ENTREPRENEURSHI

P
By Waqas Sarwar
ENTREPRENEUR
■ Someone who takes a risk in order to
start a business to earn profit.
■ Notice Opportunities, Needs not Being
Satisfied. New product or services.

Garrett Camp : Computer Programmer

 Entrepreneurs are people that notice
opportunities and take the initiative to
mobilize resources to make new goods and
services.

Intrapreneurs also notice opportunities and

Entrepreneurs take initiative to mobilize resources,
however they are employees work in large
V. Intrapreneurs companies and tasked with developing
innovative ideas for the firm.

Intrapreneurs often become entrepreneurs

 Entrepreneurship
■ The process of starting , organizing , managing and
assuming the responsibility of a new business.
■ It takes unique set of skills and characteristics to
develop a new idea for a product or service. Not all
people who own or manage a business are
entrepreneur.
■ Many entrepreneur own their first business in their
teens while other may not take the step until
retirement.

Creative Destruction

• Economist Joseph Schumpeter (1883–1950) saw the

role of the entrepreneur in the economy as "
creative destruction”
• innovations that simultaneously destroy old industries.

Jeffrey Preston Bezos

Intrapreneurship
■ Learning organizations encourage intrapreneurship.
■ Organizations want to form:
– Product Champions: people who take ownership of a product from concept to
market.
– Skunkworks: a group of intrapreneurs kept separate from the rest of the
organization.
– New Venture Division: allows a division to act as its own smaller company.
– Rewards for Innovation: link innovation by workers to valued rewards.
■ Coopetition
Cooperation and competing at the same time.
e.g. Samsung provides LED displays for Apple products
NOTES
■ Perhaps the biggest misconception about an idea for a new business is that it must be unique. Too
many would-be entrepreneurs are almost obsessed with finding a unique idea. Then, when they
believe they have it, they are haunted by the thought that someone is just waiting to steal it from them.
So they become super-secretive, reluctant to discuss it with anyone who doesn’t sign a nondisclosure
agreement. That makes it almost impossible to evaluate the idea, and many counselors who provide
free advice to entrepreneurs refuse to sign nondisclosure agreements. Generally speaking, these super-
secret, unique ideas are big letdowns when the entrepreneurs reveal them. Some notable recent
examples were ‘‘drive-through pizza by the slice,’’ ‘‘a combination toothbrush and toothpaste gadget,’’
and ‘‘a Mexican restaurant in Boston.’’ One computer programmer said he had a fantastic new piece of
software for managing hairdressing salons. He was completely floored when he found that less than a
month previously another entrepreneur had demonstrated a software package for exactly the same
purpose. Another entrepreneur had an idea for fluoride-impregnated dental floss. Not three months
later, the identical product turned out to be available in Boots—Britain’s largest chain of drug stores
and a major pharmaceutical manufacturer.
■ The idea in itself is not what is important. In entrepreneurship, ideas really are a dime a dozen.
Developing the idea, implementing it, and building a success- ful business are the important things.
Task
■ Choose three different products that you might be interested in purchasing and
that are sold on the Internet. For each product, visit three Web sites and go
through the process as if you were going to actually purchase the product. Which
Web site was the best? Why? Which was the worst? Why? If you could create the
perfect Web site, what features would it have?