Introduction to

Entrepreneurship

COURSE : MGMT2015
Welcome to 2021- 2.
Introducing yourself – (camera to be
turned on when introducing yourself) Your Name:
Fulltime or part-time student?
Place of employment:
Program enrolled:

What is entrepreneurship?
What do you expect to learn from
this course?
 What is entrepreneurship?

 The capacity and willingness to develop, organize

and manage a business venture along with any of
its risks, in order to make a profit.
 Why Become an Entrepreneur?

 The three primary reasons that people become entrepreneurs and start their own firms

Desire to be their own boss

Desire to pursue their

own ideas

Financial rewards
 Characteristics of Successful Entrepreneurs

Four Primary
Characteristics
Belizean Entrepreneur

 Video
 https://fo-fo.facebook.com/BELTRAIDE/videos/4018995981526883/
 Characteristics of Entrepreneurs:

Passion for the Business

Characteristics • The number one characteristic shared by

successful entrepreneurs is a passion for the

of Successful
business.
• This passion typically stems from the
entrepreneur’s belief that the business will
Entrepreneurs positively influence people’s lives.

Product/Customer Focus

• A second defining characteristic of successful

entrepreneurs is a product/customer focus.
• An entrepreneur’s keen focus on products and
customers typically stems from the fact that
most entrepreneurs are, at heart, craftspeople.
Characteristics of Successful Entrepreneurs

 Tenacity Despite Failure

 Because entrepreneurs are typically trying something new, the
failure rate is naturally high.
 A defining characteristic for successful entrepreneurs is their ability
to persevere through setbacks and failures.
 Execution Intelligence
 The ability to fashion a solid business idea into a viable business is
a key characteristic of successful entrepreneurs.
 Myth

Common
Myth 1:Myths
Entrepreneurs Are Born, Not Made
 This myth is based on the mistaken belief that some people are
About genetically predisposed to be entrepreneurs.
Entrepreneurs
 The consensus of many studies is that no one is “born” to be an
entrepreneur; everyone has the potential to become one.
 Whether someone does or doesn’t become an entrepreneur is a function
of their environment, life experiences, and personal choices.
 Common Myths About Entrepreneurs

 Although no one is “born” to be an entrepreneur, there are common traits and

characteristics of successful entrepreneurs

• A moderate risk taker • A networker

• Persuasive • Achievement motivated
• Promoter • Alert to opportunities
• Resource assembler/leverager • Self-confident
• Creative • Decisive
• Self-starter • Energetic
• Tenacious • A strong work ethic
•Visionary • Lengthy attention span
 TERMS
 Entrepreneurial opportunities – situations in which new goods, services, raw
materials, and organizing methods can be introduced and sold at greater than their cost
of production.
Entrepreneurial
The nature of action – action through the creation of new products/ processes
and/or the entry into new markets, which may occur through a newly created
entrepreneurship
organization or within an established organization. Entrepreneurs act on what they
believe is an opportunity, however entrepreneurs must use their judgement about
whether to act or not.
 Entrepreneurial thinking – Individuals mental processes of overcoming ignorance to
decide whether a signal represents an opportunity for someone is also an opportunity
for them specifically, and/or processing feedback from action steps taken.
Entrepreneurial Action
 Entrepreneurs must often make decisions in
How highly uncertain environments where the stakes
Entrepreneurs are high, time pressures are immense, and there is
considerable emotional investment. So four forms
think of decision making:
1. Think Structurally
2. Engage in bricolage
3. Effectuate, and
4. Cognitively adapt
How Entrepreneurs think cont’d
Think Structurally Bricolage

 Usually mental leaps which is caused by one’s

existing knowledge.  Entrepreneurs making do by applying
combinations of the resources at hand to new
 superficial similarities (same but market change)
problems and opportunities
Exist when the basic (relatively easy to observe)
 taking existing resources (those at hand) and
elements of the technology resemble (match) the
experimenting, tinkering, repackaging, and/or
basic (relatively easy to observe elements of the
reframing them so they can be used in a way for
market
which they were not originally designed or
 structural similarities (same but different use) conceived
Exist when the underlying mechanisms of the
technology resemble (or match) the underlying
mechanisms of the market.
How Entrepreneurs think cont’d
Effectuate Cognitively adapt

