INFORMATION SHEET I:

INTRODUCTION TO ENTREPRENEURSHIP

LESSON 1:
Definition of Entrepreneurship
Entrepreneurship is the art of starting a business, basically a startup company offering creative product,
process or service. We can say that it is an activity full of creativity. An entrepreneur perceives everything
as a chance and displays bias in taking decision to exploit the chance. An entrepreneur is a creator or a
designer who designs new ideas and business processes according to the market requirements and his/her
own passion. To be a successful entrepreneur, it is very important to have managerial skill and strong
team building abilities. Leadership attributes are a sign of successful entrepreneurs. Some political
economists regard leadership, management ability, and team building skills to be the essential qualities of
an entrepreneur. An entrepreneur is an innovator or a creator who introduces something new to the firm
or economy. It can be a new method of production, a new product, a new source of material, a new
market or any other similar innovation. Thus, an entrepreneur is an innovator, creator, borrower,
purchaser, etc. Some famous entrepreneurs are Azim Premji, Lakshmi Mittal, and Ekta Kapoor.

LESSON 2:
10 Concepts of Entrepreneurship

The concepts of entrepreneurship are not new Until 19th-century entrepreneur was regarded as the person
taking risks, facing uncertainties and establishing Enterprises. Thus, the concepts of entrepreneurs have
been changing with time and place. From the modern perspective, entrepreneurship includes
the establishment of the enterprise, management control, direction, along with bringing Novelty
introduction, making various new improvements and making product changes, etc.

In short, the different concepts of entrepreneurship are as follows:

1. Risk Bearing Concept

This is the premier and most popular concept. “Entrepreneurship” is a function of taking unlimited risks.”
This has revealed that the entrepreneur has to bear various types of risks for establishing the new
enterprise and operating it. These risks are related to time changes and fluctuations in prices.
Entrepreneurship as the concept capacity bear uncertainties. Further, elaborating it they have made a
slight differentiation between risk and uncertainty.
According to this, “Uncertainty bear risk, which can neither be predicted nor insured.
The capacity to bear such risks and providing the guarantee against uncertainty is entrepreneurship.

2. Innovative Concept

According to this concept, entrepreneur is a developed economy is that person whose parents something
new in the economy.”
Innovation is a specific tool for entrepreneurship.
In this concept, entrepreneurship has been regarded as the adaptation of various innovations in
industries, new production systems or techniques, new products, new markets, new marketing methods,
new qualities of raw materials, new packaging and new mixture on methods are used.
Hence, this is regarded as a modern entrepreneurship concept.
3. Managerial Skill Concept

The Scholars supporting this concept have turned entrepreneurship as the ability of managerial skills.
Entrepreneurship as the ability for inspections, controls, and direction.
Similarly, entrepreneurship as a Managerial skill, along with the capacity to bear the risks.
Similarly, Entrepreneurship is the quality of developing resources of the institution, developing human
capacity, performing creative activities and coordinating new thoughts.
He is of the opinion that new thoughts emerge due to creativity, which may be put to economic use, by
efficient leadership.
Creativity activities also expand due to high-level entrepreneurship.

5. High Achievement Capacity Concept

Entrepreneurship is a high achievement capacity concept, for which the capacity of making
innovations and taking the decision during risks is essential.

Under the assumption, There is mentioned two characteristics of entrepreneurship:

Ability to perform work with the latest method.

Besides, he has also assumed that inspiration for high-level achievements makes a man an entrepreneur.

6. Professional Concept

Modern management experts accept entrepreneurship as a professional concept.

Being a managerial ability may be learned by education and training, similarly entrepreneurship attitude
maybe also be developed by education and training.
That is why Governments and private organizations conduct various training programs for entrepreneurial
ability development.

7. Organisation and Coordination Concept

Entrepreneurship is that economic component that organizes and coordinates various sources of
production. Entrepreneurship, as an “ability to organize Enterprise.

8. Business Oriented Concept

Under this concept, entrepreneurship is expressed as the business-oriented entrepreneurial attitude of the
individuals, that inspires them to become entrepreneurs, to do the business thinking, to formulate plans
and programs and to establish Enterprises.

9. Result Oriented Concept

According to this concept, entrepreneurship is called result-oriented in the modern age.

10. Personality, Identity or Role Transformation Process Concept

Entrepreneurship is not only to adopt new works and behavior, but it is also the transformation of
personality and to establish a new identity through that.
Thus, now you know the different concepts of entrepreneurship.

LESSON 3: What is the difference Between Selling and Marketing?

The key difference between selling and marketing is that selling refers to the transaction where a good
or service is being exchanged for money, whereas marketing refers to the activities and plans that are
taken by the companies to promote the buying or selling of a product or service.
Selling and marketing are two inter-related processes. Generally, in the modern market, it’s almost
impossible to sell a product or service without using any marketing efforts.

