JUDITH B.

VARGAS
MINI TASK 1
1. Discuss entrepreneurship as a self-employment decision and its advantages and disadvantages.
When you decide to be an entrepreneur, it a biggest decision for your entire career.
Entrepreneurship as said to be considered as self-employed career, to build, develop and manage
a business. This requires creativity, patience, with great social skills and managerial skills. There
are advantages and disadvantages that you may consider if you are deciding to put up a business.
One of the great advantages of this is work freedom. You are free to do the work in whatever you
want, and you are free to choose when and how to work in your business. This also applies in
decision making, you decide everything for your own business without consulting to a boss. You
have also the power to choose who you work with; you are your own boss. You can build your
business with the people who share a same vision as you. Unlike in a company, they decide how
much your salary is, but here when you run your own business your income is decided by you.
And this will build your confidence, in building a business this require great courage, you need to
be brave to take a big risk to invest for your business. You need to believe to yourself that you can
make this and face all the challenges.
And for the disadvantage, number one is risk of failure. If there is a high chance to gain profit,
there is also a high risk of failure. There is a chance of going to bankrupt if the business does not
work out. There is also no assurance of income every day, I think this be based on what kind of
business you build. Uncertain incomes will result to your bankruptcy.
2. Discuss the theories of entrepreneurship. Types of entrepreneurial ventures
Economic Theory of Entrepreneurship
This theory explores the relationship between economic conditions and entrepreneurial activity. It
is said that if the economy is doing well, more opportunities for business to succeed. As
entrepreneur their motivation for this is the economic incentives such as taxation policy, industrial
policy, sources of raw materials and finance. One of the examples given here is a farmer who
pays a contractual incomes to the laborer and landlords, which are certain while sells his crops at
a given price, which is uncertain.
Sociological Theory of Entrepreneurship
This theory focus on social culture of a society. Which helps the entrepreneur to think what kind
of business to build. In this theory, an entrepreneur is influenced by the society’s values, religious
beliefs, customs and traditions. They believe that understanding these factors can help the
entrepreneur assess their own situations and create successful entrepreneurial activities.
Entrepreneurship Innovation Theory
As Schumpeter’s example was the combination of a steam engine with wagon cart, to produce a
horseless carriage. In this theory, entrepreneur introduce innovates products to the market. One of
a primary role of entrepreneur is to introduce a new product that most people find interesting and
creative. Most of the innovation are made because it helps us for our daily living.

Types of Entrepreneurial Ventures

1. Small business – most likely a small business that make profit to supports family.
2. Large company – is when a company has finite amount of life cycles. This for professional
who know to sustain innovation.
3. Social entrepreneurship – who wants to solve social problems with their products and
services. Their main goal is to make the world a better place.
 4. Innovative entrepreneurship – they are the people who are willing to work hard and put
constant effort. Start to a small business toward a growing a bigger business.
5. Buyer entrepreneurship – who uses wealth to fuel their business ventures.
3. Who is an entrepreneur and its value to oneself and the society.
An entrepreneur is the one who starts and runs a business. This individual is responsible in taking
risk and rewards in his/her business. The one who has a quality of being a leader, with great
decision-making, good planning and managerial skills.
4. Recognizing the impact and value of entrepreneurship to the Philippine economy
Entrepreneurship as discussed is the engine of economic growth. This is greatly big contribution
in our economy growth. Entrepreneurs create new business and this turn to be opportunities to
hire people for employment. As they grow in economy, numbers of opportunities will be given to
those who are looking for employment. Entrepreneurs also increase competition and boost their
productivity. With this competition some companies will start to evaluate their business and
improve the quality of their work. They also introduce innovative technologies which help our
country to be known. Innovation to provide solutions in different work and use their creativity,
knowledge, in terms of technology and science, this will result in great contributions to the
economy.

5. Enabling and disabling factors of Entrepreneurship

Enabling factors
1. Creativity
2. Risk Tolerance
3. Innovation
4. Leadership
Disabling factors
1. Lack of resources
2. Lack of customers
3. Lack of access
4. Lack of utilities
5. Lack of Security