Entrepreneurship Reviewer: Evolutionary Development, Cognition, and Ethics

Vocabulary flashcards derived from Kuratko's Entrepreneurship (9th ed.) covering Chapter 1 (Evolutionary Development, Revolutionary Impact) and Chapter 2 (Cognition and Ethics).

Entrepreneurship

A dynamic process of vision, change, and creation that requires putting energy and passion into turning new ideas and creative solutions into reality.

Entreprendre

The French verb meaning 'to undertake,' which is the etymological origin of the word entrepreneur.

Entrepreneur

An individual who takes on the job of organizing, managing, and shouldering the risks of a business.

Small Business Owners

Individuals who run a business expecting steady, stable sales, profit, and growth, as opposed to entrepreneurs who focus on innovation and sustainable growth.

Environmental School

A macro-view school of thought that examines external factors that shape a would-be entrepreneur's lifestyle and choices.

Financial/Capital School

A macro-view school of thought centered on the capital-seeking process of finding seed money and growth capital.

Displacement School

A macro-view school of thought arguing that alienation, detachment, or isolation pushes people toward entrepreneurship.

Entrepreneurial Trait School

A micro-view school of thought, also known as the 'people school,' that looks for traits common to successful entrepreneurs such as achievement, creativity, determination, and technical know-how.

Venture Opportunity School

A micro-view school of thought focused on finding ideas, developing concepts, and executing venture opportunities.

Corridor Principle

The principle stating that going after one entrepreneurial venture opens up new opportunities that can send entrepreneurs in different directions.

Strategic Formulation School

A micro-view school of thought that stresses careful planning as the key to successful venture development.

Opportunity-Driven Entrepreneurs

Entrepreneurs who launch a venture in pursuit of job satisfaction, achievement, opportunity, or money.

Necessity-Driven Entrepreneurs

Entrepreneurs who start a business because some form of adversity leaves them little other choice.

Cognition

The mental functions, processes, and states involved in attention, memory, language, problem-solving, and decision-making.

Social Cognition Theory

A theory holding that people's knowledge structures (mental models) can be organized to make them more effective in a given situation.

Entrepreneurial Cognition

The knowledge structures people draw on when assessing, judging, or deciding on opportunity evaluation, venture creation, and growth.

Loss Orientation

An approach to dealing with grief from failure that focuses on the specific loss and building an account of why it happened.

Restoration Orientation

An approach to dealing with grief from failure that involves distracting oneself from dwelling on the failure and acting on secondary sources of stress.

Financial Risk

The exposure an entrepreneur faces regarding how much capital they put on the line weighed against desired returns.

Career Risk

The risk an entrepreneur faces regarding the potential loss of steady employment security.

Family and Social Risk

The strain created by competing commitments between an entrepreneur's work and their family or social life.

Psychic Risk

The psychological toll and impact on personal well-being that business failure can inflict on an entrepreneur.

Entrepreneurial Stress

A condition occurring when the demands and expectations of work exceed an entrepreneur's ability to perform as a venture initiator.

Overbearing Need for Control

A self-destructive ego characteristic involving a strong drive to control both the venture and one's destiny to the point of preoccupation.

Sense of Distrust

A self-destructive ego characteristic marked by a tendency toward wariness that can strain relationships with partners, employees, or investors.

Ethics

A set of principles prescribing a code of behavior that defines situational moral duties and basic parameters for conducting activities in an acceptable manner.

Entrepreneurial Motivation

The drive to create a new venture and the willingness to keep sustaining it.

Entrepreneurial Persistence

An entrepreneur's choice to keep pursuing an opportunity despite counterinfluences or tempting alternatives.