Entrepreneurship development assignment

Entrepreneurship Development

INTRODUCTION:
An entrepreneur is one of the important segments of economic growth. Basically
he/she is a person responsible for setting up a business or an enterprise. In fact he/she
is one who has the initiative, skill for innovation and who looks for high
achievements. He/she is a catalytic agent of change and works for the good of people.
He/she puts up new green field projects that create wealth, open up many employment
opportunities and leads to the growth of other sectors.

The word „entrepreneur‟ is derived from the French verb “entreprendre”. It means “to
undertake”. In the early 16th century, the Frenchmen who organized and led military
expeditions were referred to as “entrepreneurs”, around 1700 A.D., the term was used
for architects and contractors of public works.

The term “entrepreneur” was applied to business initially by the French economist,
Caltillon, in the 18th century; designate a dealer who purchases the means of
production for combining them into marketable products. Another Frenchman J.B.
Say, expanded Cantillon‟s ideas and conceptualized the entrepreneur as an organizer
of a business firm, central to its distributive and production functions. Beyond
stressing the entrepreneur‟s importance to the business, Say did little with his
entrepreneurial analysis.

New Concept of Entrepreneur – The term “entrepreneur” has been defined as one who
detects and evaluates a new situation in his environment and directs the making of
such adjustments in the economic system as he/she deems necessary. He/she
conceives of an industrial enterprise for the purpose, displays considerable initiative,
grit and determination in bringing his project to fruition and in this process, performs
one or more of him/her following.

• Perceives opportunities for profitable investment

• Explores the prospects of starting such a manufacturing enterprise

• Obtains necessary industrial licenses

• Arranges initial capital

• Provides personal guarantees to the financial institutions

• Promises to meet the shortfalls in the capital and

• Supplies technical know-how.

Prepared by: Milan Padariya Page 1


CHARACTERISTICS OF AN ENTREPRENEUR:
A successful entrepreneur must be a person with technical competence,
initiative, good judgement, intelligence, leadership qualities, self confidence, energy,
attitude, creativeness, fairness, honesty, tactfulness and emotional stability.

Mental ability: Mental ability consists of intelligence and creative thinking. An
entrepreneur must be reasonably intelligent and should have creative thinking and
must be able to engage in the analysis of various problems and situations in order to
deal with them. The entrepreneur should anticipate changes and must be able to study
the various situation under which decision have to be made.

Clear objectives: An entrepreneur should have a clear objectives as to the exact
nature of the goods to be produced and subsidiary activitie to be undertaken. A
successful entrepreneur may also have the objective to establish the products, to make
profit or to render social service.

Business secrecy: An entrepreneur must be able to guard business secrets. Leakage of
business secrets to trade competitors is a serious matter which should be carefully
guarded against by an entrepreneur. An entrepreneur should be able to make a proper
selection of his assistants.

Human relations ability: The most important personality traits contributing to the
success of an entrepreneur are emotional stability, personal relations, consideration
and tactfulness. An entrepreneur must maintain good relations with his customers if
he is to establish relations that will encourage them to continue to patronize his
business. He must also maintain good relations with his employees if he is to motivate
them to perform their jobs at a high level of efficiency. An entrepreneur who
maintains good human relations with customers, employees, suppliers, creditors and
the community is much more likely to succeed in his business than the individual who
does not practice good human relations. Human relations ability can also be referred
to as tactfulness.

Communication ability: Communication ability is the ability to communicate
effectively. Good communication also means that both the sender and the receiver
understand each other and are being understood. An entrepreneur who can effectively
communicate with customers, employees, suppliers and creditors will be more likely
to succeed than the entrepreneur who does not.

Technical knowledge: An entrepreneur must have a reasonable level of technical
knowledge. Technical knowledge is the one ability that most people are able to
acquire if they try hard enough.

An entrepreneur who has a high level of administrative ability, mental ability, human
relation ability, communication ability and technical knowledge stands a much better
chance of success than his counterpart who possesses low levels of these basic
qualities.



