SELF-LEARNING MATERIAL

ENTREPRENEURSHIP - GRADE 12 (STEM, HUMSS, ABM & TVL)

THIRD QUARTER - Week 1- 4 - Lesson 1-2

MELCs/OBJECTIVE/S:
 Discuss the relevance of the course; explore job/career opportunities for entrepreneurship.
 Understand the importance of a business plan
Name of Learner: _______________________________________________ Date:_________
Grade & Section: ________________________________________________
A. PREPARATORY ACTIVITIES
Prayer
Lord true source of light and wisdom; give me a keen sense of understanding, a
retentive memory and the capacity to grasp things correctly. Grant me the grace to
be accurate in my expositions and the skills to express myself with thoroughness
and clarity. Be with me at the start of my work, guide its progress and bring it to
completion. Grant these through Christ, our Lord. Amen

Settling down: Reminders before doing this SLM

 Do your work diligently and refrain from doing other stuffs while doing this SLM.
 Manage your time while working; follow your class schedule.
 Review your answers before submission.
 Be on time on submitting your SLM.
 Keep an open line for communication, message or call your subject teacher for questions, clarifications and
concerns to be addressed.
B. DEVELOPMENTAL ACTIVITIES

Lesson 1: Planning the Enterprise

What is Entrepreneurship?

Entrepreneurship- It is a proactive process of developing a business venture to make a profit. It involves

seeking opportunities for market, establishing, and operating a business out of the opportunity, and assessing its
risks and rewards through close monitoring of the operations.

Here are the societal and economic benefits of entrepreneurship.

 Entrepreneurship produces more jobs that equate to an increase in national income.
 Entrepreneurship amplifies economic activities of different sectors of society.
 Entrepreneurship introduces new and innovative products and services.
 Entrepreneurship improves people’s living standards.
 Entrepreneurship disperses the economic power and creates equality.
 Entrepreneurship controls the local wealth and balances regional development.
 Entrepreneurship reduces social conflicts and political unrest.
 Entrepreneurship elicits economic independence and capital formation.

Who is an Entrepreneur?
The word “entrepreneur” has a French origin and was coined from the words entre, which means
“between”, and prendre, which means “to take”. Entrepreneur is a unique individual who has the innate ability and
extraordinary dedication to establish and manage a business, acknowledging all the risks and reaping its rewards. It
entails a holistic business talent to be considered one, ranging from product and marketing expertise to operations
agility, and to financial proficiency.

The world of entrepreneurship these days has already evolved, and new terms are coined to suit an
entrepreneurs’ field of expertise. Here are some:
Techno-preneur
 An entrepreneur who puts technology at the core of his or her business model.
Social entrepreneur.
 One who takes advantage of the country’s social problems and turn them to profitable institutions with the
intention of helping the disadvantaged community rather than making a profit.
Intrapreneur
 An entrepreneur in a large company or corporation who is tasked to think, establish, and run a new big idea
or project.
 Intrapreneurs are usually the product managers or the business development managers of a company.
Extra-preneur
 An entrepreneur who hops from one company to another to act as the innovation champion, providing
creative and efficient solutions

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Why do we need to study entrepreneurship? How does entrepreneurship affect us?
Entrepreneurship teaches us to.
• creates opportunity
• ensures social justice
• instills confidence
• stimulates the economy
• take risks
• fail and to persevere
• become creative, inventive, and innovative
The Role of Entrepreneurs in the Society
 They innovate
 They nurture healthy competition
 They allow money to circulate

What Makes Someone an entrepreneur?

Personal Attributes
 Creativity is the spark that drives the development of new products or services or ways to do business. It is
the push for innovation and improvement.
 Dedication is what motivates the entrepreneur to work hard. Planning of an idea must be joined by hard
work to succeed.
 Determination is the extremely strong desire to achieve success. It includes persistence and the ability to
bounce back after rough times.
 Flexibility is the ability to move quickly in response to changing market needs. It is being true to a dream
while also being mindful of market realities.
 Leadership is the ability to create rules and to set goals.
 Passion is what gets entrepreneurs started and keeps them there.
 Self-confidence comes from thorough planning, which reduces uncertainty and the level of risk.
 “Smarts” consists of common sense joined with knowledge or experience in a related business or endeavor.
Career Opportunities in Entrepreneurship
 Business consultant Business consultants provide advice about business issues, such as the development
and implementation of business plans, how to streamline operations or how to expand into a new market.
 Management analysts the person who evaluates a business' systems, procedures and operations, they may
also review a business' financial matters, such as the ratio of income to expenditures.
 Sales someone who works in sales or runs the department needs to know how businesses run. They need to
know how to represent a company, manage accounts, and follow up on leads.
 Research and development to work in R&D, you need to understand business concepts, procedures, and
practices. With all of the training and education someone has received learning about entrepreneurship;
they are well prepared for this type of position.
 Not-for-profit fundraiser being able to raise funds requires understanding the importance of business and
networking relationships. It is a great place for someone with this type of degree because you will have
experience in studying advanced concepts that can be used to your advantage on the job. \
 Entrepreneur an entrepreneur is an inside entrepreneur, or an entrepreneur within a large firm, who uses
entrepreneurial skills without incurring the risks associated with those activities.

