Relevance of the Course
(Entrepreneurship)
What is Entrepreneurship?
- Entrepreneurship is a proactive process of developing a business venture to make a
profit. It involves seeking opportunities for market, establishing and operating a business
out of the opportunity, assessing its risks and rewards through close monitoring of the
operations.
Relevance of Entrepreneurship to an Organization
1. Development of managerial capabilities
The greatest significance of entrepreneurship lies in the fact that it helps in identifying and
developing the managerial capabilities of entrepreneurs.
2. Creation of Organizations
Entrepreneurship results in the creation of organizations when entrepreneurs assemble and
coordinate physical, human, and financial resources and direct them towards the achievement
of objectives through managerial skills.
3. Improving the standard of living
By creating productive organizations, entrepreneurship helps in making a wide variety of goods
and services available to society, which results in a higher standard of living for the people.
Possession of luxury cars, computers, mobile phones, rapid growth of shopping malls, etc.,
point to the living standard of people. All these are due to the efforts of entrepreneurs.
4. Means of Economic Development
Entrepreneurship involves the creation and use of innovative ideas, the maximization of output
from given resources, and the development of managerial skills. All these factors are essential
to the economic development of a country.
, Who is an Entrepreneur?
- The word "entrepreneur" has a French origin and was coined from the word entre, which
means "between, and prendre, which means "to take
- An entrepreneur is a unique individual who has the innate ability and extraordinary
dedication to establish and manage a business, acknowledging all the risks and reaping
its rewards
Types of Entrepreneur
1. Mega Entrepreneur. Individuals who are willing to absorb huge risks using enormous
amounts of capital in their business ventures.
2. Micro Entrepreneur. Individuals who are engaged in micro or small businesses as an
alternative format of employment
Core Competencies
1. Economic and dynamic activity
- Entrepreneurship is an economic activity because it involves the creation and operation
of an enterprise with a view to creating value or wealth by ensuring the optimum
utilization of scarce resources. This value creation activity is performed continuously
amid an uncertain business environment. Hence, entrepreneurship is regarded as a
dynamic force
2. Innovation
- Entrepreneurship involves a continuous search for new ideas. It compels an individual to
continuously evaluate the existing modes of business operations so that more efficient
and effective systems can be evolved and adopted. In other words, entrepreneurship is
a continuous effort for synergy to ensure optimization of performance in organizations
3. Profit potential
- Profit potential is the level of return or compensation to the entrepreneur for taking the
risk of developing an idea into an actual business venture. Without the profit potential,
the efforts of entrepreneurs will be merely an abstract and theoretical leisure activity.
4. Risk bearing
(Entrepreneurship)
What is Entrepreneurship?
- Entrepreneurship is a proactive process of developing a business venture to make a
profit. It involves seeking opportunities for market, establishing and operating a business
out of the opportunity, assessing its risks and rewards through close monitoring of the
operations.
Relevance of Entrepreneurship to an Organization
1. Development of managerial capabilities
The greatest significance of entrepreneurship lies in the fact that it helps in identifying and
developing the managerial capabilities of entrepreneurs.
2. Creation of Organizations
Entrepreneurship results in the creation of organizations when entrepreneurs assemble and
coordinate physical, human, and financial resources and direct them towards the achievement
of objectives through managerial skills.
3. Improving the standard of living
By creating productive organizations, entrepreneurship helps in making a wide variety of goods
and services available to society, which results in a higher standard of living for the people.
Possession of luxury cars, computers, mobile phones, rapid growth of shopping malls, etc.,
point to the living standard of people. All these are due to the efforts of entrepreneurs.
4. Means of Economic Development
Entrepreneurship involves the creation and use of innovative ideas, the maximization of output
from given resources, and the development of managerial skills. All these factors are essential
to the economic development of a country.
, Who is an Entrepreneur?
- The word "entrepreneur" has a French origin and was coined from the word entre, which
means "between, and prendre, which means "to take
- An entrepreneur is a unique individual who has the innate ability and extraordinary
dedication to establish and manage a business, acknowledging all the risks and reaping
its rewards
Types of Entrepreneur
1. Mega Entrepreneur. Individuals who are willing to absorb huge risks using enormous
amounts of capital in their business ventures.
2. Micro Entrepreneur. Individuals who are engaged in micro or small businesses as an
alternative format of employment
Core Competencies
1. Economic and dynamic activity
- Entrepreneurship is an economic activity because it involves the creation and operation
of an enterprise with a view to creating value or wealth by ensuring the optimum
utilization of scarce resources. This value creation activity is performed continuously
amid an uncertain business environment. Hence, entrepreneurship is regarded as a
dynamic force
2. Innovation
- Entrepreneurship involves a continuous search for new ideas. It compels an individual to
continuously evaluate the existing modes of business operations so that more efficient
and effective systems can be evolved and adopted. In other words, entrepreneurship is
a continuous effort for synergy to ensure optimization of performance in organizations
3. Profit potential
- Profit potential is the level of return or compensation to the entrepreneur for taking the
risk of developing an idea into an actual business venture. Without the profit potential,
the efforts of entrepreneurs will be merely an abstract and theoretical leisure activity.
4. Risk bearing
