Entrepreneurship
Development
Who is entrepreneur
An entrepreneur is a person who organizes, manages, and
assumes the risks of a business or enterprise .
 Entrepreneurs are known for their innovative and creative thinking,
and they often identify new opportunities in the market that others
have overlooked.
 They are willing to take risks and invest their time, money, and
resources to turn their ideas into successful businesses.
 Entrepreneurs are also responsible for managing their businesses,
making important decisions, and ensuring that their companies
remain profitable .
Traits of successful entrepreneur
Traits of successful entrepreneur
Successful entrepreneurs possess a variety of traits that help them
navigate the challenges of starting and running a business. Here are
some of the most common traits that successful entrepreneurs exhibit
Consistency: Successful entrepreneurs are consistent in their efforts to
achieve their goals. They are disciplined and focused, and they work
hard to make progress every day.
Creativity: Entrepreneurs are known for their creative thinking and
ability to identify new opportunities in the market. They are not afraid
to take risks and try new things.
 Leadership: Successful entrepreneurs are strong leaders.
Leadership is an essential entrepreneurial skill, as the
entrepreneur will need to be able to cultivate trust and
support from the people who join his business as managers
and workers. Many new businesses are cash-poor and
experience significant challenges – but a good leader can
inspire loyalty in workers who may not yet be receiving high
wages, as well as in employees who are facing roadblocks in
their efforts to build the company.
 Problem-solving: Entrepreneurs often start their businesses
after identifying a problem and then coming up with a way
to address it. Entrepreneurs are also able to figure out how
to solve problems that will occur during the development of
the business.
 Innovation: Entrepreneurs are innovators, and are often
engaged continuously in the process of conceiving new
products and services, renewing and improving current
offerings, and developing new business processes.
 Curiosity-Successful
entrepreneurs have a distinct
personality trait that sets them apart from other
organizational
leaders:
a
sense
of
curiosity.
An
entrepreneur's ability to remain curious allows them to
continuously seek new opportunities. Rather than settling
for what they think they know, entrepreneurs ask
challenging questions and explore different avenues.
 Risk-taking: Entrepreneurs are not risk-averse. They are willing to risk
their time, money and even their reputation to get the business
started and take their products or services to market. Entrepreneurs
are also willing to take risks even after they establish a business,
developing new products and approaches that can grow their
businesses.
 Persistence: Entrepreneurs are persistent. They aren't easily
discouraged and are willing to work through discouragement and
challenges. Entrepreneurs are willing to attend trade shows, meet
with bankers, call on clients and do what it takes to get the business
started, and then to make it successful.
 Willingness to Experiment
Along with curiosity, entrepreneurs require an understanding
of structured experimentation, such as design thinking With each new
opportunity, an entrepreneur must run tests to determine if it’s
worthwhile to pursue.
For example, if you have an idea for a new product or service
that fulfills an underserved demand, you’ll have to ensure customers
are willing to pay for it and it meets their needs. To do so, you’ll need to
conduct thorough market research and run meaningful tests to validate
your idea and determine its potential.
 Adaptability
 Entrepreneurship is an iterative process, and new challenges and
opportunities present themselves at every turn. It’s nearly
impossible to be prepared for every scenario, but successful
business leaders must be adaptable.
 This is especially true for entrepreneurs who need to evaluate
situations and remain flexible to ensure their business keeps
moving forward, no matter what unexpected changes occur.
Initiative: Entrepreneurs are self-starters who take the
initiative to make things happen. They are not afraid to
take on new challenges and are always looking for ways to
improve their businesses.
Independent
decision
making:
Entrepreneurs
are
responsible for making important decisions about their
businesses. They are independent thinkers who are not
afraid to make tough decisions when necessary.
Assertiveness: Entrepreneurs are assertive and confident in their
abilities. They are not afraid to speak up and take charge when
necessary.
Persistence: Starting and running a business is not easy, and
entrepreneurs need to be persistent in their efforts to succeed.
They are willing to work hard and overcome obstacles to achieve
their goals.
Information seeking: Successful entrepreneurs are always
seeking new information and knowledge to help them improve
their businesses. They are curious and open-minded, and they are
always looking for ways to learn and grow.
In addition to these traits, entrepreneurs also need to be
skilled in
 handling business communication,
 managing finances, and
 taking calculated risks.
 They need to be committed to their businesses and
willing to invest their time, money, and resources to
make them successful.
Entrepreneurship
 Definition: Entrepreneurship refers to the process of
creating a new enterprise and bearing any of its risks,
with the view of making the profit.
 Advantages of Entrepreneurship
1. Learning to See Possibilities Everywhere
2. Defining Your Income
3. Flexibility in Your Schedule
4. Enjoying Your Work
5. Learning to be in the Moment
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Drawbacks of Entrepreneurship
1. Risk of Loss
2.Uncertainty of Income
3. Lower Quality of Life in Initial Stage
4. High Levels of Responsibility
5. High Stress Levels
6.Long Working Hours
Enterprise vs. Entrepreneurship —
What's the Difference?
 Enterprise refers to a business or organization.
 Entrepreneurship is the act of creating,
launching, and running a new business.
or
Entrepreneurship refers to the process of
creating a new enterprise and bearing any of its
risks, with the view of making the profit.
Enterprise and Entrepreneurship both revolve around business, but
they emphasize different facets.