1.1 WHAT IS A BUSINESS PLAN FOR?

Entrepreneurs who plan to enter any business endeavor must have a business plan on hand to guide them
throughout the process. Different business plans are prepared for different purposes. There are business plans
written prior to setting up an enterprise, which are like a prefeasibility study and feasibility study. Many new
enterprises need to convince prospective business investors about the soundness and potential of their business.
They need to convey the capabilities and competencies of their owners and managers. They must also be able to sell
the proponent and the business proposition to this audience. These are situations when a good business plan is
needed.

There are business plans that are written during the first years of the enterprise to guide the entrepreneur
on which strategies would be most beneficial for the enterprise to take. And there are business plans that are
focused on bringing the enterprise to a higher level of growth, a period where the enterprise has already reached its
peak and would want to enter another endeavor by recreating and re-establishing itself.

Clearly, a business plan serves many masters. First, it serves the entrepreneur who must set a navigational
course. Second, it serves investors and cautious financiers. Lastly, it serves the managers and staff of the organization
so that they will know the strategies and programs of the enterprise.

The business plan must have a specific audience in mind and what important questions do this audience
want answered. To aid the entrepreneur in getting his or her business plan organized, the following format be a good
start.

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 Format of a Business Plan

For each of the above items in the business plan, it would be good to have an idea of what they should contain.

1.2 CONTENTS OF THE BUSINESS PLAN

The Business Concepts and Business Models

The product concept must then be translated into a business model. A business model is a formula on how
the enterprise exactly plans to make money out of a business. There are four areas of moneymaking business model
must address:

1. How will the business raise revenues? What critical factors will cause the revenues to materialize?

2. What will be the costs of the enterprise products and other costs of doing business? How will these costs be
managed to ensure comfortable profits? What critical factors will drive the costs? How can these factors be
controlled?

3. What will be the major investments of enterprise? Why will these investments give the enterprise a competitive
edge?

4. How will the enterprise finance the investments? How will the enterprise fund its growth?

The Business Goals: Vision, Mission, Objectives, and Performance Targets

The business goals show future and long-term prospects of the enterprise. It is composed of the vision,
mission, objectives, key results areas, and performances indicators of the enterprise.

The Executive Summary

The executive summary contains everything that is relevant and important to the business audience. It is a
synthesis of the entire plan. It must contain the major argumentations of the business proponent on why the
business will work and succeed. It should provide the business plan audience all the arguments on why they should
participate in the business venture.

The executive summary should then introduce and highlight the good qualities of:

1. The business proponents and their partners.

2. The enterprise organization and its capabilities.
3. The technology providers and their expertise and experience; and
4. The suppliers and all the major service problems.
The Business Proponents

The third section of the business plan contains information about the business proponents or stakeholders.
There are four types of stakeholders:

1. Resource mobilizers and financial backers

2. Technology providers and applicators
3. Governance and top management
4. Operating and support team
The Target Customers and the Main Value Propositions

The business proponent must be very precise about the target audience or target customers. Target
Customers must be of sufficient size, sufficient paying capacity, and have sufficient interest to purchase the products
being offered by the enterprise. The Main Value Proposition is the unique selling proposition of the enterprise.

Market Demand and Supply, Industry Dynamics, and Macro Environmental Factors

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 The business plan should estimate the total market supply and demand for the product offering of the
enterprise. The business plan should then determine the major critical factors that influence this market demand and
supply.

The market analysis and forecasting exercise should lead to aa quantification of the current and prospective
size of the market. Both the current and potential consumptions should then be dissected.

