Entrep

MODULE 1: LESSON 1 ENTREPRENEURSHIP

ENTREPRENEURSHIP

-Proactive process of developing a business venture to make a profit.

-Involves seeking opportunities for a market, establishing or operating a business out of opportunity, and assessing its risks and rewards through close monitoring of the operation sainyo 

-innovators, willing to take risks and generate new ideas to make it unique and profitable solutions to the present-day problems.

SOCIAL ECONOMIC BENEFITS

1. Entrepreneurship produces more jobs that equate to an increase in national income.

2. Entrepreneurship amplifies economic activities of different sectors of society. 

3. Entrepreneurship introduces new and innovative products and services.

4. Entrepreneurship improves people’s living standards. 

5. Entrepreneurship disperses the economic power and creates equality.

6. Entrepreneurship controls the local wealth and balances regional development. 

7. Entrepreneurship reduces social conflicts and political unrest.

8. Entrepreneurship elicits economic independence and capital formation.

MODULE 1: LESSON 2 ENTREPRENEUR

ENTREPRENEUR

French origin

-entre-between

-prendre–to take

Entrepreneur

• A unique individual who has the innate ability and extraordinary dedication to establish and manage a business.

• He or she innovates, executes his or her big ideas, and rarely procrastinate.

FIVE LEVELS OF ENTREPRENEURIAL DEVELOPMENT

1. SELF-EMPLOYED

-want to do things on their own.

2. THE MANAGER

-feel the need to step up and ask some help from people around them.

3. THE LEADER 

-enjoy seeing people flourish, stepping up, and producing great results with minimal supervision.

4. THE INVESTOR

- look for more opportunities for their business to grow.

5. THE TRUE ENTREPRENEUR

• Fully learned, and continue to practice four-step process of thinking.

 TYPE OF ENTREPRENEUR

1. INNOVATIVE ENTREPRENEURS - They are those who always make new things by thinking of new ideas. They have the ability to think newer, better and more economical ideas. 

2. IMITATING ENTREPRENEURS- They are those who don’t create new things but only follow the ideas of other entrepreneurs.

3. FABIAN ENTREPRENEURS- They are skeptical about changes to be made in the organization. They don’t initiate but follow only after they are satisfied. 

4. DRONE ENTREPRENEURS- They are those who live on the labor of others. They are die-hard conservatives even ready to suffer the loss of business. 

5. SOCIAL ENTREPRENEURS - They are those who initiate changes and drive social innovation and transformation in the various fields such as education, health, human rights, environment and enterprise development.

FOUR-STEP PROCESS OF THINKING

1. IDEALIZATION- dream and desire to build an ideal environment.

2. VISUALIZATION- create plans to make the dream a reality.

3. VERBALIZATION- sharing ideas with other people.

4. MATERIALIZATION- Vision becomes a reality. 

MODULE 1: LESSON 3 COMMON TRAITS OF ENTREPRENEUR

PRO ACTIVE

- address issues, problems, and challenges before they come. 

AGENTS OF CHANGE

- see opportunities in hopeless and complex situations. 

RISK TAKERS

– grab opportunities left and right.

HAVE A SHARP EYE FOR AN OPPORTUNITIES

-have a talent of recognizing an opportunity. 

SOCIABLE

- to establish relationship with customers.

NETWORKERS

- Knows the key people to connect with

BALANCED

- should have a balance between analytical and creative side. 

DECISIVE

- always have a decision for business. 

INNOVATIVE

- rich with big ideas.

CORE TRAITS OF ENTREPRENEUR

1. LEADERS- should always have the heart to lead. 

2. COMMUNICATORS- should know how to use all forms of communications.

3.  SPECIALIST- experts in their chosen business. 

4. PROBLEM SOLVERS- possess critical thinking skills.

MODULE 1: LESSON 4 CAREERS IN ENTREPRENEURSHIP

COMMON SMALL BUSINESSES

1. Sari-sari store 

2. Rice-retailing 

3. Food cart business 

4. Printing business 

5. Buy-and-sell business 

6. Street food business 

7. Flea market business 

8. Online selling business

9. Cellphone loading business 

10. Laundry and dry cleaning business 11. Hair styling and makeup business 

12. Spa, gym, and nail care business 

13. Video and photography business 

14. Tutorial business 

15. Baking business

16. Web site development and design/blogging 

17. Direct selling business 

18. Car wash and car care business 

19. Bar, café, and restaurant 

20. Water station and LPG station

MODULE 2: LESSON 1 THE ENTREPRENEURIAL PROCESS

The Entrepreneurial Process: 

• Opportunity Spotting Assessment 

• Developing a Business Plan 

• Capital 

• Running the Business 

Opportunity Spotting and Assessment ( 3S of Opportunity Spotting, Seeking, Screening and Seizing) 

❑The beginning of the process and considered the most difficult. 

❑Entrepreneurs take note of interesting trends in their environment. 

❑They need to carefully assess the opportunity through estimation of opportunity length, capitalization required, threats, profitability, and calculation of real and perceived value.

DEVELOPING A BUSINESS PLAN

❑A comprehensive paper that details the marketing, operational, human resource, financial, strategic direction, and tactics of the business. 

❑Core guide and direction of the entrepreneur.

DETERMINING THE CAPITAL NEEDED

❑Calculate the resources needed to establish business. 

RUNNING THE BUSINESS

❑Use the resources allocated for the new venture. 

