N I P

E N T R E P R E N E UR S H I P
Objectives
1.Explain the basic concepts of entrepreneurship.
2.State the importance of entrepreneurship.
3.Explain the role of entrepreneurship in socio-
economic development.
4.Identify and explain the fundamental characteristics
of a successful entrepreneur.
5.Explain the guides to strengthen your own PECs
(TLE_PECS900-1)
Introduction
Entrepreneurs are people who have the ability to see
and evaluate business opportunities, to gather the
necessary resources and take advantage of them and to
evaluate appropriate action to ensure success (Meredith
et al., 1987).

Entrepreneurs are people who innovate (Schumpeter,

1934), who allocate and manage the factors of
production and bear risks (Marshall, 1920)
Introduction
Entrepreneurship is a process of innovation and new
venture creation. Through four major dimensions –
individual, organization, environment, process – and
aided by collaborative networks in government,
education and institution. All of the macro and micro
positions of entrepreneurial thought must be
considered in recognizing and seizing opportunities
that can be converted into marketable ideas capable of
competing for implementation in today’s economy
(Kuratko and Hodgetts, 1989).
Introduction
In more simple terms, entrepreneurship is both an art
and science of converting ideas into marketable goods
and services to improve man’s quality of life. It
involves the systematic organization/utilization of
materials, machine, money and man in the
accumulation of more wealth.
Introduction
The entrepreneur is a catalyst for economic change,
who uses purposeful searching, careful planning and
sound judgement in carrying out the entrepreneurial
process.

Uniquely optimistic and committed, the entrepreneur

works creatively to establish new resources or endow
the old with a new capacity all for the purpose of
creating wealth (Kuratko and Hodgetts, 1989).
Introduction
All the definitions of various authors of entrepreneur
sum up to what is known as

“PERSONAL ENTREPRENEURIAL COMPETENCIES”

put together and developed by McBear and Co. (1986) and

still being studied by various researchers all over the world.
They are grouped into three clusters.
Entrepreneurship and Socio-
Economic Development
 Transforming ideas into economic
opportunities is the index of
entrepreneurship.

 Entrepreneurship is the capacity for

innovation, investment and creation and
expansion in new markets, products and
techniques.
 Economically, entrepreneurship
invigorates markets. The formation of
new business leads to job creation and
has a multiplying effect on economy.
 INVIGORATES
 TO GIVE LIFE, ENERGY, STRENGTH
Benefits that result from
entrepreneurship
1.Entrepreneurship creates employment

When entrepreneurs put up a business, they often need

to hire at least one or two other people in order to get
things done. In fact, some businesses employ hundreds
and even thousands of workers.
2.Entrepreneurship improves the quality
of life

Entrepreneurs continuously innovate and develop new

products and services based on what they perceive to
be the needs of the society. They also look for ways by
which these goods and services could be more
efficiently produced.
3. Entrepreneurship contributes to a more equitable
distribution of income and therefore eases social unrest.
4. Entrepreneurship utilizes resources for
national productivity.
 5. Entrepreneurship brings social benefits
through government.
Hello there! Are you ready to assess
yourself in order to be
successful entrepreneur in the future?
As honestly as you could,please
answer the pre-assessment below
 MATCHING TYPE:
Directions:
Match Column A to Column B. Write your
answer in 1/4 sheet of paper.
COLUMN A COLUMN B
1. Hardworking a. Ability to set realistic targets
2. Self-confident b. Interest in money generation
3. Profit-Oriented c. Belief in oneself
4. Goal-Oriented d. Working diligently and industriously
5. Persistent e. Being able to listen to the advice of
6. Responds to others
feedback f. Obtaining useful feedback and advice
7. Willing to listen from
8. Committed others
g. Being patient and strives to achieve
9. Reliable and has
the
integrity
goal
10.Risk-taker
h. Ability to take measured or calculated
risks
i. Being honest, fair and trustworthy.
j. Giving this a priority in his life as an
entrepreneur
Are you done? This time you will do another set of
pre- assessment which could give you a better
understanding of what this module is all about. Are you
ready? Let’s begin!
PERSONAL ENTREPRENEURIAL COMPETENCIES (PECs)

ACHIEVEMENT PLANNING POWER

OPPORTUNITY PERSUATION AND

GOAL SETTING NETWORKING
SEEKING
INFORMATION SELF -
PERSISTENCE
SEEKING CONFIDENCE
COMMITMENT TO SYSTEMATIC
THE WORK PLANNING AND
CONTRACT MONITORING

RISK TAKING

DEMAND FOR
EFFICIENCY AND
QUALITY
 The Achievement Cluster
Opportunity seeking:
 The Achievement Cluster
Opportunity seeking:

The entrepreneur is always after unique opportunities

to answer both the needs and wants of the consumers.

Every problem is regarded not as a hindrance to

success but an opportunity to exercise one’s creativity
by looking for appropriate solutions.
 The Achievement Cluster
Persistence:
 The Achievement Cluster
Persistence:

He/she does not give up easily but always possesses a

very energetic and positive stance toward every
consequence or problem that may come along the way.
 The Achievement Cluster
Commitment to the work contract:
 The Achievement Cluster
Risk Taking:
 The Achievement Cluster
Risk Taking:
Risk is a state of the mind (Velasco, 1991) and
therefore risk taking is not only limited to the
economic aspect nut also a psychological dimension.

However, an entrepreneur takes moderate risk after

advantages and disadvantages are carefully weighted
and would go for situations that involve moderate
risks.
 The Achievement Cluster
Demand for efficiency and quality:

The entrepreneur acts to do things that meet or even

exceeds existing standards of excellence and also
improves on past performances, strives to do things
better, faster and cheaper.

He/she is not satisfied with just a good performance

but strives hard to endow all goods and services the
best quality possible.
 The Planning Cluster

Planning refers to the establishment of

objectives, policies and procedures geared
towards the full realization of end goals.
 The Planning Cluster
Goal setting:
 The Planning Cluster
Information seeking:
 The Planning Cluster
Systematic planning and monitoring:

The entrepreneur develops and applies logical step-

by-step plans to realize goals, assess alternatives,
monitor progress, and shift to other alternative
strategies if necessary to be able to achieve set
goals.
 The Power Cluster

Power is defined as the possession of control,

authority or influence over others.
 The Power Cluster
Persuasion and networking:
 The Power Cluster
Self – confidence:
PERSONAL ENTREPRENEURIAL COMPETENCIES (PECs)

ACHIEVEMENT PLANNING POWER

OPPORTUNITY PERSUATION AND

GOAL SETTING NETWORKING
SEEKING
INFORMATION SELF -
PERSISTENCE
SEEKING CONFIDENCE
COMMITMENT TO SYSTEMATIC
THE WORK PLANNING AND
CONTRACT MONITORING

RISK TAKING

DEMAND FOR
EFFICIENCY AND
QUALITY