CHARACTERISTICS OF ENTEREPRENUERSHIP E.D & busness ethics CHARACTERISTICS OF ENTEREPRENUERSHIP

Who can become an entrepreneur? There is no one definitive profile. Successful entrepreneurs come in various ages, income levels, gender, and race. They differ in education and experience.

1. CREATIVITY Creativity is the spark that drives the development of new products or services, or ways to do business It is the push for innovation and improvement. It is continuous learning, questioning, and thinking outside of prescribed formulas.

2. Innovation Innovation comes after creativity. It is the putting in place of the ideas that have been perceived by the person who is creatively thinking. These ideas are formed in the mind of the entrepreneur and implemented through innovation.

3. Strong need for achievement (Nach) An individual’s need for achievement refers to the need for personal accomplishment. It’s the drive to excel to strive for success and to achieve in relation to a set of standards.

4. Risk taking Propensity Entrepreneurs are people who are dealing with new ideas and events and the results are uncertain and thus they must have the capacity to tolerate risk. Entrepreneurs are moderate risk takers who are opportunity focused than risk focused.

5. Dedication Dedication is what motivates the entrepreneur to work hard, 12 hours a day or more, even seven days a week, especially in the beginning, to get the endeavor off the ground. Planning and ideas must be joined by hard work to succeed. Dedication makes it happen. 12 hours a day or more, even seven days a week, especially in the beginning, to get the endeavor off the ground.

6. Determination Determination is the extremely strong desire to achieve success. It includes persistence and the ability to bounce back after rough times. It persuades the entrepreneur to make the 10th phone call, after nine have yielded nothing. For the true entrepreneur, money is not the motivation. Success is the motivator; money is the reward.

7. Flexibility Flexibility is the ability to move quickly in response to changing market needs. It is being true to a dream while also being mindful of market realities.

8. Leadership Leadership is the ability to create rules and to set goals. It is the capacity to follow through to see that rules are followed and goals are accomplished.

9. Self confidence Self-confidence comes from thorough planning, which reduces uncertainty and the level of risk. It also comes from expertise. Self-confidence gives the entrepreneur the ability to listen without being easily swayed or intimidated.

10. Passion Passion is what gets entrepreneurs started and keeps them there. It gives entrepreneurs the ability to convince others to believe in their vision. It can't substitute for planning, but it will help them to stay focused and to get others to look at their plans.

11. Trust and commitment to others; The entrepreneur needs to have trust in people around him & should be able to recognize the value of others in helping him/her in their ventures.

12. Hard work Entrepreneurs put a lot of extra physical & mental efforts into developing their projects.

13. Receptive to change; Entrepreneurs always look at change in a positive fashion.

14. Customer oriented; The entrepreneur has a very good sense of what the customer wants& how to give them what they want.”A customer is king”

15. Attuned to opportunity; The entrepreneur is always searching for new opportunities.

16. “Smarts” "Smarts" is an American term that describes common sense joined with knowledge or experience in a related business or endeavor. common sense gives a person good instincts, Knowledge and experience give expertise. Many people have smarts they don't recognize. A person who successfully keeps a household on a budget has organizational and financial skills. Employment, education, and life experiences all contribute to smarts.

Conclusion Unique brand of commitment, high energy, and determination. Tenacity, perseverance, and courage are other characteristics of the world’s most successful entrepreneurs. They need a high level of tolerance for risk. They have to believe in themselves, sometimes against great odds. And they have to be prepared to pick up the pieces and start over again if at first they don’t succeed.

Differences between Intraprenuership and entrepreneurship The word intraprenuer was invented in America in 1970s. As a result entrepreneurs decided that their managers could be allowed to practice entrepreneurship within the organization. Several executives of cos in America time left their jobs to start their businesses because the top bosses were deceptive to new ideas.

Differences a) Full risk An entrepreneur is an independent business man who bears full risk of his business where as an intraprenuer is semi independent, doesn’t fully bear the risk of the business.

Capital The entrepreneur himself raises the necessary capital from various sources. The intraprenuer neither raises capital himself nor guarantees any return to the suppliers of capital. & guarantees the return to people who give him finance

c) Scope of operation An entrepreneur operates from outside an organization where as an intraprenuer is an organization mainly operating with in the organization. The entrepreneur may be the creator or the inventor , but he is always the dreamer who figures out how to run an idea into a profitable reality.

Entrepreneurs and managers Very often entrepreneurs and managers are used interchangeably. However strictly speaking entrepreneurs are different from managers in the following ways;

1) Innovation An entrepreneur works to change in accordance with his personal vision and values. He is more than an inventor. While a manager a keeps running the business on established lines.

2) Factors of production An entrepreneur changes the factor combination& thereby increasing productivity & profits, but a manager only deals with day to day affairs of a going concern.

3) Risk Taking An entrepreneur takes calculated risks. He is not a gambler but faces uncertainty& assumes risk. But a manager is less tolerant of uncertainty of a new venture with its potential for failure & financial loss.

4. Reward The gains of an entrepreneur are uncerain & irregular & can attimes be negative. But the salary of a manager is fixed & regular & can never be negative

5. Skills An entrepreneur needs creative thinking, and innovation ability among other skills. While a manager depends more on the human relations & conceptual ability.

6. Status An entrepreneur is self employed & is his own boss. While a manager is not independent of his employer the entrepreneur.

Types of entrepreneurs

1.INNOVATIVE ENTREPRENUERS True entrepreneurs. An innovative entrepreneur is a person who does something in terms of new: Markets Sources of raw materials New processes Reorganizes his company

INNOVATIVE ENTREPRENUERS contd This is the most ideal type. He brings new products/services. New techniques of production New processes Fresh sources of raw materials All of which are intended to enhance the high value of the organisation.

Innovative entrepreneurs are usually aggressive, dynamic, visional and are responsible for; the most of economic growth and development of the nation.

2. The imitative or adoptive entrepreneurs. This category adopts innovations from the true entrepreneurs /innovative. This type of entrepreneur is particularly useful in developing countries where there is ; little capital to develop innovation from scratch.. Lack of skills experience and technology for innovation. Limited entreprenual ability Non conducive environment for the development of innovation.

3.Drone entrepreneurs those who resist changes and continue to use old or traditional methods of production. Staying in the old technology Drone entrepreneurs rarely survive where there is competition. He does not keep pace with environment.

4. Fabian entrepreneurs These are laggard entrepreneurs whether for cultural , religious, or other inhibitions. They are reluctant to adopt new innovations. They will always shy away from risk. They are usually forced to, by circumstances to take on new innovations. Laggards are ‘risk averts’.

5.Corporate entrepreneurs/ intrapreneurs These are entrepreneurs who do not run their own organizations but operate within other peoples organizations. This type of entrepreneur is constrained by ; Inability to control resources. Inability to make the final decision. Lack of complete independence.

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