Enterpreneureship

Definition of entrepreneurship
What is meant by entrepreneurship? The concept of entrepreneurship was first established in the 1700s, and the meaning has evolved ever since. Starting one's own business. Entrepreneurship is defined as the process of making money, earning profits and increasing the wealth through such as risk taking, management, leadership and innovation. The term Entrepreneurship is a complicated term and gives various meaning depending on the situation. The process of bearing risk of running a business

What is entrepreneur?
A Person who is takes risk of converting a new idea in to reality. Requirement to be an entrepreneur Innovation Creativity Risk taking Passion Realistic view Leadership Three key processes Idea generation Creativity Opportunity recognition

Difference between an entrepreneur and an intrapreneur:

An Entrepreneur is someone who has the skills, passion and financial backing to create wealth from new business opportunities and is willing to take full responsibility for its success or failure. An Intrapreneur is someone who manages that business with entrepreneurial flare in line with the expectations of the shareholders.
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Entrepreneurs Entrepreneurs is employer Bear all the risk May not have formal qualfition Do not have any boundary for operation

Intrapreneurs Intrapreneurs is a employee Does not bear the risk Should have some professional or technical qualifition Operate within the ogranition policies

Charteristic of entreprenurship
Ability to deal with a series of issues Ability to create solution and work to perfect them Can handle many tasks Willingness to work hard and not expect easy solution Possess well developed problem solving skills Ability to learn and acquire the necessary skills for the tasks at hand

6 Inexcusable Mistakes of Entrepreneurship.

There is very frustrating to see a powerful business destroyed by silly silly mistakes.There is a list of 7 inexcuseable mistakes 1. Owning an idea instead of a business: This is the first and most critical error of entrepreneurship! A lot of people own ideas that they claim would change the world, but they do not own a business. One of the very controversial blogs is titled Why Writing a business plan destroys entrepreneurship. In that article it is written that why business plans are the greatest stumbling block for entrepreneurs, not because they are unimportantbut because they discourage the execution of ideas by causing the writer to over think versus execute. Mark Zuckerberg the CEO of facebook was sued for over $120 million because he allegedly executed an idea that was not his.but the fact is this, if he never executed the idea, facebook would never have been created. Remember owning an idea is not the same thing as owning a business. 2. Investing in everything but yourself: People would spend thousands of dollars building a state of the art website or restaurant, but would not spend a dime to teach themselves how to market their business. And the key reason is that they fail to see themselves as an important part of their business. If you want your business to succeed you have to ensure that you are spending ample time investing in yourself. Your investment does not need to be financial it could be as simple as reading the right type of business book or attending a free conference that relates to your business. As long as you make a conscious effort to invest in yourself your business will flourish. Ensure you invest in yourself.

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3.Signing Verbal Contracts: a verbal contract is as good as the paper it is written on. We have seen childhood friendships, family relationships and even marriages destroyed because of the verbal contract error. The reason is because a verbal contract is interpreted differently by each party involved and even when all parties are in unified understanding of the contractit is hard to enforce. When you talk to your clients or entrepreneurs about business transactionsyou always insist that every single thing no matter how trivial, should be written into a contract! you dont care if it is a family member or even your wifewrite a contract! Even when you am working with your brother on your website you write a contract. Executing a business transaction/activity without a written contract is like running a country without a constitution. 4.Working for FREE in hopes of being suddenly discovered: We have seen so many people used and abused by thisunless Oprah Winfrey calls you to do a show for free, you should never ever work for free. This is a mistake that you repeated over and over again in your speaking business. Set a reasonable value for your time and services you begin to grow your business and grow less frustrated.People are desperate to make a name for themselves give out their services for free and sometimes even pay to give out their services for free. 5.Ignoring Social Media: By ignoring the social media was the same reasoning and mentality that led to the near extinction of businesses such as Barnes/Nobles and the New York times. Both companies had respectively/initially disregarded the e-books and website newspapers as fads. But within the last few months, both industries have revamped their entire marketing structure to fit the e-model. The same change is happening continually in businesses as marketing methods continually evolve daily. 6. Electrocuting your clients: Everyday on facebook some poor soul is getting his or her wall bombarded with hundreds and hundreds of birthday wishes and smiley faces. Now there is nothing wrong with this, the only problem is that it is impersonal and easily forgotten. Unfortunately, lots of businesses treat their clients in the same way, resorting to automated email messages and pre-printed cards to stay in touch. Their use of electronic communication is so excessive that they lose an opportunity to make a special connection with their clients.Thus a personal phone call is worth more than a facebook wall post. Likewise a simple handwritten note is always worth more than an email. Stop electrocuting your clientswrite a personal note.

