1. Module-I Basic Concepts Entrepreneurship Development

2. The word ‘entrepreneur’ is derived from the French word enterprendre
The word ‘entrepreneur’ is derived from the French word enterprendre. It means “ to undertake.”
The term “entrepreneur” was applied to business initially by the French economist, Cantillon, in the 18th century, to designate a dealer who purchases the means of production for combining them into marketable products.

3. MEANING
An individual who bears the risk of operating a business in the face of uncertainty about the future conditions.
An entrepreneur is a person who has possession of an enterprise, or venture, and assumes significant accountability for the inherent risks and the outcome. It is an ambitious leader who combines land, labor, and capital to often create and market new goods or services.

4. PETER DRUCKER
Entrepreneur as one who always searches for change, respond to it and exploits it as an opportunity . Innovation is the specific tool of entrepreneurs, the means by which they exploit change as an opportunity for a different business or services.

5. E.E. HAGGEN
An entrepreneur is an economic man who tries to maximise his profits by innovations.
Innovations involve problem- solving and the entrepreneurs gets satisfaction from using his capabilities in attacking problems.

6. Financial Reasons To Start A Business3% 6%
12%
13%
27%
39%
Loss of Job Or Change
Of Employment
More Income For
Necessities
Second Income
Bridge A Gap Till
Retirement
Forced Into Early
Don't Know Or Not
Stated

7. Non-Financial Reasons To Start A Business9% 7%
41%
21%
13%
Do Something I
Love
More Flexibility
Be Key Decision
Maker
Change Lifestyle
Spend More Time
With Family
Don't Know or Not
Stated

8. Entrepreneurship Entrepreneur New venture 4 factors of production Land
Labor
organization
capital
New venture

9. Areas of similarity
Managers
Entrepreneurs
To produce results
Short & Medium Term
Long term & very Long-term
To take decisions
Operational & Administrative
Mostly Strategic decisions
To co-operate under constraints
Within an Organization i.e. machine, labour
Lie outside an Organization i.e. import policy, licensing policy
To follow sound principles of mgt.
Towards internal administration
Towards to Macro-Social aspects-ethical advertisement practices,

10. Some Latest Terms

11. Micropreneurs
Not every person who starts a business has the mission of making a lot of money and growing it to a world-class business.
Some just want a simple balanced life-style while doing the kind of work they enjoy doing. such business owners are“Micropreneurs”
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12. Intrapreneur
A person within a large corporation who takes direct responsibility for turning an idea into a profitable finished product through assertive risk taking and innovation.
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13. Intrapreneurship Advantages of Intrapreneurship
Intapreneuring is an excellent opportunity for creative employees with entrepreneurial spirit, management qualities, and a sense of belonging to their company.
Employee don’t have to leave his company to fulfill his entrepreneurial dream
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14. Technopreneur
“Technopreneur” is coined just a couple of years back refer to Technology Entrepreneur.
A Technopreneur has two major characteristics:
He does things NOT for profits but he innovate something because he wants to innovate.
He is comfortable working with, or using, technology.
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15. Myths About Entrepreneurs
Entrepreneurs are born, not made :
Entrepreneurs cannot be taught or learned, they are inbuilt traits with which a person must be born.
All you need is money to be an entrepreneur:
A venture needs capital to survive & it is true that a large number of business failure occur because of lack of adequate financing.
All you need is luck to be an entrepreneur:
Being in “the right place at the right time “ is always an advantage but “luck happens when preparation meets opportunity “
Entrepreneurs are Gamblers.
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16. Skills of Successful Entrepreneurs
Coordination
The ability to manage many different types of jobs and responsibilities at the same time.
Evaluation
The ability to examine important facts about the business and to determine the least risky way to proceed
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17. Skills of Successful Entrepreneurs
Organization
The ability to organize all the resources of the business in order to make it run in the most efficient manner.
Research
The ability to obtain all the necessary information to insure that the best possible decisions are made.
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18. HOW PEOPLE BECOME AN ENTREPRENEUR?
By Necessity and Opportunity, Design and Default
Triggered by ‘Social Disruption or Interruption”
Entrepreneurs are created in good and bad economic times.
Achievements and Financial Rewards for an Entrepreneur.
Many begins but few make it.

19. ENTREPRENEURSHIP
It requires a willingness to take calculated risks – both personal and financial, and then to do everything possible to reduce the chances of failure.  
It also includes the ability to build an entrepreneurial or venture team to complement your (the entrepreneur) own skills and talents.

20. ENTREPRENEUR Vs ENTREPRENEURSHIP
People who create and grow enterprises
Entrepreneurship
Process through which entrepreneurs create and grow businesses.
Opportunity idea translation creativity.

21. WHY ENTREPRENEURSHIP To reduce backwardness of the people.
Economic development of the region.
Proper utilization of human potentiality.
Special attention to take up new activities.
To create self-employment and generation of employment opportunity.
Eradication of regional imbalances.
Better economic gain.

22. Characteristics of Successful Entrepreneur

23. Characteristics of Successful Entrepreneur
Risk taker
Determination
&
Persistence
Vision, creativity and innovation
Entrepreneur
Motivation to succeed
Team building
Problem solver
Spot and take advantage of opportunities
Dynamism

24. How to be a successful Entrepreneur?

25. “To be a Successful Entrepreneur, an Entrepreneur should have some basic qualities in his personality.”
These are:

27. Kinds of entrepreneurs
According to the type of business
1 Business entrepreneur
2 Trading entrepreneur
3 Service entrepreneur
According to the use of technology
1 Technical entrepreneur
2 Non-technical entrepreneur
According to the area
1 Urban entrepreneur
2 Rural entrepreneur

28. Kinds of entrepreneurs
According to gender
1 Men entrepreneur
2 Woman entrepreneur
According to the sales of operation
1 Small scale entrepreneur
2 large scale entrepreneur
Others
1 Innovative entrepreneur
2 Imitating entrepreneur
3 Drone entrepreneur

29. TYPES OF ENTREPRENUERS
4.Fabian Entrepreneurs

30. INNOVATIVE ENTREPRENEURS
Launches new products, discovers new markets, establishes new methods of production and restructures the enterprise.
Can work only when definite level of progress has been previously accomplished.
They focus on revolutionalisation and development.