ADMINISTRATI
VE ABILITY
TECHNICAL ORGANISATIO
KNOWLEDGE N SKILL

EFFECTIVE
INTELLIGENC
COMMUNICATI
E
ON

PUBLIC ENTREP
CREATIVITY
RELATIONS RENEUR

EMOTIONAL
INNOVATION
STABILITY

SOUND CLEAR
KNOWLEDGE OBJECTIVE
BUSINESS
SECRECY

Some key characteristics of a successful entrepreneur are:
Motivator: An entrepreneur must build a team, keep it motivated and provide an
environment for individual growth and career development.

Self confidence: Entrepreneurs must have belief in themselves and the ability to
achieve their goals.

Long term involvement: An entrepreneur must be committed to the project with a
time horizon of five to seven years. No ninety- day wonders are allowed.

High energy level: Success of an entrepreneur demands the ability to work long
hours for sustained periods of time.



Persistent problem solver: An entrepreneur must have an intense desire to complete
a task or solve a problem. Creativity is an essential ingredient.

Initiative: An entrepreneur must have initiative accepting personal responsibility for
actions and above all make good use of resource.

Goal setter: An entrepreneur must be able to set challenging but realistic goals.

Modern risk taker: An entrepreneur must be a moderate risk taker and learn from
any failures.
These personal traits go a long way in making an entrepreneur a successful
man or woman.

CLASSIFICATION:
The entrepreneur have been broadly classified according to the types of business,
use of professional skill, motivation, growth and stages of development are discussed below

Entrepreneur according to the type of business:

 Business entrepreneur: Business entrepreneurs are individuals who conceive an idea
for a new product or service and then create a business to materialize their idea into
reality.

 Trading entrepreneur: Trading entrepreneur is one who undertakes trading
activities and is not concerned with the manufacturing work.

 Industrial entrepreneur: Industrial entrepreneur is essentially a manufacturer who
identifies the potential needs of customers and tailors a product or service to meet the
marketing needs.

 Corporate entrepreneur: Corporate entrepreneur is a person who demonstrates his
innovative skill in organizing and managing corporate undertaking.

 Agricultural entrepreneur: Agricultural entrepreneurs are those entrepreneurs who
undertake agricultural activities as raising and marketing of crops, fertilizers and
other inputs of agriculture.

Entrepreneur in technology:



 Technical entrepreneur: A technical entrepreneur is essentially compared to a
“craftman”.He concentrates more on production than on marketing. He demonstrates
his innovative capabilities in matter of production of goods and rendering of services.

 Non- technical entrepreneur: Non- technical entrepreneurs are those who are not
concerned with the technical aspects of the product in which they deal. They are
concerned only with developing alternative marketing and distribution strategies to
promote their business.

 Professional entrepreneur: Professional entrepreneur is a person who is interested is
establishing a business but does not have interest in managing or operating it once it
is established. Such an entrepreneur is dynamic and he conceive new ideas to develop
alternative projects.

Entrepreneur and Motivation:

 Pure Entrepreneur: A pure entrepreneur is an individual who is motivated by
psychological and economic rewards.

 Induced entrepreneur: Induced entrepreneur is one who is induced to take up an
entrepreneurial task due to the policy measures of the government that provides
assistance, incentives, concessions and necessary overhead facilities to start a venture.

 Motivated entrepreneur: New entrepreneurs are motivated by the desire for self-
fulfillment.

 Spontaneous entrepreneur: These entrepreneurs start their business by their natural
talents.

Growth and entrepreneur:

 Growth entrepreneur: Growth entrepreneurs are those who necessarily take up a
high growth industry which has substantial growth prospects.

 Super growth entrepreneur: Super growth entrepreneurs are those who have shown
enormous growth of performance in their venture.



Entrepreneur and stages of development

 First generation entrepreneur: A first generation entrepreneur is one who starts an
industrial unit by innovative skill. He is essentially an innovator, combining different
technologies to produce a marketable product or service.

 Classical entrepreneur: A classical entrepreneur is one who is concerned with the
customer and marketing needs through the development of a self-supporting venture.

