Understanding the Entrepreneurial Mindset Written by Annette Dunlap, MBA Extension Associate Ag & Resource Economics NC State University

The Value-Added & Alternative Agriculture Start-up Toolkit Program Outline Understanding value-added agriculture and risk Developing a “global” worldview Establishing a support system Maintaining a realistic attitude Resources The Value-Added & Alternative Agriculture Start-up Toolkit

Risk & Commodity Agriculture Acreage Crop prices Commodity market conditions The Value-Added & Alternative Agriculture Start-up Toolkit

Risk & Value-Added Agriculture Market forces Consumer demand Perception of quality Competition The Value-Added & Alternative Agriculture Start-up Toolkit

Comparing commodity & value-added risks Available commodity pricing Established market infrastructure Producer-commodity buyer relationship Value-added: Pricing variability across producers Limited market infrastructure Possible limited customer loyalty to producer The Value-Added & Alternative Agriculture Start-up Toolkit

The Value-Added & Alternative Agriculture Start-up Toolkit Risk v. Reward Limiting the scope of the start-up enterprise can reduce the risk. As the scope of the business grows, the amount of risk and the demands for decision-making grow, too. The Value-Added & Alternative Agriculture Start-up Toolkit

Develop a “Global” Worldview Read one or more newspapers (most are available on-line) Subscribe to relevant trade journals and newsletters Monitor government and organization web sites for specialized news and updates Today’s current events affect tomorrow’s business opportunities. The Value-Added & Alternative Agriculture Start-up Toolkit

Identify a Support System Join a producer organization Network with others who are involved in a similar enterprise Subscribe to appropriate chat groups (or start one) Engage family and friends as sounding boards The Value-Added & Alternative Agriculture Start-up Toolkit

Maintain a Realistic Attitude Entrepreneurs are by nature optimistic, but: Be realistic about your opportunities Limit the scope of your enterprise until you have gained enough experience Develop a working strategy that adequately considers all of your constraints The Value-Added & Alternative Agriculture Start-up Toolkit

The Value-Added & Alternative Agriculture Start-up Toolkit Resources “Becoming an Entrepreneur”: http://bbll.com/ch30.html Inc. Magazine’s Start-up series: http://www.inc.com Small Business Administration web site: http://sba.gov USDA on value-added entrepreneurship: http://www.nrcs.usda.gov/technical/RESS/altenterprise/info_valueadded.pdf The Value-Added & Alternative Agriculture Start-up Toolkit