31. IMITATIVE ENTREPRENEURS
Adopt victorious innovations launched by the innovative entrepreneurs.
Duplicate the technology and techniques innovated by others.
He is more an organizer of factor of production than a creator.
Suitable for underdeveloped countries.

32. FABIAN ENTREPRENEURS
Exemplified by great caution and skepticism in experimenting any change in the organization.
They imitate only in those situations where it becomes necessary to do so.
Such entrepreneurs are shy and lazy. Their dealings are determined by customs, religion, tradition and past practices.

33. DRONE ENTREPRENEURS
Drone Entrepreneurs suffer losses, as they refuse to make any modifications in the existing production methods.
They are laggards because they continue in their traditional way.

34. Role of Entrepreneurship
Development of
Industries in
Rural areas
Income generation
Self-employment
Entrepreneurship
More goods &
Services available
Employment for
Others
Promotion of the
Use of Modern
Technology
Development of
Entrepreneurial
Qualities & Attitudes
Encourage more
researches
Studies

35. Women Entrepreneurs
Pandit Jawaharlal Nehru says…. When women move forward, the family moves, the village moves and the Nation moves

36. DEFINATION
“ AN ENTERPRISE OWNED AND CONTROLLED BY A WOMAN HAVING A MINIMUM FINANCIAL INTEREST OF 51 PER CENT OF THE CAPITAL AND GIVING AT LEAST 51 PER CENT OF THE EMPLOYMENT GENERATED BY THE ENTERPRISE TO WOMEN”
GOVT. OF INDIA

37. Some vital statistics on women
70 % of 1.4 billion of the world poor people are women.
Of 30 million refugees 80 % are women and children
Of 1 billion illiterates two thirds are women
150 million of kids not in school 2/3 are girls.
In India women are 48 % of the population but their participation in economic activity is only 34 %.

38. Why they need to work Push Factors Pull Factors Death of bread winner
Sudden fall in family income
Permanent inadequacy in income of the family
Pull Factors
Women’s desire to evaluate their talent
To utilize their free time or education
Need and perception of Women’s Liberation, Equity etc.
To gain recognition, importance and social status.
To get economic independence

39. Factors influencing woman Entrepreneurs
Establishing their own creativity
Establishing their own identity
Achievement of excellence
Building confidence
Develop risk taking ability
Motivation
Equal Status in society
Freedom & mobility

40. Types of woman Entrepreneurs
First Category (Upper Flung)
Established in big cities
Having higher level technical & professional qualifications
Sound financial positions with businesses like export houses, travel agencies, etc, they asptre to turnover of more than Rs. 5 crore.
Second Category (Mid rung)
Established in cities and towns
Having sufficient education
Undertaking women services-kindergarten, crèches, beauty parlors, health clinic etc.

41. Third Category (Grass root)
Illiterate women
Financially week
Involved in family business such as Agriculture, Horticulture, Animal Husbandry, Dairy, Fisheries, Agro Forestry, Handloom, Power loom etc.
Fourth category (SHGs)
- Self help groups those who are well served and mentored by micro finance institutions

42. Women Entrepreneurship in India
Earlier there were 3 Ks
Kitchen
Kids
Knitting
Then came 3 Ps
Powder
Pappad
Pickles
At present there are 4 Es
Electricity
Electronics
Energy
Engineering

43. Some examples Mahila Gram Udyog Lakme Herbal Heritage Balaji films
7 ladies started in 1959: Lizzat Pappad
Lakme
Simon Tata
Herbal Heritage
Ms. Shahnaz Hussain
Balaji films
Ekta Kapoor

44. Main Problems for women entrepreneurship
Dual role to play at workplace & at home place
Subordinate to men
Just that her being women
Non-awareness of facilities provided by government
Competition with large scale units
Problems related to marketing

45. Suggestions Procedure of getting finance should be simple
Effective propagation of programmes and yojna
Linkages between product, services and market centers.
Encouragement to technical and professional education.
Effective use of IT
Home based business

46. Problems and Challenges faced by Entrepreneurs
Internal Problems of Entrepreneurs
1 Planning
a. Technical feasibility
b. Economic viability
2 Implementation
3 Production
a. Production mgt
b. Labour mgt
c. Marketing mgt
d. Financial mgt
e. Administrative mgt

47. Problems and Challenges faced by Entrepreneurs
External Problems of Entrepreneurs
Infrastructural( Location, power, water, communication)
Financial (capital, long term funds, recovery, )
Marketing
Taxation
Raw material
Industrial and financial regulations
Inspections
Technology
Govt. policy
Administrative hurdles
Corruption
Lack of direction
Competitive and volatile environment

48. Ten Deadly Mistakes of Entrepreneurship:
Business entrepreneurship fail because:-
Management Mistakes
Lack of Experience
Poor financial control
Weak marketing efforts
Failure to develop a strategic and effective plan
Uncontrolled Growth
Poor location
Improper inventory control
Incorrect or unsuitable pricing
The inability of to move into entrepreneurial thinking mindset
from the previous secured permanent managerial position held.

49. How to avoid failure in a Entrepreneurial business.
Know your business in depth.
Develop a good, effective and solid Business Plan.
Manage your financial resources effectively.
Have a thorough and complete financial statement.
Learn hire and manage people effectively.