We think you have liked this presentation. If you wish to download it, please recommend it to your friends in any social system. Share buttons are a little bit lower. Thank you!
Presentation is loading. Please wait.
Published byMaurice Robertson
Modified about 1 year ago
Chapter 1Copyright © 2010 by Nelson Education Ltd. EntrepreneursEntrepreneurs 1 PowerPoint Presentation by Ian Anderson, Algonquin College
Chapter 1Copyright © 2010 by Nelson Education Ltd. 1-2 Looking Ahead After studying this chapter, you should be able to: 1. Discuss the availability of entrepreneurial opportunities and give examples of successful businesses started by entrepreneurs. 2.Explain the nature of entrepreneurship and how it is related to small business. 3.Define and identify the importance of small business. 4.Identify rewards and drawbacks of entrepreneurial careers. 5.Describe the various types of entrepreneurs and entrepreneurial ventures. 6.Discuss several factors related to readiness for entrepreneurship and getting started in an entrepreneurial career. 7.Describe some characteristics of successful entrepreneurs.
Chapter 1Copyright © 2010 by Nelson Education Ltd. 1-3 Entrepreneurial Opportunity An economically attractive and timely opportunity that creates value. A true opportunity exists only for the entrepreneur who has the interest, resources, and capabilities required to succeed.
Chapter 1Copyright © 2010 by Nelson Education Ltd. Entrepreneurial Opportunity In the Trenches: Gumdrops Vancouver’s first wet weather boutique proved that customers saw value in the concept and that a business idea was present, not just an opportunity. 1-4
Chapter 1Copyright © 2010 by Nelson Education Ltd. Entrepreneurship and Small Business Despite similarities, entrepreneur and small business manager are not synonymous –Entrepreneurs might be the founders of business firms, or they might be owner- managers of existing firms –Small business managers receive specified compensation and do not assume ownership risks 1-5
Chapter 1Copyright © 2010 by Nelson Education Ltd. 1-6 What Is a Small Business? Criteria for Defining Smallness in Business –Financing supplied by one person or small group –Localized business operations (except marketing) –Business’ size small relative to larger competitors –Fewer than 100 employees
Chapter 1Copyright © 2010 by Nelson Education Ltd. 1-7 Why is Small Business Important? In 2007, 1,030,000 small businesses were registered in Canada –97% of these businesses have fewer than 50 employees –80% of all business entities have less than 5 employees There are 2.5 million self-employed Canadians 56% of Canadians work for small and medium-sized businesses New jobs created by small businesses are growing at rate of 2.3 percent per year, with almost 80 percent of the growth being generated by the newly self-employed.
Chapter 1Copyright © 2010 by Nelson Education Ltd. 1-8 Exhibit 1-1 Entrepreneurial Incentives
Chapter 1Copyright © 2010 by Nelson Education Ltd. 1-9 Drawbacks of Entrepreneurship Hard work –Finding new customers and markets –Frustrations with financing, government, tax, technology, and employment issues Long hours –20% work more than 60 hours per week Emotional loneliness Strong possibility of failure Disruptions to personal life
Chapter 1Copyright © 2010 by Nelson Education Ltd Causes of Business Failures Lack of managerial and financial abilities Fail to adapt to competitive environment A broad based study found the following: –32% inadequate research and development –23% lacked competitive advantage –14% uncontrolled costs –13% poorly developed marketing strategies –10% poor market timing –8% succumbed to competitor activities
Chapter 1Copyright © 2010 by Nelson Education Ltd Varieties of Entrepreneurship Founder (“Pure” Entrepreneur) An entrepreneur who brings a new firm into existence. General Manager (“Second Stage” Entrepreneur) An entrepreneur who directs the continuing operations of established firms. Franchisee An entrepreneur whose power is limited by the contractual relationship with a franchising organization.
Chapter 1Copyright © 2010 by Nelson Education Ltd. High-Potential Ventures versus Small Firms and MicroBusinesses High-Potential Venture (Gazelle) A small firm that has great prospects for growth. Attractive Small Firm A small firm that provides substantial profits to its owner. MicroBusiness (Lifestyle) A small firm that provides minimal profits to its owner. 1-12
Chapter 1Copyright © 2010 by Nelson Education Ltd A person with primarily technical skills and little business knowledge. –Paternalistic approach –Reluctance to delegate –Narrow view of strategy –Personal sales effort –Short planning horizon –Simple record keeping Characteristics of Artisan Entrepreneurs
Chapter 1Copyright © 2010 by Nelson Education Ltd A person with both business skills and technical knowledge. –Scientific approach to problems –Willing to delegate –Broad view of strategy –Diversified marketing approach –Longer planning horizon –Sophisticated accounting and financial control Characteristics of Opportunistic Entrepreneurs
Chapter 1Copyright © 2010 by Nelson Education Ltd Entrepreneurial Teams Two or more people who work together as entrepreneurs. Helpful to: Secure a broad range of managerial talents Enhance profits Useful in: High technology businesses Attractive small firms High potential ventures
Chapter 1Copyright © 2010 by Nelson Education Ltd Four Routes to Entrepreneurship Entering a family business Opening a franchised business Starting a new business Buying an existing business
Chapter 1Copyright © 2010 by Nelson Education Ltd Exhibit 1-2 Age Concerns in Starting a Business
Chapter 1Copyright © 2010 by Nelson Education Ltd Refugee – a person who becomes an entrepreneur to escape an undesirable situation Foreign refugee –Becomes an entrepreneur in a new country Corporate refugee –Leaves big business to go into business for themselves Entrepreneurial Refugee
Chapter 1Copyright © 2010 by Nelson Education Ltd Precipitating Event An event, such as losing a job, that moves an individual to become an entrepreneur. Job termination Job dissatisfaction Unexpected opportunity Taking The Plunge
Chapter 1Copyright © 2010 by Nelson Education Ltd Successful Entrepreneurs Strong commitment / passion Willingness to take risks Moderate risk-takers Self-Confidence internal locus of control have an internal locus of control
Chapter 1Copyright © 2010 by Nelson Education Ltd Internal vs. External Locus of Control Internal Locus of Control: Entrepreneurs tend to hold themselves accountable for their own successes or failures. External Locus of Control: Non-entrepreneurs tend to believe that external circumstances, luck or fate impact upon their worlds.
