Entrepreneurship

&

Entrepreneurs Traits

Ahram Canadian University

December 2011

Module No.-1

Objectives

By the end of this session, you will be able to:

• Describe the concepts and principles of

entrepreneurship.

• List the essential skills and characteristics of a

successful entrepreneur

• Explain barriers for Enterprising

• Develope and evaluate a business proposal

(Idea).

Module No.-2

Module No.-3

When are You Most Enterprising?

• Enterprising behaviour can arise for all sorts of

reasons. It might be boredom, changes at work,

the need for cash or satisfaction or

independence, a moment of inspiration, a

passion and so on.

• When were you at your most enterprising and

what was your trigger? What motivated you to

carry on?

Module No.-4

Motives for Enterprising

• Desire for independence

• Opportunity to exploit a gap in the market

• Frustration

• Solution Orientation

• Wealth

• Safety Orientation

• Change in their life – Move, redundant, etc.

Module No.-5

Emotional Benefits for Enterprising

Module No.-6

External Barriers for Enterprising

• Lack of awareness and

Knowledge about

– Enterprise legal environment

– Regulatory authorities

– Market requirements

– Supplier

– Competitors

– Financial sources

– Human resources

– Quality Standards

Module No.-7

Internal Barriers for Enterprising

• Lack of Skills

– Technical

– Managerial

– Organizational

– Networking

– Financial / Resources

Management

– Market dynamics

Module No.-8

Barriers for Starting

• Lack of the right business idea

• Complicated regulatory efforts

• Own financial risk

• Lack of courage

• Lack of right founding partner

• Lack of equity

• Lack of debt capital

• Know-how-deficit

Module No.-9

Barriers for Enterprising

• Lack of contact clients/customers

• Economic cycle

• Business environment

• Fear of failure

• Support by family and friends

• Lack of time

• Lack of entrepreneurial skills

Module No.-10

Characteristics of Entrepreneurs

• Opportunity seeking and grasping

• Taking the initiative to make things happen

• Solving problems creatively

• Managing autonomously

• Taking responsibility for, and ownership of, things

• Seeing things through

• Networking effectively

• Putting things together creatively

• Using judgement to take calculated risks

Module No.-11

Traits of Entrepreneurs

• High need for achievement need to always achieve new bold goals

• Risk taking propensity willingness to take financial risks

• Tolerance for ambiguity no fear of the unknown

• Innovation ability to create new or modify existing business concepts

• Intuition make decisions based on ‘gut feelings’

• High need for independence & autonomy make own decisions

• Internal locus of control belief that the future is determined by their own actions

• Low need for conformity unhappy in environment with strict rules

• Proactive plans for events before they occur

Module No.-12

Enterprise

‘Enterprise is purposeful, active behaviour which

can take place in any number of contexts,

business being only one. Enterprise is making

things happen, having ideas and doing

something about them, taking advantage of the

opportunity, and bringing about change’

• Paul Kearney, 1994

Module No.-13

An Entrepreneur…

• In the private sector… ‘is a person who habitually creates and innovates to build something of recognized value around perceived opportunities’.

Bill Bolton and John Thompson

• In the social sector… ‘identifies under-utilised resources; people, buildings, equipment – and finds ways of putting them to use to satisfy unmet social needs’.

Leadbeater, 1997

Module No.-14

Creativity & Entrepreneurship

• Competition

• Cost of Tech Transfer

• Avoiding Short life-cycles

• Adaptability

Module No.-15

What is Creativity?

Creativity is finding

a new way to

achieve tasks.

Module No.-16

Creativity & Entrepreneurship

• Strengthen existing ideas

• Find a more interesting

idea

• Adapt your idea to be

different to the competition

• If at first you don’t succeed

… try a new idea

• Create better ideas

Module No.-17

Creativity & Entrepreneurship

What are your skills and your interests, hobbies and your business?

What goods or services you believe that the environment surrounding

you need?

Do you have ideas for developing an existing commodity or service?

Is there a change in the directions or wishes of the members of the

community around me?

Is there a need not satisfied locally (people travel to bring it)?

Do you have relationships with some producers and consumers for a

specific product?