This is the basic of Entrepreneurship. Now Problem is Who is the best person for
Interview…

Generally two types of the Entrepreneur I can select…

1. Local Entrepreneur
2. Very Famous Entrepreneur

But I selected Local Entrepreneur…

Why???

The entire famous entrepreneurs are first Local Entrepreneur after that they became
very famous.

So Study of Local Entrepreneur is good for me.

I Selected 4 Stage of Entrepreneurship and Formed Questions on it.

1. The entrepreneur before starting a venture
2. The Entrepreneur at the time of starting the business
3. The entrepreneur as he or she grew the venture
4. The entrepreneur today and tomorrow

Before that I would like to introduce a youth Entrepreneur Mr. Vipul Yadav…

Mr. Vipul Yadav completed his B.Sc. in Information Technology and started his own
business. He initially started with small web solution forum called Depasser Infotech
Pvt Ltd.

Mr. Vipul Yadav has 5 other solution forum powered by Depasser Infotech.



These Solutions are as follow…

1. Herd MS
2. Google Funda
3. Edu Edge
4. Financial Virtue
5. Peeping Kid

Mr. Vipul Yadav also started 4 E-Commerce websites including,

1. www.giftpunch.com
2. www.teemper.com
3. www.giftyaar.com
4. www.thedifferentstore.com

Before Discuss Questions and Answer I would like to brief the businesses associated
with Mr. Vipul Yadav.

Depasser Infotech Pvt Ltd.
It is related to web solution. Depasser provided web based solution in India.

Official Website: http://www.depasserinfotech.com/

About Depasser:

We are a small but diverse bunch of web developers, graphic designers
and creative writers happy to design websites and develop web
applications. We make good conversations too!



Web-Design:

A good business, needs and equally good face. Check out the faces we've
given to some businesses. Psst.. We use CSS3, JQuery, HTML5, PHP.
Magento, Drupal.

Web Application:

Managing data and multiple businesses tasks can get difficult. We make it
easy for you to manage them! And yes, we work on PHP, Ruby, Python.



On other hand Depasser Infotech powers other 5 web solution/web application

1. Google Funda:

Official Website: http://www.googlefunda.com/



2. Financial Virtue

Official Website: http://www.financialvirtue.com/

Financial Virtue
We are independently spirited, fiercely unconventional people who believe in doing
things differently. We value, "Values & Virtue".

FINANCIAL VIRTUE is a Financial Advisory and Distribution firm launched in
2003 with the aim of making investing simpler, more understandable and profitable,
leading to true Financial Freedom.

We at FINANCIAL VIRTUE have well qualified, trained and experienced team of
associate partners, professionals and staffs from the fields of Accounts & Taxation,
Law, Financial Planning, Securities & Capital Market, Banking and Insurance (both
Life and Non Life).

We offer personalised advisory services for saving & investment, financial risk
management, tax, Law & Financial Planning, to individual investors, corporate
houses, institutional investors, Non-Resident Indians (NRIs) and High Networth
Individuals, among others. We offer complete range of financial products and
services.

We have expertise in analyzing different financial products; we carry out in-depth
study considering various parameters on a regular basis in order to satisfy and achieve
any kind of financial goal and need. We help in identifying & understanding ones
personalised needs and also in developing a portfolio across different asset classes



commensurate to his needs. Our experts will give you a feel on the various asset
classes and explain to you the risk associated with each in a simple and lucid manner.
Our advisory services are backed by periodic valuation reports of different asset class
and regular relevant information through newsletters, mailers, e-mails, sms's, etc.

At FINANCIAL VIRTUE our prime concern is to help our client attain peace of mind
on the financial front. We follow a philosophy which focuses on doing the right things
rather than merely doing things right, we also believe that monetary rewards do not
take precedence over an ethical approach to our work.

OUR VISION
To become a credible financial services company, continuously educating our client
and assisting them in creating abundant wealth.

OUR MISSION
In the spirit of fulfilling our Vision we strive to:

 Serve our client with high ethical standards;

 Provide quality service, not just restricted to genuine advice but creating value too,
hence orchestrating customer delight.

 Respect each customer by our deeds & not just by words, thereby creating
reputation built on performance.

