ENTREPRENURIAL CHARACTER TRAITS

character trait

refers to the mark or attribute that distinguishes an entrepreneur from the owner of an ordinary small business.

Achievement cluster

Planning cluster

Power cluster

10 entrepreneurial characteristics grouped into 3 major clusters

Achievement Cluster

consist of entrepreneurial character traits that are directly related to the entrepreneur's desire to be an achiever in the field of entrepreneurship.

opportunity-seeker

committed

persistent

risk-taker

efficient and quality-oriented

The entrepreneur who belongs to achievement cluster consists of (5):

Opportunity-seeker

A person who dream of becoming a successful entrepreneur must be a seeker of business opportunities. He/She must possess the ability to identify with great ease the most appropriate entrepreneurial opportunities. The entrepreneur usually identifies the business opportunity and then thoroughly evaluates its viability.

Committed

A highly committed entrepreneur displays full commitment to the work or endeavor that he/she is undertaking. He/She does not entertain negativism and skepticism.

Commitment

to promise or pledge

Lack of interest

means lack of commitment.

Persistent

Trials, sacrifices, and failures challenge the entrepreneur to be persistent.

"quit" and "surrender"

are not included in the vocabulary of successful entrepreneurs. They exhaust all possible means to keep their business afloat in the market. Being humans, they may feel down and discouraged at times, but they keep on moving forward.

Risk-taker

- There is risk entrepreneurship because of uncertainty. No one can predict exactly what will happen tomorrow.

Aggressive risk-taker

moderate risk-taker

conservative risk-taker

3 types of risk-takers:

aggressive risk-taker

is not scared to take any risk in business.

moderate risk-taker

is more calculative in taking risks. He/She analyzes the situation before taking the leap.

conservative risk-taker

is not very eager to take any kind of risk. He/She is satisfied with managing a small business and a regular clientele.

Efficient and quality-oriented

A successful entrepreneur highly values efficiency and the concept of quality in all business undertakings.

efficiency

in an entrepreneurial endeavor is related to the cost involved in the production of goods and services.

quality

on the other hand, deals with defect. Successful entrepreneurs generally work for zero defects in their products and services. When customers do not complain about the products or return them, the products must be of good quality.

Planning Cluster

is a set of characteristics successful entrepreneurs that basically supports the character traits in the achievement clust er.

goal-setter

information-seeker

systematic in planning and monitoring

(3) The entrepreneur who belongs to the planning cluster is:

Goal-setter

- The basic concept of planning is settings goals and objective. Goals and objectives are the guiding points that direct all actions, efforts, and struggles of the entrepreneur.

- a successful entrepreneur sets clear, specific, and well-defined short-and-long term goals and objectives.

Specific, Measurable, Achievable, Realistic, and Time-bound.

SMART ACRONYMS

Information-seeker

Entrepreneurs constantly make decisions that will affect the operations of their business ventures. These must be based not on their whims and caprices but on specific and relevant economic, financial, and industry data. Successful entrepreneurs, in other words, primarily seek a strong basis to make sound decisions.

systematic

implies that there is a rational and logical approach in performing the activities. There are step-by-step procedures that are scientifically designed to be followed in the preparation of plans and monitoring of activities.

Planning

simply refers to the setting of goals and objective.

Monitoring

on the other hand, refers to the evaluation of the activities and adopted courses of actions whether they are carried in accordance with the plans.

Power Cluster

includes a set of characters traits that reflect the degree of the interpersonal relations maintained by successful entrepreneurs in the community.

power

- does not connote autocratic control of the situation or having that bossy type of personality in the entrepreneurial activities.

- It simply refers to the ability of the entrepreneur to maintain the highest degree of interrelationship in the business community and influence others over to his/her line of reasoning.

Self-confident

is actually a manifestation of the entrepreneur's strong trust or belief on himself/herself.

decide

organize

present

3 Business Plan because it helps to:

Feasibility Study

- is an analysis that takes all of a project's relevant factors into account (economic, technical, legal) to ascertain the likelihood of completing the project successfully.

Business Plan

- is a written document that describes in detail how a business - usually a new one - is going to achieve its goals.

- is actually the roadmap of the new business.

- is defined as a detailed and integrated written document that describes the various activities involved in opening and operating a new entrepreneurial venture.

purpose

methodology

risks

cost

Feasibility study and business plan differs in (4) following areas:

the test of possibility

the test of feasibility

(2) major tests are conducted every time a new business idea:

business project

is relatively large in terms of financing or funding requirements, the entrepreneur usually seeks the assistance of consultants.

Introduction

Executive summary

Environmental analysis

Business description

Organizational plan

Production plan

Operation plan

Marketing plan

Financial plan

Appendix

10 MAJOR PARTS OF THE BUSINESS PLAN:

Introduction

presents the general perspective of the business. It may consist of one to two pages. It includes, among others,

Proposed name of the business

Description of the business

Potential worth to the people and the community

Address of the business

Name of the owner or owners

Location of the business

Funding requirement and source

7 sections introdcution:

Proposed Name of the Business

The formulation and drafting of the proposed business name are not as simple as it sounds. It is a delicate and important entrepreneurial task.

Description of the Business

A brief description of the business must include information about the type of product or service. That the business intends to produce or provide. It may include a brief information about the ultimate mission, vision, and objectives of the business.

Potential Worth to the People and the Community

This part includes the compounded benefits that you can derive from the product and the business.

Location of the Business

There are no rigid rules in the selection of the business location since several variables affect the selection of the business location.

Name of the owner

- must be properly stated. In a sole proprietorship, there is only one owner.

In case the venture is a partnership, the names of the partners, including the extent of their liabilities, must be indicated.

For example: if a partner's contribution takes the form of a service, a description like industrial partner or limited partner must be properly mentioned.

Funding Requirement and Source

This section also presents the source or sources of funds. The initial cost of investment may be provided solely by the owner or owners or partly by the owner and creditors. The estimated period to settle the funding source provided by creditors must also be mentioned.

a persuasive and positive networker

self confident.

An entrepreneur in the power cluster is (2)

Persuasive and Positive Networker

- Successful entrepreneurs completely discard the concept of bribery in dealing with people. They rather employ or adopt appositive way of influencing others with their brilliant ideas and entrepreneurial aspirations. They are good communicators and they find it easy to sell their ideas.