Module No.-18

Stages of Idea Development

Module No.-19

• Acquiring Motivation

• Finding an Idea

• Validating the Idea

• Identifying the Resources

• Negotiating to get • into Business

• Birth and Survival

Stages of Idea Development

Module No.-20

1 Ideas generation

2. Feasibility and business planning

3. Start-up and survival

4. Consolidation

5. Growth

6. Maturity

Challenges of Business Ideas

• Confidence, motivation, commitment

• Viability of the business idea in the market

• Resourcing the idea within capital limits

• Skills and knowledge gaps

Module No.-21

Challenges of Business Ideas

• Strategic decisions

• Business systems and administration

• The regulatory environment

• Dependence on staff

Module No.-22

Developing a Business Idea

Module No.-23

Ideas

Resources Needs Thinking

Problems

Visiting

New Places

Media Looking

Locally

Listening Visitors

Family &

Friends

Media

Employment

Skills Formal

Informal

Hobbies

Networks social

work family

Developing a Business Idea

from Things Around you

Module No.-24

RESOURCE USE BITS OR PARTS

USE AS A SUBSTITUTE FOR

ADAPT OR ALTER - SHAPE, SIZE, COLOUR, TASTE, SMELL, SOUND, FEEL

COMBINE WITH OTHER THINGS

USE IT TO PROVIDE A

SERVICE

ELIMINATE IT, DISPOSE OF IT RECYCLE IT RE-USE IT REPACKAGE IT

PUT TO OTHER USES, FOR OTHER PEOPLE

Developing a Business Idea

from Your Skills

Module No.-25

WHAT

SERVICES?

WHICH

BUSINESSES?

FOR

BUSINESSES

WHAT

SERVICES?

WHICH

PEOPLE?

FOR PEOPLE

FOR

BUSINESSES

WHICH

BUSINESSES?

WHAT

PRODUCTS?

FOR PEOPLE

WHICH

PEOPLE?

WHAT

PRODUCTS?

MAKING THINGS

PROVIDING A

SERVICE

YOUR

SKILL Skill

Developing a Business Idea

from Your Skills

Module No.-26

MAKING THINGS

COOKING

PROVIDING A SERVICE

WHICH PEOPLE?

Vegetarians

Diabetics

Children

WHICH PEOPLE?

Older and single people

People who can’t cook well

Engaged couples

FOR BUSINESSES

WHAT PRODUCTS?

Vegetarian meals

Sugarless cakes

WHICH BUSINESSES?

Hotels

Sweet shops

Whole food cafes

WHAT PRODUCTS?

Freezer meals

Handmade chocolates

WHICH BUSINESSES?

Restaurants

Guest Houses

Solicitors

WHAT SERVICE?

Cook relief service

Special diet recipe service

Board room lunches

WHAT SERVICE? Cooking for one recipes Cookery classes Wedding catering

FOR PEOPLE

FOR BUSINESSES FOR PEOPLE

Developing a Business Idea

from Problems Around You

Module No.-27

Problem

Make it Unnecessary

Look at it from another point of view

Random Word

Association

Make Better Reduce the

Problem

Shift Attention

to something else

Substitute Outrageous Suggestions

Developing a Business Idea

from Problems Around You

Module No.-28

PROBLEM

Cycles, train, bus, taxi

Videos on traffic lights, apologising traffic cones car radio cassettes

Car queue sitting service13

SUBSTITUTE? Use other ways of travelling

SHIFT THE FOCUS OF ATTENTION? Entertain the driver

OUTRAGEOUS SUGGESTIONS? Leave the car In the queue

REDUCE PROBLEM? Have less cars

MAKE IT BETTER? Reduce the stress

Share Cars Car Phones

LOOK AT IT FROM ANOTHER POINT OF VIEW? Residents

MAKE IT UNNECESSARY? Don’t travel

*RANDOM WORD ASSOCIATION Plants grow

They can make money washing the cars while you wait

Roads grow - extra lanes provided at peak hours

Work and shop at or near home

Ideas Validation

MAIR Model

Motivation

Ability

Idea/market

Resources

Module No.-29

Ideas Validation

Module No.-30

Motivation and Determination

Of the individual/group, etc. Reflected in support of family, partners, and track record in already trying to achieve start-up. Reflected also in the objectives of the individual group

Key Success Factors

Idea and Market

Reflected in the viability of the idea. Whether it can be demonstrated that it works. What needs it meets. How it is better than others. Who are the customers and how many of them are there. And what is the competition.

Resources

Physical resources needed

(premises, plant, materials,

labour). Financial resources

available and needed

Ability

Of the individual, family and others involved. Previous track record (employment and associated knowledge and skill) and relevance to business. Technical and managerial ability.

Summary

By the end of this session, you became able to:

• Describe the concepts and principles of

entrepreneurship.

• List the essential skills and characteristics of a

successful entrepreneur

• Explain barriers for Enterprising

• Develop and evaluate a business proposal

(Idea).

Module No.-31

Module No.-32