1. Entrepreneurship

2. Sole Proprietorship
• A business owned by a single
individual that is not incorporated.
• The life of the organization is limited
to the life of the individual who
started it.

3. Partnership
• A partnership exists when two or more
persons associate to conduct a non-corporate
business.
• Partnerships may operate under different
degrees of formality ranging from informal
(oral understandings) to formal agreements.

4. Entrepreneur
• One who starts his own, new and small business
• Person who undertakes an enterprise with
chances of profit or loss.
• Entrepreneur is a person who undertakes a
business activity of which he/she has no
background and faces considerable risks in the
process.
• If either of the two elements, i.e., “no
background” or “considerable risk” is missing in
the venture, it is no entrepreneurship.

5. • Peter F. Drucker defines an entrepreneur as
one who always searches for change,
responds to it and exploits it as an
opportunity. Innovation is the basic tool of
entrepreneurs, the means by which they
exploit change as an opportunity for a
different business or service.
Entrepreneur

6. Famous Entrepreneurs in the World
Donald Trump Bill Gates
Larry Page Pierre Omidyar
Mark Zuckerberg

7. Who am I?
What’s my Company?
•Manhattan Real Estate Developer
•Owns 3 Casinos, 6 Golf Courses
•Star of TV Show, “The Apprentice”
Famous Entrepreneurs
Donald Trump
Owner, The Trump Organization
•Manhattan Real Estate Developer
•Owns 3 Casinos, 6 Golf Courses
•Star of TV Show, “The Apprentice”

8. Who am I?
What’s my Company?
•58 years old, Harvard University (not!)
•Started his company at 20 years of age
Famous Entrepreneurs
Bill Gates
Founder & Chairman, Microsoft
• 58 years old, Harvard University (not!)
• One of the richest person in America
• Started his company at 20 years of age

9. Who am I?
What’s my Company?
•40 years old, University of Michigan
•Started his company at 28 years of age
Famous Entrepreneurs
Larry Page
Founder & President, Google
•40 years old, University of Michigan
•Owner of top one web search engine
•Started his company at 28 years of age

10. Who am I?
What’s my Company?
•46 years old, graduated Tufts University
•Started his company at 28 years of age
Famous Entrepreneurs
Pierre Omidyar
Founder & Chairman, eBay
•46 years old, Tufts University
•Started his company at 28 years of age

11. Who am I?
What’s my Company?
•28 years old, Harvard University
•Youngest billionaire ever
•Started his company at 16 years of age
Famous Entrepreneurs
Mark Zuckerberg
Founder & CEO, Facebook
•28 years old, Harvard University
•Youngest billionaire ever
•Started his company at 16 years of age

12. Entrepreneurship
• It is a philosophy or process through which an
entrepreneur seeks innovation and
employment.
• It is the process of creating something different
with value by devoting the necessary time and
effort, assuming the accompanying financial,
psychic, social risks and receiving the resulting
rewards of monetary and personal satisfaction
and independence.

13. Concept of Entrepreneur
• Entrepreneur as risk bearer
• Entrepreneur as an organizer
• Entrepreneur as an innovator
– Introduction of new product in the market.
– Use of new method of production, which is not
yet tested.
– Opening of new market.
– Discovery of new source of raw materials.
– Bringing out of new form of organisation.

14. Inventor and Innovator
• An inventor is one who discovers new
methods and new materials.
• An innovator utilizes inventions and
discovers in order to make new
combinations.

15. Inspirational Stories of
Successful Entrepreneurs
Source: www.entrepreneur-inspiration.com

16. Sam Walton (1918 – 1992)
• He is the founder of Wal-Mart (the largest
public corporation according to the Forbes
Global 2000) and Sam’s Club.
• Inspirational story: When he opened his
first store, his store always stayed open
later than the most other stores, especially
during Christmas season.

17. Colonel Sanders (1890 – 1980)
• He is the founder of Kentucky Fried
Chicken (KFC) which is one of the largest
fast food corporation in the world.
• Inspirational story: In the age of 65 years
old he tried to franchise his fried chicken
receipt to restaurant owners, he went door
to door by driving car. He got 1009 “No”
answers before getting his first “Yes”
answers from a restaurant owner who
wanted to sell his fried chicken.

18. Thomas Alva Edison (1847 – 1931)
• He is a famous inventor of light bulb,
scientist, and businessman.
• Inspirational story: He was failed
more than thousand times in
experiments while inventing light
bulb.

