Section 1.

1 What Is
Entrepreneurship?
Section 1.2 Characteristics of an
Entrepreneur
OBJECTIVES

 Define what it means to be an

entrepreneur
 Compare the pros and cons of being an
entrepreneur
 Identify successful entrepreneurs and their
achievements
 From the business Dictionary
Entrepreneurship is the capacity
and willingness to develop,
organize, and manage a
business venture along with any
of its risks in order to make a
profit.
 Starting a new business
The word Entrepreneur is derived from the French word entreprendre which
means “to undertake”. It is ultimately has come to mean, someone who is willing
to undertake new venture in order to present an idea to the marketplace.
Terminologies to Remember
• Employee – a person employed for wages or salary. A person working for
another person.
• Business –is the activity of making, buying, selling, or supplying goods and
services for money
• Expense –The economic costs that a business incurs through its operations to
earn revenue.
• Revenue – is the amount of money that is brought into a company by its
business activities.
• Profit – is the money a business makes after accounting for al the expenses.
In short : Revenue – Expenses = Profit
 An entrepreneur is an individual who seeks
profitable opportunities and takes the necessary
risks to establish and operate a business.

 A businessman main desire is to grow his

business.

 A manager is responsible for using the

organization’s resources to accomplish the
organization’s goals.

 So… all entrepreneurs are businessmen BUT not

all businessmen are entrepreneurs.
 Making Your Own Rules. When you own a business, you
get to be your own boss.
 Doing Work You Enjoy. Since the majority of most
peoples’ lives is spent working, why not spend that time
doing something you enjoy?
 Creating Greater Wealth. There’s no limit to what an
entrepreneur can make.
 Helping Your Community. Being an entrepreneur lets
you make your community and world a better place.
 Potential BusinessFailure. Being fully responsible
means the success or failure of your business rests on
you.
 Unexpected Obstacles. Problems can happen that you
don’t expect.
 Financial Insecurity. Many new businesses don’t make
much money in the beginning, so you may not always be
able to pay yourself.
 Long Hours and Hard Work. It’s not unusual for
entrepreneurs to work a lot of extra hours to make their
businesses successful. This is especially true during the
initial start-up process.
 Describe who becomes an entrepreneur
 List the key characteristics of an entrepreneur
 Explore ways to build your business potential
10 Qualities of An Entrepreneur
 Opportunity Seeking- Entrepreneurs seek opportunities
and turn into business. They always look at every
situation and how to transform it into something that is
relevance to the world.
 Persistence- the ability to push and push toward the
finish line, even if the finish line seems comically out of
reach.
 Commitment to work-contract –entrepreneurs stand
and of what they’ve said. What ever they promised to
their clients, entrepreneurs must be committed to do it.
 Demand Efficiency and Quality – One key for a
successful entrepreneur is satisfying the client’s needs
and demands which will achieve through efficient
service and quality products.
10 Qualities of An Entrepreneur
 Risk taking – One capacity of an entrepreneur is to
know when to take the opportunity and calculate the
risk to avoid the possibility of killing the ventures
because of too much risk taking.
 Goal setting - Successful entrepreneurs set and
achieve goals accordingly and stretch their selves to
the widest possible they can be.
 Information seeking– An entrepreneur never stopped on
seeking valuable information that contributes to its
success and further innovations.
 Systematic Planning and Monitoring – One key to
achieved goals is the systematic planning and
monitoring.
10 Qualities of An Entrepreneur
 Persuasion and Networking– Entrepreneur must know
“when” and “whom” they should pursue potential loyal
clients. They build better relationship and synergize
ideas and existing resources.
 Self confidence- It is about having trust in what you
know and your abilities to handle the unexpected
events that life puts in your path. It is also a belief that
you are the one in control of your life and goals.
Quiz#1 (True or False -2points each)
1. A person who was hired to be a manager for a
large company is an entrepreneur.
2. A person who buys a handful of bicycles, and rents
them out to people to try and earn enough money
to make a living is an entrepreneur.
3. A person who creates an e-book showing people
how to fix and iPod, and sells this e-book to those
interested in learning how to fix their own iPod is
an entrepreneur.
4. A person who is paid to wait tables at a restaurant
is an entrepreneur.
5. A person who opens up a restaurant with money
they borrowed from a bank, hires cooks,
management, and staff then begin selling and
serving food to customers is an entrepreneur.