Entrepreneurs do not always think through a problem

in a way that starts with a desired outcome and  Describes the extent to which entrepreneurs are
focuses on the means to generate that outcome dynamic, flexible, self regulating, and engaged in
the process of generating multiple decision
 causal process
frameworks focused on sensing and processing
A process that starts with a desired outcome and changes in their environments and then acting on
focuses on the means to generate that outcome at them
outcome.
 effectuation process
A process that starts with what one has (who they are,
what they know, and whom they know) and selects
among possible outcomes
  Entrepreneurial intentions - Motivational factors that influence
individuals to pursue entrepreneurial outcomes.
The
 Intention to
Intention is stronger when an action is perceived to be feasible and
Act desirable.
Entrepreneuriall
 Entrepreneurial self-efficacy - Conviction that one can successfully
y execute the entrepreneurial process.
 Perceived desirability - The degree to which an individual has a
favorable or unfavorable evaluation of the potential outcomes.
Entrepreneur Background and Characteristics

 Education
 Provides a background about starting a business.
 Helps in the development of communication skills and problem-
solving skills.
 Provides individuals with a larger opportunity set.
 Does not determine whether an entrepreneur will create a new
business to exploit the discovered opportunity.
  Age
 Most entrepreneurs initiate their entrepreneurial careers
Entrepreneur
between the ages of 22 and 45.
Background
 Individuals are more inclined to start an entrepreneurial
and career at milestone ages every five years (25, 30, 35, 40,
Characteristics
and 45).
(cont.)
 Male entrepreneurs tend to start their ventures in their early
30s, while women entrepreneurs do so in their middle 30s.
 Work History
Entrepreneur
 The decision to launch a new venture can be influenced by:

Background
Dissatisfaction with one’s job.

and Previous technical and industry experience.

 Managerial skills and entrepreneurial experiences are also
Characteristi
important once the venture starts growing.
cs Previous
(cont.)start-up experience is a relatively good predictor of
starting subsequent businesses.
  Role models - Individuals influencing an entrepreneur’s career choice and
style
 Can be parents, family members, or other entrepreneurs.
RoleModels
Successful entrepreneurs are viewed as catalysts by potential
and Support
entrepreneurs.
Systems
 Role models can serve in a supportive capacity as mentors by providing
information, advice and guidance.
 Entrepreneurs need to establish connections and networks in the venture
formation process.
  Moral-Support Network
 Itis important for entrepreneurs to have a cheering squad—
individuals who provide psychological support.
Role 
Models
Friends can provide honest advice, encouragement, understanding,
and assistance.
and Support
 Relatives can be strong sources of moral support, particularly if they
System (cont.)
are also entrepreneurs.
 Professional-Support Network
 Entrepreneurs need advice and counsel throughout the establishment of the new
venture which can be obtained from:
Role Models
Mentors.

and Support
Business associates.

System
Suppliers.

Trade associations.
(cont.)
Personal affiliations.

 Entrepreneurial activity is embedded in networks of interpersonal relationships.

  There has been significant growth in:
 Female self-employment, with women starting new ventures at a
higher rate than men.
Minority
 The number of Asian, African American, Hispanic, and Native
American majority owned firms.
Entrepreneurs
 This growth is likely to be spurred by:
 Encouragement of entrepreneurship among minority groups.
 Increase in the number of role models.
 Sustainable Entrepreneurship

Sustainable development is important, and entrepreneurial action can help have a

Sustainable
positive impact to sustain and develop an economy.
Entrepreneurship
Sustainable entrepreneurship :-
Entrepreneurship focused on preserving nature, life support, and community
(sustainability) in the pursuit of perceived opportunities to bring future products,
processes, and services into existence for gain (entrepreneurial action) where gain
is broadly construed to include economic and noneconomic benefits to
individuals, the economy, and society (development)