Entrepreneurship and Business Plan Session 2nd By : -Neeraj Gupta

Entrepreneurial Feelings and Background There is no “true entrepreneurial profile”—entrepreneurs come from many educational backgrounds, family situations, and work experiences Entrepreneurial Promotion : - Promoting and motivating the new aspiring entrepreneurs to choose the right line of interest and move ahead in the direction of starting their own business set up. Motivation: - While motivations may vary, the reason cited most often for becoming an entrepreneur is independence— not wanting to work for anyone else. Locus Of Control Risk Taking

Entrepreneurial Feelings and Background Childhood Family Environment Age Work History

Factors Motivating Entrepreneurs By R A Sharma: - 2 Types Internal Factors: -  Desire to do something new  Education Background  Experience  Financial Background External Factors: -  Government assistance and support  Availability of raw material and labour  Encouragement from big business houses  Promising demand for the Product

Factors motivating Entrepreneurs By B Murthy Ambitious factors Compelling factors Facilitating factors

Characteristics of an Entrepreneur Vision/dream – Dhirubhai Ambani / Sunil Mittal Knowledge – Narayana Murthy Desire to succeed – Independence –Sabeer Bhatia-Hotmail and Aarzoo.com Dynamism- Ratan Tata-energetic Optimism Value addition-Lifetime free incoming call By TATA Indicom created space for it in saturated telecom market Leadership

Role Model and Support Systems Role Model Support Systems  Family and moral support systems-genuine concern for success and individual welfare  Professional systems

Characteristics of a Support Network Assisting in and monitoring progress Providing an open and honest feedback concerning progress, efforts and difficulties Pointing out needed alterations in work style without without complaining or criticising Implementing advice once finalised

Male Entrepreneur Characteristics Motivation Make Things Happen, Role In Corp. Not Important, Desire To Be In Control Departure Point Dissatisfied With Present Job, Sidelines, Discharged/Laid- Off, Acquisition Opportunity Fund Sources Personal Assets/Savings, Bank, Investors, Family/Friends Loans Occupational Background Experience, Recognized Specialist, Competent In Business Functions Personality Opinionated/Persuasive, Goal-Oriented, Innovative/Idealistic, Self-Confident, Energetic Background Age = 25-35, Father Self-Employed, College-Educated, Firstborn Child Support Groups Friends, Professional Acquaintances (Lawyers, Accountants), Associates, Spouse Business Started Manufacturing/Construction

Female Entrepreneur Characteristics Motivation Accomplishment Of Goal, Do It Alone Departure Point Job Frustration, Recognition Of Opportunity, Change In Personal Circumstance Fund Sources Personal Assets/Savings, Personal Loans Occupational Background Experience, Mid-Management/Administrative Experience, Service Occupation Personality Flexible/Tolerant, Goal-Oriented, Creative & Realistic, Self- Confident, Energetic, Social Background Age = 35-45, Father Self-Employed, College Educated (Liberal Arts), Firstborn Child Support Groups Friends, Spouse, Family, Women’s Prof. Groups, Trade Associations Business Started Service-Related

Some Female Entrepreneurs Lijjat Papad Shehnaz Hussain Mother Teresa Ela Bhatt, Founder-General Secretary of the Self-Employed Women's Association (SEWA) is a true living legend of social entrepreneurship

Entrepreneur Vs. Inventor Inventor Creates Something For The First Time. Entrepreneur Falls In Love With New Venture.

Entrepreneur Vs. Inventor An inventor: a.Tends to be well-educated. b.Has family, educational, and occupational experiences that contribute to free thinking. c.Is a problem solver. d.Is willing to take risks. A typical inventor places a high premium on being an achiever, and is not likely to view monetary benefits as a measure of success.

Minority Entrepreneurship The differences in behavior of various groups must be understood in the context of the environment and economic opportunities available, making research difficult. 1.In terms of ownership, one study found: a.The lowest participation rate is for African-Americans. b.The second highest but fastest growing rate is for Hispanics. c.The highest rate is for Asians. 2.Studies have also found differences in education, family background, and age when starting the venture.

Minority Entrepreneurship Studies have found differences between ethnic groups in benefiting from community resources 1. Hispanic-owned businesses make up 5.8% of businesses. 2. Asian-American owners make up 4.4%. 3. African-Americans own 4.0% and American Indians 1%. 4. This 15.8% minority share is up from 6.8% in 1982.

International Entrepreneurship As more countries become market oriented and developed, the distinction between foreign and domestic markets is becoming less pronounced. International entrepreneurship is the process of an entrepreneur conducting business activities across national boundaries. 1.It is exporting, licensing, or opening a sales office in another country. 2. When an entrepreneur executes his or her business model in more than one country, international entrepreneurship occurs. 3. A combination of innovative, proactive and risk taking behavior that crosses national borders to create value in organizations.

International Entrepreneurship International entrepreneurship is the discovery, enactment, evaluation, and exploitation of opportunities-across national borders-to create future goods and services. The U.S. is a relative newcomer to the international business arena. 1.Foreign investors helped build much of the early industrial trade and the early industrial base of the U.S. 2.The future strength of the U.S. will depend on the ability of U.S. entrepreneurs to take advantage of markets outside its borders.

Parts of Entrepreneurship Two parts: -  Opportunities  Individuals who strive to take advantage of them

Importance of International Entrepreneurship International business has become increasingly important to firms of all sizes especially in a hyper competitive global economy. The successful entrepreneur will be someone who understands how international business differs from domestic business and is able to act accordingly.

Questions About International Business markets Different From Domestic Business? Different From Domestic Business? Strategic Issues? Strategic Issues? Options Available? Options Available? Decision To Enter? Decision To Enter?

Other Important issues: - The economic environment can be very different from one nation to another. Countries are often divided into three main categories: the more developed or industrialized, the less developed or third world, and the newly industrializing or emerging economies. Countries can be classified as free-market, centrally planned, or mixed. Freemarket economies are those where government intervenes minimally in business activities, and market forces of supply and demand are allowed to determine production and prices.

Other Important issues: - Clearly the level of economic activity combined with education, infrastructure, and so on, as well as the degree of government control of the economy, affect virtually all facets of doing business, and a firm needs to understand this environment if it is to operate successfully internationally. Government Business Relationships Degree of political risk Beliefs and values are generally seen as formed by factors such as history, language, religion, geographic location, government, and education; thus firms begin a cultural analysis by seeking to understand these factors. Competitive environment Technological Innovation

Other Important Issues Generation of employment in host country Contribution to society of that country Contribution to economic development of that country To overcome saturation in own country markets Exposing newer markets to new technologies etc.

Thank You