1. Unit 1 – Enterprising People and Entrepreneurs
BDI 3C
Unit 1 –
Enterprising People and Entrepreneurs

2. What is Entrepreneurship?
Chapter 1
What is Entrepreneurship?

3. Entrepreneurs Past and Present
Who are they?
People who own and operate business ventures
Who does it?
All types of people from different backgrounds, ages and skills
Business can be small or large

4. Entrepreneurs Past and Present
How do they do it?
Try to identify a need that they have or that they see that others
Take steps to create a product or service that satisfies that need

5. Needs vs. Wants Needs Are essential for survival
They can be “real” or “psychological”
Wants
Go beyond basic needs and make people feel good or help them achieve a goal.
What are some examples of a need?
What are some examples of a want?

6. Needs vs. Wants
onomics/needsandwants/

7. Needs vs. Wants Activity
Vacation to the Moon

8. Entrepreneurs Past and Present
Employees
Entrepreneurs assume risk when starting their business
Faces potential loss of the business and other assets
Do not assume risk
May face loss of wages or their jobs if the business should fail to have the desired results
Entrepreneurs Past and Present

9. Entrepreneurs Past and Present
Why would people want to become an entrepreneur?
Want to leave a fast-pasted corporate job
Want to work from home
Want to pursue a personal dream
Discovered a need that others will desire as well

10. Is Entrepreneurship Right for You?
Characteristics of a Successful Entrepreneurs
Independent – they want to make their own decisions and pursue something they like.
Self-confident – critical that they believe in themselves so others will too.
Determination and Perseverance – many will try to stand in your way so you need to be able to keep pushing forward.

11. Is Entrepreneurship Right for You?
Characteristics of a Successful Entrepreneurs
Goal-Oriented – You can set a goal and focus on what needs to be done to achieve your goal.
Need to Achieve and often set high standards – constantly setting new goals and challenges to keep interested and focused.

12. Is Entrepreneurship Right for You?
Characteristics of a Successful Entrepreneurs
Creative – think of new ways to market their business and always seeking solutions to problems found.
Able to act quickly – not afraid to make decisions and act so they can beat their competition or react in a changing environment.

13. Venture Profile
Read the case study on page 6 “Three Blondes Cook up Sweet Success”.
Answer the five questions at the end of the case.
Please answer questions 4 and 5 with a short (three sentence minimum) paragraph. Answers need to be in sentence form in order to receive full marks.

14. The Entrepreneur’s Dozen
E: xamines needs, wants, problems for which he/she feels something can be done to improve the way needs/wants are met or problems overcome. N: arrows the possible opportunities down to one specific opportunity. T: hinks of an innovative idea. R: esearches the opportunity and idea thoroughly. E:nlists the best sources of advice and assistance that can be found. P:lans the venture and looks for possible problems that might arise.

15. The Entrepreneur’s Dozen
R: anks the risk and possible rewards. E: valuates the risk and possible rewards and makes a decision. N: ever hands on to an idea, as much as it is loved, if research shows it won’t work. E: mploys the resources necessary for the venture if the decision is made to go ahead. U: nderstands that any entrepreneurial venture will take a great deal of long, hard work. R: ealizes a sense of accomplishment from successful ventures and learns from failed ones to achieve success in the future.

16. Entrepreneurial Ventures
Business ideas that are conceived, initiated and operated by a person or group of people.
They fit into the following categories:
For profit/not for profit
Large scale/small scale
Service/goods production
Physical/virtual
Local/provincial/national/international

17. Impact on the Community
Job Creation
Multiplier Effect – when entrepreneurship creates jobs in the local community.
New Ideas
Encourages the creation of a broader range of goods and services that would otherwise exist.
Economic Benefits
Through competition, entrepreneurs not only help lower prices, but also improve a society’s standard of living.

18. Impact on the Community
Political Benefits
Entrepreneurship needs to provide a supportive environment where financial and legal institutions provide a strong foundation.
It is also strong where lobby groups (support groups) in government, business, and education are available to collaborate, advise and encourage entrepreneurs.

19. Intrapreneurship
When entrepreneurship occurs within an existing organization or corporation.
Used in order to be more competitive, improve productivity or keep pace with changing markets, technology and new opportunities.

20. E. D. Smith Rewards Employees with Bonus
What did E. D. Smith do to encourage intrapreneurship?
Why to you think that the company supports this kind of activity?
What kind of environment should corporations provide if they want to encourage intrapreneurship?
What can companied do to encourage their employees to generate new ideas or make suggestions for improved productivity?

21. Supply and Demand
An alert entrepreneur takes advantage of consumers demand (what the consumer needs and wants) by providing a supply of goods and services. Demand – The amount of a good or service that customers are willing to purchase. Supply – The amount of a good or service that is available for distribution or consumption.
How much is Koby Bryant paid compared to an average player?

22. Supply and Demand
When the supply is greater than the demand, the price of the good or service goes down. WHY? Because there is a surplus.
When the demand is greater than the supply, the price goes up. WHY? Because there is a shortage.
In order to be success, need to achieve the right balance between supply and demand.

23. The Heat Wave of 2003
Supply and Demand Activity

24. The Heat Wave of 2003
Now you have made some predictions, let's look at some facts:
Sales of ice cream doubled in some parts of the country.
Hardware stores reported sharp increases in the sales of garden swings and barbeque charcoal.
Sales of Pimms rose by 300% compared to the same period the year before; beer sales also rose dramatically.
Sales of salad items and barbeque food rose by around 40%.
Hotel bookings at many resorts were significantly up on last year and in many places a reservation was hard to find!
Supply of wheat, rice, maize and barley look as though they could be hit badly as predictions for harvests look gloomy.
The price of most ice creams, salad items and so on did not rise in general during the heat wave although there may have been some differences on a regional basis. The likes of Tesco and Sainsbury would almost certainly not have raised prices but some local ice cream sellers may well have done.
How would you explain this?
The price of grain following the summer was predicted to rise.
What impact might this increase in price of wheat, barley and maize have on other markets?

25. Dragon’s Den (episode 7)