 Provide 360o (degree) solutions to each customer to fulfill their today's needs and
tomorrow's dreams, above all ensuring them a sense of safety, security & trust;

 Compensate our Partners, Associates and Employees with fair remunerations and
meaningful benefits while providing them with the knowledge & tools needed to
encourage personal & professional growth.



3. Peeping Kid

Official Website: http://www.peepingkid.com/



4. Edu Edge

Official Website: http://www.eduedgeindia.com/



5. Herd MS

Official Website: http://www.herdms.com/



Also Mr. Vipul Yadav designed own 4 websites…

1. Gift Punch

Official Website: http://www.giftpunch.com/

2. Teemper Lifestyle

Official Website: http://www.teemper.com/



3. The Different Store

Official Website: http://www.thedifferentstore.com/



4. Gift Yaar

Official Website: http://www.giftyaar.com/



Now discuss the questions and answers. I asked total 24 questions to Mr. Vipul Yadav
as per the stage of Entrepreneurship.

A. The entrepreneur before starting a venture
5 questions were asked under this stage.

1. What is your education background?

ANS: I have completed my B.Sc. in Information Technology in 2009 from
Mumbai University, Maharashtra.

2. What previous work experience do you have before starting the venture?

ANS: Actually I am new in this. No previous Experience I had, but I have idea
about the IT sector and Found good Scope in this. And also during my graduation
I worked in one mobile shop. My job was to repair damaged mobile. As per my
thinking it is not necessary to having such an experience to start own business.
Just you have gut feelings and dedication.

3. Did you have any role models when growing up?

ANS: If you asking me about very famous personality as a role model then No. I
have no any specific role model to follow. But if your meaning is of familiar
person as role model then Yes, My Idol my teacher is my role model.

4. Did you do entrepreneurial things as a youth?

ANS: I am young today; I am just 26 years old. So whatever I did that are during
my youth. Actually I liked mobile phone very much when I was Child and
thinking about mobile every time. In fact I want to something different in
telecommunication software.

5. When did you know you wanted to be an entrepreneur?

ANS: During my graduation. At that time I did not know the term “Entrepreneur”.
Only I knew is wanted to become different.



B. The Entrepreneur at the time of starting the business
8 Question were asked in this stage.

1. What was your primary motivation for starting a business? What were
the factors that led you to start the venture?

ANS: My Primary motivation is my Interest in IT sector. I want to be achieving
some different stage in IT sector.

Factors are not fixed. If you want to be a good entrepreneur then don‟t depend on
some selected factors.

At the start of venture I focused on some Factors like:

Interest

Population of India

Mobile Users in India

Competitors

No of MNCs

One thing I want to tell you is about MNCs

In Indian market there are thousands of MNCs running this is not good thing
about India. One story I want to tell you but I will not declare the name of person
and name of company.

Minister of Telecommunication in India collaborate with one Indian Company for
Land line. Only cost of 150 Rs Company provided phones. At that time someone
not earn commission so he withdrawn the contract from Indian Company and gave
the contract to Foreign Company. That company charged 650 Rs per one piece.
That was not Ethical thing…

So I want to produce some cheaper but quality products for India.

2. What were your goals at the time you started the venture?

ANS: My primary goal was Cheaper and Quality product. Give the web solution
to the companies. And other goal was to start the Affordable and unique E-
commerce hub.

3. What sort of beliefs did you have (eg. About employees, partners, banks,
etc)?



ANS: About Employees: Self-employment is best in business. But for more
production and service employees are required but only thing is dedication.

Partner should be trust worthy and hard working. If you climb four steps then your
partner should there at fifth step to welcome you.

According to me banks are your official partner. If you want to get good loan from
bank then your business plan should be perfect and most profitable.

My meaning is not that you make fake profitable business plan.

4. Did you establish a lifestyle business, a rapid growth business, or what?,
Did your growth orientation change over time?

ANS: Yes, I established rapid growth business. Yes of course my growth
orientation changes over time. Every business should have this type of
philosophy.