The business plan should discuss the relevant industry dynamics:

 Who is the competing enterprise in the industry and what are their comparative advantages and
disadvantages? What business models and strategies are they employing?
 Who are the suppliers in the industry and what are their capabilities and bargaining power?
 What are the channels of distribution being used by the industry? How effective are these channels?
Social, Political, Environmental, Ecological and Technological Forces (SPEET)

Social Environment – includes the demographics and cultural dimensions that govern the relevant entrepreneurial
behavior.

Political Environment – defines the governance system of the country of the local area of business.

Economic Environment – is mainly driven by supply and demand forces

Ecological Environment – includes all natural resources and the ecosystem that defines the habitat of man, animals,
plants, and minerals.

Technological Environment – makes or breaks competing participants in any industry.

Products/ Services Offering: Description, Evolution, and Justification

The products / services must be described by highlighting the features and attributes that would most appeal
to the target customers. The business plan should also prove that the products / services would be accepted and
carried by the distribution channels.

Enterprise Strategy and Enterprise Delivery System

The business plan should expound on the Enterprise Strategy (ES) by mapping the competitive landscape and
by situating the enterprise and its competitors as to their strategies and chosen positionings. The business plan
should then show the Enterprise Delivery System (EDS) would enable the business to implement the Enterprise
Strategy.

The Enterprise Delivery System starts from the Input (resources mobilized), proceeds to the Throughput (the
transformation process where input are converted to output) and produces the Output (the products / services). The
output is then marketed to the costumers (in the case of goods) or experienced by the customers (in the case of
services). Customer’s satisfaction level, profits generated, and the performance of people from the transaction are
the Outcomes of the EDS.

These resources become the input (money, men, machines, materials, methods, and management) which
the operations unit within the EDS (i.e., the manufacturing or service delivery personnel) will convert or transform
into output.

The output will then be delivered to the customers through the Marketing Unit of the EDS. The
products/services of the enterprise are positioned to meet the requirements of the selected market segment by
choosing the right packaging, pricing, promotions, people for selling and distribution, and places or locations where
the targeted customers can be best found.

The EDS serves as the enabler of the Enterprise Strategy. The business plan must demonstrate how the EDS
and ES tandem lead to the attainment of the desired enterprise outcomes.

These business outcomes should reasonably include:

 High customer satisfaction levels:

 High sales volume, market share, and market reach:
 High financial returns; and
 High people performances, productivity, and morale levels.
Financial Forecast: Expected Returns, Risks, and Contingents

The business plan must translate everything that we have discussed so far into financial forecasts and
outcomes.

From the financial forecasts, the business plan should then calculate the expected returns from the business.
The important return calculations are the following:

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 1. Expected return on sales
2. Expected return on assets or investments; and
3. Expected return on stockholder’s equity
Environmental and Regulatory Compliance

The business plan must articulate the laws, rules, and regulations governing the business, and the industry
that the enterprise is in. It should ascertain that all the necessary permits, license, and authority to use proprietary
intellectual capital had either been secured or would be secured.

Capital Structures and Financial Offering: Returns and Benefits to Investors, Financiers, and Partners

Finally, the business plan must appeal to its target audience. It must highlight for the main features of the
business plan that they are looking for.

Lesson 2: Opportunity Seeking, Screening, and Seizing

2.1 Opportunity Seeking

Entrepreneurs create value by introducing new products or services or finding better ways of making them.
These may include innovation in terms of product design or addition of new product features to existing ones. They
may also think on improving their operational capability by employing new technologies that will bring them greater
efficiency, better economies, and even enable them to reach unparalleled superiority. They may also consider
expanding their reach by creating new markets or maximizing existing market reach. At the highest level,
entrepreneurs may totally change the prevailing business paradigm by rendering it obsolete through the
introduction of disruptive technologies, processes, and system.

Entrepreneurial Mind frame, Heart Flame, and Gut Game

The entrepreneurial mind frame allows the entrepreneur to see things in a very positive and optimistic light
in midst of crisis or difficult situations. Instead of being discouraged, the entrepreneur can use these problematic
situations as inspiration in creating something innovative. In fact, in Chinese writing, the word crisis is composed of
two characters. The first character means danger while second character means opportunity.

If there is one commonality between an inventor and an entrepreneur, it is their surging passion or the
entrepreneurial heart flame. Driven by passion, they are drawn to find fulfillment in the act and process of discovery.
The heart flame is also about emotional intelligence or EQ, which is often manifested in the entrepreneur’s effort to
nurture relationships with customers, employees, and suppliers.

