LESSON 1: INTRODUCTION TO ENTRPRENEURSHIP
RELEVANCE OF ENTREPRENEURSHIP TO AN ORGANIZATION
1. Development of Managerial Capabilities - this means that one of the benefits an entrepreneur gets is to develop his
managerial skills.
2. Creation of Organizations - which means that because of entrepreneurship many organizations will exist?
3. Improving Standard of Living - this means that entrepreneurship can lift up the economic status of an individual.
4. Means of Economic Development - this means that not only the life of the entrepreneur is improved but also the
society where the business is located.
Concept of Entrepreneurship
The word “entrepreneur” was derived from the French verb enterprendre, which means “to undertake.” This is
pinpointing to those who “undertake” the risk of enterprise. The enterprise is created by an entrepreneur and the
process is called “Entrepreneurship.” Entrepreneurs are innovators. They are willing to take the risks and generate
unique ideas that can provide profitable solutions to the needs of the market and the society.
Factors Affecting Entrepreneurship
1. Personality Factors which include:
a. Initiative - doing things even before being told.
b. Proactive - which means he can classify opportunities and seize it.
c. Problem Solver - which means he can retain good relations with other people.
d. Perseverance - meaning he will pursue things to get done regardless of challenges.
e. Persuasion - means that he can entice people to buy even if they don’t want to.
f. A Planner - he makes plans before doing things and does not fail to monitor it.
g. Risk-taker - which means that he is willing to gamble but he will calculate it first.
2. Environmental Factors which include political, climate, legal system, economic and social conditions and market
situations.
Common Competencies in Entrepreneurship
1. Decisive - an entrepreneur must be firm in making decisions.
2. Communicator - an entrepreneur must have a convincing power.
3. Leader - an entrepreneur must have the charisma to be obeyed by his employees.
4. Opportunity seeker - an entrepreneur must have the ability to be the first to see business chances.
5. Proactive – an entrepreneur can control a situation by making things happen or by preparing for possible future
problems.
6. Risk Taker – an entrepreneur has the courage to pursue business ideas.
7. Innovative - the entrepreneur has big business ideas and he does not stop improving and thinking of new
worthwhile ideas for his business.
Core Competencies in Entrepreneurship
1. Economic and Dynamic Activity - Entrepreneurship is an economic activity because it involves the creation and
operation of an enterprise with a view to creating value or wealth by ensuring optimum utilization of limited
resources.
2. Innovative – The entrepreneur constantly looks for new ideas, thus he needs to be creative.
3. Profit Potential - The entrepreneur can be compensated by his profit coming from the operation.
4. Risk bearing – The entrepreneur needs to gamble but wise enough to offset the risk.
Types of Entrepreneurs
1. Innovative Entrepreneurs - They are those who always make new things by thinking of new ideas. They have the
ability to think newer, better and more economical ideas.
2. Imitating Entrepreneurs - They are those who don’t create new things but only follow the ideas of other
entrepreneurs.
3. Fabian Entrepreneurs - They are skeptical about changes to be made in the organization. They don’t initiate but
follow only after they are satisfied.
4. Drone Entrepreneurs - They are those who live on the labor of others. They are die-hard conservatives even
ready to suffer the loss of business.
5. Social Entrepreneurs - They are those who initiate changes and drive social innovation and transformation in the
various fields such as education, health, human rights, environment and enterprise development.
Career Opportunities of Entrepreneurship
1. Business Consultant - with the expertise of in the field of entrepreneurship, he can be a very good source of
advices to other entrepreneurs and would be business men.
2. Teacher - a graduate of an entrepreneurship can use his knowledge in teaching.
3. Researcher - the entrepreneur can be employed as a researcher by an enterprise.
4. Sales - the entrepreneurship graduate can apply as a salesman.
5. Business Reporter - the entrepreneur being expert in the field can be employed as a business reporter.
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NAME: ___________________________________________ GRADE & SECTION:________________________________
ACTIVITY 1:
Direction: Find out if you have the qualities of an entrepreneur. Put a check mark on the column that identifies whether
you have the qualities of an entrepreneur or not.
Qualities YES NO
Risk Taker
Communicator
Leader
Opportunity Seeker
Proactive
Innovator
Decisive
ACTIVITY 2:
Choose three successful entrepreneurs in your community or nearby places and conduct an interview using the guide
questions below. Discuss the result of your interview to your teacher.
1. What motivated you to become an entrepreneur?
2. What do you think are your characteristics and competencies that made you a successful entrepreneur?
3. What do you think of being employed? Why you did not choose that path?
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