5. What sort of resources (not just financial) did you have when you started
the venture? What sort of network did you have? Were there any special
creative things you did to come up with the needed resources?

ANS: Besides the financial thing I needed some good partner. Which I discussed
in earlier question. In this field network is necessary. I have network of family and
friend initially. But I also focused on some business enterprises. Yes I came up
with some creative thing and you can see creativity from our home page of
Depasser Infotech. Also you can see some creative product that we sell under the
our E-Commerce website.

6. How concerned were you with control when starting the venture? Explore
the entrepreneur’s need for control (of the venture, of people, of decision
making)

ANS: It is good question.

Of Course Control is necessary in any venture or project. First I decided to control
my web solution forum alone but after started E-Commerce I just worried about
controlling so I was going for searching some employees and Partner. I am very
weak in marketing so I really need marketing people for my business even at this
time I also need.

In E-Commerce hub I needed some people who are very good in Logistic or
Transportation.

7. Did you write a business plan?

ANS: No, I did not write business plan. In fact I was not aware with some
management and finance philosophy. But in my future project and business



planning I will go through business plan or someone will help me in this. As a
management student you can join me and do financial planning for me.

8. How long was a typical work day and work week when you first started
your venture?

ANS: At the starting of venture I did lots of hard work. Even present days I do
hard work. But it is necessary to do hard work at the time of starting. Not just hard
work but sustainable hard work.

Only thing is believe in believe in hard work.



C. The entrepreneur as he or she grew the venture

6 questions were asked in this stage:

1. How have your goals and values changed since starting the venture?

ANS: General Rule in business in you should not change your goal and value in
entire life of your business. But I think in different way.

You can change your goal as per the generation and scenario changed. You can
change values of your business as per societal value changes.

2. Did your risk orientation change as the venture grew?

ANS: Yes, I feel more risk now than I felt when I started this journey. This is
because of Competition increase in IT sector. And as per my thinking India is the
best place for the business because of population.

3. Did the typical work week change as the venture grew?

ANS: Yes of course as time changes you should change the pattern of the work
and time of work.

4. Did the assumptions you made when you first started the business prove
to be wrong?

ANS: No, I did hard work behind my project and now I feel that no assumption of
mine is wrong.

5. What key mistakes did you make along the way?

ANS: I did only one mistake and that is selection of partner. I will tell you my
partner is not fraud but he has no faith on me and my work.

6. Were there some critical times when the business nearly failed?

ANS: Yes, When no one was with me and when my partner left me. But I did not
lose my courage.



D. The entrepreneur today and tomorrow

4 questions were asked.

1. What would you do differently if you had to do it all over again?

ANS: Only this is make combination of two mobile and make hybrid from these.

Shocked?

Just joking.

When I was started this venture I thought about that. One thing I want to do is
Purchase the hardware from the china and Installed software that I make and form
different and quality product which will be different from other products.

2. What key personal characteristics do you see in yourself that were
especially important for your success?

ANS: Very Interesting question and funny also.

Funny in the sense you tell me that praise yourself but in indirect way.

Hard working nature

Mental Ability

Dedication

Creativity

Interpersonal Skills

Knowledge about the business

Competitor watch

Self Confidence

Technical Knowledge

And of course Idea Generation

3. What are your plans for the future?

ANS: In fact so many plans are running here and there in my mind. One is
merging the hardware (Imported) and software (My own) and making unique
mobile which will cheaper but with quality. Develop my own software and form
E-Commerce hub.



4. What advice based on your experience would you give to others?

ANS: This is very tough question.

Advises are:

Put all your effort on your own project or business

Pay full attention in financial value

Make society feel proud

Give your full dedication

Understand the value of your customer and employees

Don‟t Forget Society

That‟s it…….

Me: Thank you Sir

Mr. Vipul Yadav: You are most welcome.


Entrepreneurship development assignment

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Viewers also liked

Viewers also liked (10)

Similar to Entrepreneurship development assignment

Similar to Entrepreneurship development assignment (20)

More from Milan Padariya

More from Milan Padariya (20)

Recently uploaded

Recently uploaded (20)

Entrepreneurship development assignment