Chapter 1Copyright © 2010 by Nelson Education Ltd Entrepreneurial Characteristics Commitment and determination Leadership Opportunity obsession Tolerance of risk, ambiguity and uncertainty Creativity, self-reliance and adaptability Motivation to excel
Chapter 13 ORGANIZATION STRUCTURE. Management Talk Our company today is leaner, faster, more flexible and more efficient – in short much more competitive.
Learning Objectives 11.1 Describe the advantages and disadvantages of the most common forms of business ownership Identify the stakeholders of a.
What Managers Do Managerial Activities Make decisions Allocate resources Direct activities of others to attain goals Managerial Activities Make decisions.
Unit 2: Managing a business People in business Improving organisational structures Chapter 19.
MGMT14 marketing U U … mnm institute … makes sense.
Copyright © 2007 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations PowerPoint.
3 chapter Business Essentials, 7 th Edition Ebert/Griffin © 2009 Pearson Education, Inc. Entrepreneurship, New Ventures, and Business Ownership Instructor.
Aleš Tomek Faculty of Civil Engineering Department of Construction Engineering and Management CZECH TECHNICAL UNIVERSITY IN PRAGUE Nature of Construction.
Organizing Production CHAPTER 9. After studying this chapter you will be able to Explain what a firm is and describe the economic problems that all firms.
1 Raising Entrepreneurial Capital Chapter 6 Venture Capital.
Learning Objectives 7.1 Describe the organizing process and how formal and informal organizations differ. 7.2 Identify some common types of organizational.
The Commercialization of Technology Dr. Michael Stankosky.
2-1 Copyright 2009 McGraw-Hill Australia Pty Ltd PPTs t/a Managerial Problem Solving by Wood Slides prepared by Robert Wood, Julie Cogin and Jens Beckmann.
Chapter 8 Outsourcing and risk management. Program Outsourcing as a business concept Definitions and concepts Rationales for outsourcing The outsourcing.
Compensation and Benefit Management. HR Planning Job Analysis Recruitment Selection Workplace Justice Unions Safety & Health International Competence.
CHAPTER 5 ENTREPRENEURSHIP. Rewards and Challenges of Entrepreneurship An entrepreneur is a person who recognizes a business opportunity and organizes,
ORGANIZING PRODUCTION 9 CHAPTER. Objectives After studying this chapter, you will able to Explain what a firm is and describe the economic problems that.
ECONOMICS IN SOUTHERN AND EASTERN ASIA STANDARD: SS7E8 The student will analyze different economic systems. a. Compare how traditional, command, market.
Entrepreneurship Chapter 12. Do you want to see an entrepreneur? Look for the organizer of a school car wash or someone selling customized T-shirts outside.
Organization: Overview of Core Frameworks Local Training Module For First-year Associates Associate Handbook.
1. Recognizing Employee Contributions with Pay After reading this chapter, you should be able to: Describe the fundamental pay programs for recognizing.
PowerPoint Presentation by Charlie Cook The University of West Alabama Copyright © 2006 Thomson Business & Professional Publishing. All rights reserved.
Copyright, Starting Your Own Business Joan Sanger, Presenter.
THE INCENTIVES TO LEARN Time to Reconceptualise, Recontextualise and Integrate?
Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 1 Chapter 5 Entrepreneurship.
Chapter 2 The Agribusiness Manager. The Practice of Mnagement The common business management principle that unifies everything a manager does is the desire.
What Is Entrepreneurship? Back to Table of Contents.
SOCIAL AND CULTURAL FACTORS IN BUSINESS Week 2. The Command Economy Enterprises governed by the plan Enterprises governed by the plan Annual quotas broken.
SMALL AND MEDIUM ENTERPRISE MANAGEMENT APT 3063 PREPARED BY :
Business Activity & The Changing Environment. Task 1 Write down your name and what grade you would like to achieve in Business & how you expect to get.
© 2016 SlidePlayer.com Inc. All rights reserved.