❑Implementation

MARKET

❑A place where two parties can gather to facilitate the exchange of goods and services. The parties involved are usually buyers and sellers. The market may be physical like a retail outlet, where people meet face-to-face, or virtual like an online market, where there is no direct physical contact between buyers and sellers (Kenton, W. & Boyle,M., 2020)

❑Does not refer to a particular place but it refers to a market for a commodity or commodities. It refers to an arrangement whereby buyers and sellers come in close contact with each other directly or indirectly to sell and buy goods (Shaikh, S., retrieved 2020).

NEED 

• A motivating force that compels action for its satisfaction.

• Includes survival needs (necessities) and cultural, intellectual, and social needs (necessaries).

OPPORTUNITY 

• an entrepreneur’s business idea that can potentially become a commercial product or service in the future.

MODULE 2: LESSON 2 3s of OPPORTUNITY Seeking, Screening, Seizing

Opportunity Spotting and Assessment ( 3S of Opportunity Spotting, Seeking, Screening and Seizing) 

❑Opportunity- an entrepreneur’s business idea that can potentially become a commercial product or service in the future. 

SEEKING THE OPPORTUNITY 

• In order to spot and assess opportunity, an entrepreneur must scan and understand the firm’s environment.

• Involves the development of new ideas from various sources

• Microenvironmental Sources- Human Capital, Financial Capital, Physical Infrastructure and Social Capital 

• Macroenvironmental Sources- Economic Factors, Legal and Regulatory Environment, Technological Landscape and Social and Cultural trend.

1. Macroenvironmental Sources 

A. STEEPLED 

S- OCIOCULTURAL

T- ECHNOLOGICAL 

E- CONOMIC 

E- NVIRONMENTAL 

P- OLITICAL 

L- EGAL 

E- THICAL 

D- EMOGRAPHIC

1. Sociocultural- traditions, beliefs, customs, norms and perceptions. Includes: Values, lifestyle patterns and professional career roles. 

❑ It includes: religion, language, and education.

2. Technological- innovations of an existing technology.

❑ These includes: internet, social media, e-commerce, technological advancement, and technological infrastructure.

3. Economic- income, expenses, resources This includes: interest rates, inflation rates, fiscal policies, monetary policies, income, exchange rates, employment, and consumer confidence.

4. Environmental- weather, waste management. 

❑ The climatic condition in a particular region in the Philippines where the business will be established must be evaluated. Some feasible businesses may be applicable to one region but not to the other region due to climate differences.

5. Political- Tax policy and political rights. 

❑ Trade regulations, taxation, government stability, unemployment, worker’s benefits, election practices.

6. Legal- Restrict or all business activities 

❑ product control on pricing and labeling, health and safety of the workers, administration of election process, advertising and promotion, exercise of profession and education administration and fees.

7. Ethical- sales practices, accepted accounting, management, and marketing standards. 

8. Demographic- characteristic of the people.

SEEKING THE OPPORTUNITY

MICROENVIRONMENTAL SOURCES 

B.  INDUSTRY-  sources of the current trend on what is happening in the industry.

Government- system or institution that handles the affairs of a particular country 

Customers- the buyers of the goods and services produced or rendered by the business.

Employees- these are the workers of the business who are highly responsible for the production of goods or delivery of services. provided to the customers. 

Creditors- These are the ones who can provide funds to the business by extending credit.

C. New discovery or knowledge- new trends that can be the core business model of a new venture. 

D. Futuristic Opportunities- projected new opportunities that can possibly affect the new business.

MICROMARKET

A. Consumer preferences, interests and perceptions- current needs and wants of potential customers. 

B. Competitors- aid the entrepreneur to develop a product or service that is unique and will surely stand out from the competition.

C. Unexpected opportunities from customers- turning unnoticed products into superstar products 

D. Talents, hobbies, skills and expertise.

E. Irritants in the marketplace such as deterrents, problems, complaints and delays. 

F. Location- look at a place where they will be able to spot a business opportunity. 

SCREENING THE OPPORTUNITIES 

❑ Process of cautiously selecting the best opportunity 

❑ Effective choosing or careful diligence 

❑ The selection is based on the entrepreneur’s internal and external intent. Internal intent is the main reason that the entrepreneur would like to put up the business venture. External intent addresses the compelling needs of the target market.

Most important elements in compelling opportunity: 

1. Has a superior value to customers 

2. Solves a compelling problem, issue, need, want 

3. Potential Cash Cow 

4. Matches the entrepreneur’s skills, resources and risk appetite

SEIZING THE OPPORTUNITY

❑ Pushing through with the chosen opportunity. 

❑ Make the best out of this opportunity, and they should exert efforts and full dedication for the success of the new venture.

Innovation is the process of positively improving an existing product or service which can be a key driver for economic growth.

THREE TYPES OF INNOVATIONS ACCORING TO THE DEGREE OF DISTINCTIVENESS

1. Breakthrough Innovations 

❑ occur infrequently 

❑ Must be protected by patent, trade secret and copy right 

Example: Internet, computer and airplane

2. Technological Innovations 

❑ Occur more frequently than breakthrough innovations 

❑ Technological advancements of existing products 

Example: Wi-Fi, laptop etc.

3. Ordinary Innovations 

❑ occur ordinarily 

❑ Technology Pull-innovation is driven by market demand or specific customer needs. 

Example: internet plans, wireless mouse

MODULE 2: LESSON 3 Product or Service

Planning and Development Process

1. IDEAL STAGE 

❑ Naming the feasible products and/ or services that will perfectly suit the opportunity. 

2. CONCEPT STAGE 

❑The developed idea will undergo a consumer acceptance test.

3. PRODUCT DEVELOPMENT STAGE 

❑Conducting a consumer panel where the actual product/ service samples will be given or rendered to the panel of potential customers. 

4. TEST MARKETING STAGE  

❑Validates the work done from the first three stages