Selling refers to a process where goods or services are exchanged for money, whereas marketing refers to
activities and plans that are used by companies to promote the buying or selling of a product or service.
What is Selling
Selling is the process of transaction where goods or services are exchanged for payment. Selling takes
place between a seller and a buyer or buyers. In order to become a successful seller, an individual has to
develop good skills. Good salespeople should have the ability to build long-term relationships
with customers. At the same time, a salesperson should have the ability to listen to customers in order to
conduct successful business.
There are various sales tactics salespeople use an effective business. Some of those approaches include
high-pressure sales, transactional sales, consultative selling, and collaborative selling. High-pressure sales
use psychological pressure on the customer to make a sale while transactional sales focus on making
quick sales. Moreover, in transactional selling, there is no attempt to build a long-term relationship with
the customer. The consultative approach, on the other hand, focuses on developing an ongoing
relationship with the customer. The salesperson’s target is to get to know the customer’s needs, and it lets
the salesperson perform a good job according to the customer’s preferences. In addition, collaborative
selling involves developing a partnership between the buyer and seller. However, the use of these
approaches depends on the personality of the seller and customer, as well as the industry.

What is Marketing
Marketing takes place when companies launch actions and activities to promote their goods or services.
The process of marketing should be developed and implemented by companies and organizations in their
strategic plans. Thus, marketing has become one of the key aspects of a business. Aspects like
distribution, promotion, designing and creating materials, improving customer experience come under the
category of marketing.
Marketing really helps to raise the brand name of a particular product or service. This is significant for a
business since it makes products or services familiar to the customer. At the same time, marketing helps
to increase the revenue of a business. Marketing helps to achieve the goals of a particular business.
Moreover, there are different marketing strategies to develop an effective business.

INFORMATION SHEET I:
“SMALL BUSINESS”
LESSON 1:
What Is A Small Business?

Small businesses are corporations, partnerships, or sole proprietorships which have fewer employees
and/or less annual revenue than a regular-sized business or corporation. Businesses are defined as "small"
in terms of being able to apply for government support and qualify for preferential tax policy varies
depending on the country and industry.
Small business may be defined by using any of the two approaches ; market share or total assets. Under
the market share approach, small business may be defined as one which is independently owned and
operated and which is not dominant in its field of operation. The term “independently owned” means
ownership is by a private individual, a partnership, or a corporation. The term “not dominant” indicates
that a small business does not control a sizable share of its market. When the total sales of a business firm
is less than one percent of the total sales of a business firm is less than one percent of the total demand for
its product, the firm maybe considered small business. A small business maybe defined under the total
assets approach as one having total assets that fall within a certain bracket.
LESSON 2:
Types of Small Businesses
1. Retailers
Whether you’re a franchisee or an independent store, there are plenty of uses for working capital. For
example, you can upgrade your point-of-sale system or restock your inventory with the latest, and
greatest, merchandise.
2. Construction Businesses
Whether it’s buying new equipment or just new materials, having capital at your disposal is always
useful.
3. Home Service Professionals
With careers ranging from contractor to cleaning services, this is one of the widest categories, but one that
can use funds to increase their workforce or advertise their services.
4. Financial Professionals
By opening a second location or expanding their workforce, financial professionals can use working
capital to provide their clients with a better customer experience.
5. Restaurants, Bars, and Night Clubs
With a loan or merchant cash advance, these industries would be able to do things like refurbish
customer-facing areas, buy a new kitchen or bar inventory, or even expand to another location.
6. Wholesale Companies
Wholesalers may be able to use alternative funding to purchase things like upgraded warehouse
equipment or even new packaging.
7. Transportation Companies
Working capital can be used by transportation or trucking companies to buy things like brand new
vehicles or even just fixing up older ones.
8. Real Estate Companies
Whether you’re buying ad space or working to increase your market, funds are crucial to expanding your
real estate business.
9. Hospitality Companies
Anything from chain hotels or motels to B&Bs can use working capital to refurbish their rooms or update
their online booking system.
10. Manufacturing Businesses
No matter the industry, manufacturers of all types can use business funding on things like high-tech tools
or updated safety gear.
11. Medical Offices
Purchasing medical equipment and hiring new staff can be crucial to running a medical office as
effectively as possible—an equipment loan or working capital loan can help with that.
12. Franchises
Getting the business expansion capital to open a franchise can boost your career.
13. Minority-Owned Businesses
Alternative funding can be a great way of promoting economic equality. Getting access to working capital
can sometimes make all the difference in the world.
 LESSON 3:
CHARACTERISTIC OF SMALL BUSINESS
Small business have their own distinctive characteristics. They are the following:
1. Independent management – The owner is also the manager.
2. Small capital requirement - Small business requires only the small capital and
this can be supplied by a single or few individuals.
3. Mostly local operation – Small business usually operates in a certain locality although there are cases
when the market is not confirmed to a local area.

LESSON 4:
ECONOMIC IMPORTANCE OF SMALL BUSINESS
Small businesses play an important role in the development of our economy.
They assume the following functions;
1. Providers of Economic opportunities for entrepreneurs
-people who do not feel comfortable as employees have the option of engaging in
small business operation.
2. Providers o of products and services to consumers
- the production of many products and services oftentimes not feasible with big and medium business operation.
This limited opportunities are naturally fitted for small business.
3. Supplier of Products and Services to other Businesses
- some business require raw materials, semi- finished part, finished components, or even labor, which
they cannot economically produce. The small businesses perform this task for them.
4. Distributors of Product and services of other Businesses
- some manufacturers do not have the ability to distribute their products and services. Many
small businesses assume this role for them.
5. Supporters of Government
- small businesses support the government with the taxes they pay, as well as performing other
functions.
6. Providers of Employment
- a large proportion of the labor force are employed by small businesses.