Entrepreneurship and Small Business Management
,This book is a part of the course by Jaipur National University, Jaipur.
This book contains the course content for Entrepreneurship and Small Business Management.
JNU, Jaipur
First Edition 2013
The content in the book is copyright of JNU. All rights reserved.
No part of the content may in any form or by any electronic, mechanical, photocopying, recording, or any other
means be reproduced, stored in a retrieval system or be broadcast or transmitted without the prior permission of
the publisher.
JNU makes reasonable endeavours to ensure content is current and accurate. JNU reserves the right to alter the
content whenever the need arises, and to vary it at any time without prior notice.
,Index
I. Content....................................................................... II
II. List of Figures......................................................... VII
III. List of Tables........................................................VIII
IV. Abbreviations..........................................................IX
V. Case Study.............................................................. 135
VI. Bibliography.......................................................... 157
VII. Self Assessment Answers................................... 160
Book at a Glance
I/JNU OLE
, Contents
Chapter I........................................................................................................................................................ 1
Entrepreneurship and Small Business........................................................................................................ 1
Aim................................................................................................................................................................. 1
Objectives....................................................................................................................................................... 1
Learning outcome........................................................................................................................................... 1
1.1 Introduction............................................................................................................................................... 2
1.2 Who are Entrepreneurs?............................................................................................................................ 2
1.3 What is Small Business?........................................................................................................................... 2
1.4 Rewards of Entrepreneurship . ................................................................................................................. 3
1.4.1 Make Money (Profit)................................................................................................................ 3
1.4.2 Be Your Own Boss (Independence).......................................................................................... 4
1.4.3 Escape a Bad Situation (Freedom)............................................................................................ 4
1.4.4 Enjoy a Satisfying Life (Personal Satisfaction)........................................................................ 4
1.4.5 Contribution to Community (Personal Fulfilment).................................................................. 5
1.4.6 Special Niche............................................................................................................................ 5
1.5 Characteristics of Successful Entrepreneurs............................................................................................. 5
1.6 Varieties of Entrepreneurship . ................................................................................................................. 6
1.6.1 Founder Entrepreneurs versus Other Business Owners and Franchisees................................. 6
1.6.2 High-potential Ventures versus Attractive Small Firms and Micro-businesses........................ 6
1.6.3 Artisan versus Opportunistic Entrepreneurs............................................................................. 7
1.6.4 Women Entrepreneurs............................................................................................................... 7
1.6.5 Entrepreneurial Teams.............................................................................................................. 8
1.7 Integrity and Entrepreneurship ................................................................................................................ 9
1.7.1 What is Integrity?...................................................................................................................... 9
1.7.2 Frame Work of Integrity........................................................................................................... 9
1.7.3 Social Responsibility and Small Business.............................................................................. 10
1.7.4 Governmental Laws and Regulations..................................................................................... 10
Summary.......................................................................................................................................................11
References.....................................................................................................................................................11
Recommended Reading...............................................................................................................................11
Self Assessment............................................................................................................................................ 12
Chapter II.................................................................................................................................................... 14
The Right Small Business........................................................................................................................... 14
Aim............................................................................................................................................................... 14
Objectives..................................................................................................................................................... 14
Learning outcome......................................................................................................................................... 14
2.1 Introduction............................................................................................................................................. 15
2.2 Examining Your Personal Objectives .................................................................................................... 15
2.3 Exploring and Identifying Business/Start-up Ideas ............................................................................... 15
2.4 Creating a New Business from Scratch ................................................................................................. 17
2.4.1 Finding Start-up Ideas............................................................................................................. 18
2.4.2 Sources of Start-Up Ideas....................................................................................................... 19
2.5 Change-Based Sources of Entrepreneurial Opportunities...................................................................... 21
2.6 Applying Innovative Thinking to Business Ideas................................................................................... 23
Summary...................................................................................................................................................... 25
References.................................................................................................................................................... 25
Recommended Reading.............................................................................................................................. 25
Self Assessment............................................................................................................................................ 26
II/JNU OLE
,This book is a part of the course by Jaipur National University, Jaipur.
