Introduction to

ENTREPRENEURSHIP
A.Y 2018-2019
Learning objectives:
1. Discuss the relevance of the course.
2. Explain the key concepts of common
competencies.
3. Explain the core competencies in
Entrepreneurship.
4. Explore job opportunities for Entrepreneurship as
a career.
Concept of ENTREPRENEURSHIP
 The word “entrepreneur” was
derived from the French word
enterprendre, which means “to
undertake”.
 This refers to those who
“undertake” the risk of the new
enterprises.
 An enterprise is created by an
entrepreneur and the process of its
creation is called
entrepreneurship.
Concept of ENTREPRENEURSHIP
 Entrepreneurship is a mindset.
 Entrepreneurs are innovators, willing
to take risks and generate new ideas
to create unique and potentially
profitable solutions to modern-day
problems.
Can you add another
characteristics and/or attributes of
an entrepreneur?
Concept of INTRAPRENEURSHIP
 When entrepreneurship describes
activities within a firm or large
organization, it is referred to as
intrapreneurship.
 Intrapreneurship is the act of
behaving like an entrepreneur
while working within a large
organization.
Relevance of Entrepreneurship to an
Organization
1. Development of managerial
capabilities
2. Creation of organizations
3. Improving standard of living
4. Means of economic development
Factors Affecting Entrepreneurship
1. Personality Factors
a. initiative f. self-confidence
b. proactive g. self-critical
c. perseverance h. a planner
d. problem-solver i. risk-taker
e. persuasion
2. Environmental Factors
e.g. political climate, legal system, economic and
social conditions
Core Competencies in Entrepreneurship
1. Economic and dynamic activity – Entrepreneurship is an
economic activity because it involves the creation and operation
of an enterprise with a view to creating value by ensuring
optimum utilization of scarce resources.
2. Innovation – Entrepreneurship involves a continuous search for
new ideas.
3. Profit potential - Profit potential is the level of return or
compensation to the entrepreneur for taking on the risk of
developing an idea into an actual business venture.
4. Risk bearing – The essence of entrepreneurship is the willingness
to assume risk arising from the creation and implementation of
new ideas.
Functions of an Entrepreneur
1. Innovation
2. Assumption of risk
3. Research
4. Development of management skills
5. Overcoming resistance to change
6. Catalyst of economic development
 Types of Entrepreneurs
1. Innovative entrepreneurs - These are the ones who
invent the new ideas, new products, new production
methods or processes, discover potential markets and
reorganize the company’s structure. These are the
industry leaders and contributes significantly towards
the economic development of the country.
Example:
Hennery Ford wanted to replace the petrol fuel or
the diesel engine with the Kerosene fuel system.
Ratan Tata is said to be an innovative entrepreneur,
who launched the Tata Nano car at a considerably
low cost.
 Types of Entrepreneurs
2. Imitating entrepreneurs - The imitating entrepreneurs
are those who immediately copy the new inventions made
by the innovative entrepreneurs. These do not make any
innovations by themselves; they just imitate the
technology, processes, methods pioneered by others.

Example:
China is a growing economy that provides large opportunity to its
citizens. Among them the cellular market is growing through adaptation
and modification of the innovative product by the Innovative
Companies.
 Types of Entrepreneurs
3. Fabian entrepreneurs - These types of
entrepreneurs are skeptical about the changes to be made
in the organization. They do not initiate any inventions but
follow only after they are satisfied with its success rate.
They wait for some time before the innovation becomes
well tested by others and do not result in a huge loss due
to its failure.

Example: Fabian are more applicable in the Indian rural agriculture environment,
where traditional acquired land is passed down to their successors, the new
Landlord try to run their business in a pre-historic manner with traditional
methods of book keeping and less changes.
 Types of Entrepreneurs

4. Drone entrepreneurs - These entrepreneurs are

reluctant to change since they are very conservative and
do not want to make any changes in the organization.
They are happy with their present mode of business and
do not want to change even if they are suffering the
losses.
Example: There is a “Beeree” (Old fashion tobacco making process)
producer Co-operative that uses employee to make the tobacco by
hand. Even though it is a dying industry but it does not stop them.
 Types of Entrepreneurs

5. Social entrepreneurs – social entrepreneurs

drive social innovation and transformation in
various fields including education, children’s
rights, health and human rights.

Example: Cecilio Pedro developed multi-flavored

toothpastes for children that came brightly packaged in
tubes and boxes adorned with “Sesame Street” characters.
Career Opportunities for
Entrepreneurship Graduates
1. Mid- level management
2. Business consultants
3. Sales
4. Research and development
5. Teacher
6. Recruiter
7. Business reporter
RESEARCH
Research on the life of at least one of the successful
entrepreneurs in the Philippines.
a. Find out what made them succeed.
b. Cite lessons learned from their stories of success.
c. Find out how the entrepreneur (whom you
selected to research on) performed the functions
of an entrepreneur.
d. Based on the types of entrepreneur , under what
type of entrepreneur does he/she belong?