19. Henry Ford (1863 – 1947)
• He is the founder of the Ford Motor
company. As owner of the Ford Motor
Company, he became one of the richest
and best-known people in the world.
• Inspirational story: At 15 years old, he
worked as a watch repairman. In 1891 he
started his career as an engineer and he
built a company in 1899 which was not
successful. Finally Ford Motor Company
was built in 1903.

20. Warren Buffett (1930 – Present)
• He is one of most successful
investor in the world. He is also
one of the world’s richest person.
• Inspirational story: When he was a
child, he went door to door selling
weekly magazines, Coca Cola, and
gum.

21. Michael Dell (1965 – Present)
• He is the founder of Dell Inc. and
one of the wealthiest people in the
world.
• Inspirational story: He started his
business idea in 1984 with just
$1000 by providing affordable
personal computers to college
students.

22. Ingvar Kamprad (1926 – Present)
• He is the founder of IKEA (the
world’s largest furniture retailer) and
one of the world’s richest men.
• Inspirational story: He founded IKEA
at age 17, he got the capital from a
reward that he received from his
father for doing well in school.

23. Importance
• Provides Self Employment for the entrepreneur
• Entrepreneur can offer employment
• Innovation and creativity
• Unlimited income / higher retained income (Bill Gates,
Tata, Ambani, etc.)
• Results in wider distribution of wealth
• Supports to economic growth of the country
• Optimum utilization of resources
• Research and development
• Regional imbalances
• Exploitation by monopolists

24. Characteristics
Core
competencies
Entrepreneurial activities
Initiative Does things before asked for or forced to by events
and acts to extend the business to new areas,
products or services.
Perceiving
opportunities
Identifies business opportunities and mobilizes
necessary resources to make good an opportunity.
Information
gathering
Consults experts for business and technical advice.
Seeks information of client or supplier’s needs.
Personally undertakes market research and make
use of personal contacts or information networks to
obtain useful information.
Contd…

25. Core
competencies
Entrepreneurial activities
Persistence Takes repeated or different actions to overcome
obstacles.
Concern for
quality work
States desire to produce or sell a better quality
product or service. Compares his performance
favorably with that of others.
Commitment to
contractual
obligations
Makes a personal sacrifice or expands extraordinary
effort to complete a job, accepts full responsibility in
completing a job contract on schedule, pitches in
with workers or work in their place to get the job
done and shows utmost concern to satisfy the
customer.
Contd…
Characteristics

26. Core
competencies
Entrepreneurial activities
Efficiency
orientation
Finds ways and means to do things faster, better and
economically.
Planning Various inter-related jobs are synchronized
according to plan.
Problem solving Conceives new ideas and finds innovative solutions.
Self-confidence Makes decisions on his own and sticks to it in spite
of initial setbacks.
Experience Possesses technical expertise in areas of business,
finance, marketing, etc.
Contd…
Characteristics

27. Core
competencies
Entrepreneurial activities
Self-critical Aware of personal limitations but tries to improve
upon by learning from his past mistakes or
experiences of others and is never complacent with
success.
Use of influence
strategies
Develops business contacts, retains influential
people as agents and restricts dissemination of
information in his possession.
Monitoring Develops a reporting system to ensure that work is
completed and quality norms.
Credibility Demonstrates honesty in dealing with employees,
suppliers and customers even if it means a loss of
business.
Characteristics
Contd…

28. Core
competencies
Entrepreneurial activities
Concern for
employee
welfare
Expresses concern for employees by responding
promptly to their grievances.
Impersonal
relationship
Places long-term goodwill over short-term gain in a
business relationship.
Expansion of
capital base
Reinvests a greater portion of profits to expand
capital of the firm.
Building product
image
Concerned about the image of his products among
consumers and does everything possible to establish
a niche for his products in the market.
Characteristics

29. Differences between
Entrepreneur and Manager

30. • Need for Achievement
• Risk taking
• Organizing Skills
• Perseverance
• Hard Working
• Self Confidence
Qualities of Entrepreneurship
• Disciplined
• Open Minded
• Self Starter
• Competitive
• Creativity
• Determination
• Strong work ethic
• Passion

31. Role of Entrepreneurship
• Entrepreneurship promotes capital formation
by mobilizing the idle saving of the public.
• It provides immediate large-scale
employment. Thus it helps to reduce
unemployment in the country.
• It provides balanced regional development.
• It helps reduce the concentration of economic
power.

32. Role of Entrepreneurship
• It stimulates the equitable redistribution of wealth,
income and even political power in the interest of the
country.
• It encourages effective resources mobilization of
capital and skill which might otherwise remain
unutilized and idle.
• It also induces backward and forward linkages which
stimulated the process of economic development in
the country.
• It promotes country’s export trade i.e. an important
ingredient for economic development.