Q1 ENTREP

entrepreneurship

• The science of converting process ideas into a remarkable business venture.

entrepreneur

a person who creates unique ideas that will be useful for starting a business.

• decisive

• communicator

• leader

• opportunity seeker

• proactive

• risk taker

• innovative

common competencies:

1. personality factors

2. environmental factors

factors affecting entrepreneurship:

• initiative

• proactive

• Problem solver

• Perseverance

• Persuasions 

• Planner

• Risk taker

• Self-Confidence

personality factors

• Political

• Climate

• Legal System

• Economic and Social Conditions

• Market Situation

environmental factors

1. innovative entrepreneur

2. imitating entrepreneur

3. fabian entrepreneur

4. drone entrepreneur

5. social entrepreneur

types of entrepreneurs

innovative entrepreneur

1. who develop new business ideas, often disruptive, to generate profit, address societal needs, and drive economic growth

imitating entrepreneur

1. someone who adopts and adapts existing business ideas rather than creating entirely new ones

fabian entrepreneur

1. characterized by their cautious, risk-averse approach to business

drone entrepreneur

1. prefer to maintain traditional business practices and resist adopting new technologies

social entrepreneur

1. their goal isn’t just to earn money but also offer services to the people or the environment 

• business consultant

• teacher

• researcher

• sales

• business reporter

career opportunities in studying entrepreneurship:

business plan

• Serves as the “birds-eye view” of your plan

• Written description of the business that you will establish in the future

business concept

 should have the essence of the business in a short but powerful manner

business model

a formula on how the business plans to make money out of business

1. Raising revenue

2. The cost of the enterprise products and other costs of doing business

3. Major investments of the enterprise

4. Financing the investment

4 areas of business modelling

business goals

• hows the long-term and future prospects of the enterprise. It is composed of:

1. Vision

2. Mission 

3. Objectives

4. Key results area

5. Performance indicators

• Tells you wherever you want to go; objectives tell you precisely the way to get there

• Usually represented in words; objectives usually go together with numbers and specific dates

1. Specific Goal Setting

2. Self-Efficacy

3. Need for Achievement

4. Ambition 

5. Willingness to Learn

6. Adaptability and Flexibility

7. Willingness to Take Risk

8. Interpersonal Skills

the business goals:

executive summary

• Summarizes the necessary details of the business plan for its readers

• It is timesaving for readers, for they are able to get the gist of the business plan

• Need to capture the audience’s attention immediately so that they are motivated to read the remainder of the document

• End with a strong and clinching closing sentence that will justify why your proposed business is a winning one.

1. Resource Mobilizers

2. Technology Providers and Applicator

3. Government and Top Management

4. Operations and Support Team

types of stakeholders

business proponents

contain information about the stakeholders of your business.

entrepreneural ideas

Creation of an entrepreneurial idea leads to the identification of entrepreneurial opportunities.

1. entrepreneurial mind fame

2. entrepreneurial heart flame

3. entrepreneurial gut game

essentials of an entrepreneur’s opportunity seeking:

Entrepreneurial mind fame

• See things positively and optimistically amid different situations

entrepreneurial heart flame

• driven by passion

entrepreneurial gut game

• Ability to be initiative 

• Also known as intuition

1. changes in the environment

2. technological discovery and advancement

3. government’s thrust, programs, and policies

4. people’s interest

5. past experiences

sources of opportunities:

1. Physical Environment

• Climate

• Natural Resources

• Midlife 

2. Societal Environment

• Political forces

• Economic forces

• Socio-Cultural forces

• Technological forces

3. Industry Environment

• Competitors

• Customers

• Creditors 

• Employers

• Government

• Suppliers 

factors under changes in the environment

technological discovery and advancement

sees any business opportunity because of latest technological developments

government’s thrust, programs, and policies

priorities, projects, programs, and policies of the government are also good sources of ideas.

1. Buyers

2. Potential new entrants

3. Rivalry among existing firms

4. Substitute products

5. Suppliers

5 forces of competitors

value proposition

• A business statement that summarizes why a consumer should buy a company’s products or services

• Must be truthful & establish credibility

1. Target Customer

2. Needs/Opportunities

3. Name of the product

4. Name of the enterprise/company

basic elements in creating a value proposition

1. value creation

2. value appropriate

3. value consumption

4. value renewal

5. value transfer

stages of value cycle

value creation

1. a set of interdependent activities that generate value for customers to help sell their products/services.