The final ingredient is the entrepreneurial gut game. This refers to the ability of the entrepreneur to sense
without using the five senses. This also known as intuition.

The Many Sources of Opportunities

There are many ways to uncover or discover opportunities. Some have to do with looking at the big picture
and noticing emerging trends and patterns. Others have to do with finding out what specific customer segments are
being targeted in the marketplace. Still, others come from new technologies and new knowledge. These different
sources of opportunity are discussed in this lesson.

Marco Environmental Sources of Opportunities

The macro environment refers to the “big or macro forces” that affect the area, the industry, and the market,
which the enterprise belongs to. They influence how business should be conducted, how consumers will behave,
how supply and demand will move, how different competitors would position themselves, and how the cost of doing
business will proceed.

The macro environment forces can be divided into five categories composed of the Social, Political,
Economic, Environmental, Technological dimensions or SPEET. The macro environment forces create their own
opportunities for the enterprise to exploit, and their own threats for the enterprise to counteract.

Industry Sources of Opportunities

After the macro environment, the next biggest sources of opportunities are the industry and the market.
One of the most difficult aspects about industry analysis is defining what constitutes and industry in the first place.
The proper classification of what industry the enterprise is competing in is important if the entrepreneur’s intention
is to define who are the relevant customers, who are the direct competitors, and what are the critical characteristics
of the market as to quality of products or services to be delivered.

Participants in an industry include:

1. Rivals or competitors in a particular type of business (e.g., Jollibee vs. McDonald’s, Coca-Cola vs. Pepsi,
Samsung Galaxy vs. Apple’s iPhone, etc.). true rivals or competitors are those competing for the same or
similar markets.
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 2. Suppliers of input (e.g., fuel, electricity, raw materials) rivals as well as suppliers of machinery and
equipment, suppliers of manpower and expertise, and suppliers of merchandise.
3. Consumer market segments being served by rivals or competitors.
4. Substitute products or services, which customers shift or turn to.
5. All other support and enabling industries.
A thorough analysis of industry structure and dynamic yields opportunities for the clever entrepreneur. Situating
his or her enterprise within the realm of an industry provides many profitable opportunities for the entrepreneur.

There are several ways of defining an industry. The most common way of defining an industry is according to
product types or according to the functions of the product or service. Classic examples of these industries include
computer industry (Microsoft vs. Apple), beer industry (San Miguel Beer vs. Beer na Beer), fast food industry
(McDonald’s vs. Jollibee), and cola industry (Coca-Cola vs. Pepsi Cola).

Another way of defining an industry is by tracing the industry from its most basic raw material down to its
various consumer applications, otherwise known as product or value-added chain. The difference between the
product and value-added chain is the focus of analysis. Product chain focuses on the volume produced or converted
at each link of the chain. On the other hand, the value-added chain focused on the economic rather than the volume
aspect of the chain.

The value-added chain follows the product chain but concentrates on the ‘value’ added from one stage of the
production to the other – a value that is given by the market price differential between stages of production. The
differential would include the additional costs of processing the product from one stage to the next and the profit
margins added on each stage by the processor (or distributor).

The entrepreneur should always be alert in detecting windows of opportunities emanating from shifts in the
industry power equation or changes in the industry rules of the game.

Market Sources of Opportunities

Market trend analysis is also conducted by determining the critical variables, which would most likely affect
the future directions of the industry. Market traits, characteristics, and behavior are identified to match these
customer traits with the product offerings of the enterprise.

Market sources of opportunities can be discovered from increased or decreased demand as well as higher or lower
supply. An example of this is the battle of the value/combo meals, otherwise known as “more-for-less” strategy in
the fast-food restaurants industry. The demand for more affordable but filling meal is continuously growing
particularly for the working population.

Micro market

Micro market refers to the specific target market segment of a particular enterprise. These are the target
customers that represent the immediate customers of an enterprise, meaning those who are currently buying the
goods or services offered by the enterprise and its direct competitors. It likewise pertains to a clearly defined
location or specific customer group that an enterprise wishes to serve.

Consumer Preferences, Piques, and Perceptions

Consumer preferences refer to the taste of groups of people. Some examples are the clothes people wear,
the food they eat, the music they listen to, and the movies they watch. The costumer’s age, culture, and status affect
their preferences. In contrast, consumer dislike refers to the things that irritate customers. Either way, the
entrepreneur can explore opportunities brought about by consumer preferences or dislikes.

