this chapter, students should be able to: Understand what is Entrepreneurship The advantages and drawbacks of Entrepreneurship Factors that lead Entrepreneurship

Topics© 2010 Cosmopoint

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© 2010 Cosmopoint


1.1.1 Who is an Entrepreneur?

Topics

One who creates a new business in the face of risk on uncertainty for the purpose of achieving profit and growth by identifying opportunities and assembling the resources to capitalize on those opportunities.

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Entrepreneurial Profile / Characteristics

Desire for responsibility Preference for moderate risk

Confidence for their ability to succeed

Desire for immediate

feedback

High level of energy

Future orientation

Skill at organizing

Value of achievement over money

High degree of

commitment

Tolerance

Flexibility

Highly Motivated

Honest

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1.2 Benefit of Entrepreneurship

1.2.1 Advantages

Topics

Benefit of Entrepreneurship

Opportunity to gain control over your own destiny

Opportunity to make a difference

Opportunity to reach your full

potential

Opportunity to get unlimited

profits

Opportunity to contribute to

society and be recognized for

your efforts

Opportunity to do what you

enjoy doing

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1.3 Drawback of Entrepreneurship

Topics

1.3.1 Drawback of Entrepreneurship

Drawback of Entrepreneurship

Uncertainty of income

Long hours and

hard work

Risk of losing your

entire invested

capital

Lower quality of life

until the business

gets established

High levels of stress

Complete responsibility Discouragement

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1.3 Factors that lead to entrepreneurship

1.3.2 Factors that lead to entrepreneurship

Topics

• Entrepreneur as Heroes

• Entrepreneurial Education

• Economic and demographic factors

• Shift to a service economy

• Technological advancements

• Independent Lifestyle

• E-commerce and www

• International opportunities

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1.3 10 mistakes of entrepreneurship

1.3.3 10 mistakes of entrepreneurship

Topics

• Management incompetence

• Lack of experience

• Undercapitalization

• Poor cash management

• Lack of strategic management

• Weak marketing effort

• Uncontrolled growth

• Poor location

• Lack of inventory control

• Inability to make the ‘entrepreneurial transition’

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© 2010 Cosmopoint

1.4 How to avoid the mistakes?

1.4.1 How to avoid the mistake?

Topics

• Know your business in depth

• Prepare a business plan

• Manage financial resources

• Understand financial statements

• Learn to manage people effectively

• Set your business apart from the competition

• Keep in tune with yourself

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© 2010 Cosmopoint

1.5 Activity: [Discussion]

Topics

How can Entrepreneur energize the economics growth? List and discuss it in a group of 4.

baeb510 chapter 1: introduction to entrepreneurship

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