• key partners

• key activities

• key resources

key components of value creation

value appropriate

1. can be created by enhancing, innovating, and facilitating the customer buying experience.

value consumption

1. maximizing if the value proposition offered by the business matches the customer's needs

value renewal

1. stage happens when the value expires. Also includes updating and adding the benefits and features

value transfer

1. final stage happens when customers no longer gain value from the product or service

unique selling proposition (usp)

• How do you sell your products or services to your customers

• Addresses the wants and desires of your customers

target market

• market identification process that aims to determine the buyers with common needs and characteristics

1. geographic segmentation

2. demographic segmentation

3. psychological segmentation

4. behavioral segmentation

methods for segmenting the market

geographic segmentation

1. the total market divided according to geographical location

   1. Climate

   2. Dominant ethnic group

   3. Culture

   4. (either rural or urban)

geographic segmentation

1. divided based on consumers

   1. Gender

   2. Age

   3. Income

   4. Occupation

   5. Education

   6. Religion

   7. Ethnic group

   8. Family size

psychological segmentation

divided in terms of how customers think and believe

1. Needs and wants

2. Attitudes

3. Social class

4. Personality traits

5. Brain concepts

behavioral segmentation

divided according to customers’ behavior patterns as they interact with a company

1. Perceptions

2. Knowledge

3. Reaction

4. Benefits

5. Loyalty 

6. Responses 

customer requirment

• Specific characteristics that the customers need from a product or service

1. service requirement

2. output requirement

types of customer requirment

service requirement

1.  an intangible thing or product that cannot be touched, but the customer can feel the fulfillment

output requirement

1. tangible thing/s that can be seen

market size

• Most critical task of the entrepreneur

• Size of the arena where the entrepreneur’s will play their business

market research

• The process of gathering, analyzing, and interpreting the information about the products or the services to be offered for sale to potential consumers in the market.

data collection

the most valuable tool in any type of research study. Inaccurate data collection may cause mistakes and ultimately lead to invalid results.

1. survey (questionnaire)

2. interview

3. focus group discussion (fgd)

3 different data collection

survey (questionnaire)

1. the most common way to gather primary research with the use of questionnaires or interview schedules.

2. Methods of Survey:

   • Direct Mail

   • Internet or Email

   • Over the phone

   • Face-to-Face

   • On the Web

interview

1. one of the most reliable and credible ways of getting relevant information from target customers, usually lasts from 15-40 minutes or longer.

2. Methods of Interview:

   • Personal  

   • Telephone

focus group discussion (fgd)

1. an excellent method for generating and screening ideas and concepts. It can be moderated group interviews and brainstorming sessions that provide information on user's needs and behaviors.

1. product

2. place

3. price

4. promotion

5. people

6. packaging

7. positioning

7P’s of Marketing Mix

product

• refers to any goods or services that is produced to meet the consumers’ wants, tastes, and preferences 

1. Business Goods - products/services in operating a business 

2. Consumer Goods - personal use

3. Consumer Services - includes personal use (hair styling, lawn care, etc)

4. Professional Services - used in a professional situation (engineering, accounting, etc)

types of products

place

• also known as the distribution channel in which represents the location where the buyer and seller exchange goods or services

price

• the value of money in exchange for a product or service

• Penetration Pricing

• Skimming Pricing

• Competition Pricing

• Product Line Pricing

• Bundle Pricing

• Premium Pricing

• Psychological Pricing

• Optional Pricing

• Value-Based Pricing

types of price

penetration pricing

• “Loan now, Grow later”

skimming pricing

• “High now, drop later.”

competition pricing

• “Look at Them, then Set Yours”

product line pricing

• “Same category, same features = higher price”

bundle pricing

• “Buy more, Pay less”

premium pricing

• “famous name, famous price”

psychological pricing

•  “99 feels lighter than 100” 

optional pricing

•  “Pay base, add if you want”

value-based pricing

•  “Pay more now, Save later”

promotion

• the complete set of activities that communicate the product, brand, or services to users

• Promotional Mix

  • Advertising (TV, Radio, Print, etc.)

  • Public Relations or PR

  • Personal Selling

  • Sales Promotions (free gifts, samples, trials, etc)

  • Direct Marketting (brochures, coupons, etc)

typed of promotion

people

• consists of each person who is involved in the product or service, whether directly or indirectly.

packaging

• a silent hero in the marketing world—is the outside appearance of a product and how it is presented to the customers.

• Protection

  • Natural deterioration 

  • Physical deterioration 

  • Safety

  • Waste Reduction 

• Containment 

• Information 

• Utility of Use

• Promotion

purpose of packaging

positioning

• a process used by marketers to create an image in the minds of a target market

• Functional Positions - deals with solving problems, providing benefits such as the manager

• Symbolic Positions - deals with self-image enhancement, ego identification 

• Experiential Positioning - 

types of positioning