ENTREPRENEURS

• Someone who exercises initiative by organizing a venture to take benefit

of an opportunity and as the decision maker decides what, how and how
much of a good or service will be produced.
Source of new ideas, goods, services and business/ procedures.

Businessman
 Starts a business from
 an existing idea or concept
 Focuses on cooperation
 Traditional
 Stays safe
 Profit oriented
 Hire people to increase
 business productivity
 A market player

Entrepreneur
 Starts a business from his own unique idea or concept
 Focuses on cooperation
 Innovative and revolutionary
 Risk taker and accountable
 ,People (i.e., employee customer, public) oriented
 Hire people to give them productivity
 A market leader

Characteristics of an Entrepreneur
 High Energy Creative People
 They Have Vision
 They are focused
 Always have a plan
 Resourceful
 They build an engaged tribe

3 Essential Activities
 Opportunity Seeking
 Screening
 Seizing

ENTREPRENEUR'S OPPORTUNITY ESSENTIALS SEEKING

Entrepreneurial Mind Frame

-See things in a very optimistic light in the midst of crisis or difficult situations.
Entrepreneurial Heart Frame
-Driven by passion, it finds fulfillment in the act and process of discovery.
Entrepreneurial Gut Game
-Ability of the entrepreneur to sense without using the five senses which is commonly know as intuition.

MACRO ENVIRONMENT
1. Socio-Cultural
2. Political
3. Economic
4. Ecological
5. Technological

INDUSTRY SOURCES
 Rivals or competitor in a particular type of a business.
 Suppliers of input to rivals as well as supplies of merchandise.
 Consumer market segments being served by rivals or competitors.
 Substitute products or services, which customers shift or turn to.
 All other support and enabling industries.

MARKET SOURCES
1. Demand
2. Supply
3. Product Substitute

MICRO-MARKET
-Refers to the specific target market segment of a particular enterprise.

TARGET CUSTOMERS
-immediate customers of an enterprise, who are currently buying the goods or services offered by the
enterprise and its direct
competitors.

Consumer Preferences, Piques and Perceptions

• Consumer Preferences- refers to the tastes of particular groups of people
Significant Steps:
1. Awareness of the consumer to the new product must be generated
2. Arousing the customers' interest to buy
3. Evaluation of the Product
4. Decision to Purchase the product:
5. Build brand loyalty and retain the customer.

Other Sources
1. New knowledge
2. New Technologies
3. Skills/ Expertise
Opportunity Screening - The Process of cautiously selecting the best opportunity

The Personal Screen

1. Do I have the drive to pursue this business opportunity to the end?

2. Will I spend all my time, effort, and money to make the business opportunity work?
3. Will I sacrifice my existing lifestyle, endure emotional hardship, and forego my usual comforts to
succeed in this business opportunity?

12 Rs of Opportunity Screening

1. Relevance to vision, mission, and objectives of the entrepreneur. The opportunity must be
aligned with what you have as your personal vision, mission, and objectives for the enterprise
you want to set up.
2. Resonance to values. Other than vision, mission, and objectives, the opportunity must match
the values and desired virtues that you have or wish to impart.
3. Reinforcement of Entreprenential Interests. How does the opportunity resonate with the
entrepreneur's personal interests, talents, and skills?
4. Revenues. In any entrepreneurial endeavor, it is important to determine the sales potential of
the products or services you want to offer. Is there a big enough market out there to grab and
nurture for growth?
5. Responsiveness to customer needs and wants. If the opportunity that you want to pursue
addresses the unfulfilled or underserved needs and wants of customers, then you have a better
chance of succeeding.
6. Reach. Opportunities that have good chances of expanding through branches, distributorships,
dealerships, or franchise outlets in order to attain rapid growth are better opportunities.
7. Range. The opportunity can potentially lead to a wide range of possible product or service
offerings, thus, tapping many market segments of the industry.
8. Revolutionary Impact. If you think that the opportunity will most likely be the "next big thing"
or even a game-changer that will revolutionize the industry, then there is a big potential for the
chosen opportunity.
9. Returns. It is a fact that products with low costs of production and operations but are sold at
higher prices will definitely yield the highest returns on investments. Returns can also be
intangible; meaning, they come in the form of high profile recognition or image projection.
10. Relative Ease of Implementation. Will the opportunity be relatively easy to implement for the
entrepreneur or will there be a lot of obstacles and competency gaps to overcome?
11. Resources requires. Opportunities requiring fewer resources from the entrepreneur may be
more favored than those requiring more resources.
12. Risk. In an entrepreneurial endeavor, there will always be risks. However, some opportunities
carry more risks than such as those with high technological, market, financial, and people risks.

These 12 criteria can be better managed if quantified and formed into a matrix to help the entrepreneur
concretize the evidence that the chosen opportunity (or opportunities) is well worth pursuing.
o Rating x Weight=Score
o Note: Criteria numbers 1 to 10 are positive indicators, meaning, the more of them, the better.
o Criteria number 11 and 12 are negative indicators, meaning, the less of them, the better.
o Hence, the rating system is reversed for the negative indicators
o Weight will range from 1 to 4 depending on the weight or importance of the criteria