Enterprise generally signifies a company, business, or undertaking that
is designed for profit. On the other hand, Entrepreneurship is the
initiative, process, and mindset of establishing and managing a new
business.
 Enterprise can be large or small and exists to offer products or services
to its target market. It's the tangible result of an entrepreneurial
endeavor. Conversely, Entrepreneurship is intangible. It's about the
journey, the risk-taking, the innovation, and the pursuit of new ventures.
While every Entrepreneurship journey results in an Enterprise
(successful or not), not every Enterprise is the result of
entrepreneurial spirit. Some enterprises, especially larger ones,
might continue operations without much innovation or risk.
One of the key characteristics of Entrepreneurship is
innovation. Entrepreneurs look for gaps in the market and aim
to fill them. An Enterprise, however, might focus more on
improving, scaling, and sustaining what already exists.
Enterprise vs. Entrepreneurship —
What's the Difference?
Key words
Enterprise
Entrepreneurship
Definition
A business or
organization. A project or
undertaking, usually
requiring effort.
Act of creating and managing a new
business. The activity of setting up a
business or businesses.
Focus
Operation and structure
Innovation and venture creation
Tangibility
Tangible entity
Intangible process
Risk and
Innovation
Can operate with minimal
innovation
Typically involves risk and
innovation
End Goal
Profit, service, or product
delivery
Creation and growth of a successful
enterprise
Who is an Intrapreneur?
 An intrapreneur is a worker who develops a new line of business or
innovation within a company.
 They take responsibility and lead a project. These professionals are usually
very involved with the company. They love pursuing opportunities and are
comfortable taking responsibility and being a leader.
 On the other hand, there is the class of intrapreneurs working as
autonomous profiles who carry out innovative projects within a company.
They use the entity’s know-how and resources; thus, such intrapreneurs
usually cover most of their costs.
 This group of professionals is increasingly sought after by companies. They
are characterized by persevering, creative character and are passionate
about their work. To carry out their work calmly, their relationship with
organizations is based on trust, independence, and flexibility.
Types of Intrapreneurs
The Advocate – The Advocates usually have a customer-facing
role where they function as problem solvers. They define the
attributes of the customer and propose the best possible solutions.
The Creator – Creators are innovators. They give life to a business
idea and create a prototype solution. They are fast learners and love
change. Creators always look for different ways to do things better.
They think big and prefer to work in less structured environments.
The Change Maker – The Change Maker is an external businessfacing person responsible for winning new investments and
businesses for the company. They are usually very extroverted and
confident, with a flair for networking. They may belong to any work
level.
COMPARISON BETWEEN ENTREPRENEUR VS INTRAPRENEUR
The different types of business ownership
 Single Ownership (Private Undertaking).
 Partnership.
 Joint Stock Company
 Cooperative Organisation (Or Societies)
 Public Sector
 Private Sector.
Types of Enterprise
1. Sole Proprietorship
The firm owned by an individual forms a sole proprietorship.
 Characteristics of Individual Ownership
1. Owned by signal individual
2. Being a small in size it is easy and manage and
control
3. The owner is unlimited liability
4. As per the legal status the owner and the
business are considered as one.
5. No legal formalities in setup a business and easy
to dissolve it.
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 Advantages of Sole Proprietor
 i. It is the easiest and least expensive form of business
organization
 ii. Personal decision making
 iii. All profits belong to the owner
 iv. Personal satisfaction
 v. Business affairs are kept very private.
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Disadvantages of Sole Proprietor
i. Unlimited liability
ii. Expansion problems due to lack of capital
iii. Lack of continuity
iv. Cannot take advantage of large scale buying.
2. Partnership
A Partnership is defined as two or more, but not exceeding a
legally defined number of people who agree to provide
capital and work together in a business with a purpose of
making profit.
Advantages of Partnership
i. easy to set-up
ii. Provides a larger capital base and hence more growth prospects
iii. Work load is shared
iv. Responsibility and control is also shared
v. Provides a diversified pool of expertise resulting in efficient
management.
Disadvantages of Partnership
i. Unlimited liability
ii. Disagreement among the partners may cause delays in decision making
iii. Lack of continuity.
3.JOINT STOCK COMPANY
 According to Prof. Haney, "Joint stock company is a voluntary
association of individuals for profit, having their capital divided into
transferable shares, the ownership of which is the condition for
membership". Thus, a joint stock company is an incorporated association
of persons having a separate legal existence, with a perpetual succession
and common seal.
 Characteristics of a joint stock company
 1. Separate legal existence:
 2. Perpetual succession:
 3. Limited liability:
 4. Transferability of shares:
 5. Common seal:
COOPERATIVE ORGANIZATION
Cooperative organizations are those organizations, which
are different from the rest, as they are formed not for the purpose
of making profit but to provide its members goods and services at
reasonable rates. This form of organization primarily protects and
safeguards the economic interests of its members.
Thus, cooperatives are voluntary associations, formed with a
service motive; the primary source of income being the members’
shares, they get dividend on trading surplus, if any. The organization
functions as a separate legal entity in a democratic way and is
governed by the state regulation.
There are different types of
cooperatives like:
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Consumers’ cooperatives,
Producers’ cooperatives,
Marketing cooperatives,
Housing cooperatives,
Credit cooperatives,
Farming cooperatives, etc.