Skills of entrepreneur
Management skills the ability to manage time and people (both oneself and others) successfully Communication skills (e.g. the ability to sell ideas and persuade others) The ability to work both as part of a team and independently
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Able to plan, coordinate and organize effectively Financial literacy Able to research effectively (e.g. available markets, suppliers, customers and the competition) Self-motivated and disciplined Adaptable An Innovative and creative thinker The ability to multi-task Able to take responsibility and make decisions The ability to work under pressure Perseverance Competitiveness Willingness to take risks (or at least not risk averse) Ability to network and make contacts

Why People Want to be Business Entrepreneurs?

. In these times of economic crisis, we are taken by surprise by the fact that more and more people decide to set up their own businesses and venture in the world of entrepreneurship. This is crucial to the economy of every country and it can have a positive effect not just on the individuals, but also on the overall economy by redirecting cash flow to more profitable activities and supporting economic growth. These are a few of the main reasons why people decide to become entrepreneurs: 1. A need for financial independence and security Setting up and managing your own business can be a tricky and stressful endeavor; however, it can prove to be very profitable. Having your own business can result in financial independence and this is an enormous accomplishment for most people, especially when the economy is in a period of decline.

2. Frustration with their current workplace or career Some people become frustrated with their past achievements and feel like their current career path is not going the way they expected or fulfilling their personal aspirations. The feeling of
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reaching a dead end is what motivates them to make the brave decision of giving up on their current job and take on the challenge of setting up their own business. Some of these entrepreneurs were also employees with many years of experience in a certain field that saw the shortcomings of that industry and decided to introduce innovating ideas on the market and benefit society. 3. A desire for achievement and self-fulfillment For many, having a business of their own is a childhood dream or a lifelong aspiration. The natural desire to fulfill this ambition will drive some people to pursue their goal of becoming entrepreneurs. Having your own business can bring a lot of satisfaction and a deep sense of achievement. This is especially true for people who have an inborn entrepreneurial spirit: they are excited by the challenge and they enjoy taking risks. 4. A need for having a stable income The current state of the economy has resulted in a dramatic increase in the unemployment rate. Many of the people who lost their jobs are forced by the circumstances to search for new ways of earning a living and supporting their family. For some, setting up a business can be the way to regain their financial stability. 5. A willingness to invest their resources People who are already wealthy may find that setting up a business can be a good way of creating more wealth and generating a steady flow of income. Investing in the right business can be immensely profitable and increase ones net worth. Entrepreneurs come from all the paths of life. The diversity of reasons to become an entrepreneur accounts for a large number of businesses being opened at any given time. However, it also explains why some businesses are a huge success, while others fail. At the same time, this variety in mentality and motivation is what makes the corporate world so interesting and unpredictable.

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Myths of entrepreneurship

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How start a new business by entreprenurs

STEP 1 Business Ideas To start a business you will need to choose or create a business idea. While this is an obvious step many people who want their own business don't have an idea, just the desire to be an entrepreneur. For the budding entrepreneur, there are many options; buying a franchise or an existing business, or looking to others for ideas for a start-up business. Once you have decided on the business you wish to start, then the real work begins. STEP 2 Business Plan Writing a business plan is your next and most important step, this is how you and others will evaluate your business. When seeking financing the investors or lenders will want to read your plan before they supply you with funding. If you're financing the business yourself, you will still want to have a written plan to develop business strategies and financial projections. A key element within the business plan is the marketing plan, which explains marketing strategies that will be used to advertise and promote the products or services. The goal setting steps of the plan will help you to analyze the success of the business in future years and clearly illustrate the capital needed to operate the company to break-even. STEP 3 Financing With your business plan in hand, you are ready to go find yourself some capital. Most small businesses have three options for financing: friends & family, investors or bank loans. Each of these options has different considerations for the business. Investors and even friends & family usually want ownership and control of their portion of the business. Bank loans burden the business with an additional expense of the loan payment, which can erode the business profits. STEP 4 Getting started You've got the plan, the money and the enthusiasm; you're ready, right? Not yet, as with everything you need to take the legal issues into consideration. First you should choose a legal structure: Sole Proprietorship, Partnership, or Corporation. Your financing decisions will have an effect on what legal structure you choose. Now you can file with the state to incorporate and obtain a federal Identification number. STEP 5 Opening the Doors Okay, it's time to get on the road to making some money; this of course means spending money. Where are you going to run your business? Will a home office do or is commercial space needed to service your customers? Do you need to hire employees to help you run the business? What are your bookkeeping needs, do you need an accountant? Finally, who could forget taxes, what taxes do you have to pay and collect? Now that your business is through the start-up phase, you can now look forward to the issues of managing a small business.

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Enterpreneur VS Administrator

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