There are times when the product is not changed by the enterprise but what changes is the way consumers
perceive the product. A classic example is Listerine mouthwash. It was offered as a surgical antiseptic and, later, a
cure for athlete’s foot during the war.

Other Sources of Opportunities

As an opportunity seeker, the entrepreneur will surely discover other sources of opportunities. Unexpected
success (or failures) can lead to good opportunities.

Another potential source of opportunity is the entrepreneur’s own set of skills or expertise, or hobby. New
knowledge as well as new technology can be the source of highly innovative opportunities.

1. Costumer preferences change over time.

2. People’s taste in clothes, music, shoes, entertainment, dance, sports, hobbies, and even careers have
evolved over the years.
3. What piques customers is great source of opportunities.
4. Before the customers is won over, there is first a battle for the mind. Next, there is a battle for the heart.
Finally, there is a battle for the wallet.
5. The longer the customer wants to use the product, the greater the chances of creating lasting loyalty.

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 6. Opportunities abound in shaping consumer perceptions or occupying spaces in their minds or places in their
hearts that have not yet been filled.
7. New inventions, new systems and work processes, new insights about the human psyche, new applications
for old knowledge, new revelations about how the physical world works, new interpretations, new
combinations based on the convergence of previous technologies, new outlooks about how life should be
led, and host of other new things are tremendous sources of opportunities.
8. Determining personal preferences and competencies lay the foundation for a new business venture.
9. Unexpected occurrences in both the external and internal environment of the enterprise indicate the
significant changes are happening and opportunities are sprouting.
2.2 Opportunity Screening
Opportunity seeking comes the rigorous process of opportunity Screening. Because of the many
opportunities possible for the entrepreneur, it is important to come up with a short list of a few very promising
opportunities, which could be scrutinized in detail.

The Personal Screen

In screening opportunities, the entrepreneur first has to consider his or her preferences and capabilities by asking
three basic questions:
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?
If “YES” is your answer to all the above, then you can begin your earnest pursuit of that opportunity.

The 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 Entrepreneurial 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 Required. Opportunities requiring fewer resources from the entrepreneur may be more favored
than those requiring more resources.
12. Risks. In an entrepreneurial endeavor, there will always be risks. However, some opportunities carry more
risks than others, such as those with high technological, market, financial, and people risks.

Opportunity Screening Matrix

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Factors That Are Contained in a Pre-feasibility Study
This ultimate goal of doing the opportunity screening matrix is to narrow down the many opportunities into
one or two most attractive ones. This time, the entrepreneur must go down to the details and take time to consider
the following factors that are contained in a pre-feasibility study:
1. Market potential and prospects
- Based on the estimated number of possible customers who might avail of the product or service.
It would help you to narrow down your estimation to relevant population or target customers in
the area where you want to operate your business.
- Several factors that the consumer consider making final choices on what to buy. (1) their
purchasing power or disposal of income, (2) their proximity or accessibility to the goods or
services, (3) their individual desires and preferences, (4) their age or generation grouping, (5)
their social, cultural, or ethnic background, (6) their peer group preferences, (7) their gender, (8)
the season of the year, (9) their personal identification will trend setters, (10) their educational
attainment, (11) their technical proficiency and product expertise, (12) their motivational
impetus,(13) their lifestyle preferences; (14) their susceptibility to certain advertising and
promotional appeals, and many others.

2. Availability and appropriateness of technology

- To get the enterprise going, the entrepreneur must go through the intricacies of detailing the
operations that would be required by the business, which also includes technology assessment.
There are at least four target customer expectations affecting the scale and complexity of an
enterprise’s operations: (1) Quantities Demanded (2) Quality Specifications Demanded (3)
Delivery Expectations (4) Price Expectations.

3. Project investment and detailed cost estimates

- The entrepreneur needs to determine how much money is needed to start the business
opportunity with consideration to the technologies and operating levels required. In this respect,
there are three investments that need to be funded: (1) Pre-Operating Costs (2)
Production/Service Facilities Investment (3) Working Capital Investment: it includes the following
operating expenses (a) employee salaries, wages, and benefits, (b) rent and lease expenses, (c)
utilities, (d) transportation, (e) fees and licenses, (f) commissions, (g) office supplies, etc.
- In effect, this part of the pre-feasibility study asks two questions. (10 Do I have enough resources
to cover the necessary investments? (2) Would my sales estimates be significantly higher than
my monthly production/service costs to produce profits?