This book contains the course content for Entrepreneurship and Small Business Management.
JNU, Jaipur
First Edition 2013
The content in the book is copyright of JNU. All rights reserved.
No part of the content may in any form or by any electronic, mechanical, photocopying, recording, or any other
means be reproduced, stored in a retrieval system or be broadcast or transmitted without the prior permission of
the publisher.
JNU makes reasonable endeavours to ensure content is current and accurate. JNU reserves the right to alter the
content whenever the need arises, and to vary it at any time without prior notice.
,Index
I. Content....................................................................... II
II. List of Figures......................................................... VII
III. List of Tables........................................................VIII
IV. Abbreviations..........................................................IX
V. Case Study.............................................................. 135
VI. Bibliography.......................................................... 157
VII. Self Assessment Answers................................... 160
Book at a Glance
I/JNU OLE
, Contents
Chapter I........................................................................................................................................................ 1
Entrepreneurship and Small Business........................................................................................................ 1
Aim................................................................................................................................................................. 1
Objectives....................................................................................................................................................... 1
Learning outcome........................................................................................................................................... 1
1.1 Introduction............................................................................................................................................... 2
1.2 Who are Entrepreneurs?............................................................................................................................ 2
1.3 What is Small Business?........................................................................................................................... 2
1.4 Rewards of Entrepreneurship . ................................................................................................................. 3
1.4.1 Make Money (Profit)................................................................................................................ 3
1.4.2 Be Your Own Boss (Independence).......................................................................................... 4
1.4.3 Escape a Bad Situation (Freedom)............................................................................................ 4
1.4.4 Enjoy a Satisfying Life (Personal Satisfaction)........................................................................ 4
1.4.5 Contribution to Community (Personal Fulfilment).................................................................. 5
1.4.6 Special Niche............................................................................................................................ 5
1.5 Characteristics of Successful Entrepreneurs............................................................................................. 5
1.6 Varieties of Entrepreneurship . ................................................................................................................. 6
1.6.1 Founder Entrepreneurs versus Other Business Owners and Franchisees................................. 6
1.6.2 High-potential Ventures versus Attractive Small Firms and Micro-businesses........................ 6
1.6.3 Artisan versus Opportunistic Entrepreneurs............................................................................. 7
1.6.4 Women Entrepreneurs............................................................................................................... 7
1.6.5 Entrepreneurial Teams.............................................................................................................. 8
1.7 Integrity and Entrepreneurship ................................................................................................................ 9
1.7.1 What is Integrity?...................................................................................................................... 9
1.7.2 Frame Work of Integrity........................................................................................................... 9
1.7.3 Social Responsibility and Small Business.............................................................................. 10
1.7.4 Governmental Laws and Regulations..................................................................................... 10
Summary.......................................................................................................................................................11
References.....................................................................................................................................................11
Recommended Reading...............................................................................................................................11
Self Assessment............................................................................................................................................ 12
Chapter II.................................................................................................................................................... 14
The Right Small Business........................................................................................................................... 14
Aim............................................................................................................................................................... 14
Objectives..................................................................................................................................................... 14
Learning outcome......................................................................................................................................... 14
2.1 Introduction............................................................................................................................................. 15
2.2 Examining Your Personal Objectives .................................................................................................... 15
2.3 Exploring and Identifying Business/Start-up Ideas ............................................................................... 15
2.4 Creating a New Business from Scratch ................................................................................................. 17
2.4.1 Finding Start-up Ideas............................................................................................................. 18
2.4.2 Sources of Start-Up Ideas....................................................................................................... 19
2.5 Change-Based Sources of Entrepreneurial Opportunities...................................................................... 21
2.6 Applying Innovative Thinking to Business Ideas................................................................................... 23
Summary...................................................................................................................................................... 25
References.................................................................................................................................................... 25
Recommended Reading.............................................................................................................................. 25
Self Assessment............................................................................................................................................ 26
II/JNU OLE
