Lesson 1
INTRODUCTION TO
ENTREPRENEURSHIP
ABM 201 • GAS 201 • HUMSS 201
NELSON JUN A.
HERRERO
• Businesses are backbone of the economy.
• Entrepreneurs develops the economy
Increase in per
capita income
Higher standard of
living
Opportunities to Income tax
ENTREPRENEURS
unemployed Increased Value – added tax
individual saving
Export & import duties
Government’s
revenue Balanced regional
development
Businessmen
vs
Entrepreneur
COMPETENCIES OF ENTREPRENEURS
1. Development of managerial
capabilities
2. Creation of organizations
3. Improving standard of living
4. Means of economic development
CONCEPT OF ENTREPRENEURSHIP
ENTREPRENEUR
enterprendre (French verb)
“undertake” the risk of enterprise
ENTREPRENEURSHIP – process of creating an
enterprise by an entrepreneur.
FACTORS AFFECTING ENTREPRENEURSHIP
PERSONALITY ENVIRONMENTAL
FACTORS FACTORS
1. Innovative
1. Political
2. Proactive
2. Climate
3. Problem solver
3. Legal system
4. Perseverance
4. Economic and social
5. Persuasion
conditions
6. A planner
5. Market situations
7. Risk – taker
COMMON COMPETENCIES IN ENTREPRENEURSHIP
1. Decisive
2. Communicator
3. Leader
4. Opportunity seeker
5. Proactive
6. Risk – taker
7. Innovative
CORE COMPETENCIES IN ENTREPRENEURSHIP
1. Economic and dynamic activity –
creation and operation of enterprise –
create value/wealth – ensure optimum
utilization of limited resources.
2. Innovative – creativity
3. Profit potential – compensation
4. Risk – bearing – needs to gamble but wise
to offset the risk
TYPES OF ENTREPRENEURS
1. Innovative entrep. – always makes
new ideas
2. Imitating entrep. – don’t create; follow
ideas of others
3. Fabian entrep. – skeptical about
changes; don’t initiate but follows if
satisfied.
TYPES OF ENTREPRENEURS
4. Drone entrep. – lives on the labor of
others; die – hard conservatives; ready
to suffer business loss
5. Social entrep. – initiate changes; drive
social innovation; transform various
fields, e.g. education
CAREER OPPORTUNITIES OF ENTREPRENEURSHIP
1. Business consultant
2. Teacher
3. Researcher
4. Sales
5. Business reporter
TYPES OF ENTREPRENEURS
3 LEVELS OF COMPETENCIES
PERSONAL COMP. INTERPERSONAL COMP. BUSINESS COMP.
1. Business
1. Creativity
vision
2. Determination 1. Communication
2. Resource
3. Tenacity 2. Engagement
management
4. Emotional 3. Delegation
3. Networking
balance 4. Respect
4. Negotiating
5. Self – criticism
skills
CAREER OPPORTUNITIES: Rewards in Business
1. Higher possibilities of higher income
2. “Be your own boss”
3. An opportunity to stretch and use
your capacity and creativity
4. An opportunity to help others
5. Build an entrepreneurial legacy
CAREER OPPORTUNITIES: Risk in Business
1. Possibility of failure
2. Unpredictability in the industry supply and
demand fluctuate rapidly from time to time.
3. Increased working hours require you to
work longer hours in a day than a regular
employee does.
4. Wider range of responsibilities.
Lesson 2
RECOGNIZING A
POTENTIAL MARKET
AD/HE 201 • ICT 201 • HUMSS 201 •HUMSS
202 • GAS 203
NELSON JUN A.
HERRERO
Learning Objectives
1. Analyze the importance of recognizing market
problems on developing business plan.
2. Identify the proposed solutions on marketing a
product.
3. Discuss the process of conducting market analysis
4. Select the best product or service that will meet the
market need
Introduction
• BUSINESS - activity of buying, making or selling
goods and providing services in
exchange for money
• PRODUCT - something that is made or grown
to be sold or used or something
that is the result of a process
• SERVICES - intangible products where there is
a skill involved and have value
What is Marketing?
MARKETING
Study and management of exchange
relationships
Used to attract customers
Process of identifying, anticipating, and
satisfying customers’ needs and desires
What is Marketing?
MARKET POTENTIAL
Total size of the market for a product at
a given point in time.
Denotes upper limit of a product’s
market.
Measured in terms of either sales value
or sales volume
ow to conduct a Market Analy
MARKET ANALYSIS
Process of gathering information about a market
within an industry
a. Who are my potential customers?
b. What are my customers’ shopping and buying habits?
c. How large is my target market?
d. How many potential customers are willing to pay?
e. Who are my competitors?
f. What are my competitors' strengths and
weaknesses?
ow to conduct a Market Analy
ermining products/services that will
needs of customers
1.Understand your customers’ current
needs and foresee future ones
2.Focus on one significant value
proposition
3.Build credibility
Profitability
Profitability is the ability of the business to
earn profit
PROFIT – what is left of the revenue a
business generates after it pays all the
expenses directly related to the generation of
the revenue such as producing a product of a
business activities.
Business viability
VIABLE BUSINESS
can continue to make a profit year after
year
The longer a company can remain
profitable, the more viable it is.
Ability to generate a profit each year of its
existence
FLA 2.3 (WRITTEN WORK)
GENERATING BUSINESS IDEAS
With your group, brainstorm for an idea/s of a new product or service that you
think people might like. Then, choose one idea and list three reasons why they think it
could be successful.
Make a catchy name for your business and your product/service. You can also
make a catchy slogan/tagline for your business.
Example: Business name: MaJoHa Eatery
Product/s: Lutong – Bahay Viands
Slogan/Tagline: “Sa MaJoHa Eatery, Mapapa – OMG ka sa Sarap!”
3 Reasons why MaJoHa Eatery will be successful:
1. Good demographics
2. In demand
3. Good location
FLA 2.3 (WRITTEN WORK)
GENERATING BUSINESS IDEAS
Please use a one whole PINK cartolina, you can make use of colors for
your logo. You can be creative in your presentation as much as you can!
Remember, an entrepreneur has a brilliant mind!
Criteria for grading:
Participation - 20%
Presentation/creativity - 20%
Clarity of chosen idea - 30%
Effectiveness of reasons provided - 30%
100%
FLA 2.3 (PERFORMANCE TASK)
ENTREPRENEUR INTERVIEW
Conduct an interview with a business owner in your community
using the set of market research questions below.
Name of the Interviewee :________________________( can be optional)
1. How long have you been operating your business?
2. Ho w do you determine the pricing of your products/services?
3. What are the main challenges you face in running your business?
4. How do you promote and market your business?
5. What advice or tips would you give to someone starting a business?
Write the information/data gathered in an A4 bond paper (either
encoded or handwritten). Documentation during an interview is an
additional point.