4. Financial forecast and determination of financial feasibility

- Financial forecasting calls for the creation of the four critical financial statements: namely (1)
income statement; (2) balance sheet; (3) cash flow statement; and (4) funds flow statement.

Things to Consider in Writing the Feasibility Study

1. A more in-depth study of market potential to ensure that the business proposal will reach the forecasted
sales figures
2. Proof that the product or services being offered has the right design, attributes, specifications and preferred
features
3. Proof that the entrepreneur and his or her team have the necessary experience, skills, and capabilities to
maximize the venture’s chances of success
4. Legal visibility
5. More detailed costing on the different assets and more justification for the production and operating
expenses
6. More thorough analysis of the technology and its sustainability

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2.3 Opportunity Seizing
The question for the entrepreneur in Opportunity Seizing is…
“Will I be able to manage, to my advantage, the critical success factors and avoid the critical failure factors?”
The critical factors may change depending on what market segment the enterprise is addressing. If the market
segment wants very high-quality products and can tolerate higher prices, the critical success or failure factors here
would be different from a market segment that is very price conscious but is not too demanding on quality. Thus, it is
important for the entrepreneur to establish the positioning of the business enterprise in the marketplace.
Key Points in Going about the “Questioning” to Craft a Positioning Statement
1. What are the main customer segments?
2. What are the different products attributes and features of each of the competitors?
3. What are the existing marketing practices of the various competitors?
4. What are the market preferences of consumers when it comes to the products being offered?
Grids for Competitor Analysis

Options or Directions in Coming up with a Product/Service Concept

1. The first is to create a concept like the winning products in the marketplace and ride with the obvious market
trends
2. The second is to find a market niche that has not been filled by the competitors.
3. The third is to conceptualize a product in a positioning category where the participants are rather weak.
4. The fourth is to conceptualize a product that would change the way customers think, behave, and buy, thus
making existing products “obsolete” and “old-fashioned.”
Designing, Prototyping, and Testing the Product
Designing means that the entrepreneur must render the concept and translate it into its very physical and
very real dimensions (measurement). This entails building a prototype of the product that will be ready for actual
testing by the entrepreneur and then, later, subject to testing by potential customers through focus group
discussions (FGD), surveys, product demonstration sessions, and the like.
Implementing, Organizing and Financing
Good planning and good programming are essential to have good implementation. The entrepreneur must
begin with the end in mind, or his or her desired end results, for the chosen opportunity. End results refer to the final
outcomes of the business, such as highly satisfied customers, huge sales realized, large profits generated, etc. A good
planner and programmer must make several important choices to achieve the desired end results.
1. Choose the correct technology, the one that would produce the output that would meet the quality
specifications of the customers.

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 2. Choose the right people who can perform the technical and the managerial functions necessary to realize the
desired end results.
3. Design the operating workflow that would assure the effective, economical, and efficient production of
output.
4. Specify the systems and procedures that would govern the enterprise, motivate, and discipline the work
force and satisfy the customers.
5. Design the organizational architecture that would allow the people to function at their best.
Given the above considerations, the entrepreneur must be diligent in taking the necessary steps toward determining
the required resources. These resources include people resources, physical resources, and peso or money resources.

Closing Prayer
May God the Father bless us, may God the Son heal us, may God the Holy Spirit enlighten
us, and give us eyes to see with, ears to hear with, hands to do the work of God with, feet
to walk with, and mouth to preach the word of salvation with, And may the angel of peace
watch over us and lead us at last, to the Lord's gift to the kingdom. Amen

REFERENCES
Morato, Dr. E.A. Jr.(2016). Entrepreneurship. Philippine. Rex Book Store, Inc.
January 12, 2021 https://www.slideshare.net/NenzkieMojares/entrepreneurship-overview

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 ACTIVITY SHEET
ENTREPRENUERSHIP - GRADE 12 (STEM, HUMSS, ABM & TVL)
THIRD QUARTER - Week 1-4 - lesson 1-2

Name of Learner: _______________________________________________Date:___________

Grade & Section: _______________________________________________
Activity 1:
1. How Entrepreneurship helps our economy? Cite an example.

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2. What are the major threats in supply and demand situation in the future?

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3. What is the importance of business plan?

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Activity 2:
How does your Business Plan look like?

Create your own simple business plan for your future business. (provide extra sheet of paper.)

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