Entrepreneurship - Mr. SherpinskyCouncil Rock North High School

ENTREPRENEURENTREPRENEUR

Most large businesses today began as small business Small businesses are operated

by one or a few individuals Contribute billions every

year to the US economy▪ Famous small businesses that

turned into large businesses:▪ Subway, McDonalds, and Holiday Inn

Small businesses (with less than 500 employees) represent more than 75% of all businesses in the U.S. Most new businesses (about ½ or

50%) fail within the first 4 years

Trade Shows: Special shows or meetings to display products used by businesses. Often held multiple times per year Highlights the latest or newest

innovations

Many Reasons People Do it!1. Pursue personal

dreams2. Change from

corporate environment

3. Life Impacts-Fired, Lay Off, Stay home earn paycheck

What Do You Think An Entrepreneur Is? Defined: People who own, operate, and take

the risk of a business venture are called entrepreneurs.

These people are engaged in entrepreneurship: which is the process of running a business of one’s own.

Entrepreneurs assume RISK!!!!

Employees are different than entrepreneurs Employees are people who

work for someone else.Entrepreneurs are directly

affected by the outcomes of their decisions.

An Intrapreneur is an employee who is given funds and freedom to create a special unit or department within a company in order to develop a new product, process, or service 3M utilized intrapreneurship to

create Post-It notes

Thoughts or concepts that come from creative thinking are called ideas. Possibilities that arise from

existing conditions are considered opportunities…

Brainstorming: a problem solving technique used to generate fresh ideas by working together.

Manufacturing- produce products they sell

Wholesale-Sell products to people other than the final customer

Retail-Sell products directly to the people who use or consume them

Service-Sell services rather than products

Manufacturing Wholesaling Retailing Service

Metal Products Apparel Florists Appliance Repair

Chemical Products

Electrical Goods

Jewelry Babysitting

Food Products Machinery Shoes Painting

Stone, Clay, and Glass

Paper Sporting Goods

Plumbing

Researchers have identified several characteristics that distinguish successful entrepreneurs.

Successful Entrepreneurs are/have: Independent Self-Confident Determination and Perseverance Goal-Oriented A need to achieve and set high standards Creative Able to act quickly

Different jobs require different job aptitudes.

Aptitude is the ability to learn a particularly kind of job.

Advantages of EntrepreneursOwn bossChoose a business of your interestCan be creativeCan make lots of money

Disadvantages of EntrepreneursRiskyFace uncertain and irregular incomesWork long hoursMake all decisions by themselves

As an entrepreneur, you will As an entrepreneur, you will need to set need to set financial and financial and nonfinancial goalsnonfinancial goals. . Financial Financial = Money= Profit, Debt,

Margin, etc… Non-FinancialNon-Financial = Achievement,

Accomplishment

Most businesses begin operations by borrowing money. Banks require a financial plan

to borrow money for a business purpose.

Example of Financial Goals: Reduce our debt by 50% in 2 years Borrow $10,000, at 3% for 2 years Earn profits of $50,000 in 6 months

As an entrepreneur, you will need to set nonfinancial goals. Most people who run own business

do so for more than just money Serve a community need Do something they really like Personal independence of being your

own boss

S – SpecificM – MeasurableA – Action-OrientedR – RealisticT – Timed