Class Overview

• Subject: Introduction to Entrepreneurship

• Instructor: Arabella Pollack

• Date: March 14th, 2025

Upcoming Classes

• March 18th: HR (Support Functions)

• March 21st: Review Session

  • Poll to determine focus areas

  • Review Sheet available on Brightspace

• March 25th: Midterm Exam

  • Format: Mainly Multiple Choice, some Short Answers

  • Location: Brightspace (In-Person)

  • Notes: Allowed on one side of letter-size paper

Today's Focus: Entrepreneurial Process

• Key Stages:

  • Identifying Opportunity

  • Transition from Opportunity to Business

  • Financing

  • Business Plan Pitch

  • Cashing In

• Associated Fields:

  • Business Ethics

  • Accounting

  • Sales

  • Operations

  • Marketing

  • HR

  • Other Support Functions

Learning Objectives

• Understand:

  • Time Value of Money

  • Risk vs. Reward

  • Sunk Costs

• Familiarize with key financial concepts

Risk vs. Reward

• Principle: Higher Risk Requires Higher Reward

• Investment Types:

  • High Risk: Lower-quality stocks, Junk bonds

  • Medium Risk: Medium-quality preferred stocks

  • Low Risk: Short-term Treasury Bills, bank CDs

Sunk Cost Fallacy

• Definition: Ignoring past investments when making future decisions

• Example:

  • "I can't stop now because I've already wasted 6 months"

  • Encourages emotional investment rather than rational decision-making

• Recommended Approach: Ignore past costs, focus on future optimization

Human Resource Management (HRM)

• Objectives:

  • Understand HR Responsibilities

  • Explain Talent Management

  • Discuss Compensation Types

  • Learn Performance Management Approaches

  • Understand Legal Obligations

Strategic Role of HRM

• Influenced by:

  • Customer Demands

  • Shareholder Expectations

  • Changes in Labor Market

  • Technological Advances

  • Societal Norms

  • Economic Conditions

Key HR Topics

Diversity, Equality, and Inclusion (DEI)

• Changes in ethnic composition

• Current Trends and Implications for Businesses

Talent Management

• Workforce Rightsizing: Ensuring the right amount of staff

Recruitment Process

1. Job Description

2. Recruiting Strategy

3. Screening and Interviewing

4. Negotiation Support

5. Paperwork and Onboarding

Retention Strategies

• Cost Analysis for Employee Turnover

• Importance of Workplace Satisfaction

Legal Aspects of Employment

• Key Laws and Acts:

  • Equal Employment Opportunity

  • Age Discrimination

  • Americans with Disabilities Act

  • Fair Labor Standards Act

  • Family & Medical Leave Act

Performance Management

• Components:

  • Regular Evaluations

  • Goal Setting

  • Feedback Mechanisms

• Link to Talent Management Planning

  • Identification of High Potential Employees

  • Succession Planning

Conclusion

• Importance of understanding HR roles and financial principles for entrepreneurs

• Preparation for Midterm: Focus on concepts discussed today

• Engage with review materials on Brightspace

Suggested Actions After Class

• Prepare notes for midterm exam based on today's objectives

• Complete the class poll to influence review sessions

• Utilize available resources on Brightspace for effective study