Entrepreneurial Mind

Exercise 1

Name: Sobremonte, Joyce Anne B. Score:

Course & Year: BSBA 2 Date: January 20, 2024j

The following are questions that a potential entrepreneur must ask himself/herself before setting up
a new business. A Yes or No is highly recommended. If your answer is Yes, rate your answer
according to your level of interest.

Yes No

1 2 3 4 5
Yes
1 Am I a planner, dreamer, or a goal setter?
Yes
2 Do I offer a product that people want to buy?
Yes
3 Do I have enough resources to start my business?
Yes
4 Will my business plan allow cash to flow as soon as possible?
Yes
5 Am I working around a tight budget for my expenses?
Yes
6 Do I have good credit status?
Yes
7 Am I expecting too much from my revenues as a result of my hard
work?
Yes
8 Am I ready to assess and measure everything before putting it out
for the Public?
Yes
9 Do I have strong people skills?
Yes
10 Do I enjoy making decisions and being in charge?
Yes
11 Am I good at short-range and long-range planning?
Yes
12 Am I willing to take initiative when confronted with difficult
situations?
Yes
13 Am I flexible and can adapt to changing circumstances?
Yes
14 Am I willing to take calculated risks?
Yes
15 Am I ready to learn and accept the mistakes that I might encounter
along the way?

The Management Task

Charlotte started with Php 300,000 from her savings and Php 150,000 from a bank loan. She
used the bank loan to purchase sewing machines. She also used some money for the construction
of the tailoring shop. She bought sewing materials and supplies which included textiles, threads,
zippers, buttons, scissors and tailor chalk, etc. She also hired two sewers.
With the resources, she sought to at least break-even in her first year of operations. She set
her price, target sales, costs and expenses. She divided work between the two dressmakers/tailors,
motivated them, and checked their progress.
At the end of year 1, Charlotte has Php 62,500 in net income and Php 168,500 in cash.
Henceforth, she plans to cater to a more diverse set of customers and expand her business.

Questions:
1. Do you think Charlotte is a good manager? Why?
Yes. Charlotte showed great management skills by using her savings and a bank loan to start her
business. She made smart decisions about how to use her resources, like buying the right
equipment and hiring skilled workers. This helped her business make a profit of Php 62,500 in its
first year, which is a great achievement.
2. What made Charlotte’s business a success? Elaborate your answer.
Charlotte's success in her tailoring business can be attributed to several key factors. Firstly, she
offered high-quality products and services that appealed to her target market of women in their 20s
to 40s. This helped her build a loyal customer base through word-of-mouth referrals. Additionally,
Charlotte employed effective marketing strategies, such as offering discounts and promotions, to
attract new customers and increase sales.

Another important factor in Charlotte's success was the location of her tailoring shop, which was
situated in a busy area with a high foot traffic. This made it easier for customers to find and access
her business. Furthermore, Charlotte managed her employees well, which boosted their morale and
productivity, leading to improved quality of services and increased customer satisfaction.

Charlotte's ability to adapt to changes in the market and customer preferences also contributed to
her success. By staying competitive and continuing to evolve, she was able to maintain her
business's growth. Lastly, Charlotte managed her finances effectively, allowing her to invest in
necessary equipment and supplies, cover her expenses, and generate a profit.

Overall, Charlotte's success in her tailoring business can be attributed to a combination of factors,
including the quality of her products and services, effective marketing strategies, good employee
management, adaptability, and financial management.