ENTREPRENEURSHIP- TREASURE BENEATH THE DUST

M.Pradeep Kumar and V.Gowtham, II M.B.A, R.M.D Engineering College E-mail Id: pradeep90mba@gmail.com, gowtham.vijayaraghavan@gmail.com Mobile No: 9600143431, 9940456106 ABSTRACT True entrepreneurs are resourceful, passionate and driven to succeed and improve. They're pioneers and are comfortable fighting on the frontline. The great ones are ready to be laughed at and criticized in the beginning because they can see their path ahead and are too busy working towards their dream. An entrepreneur is a businessperson who not only conceives and organizes ventures but also frequently takes risks in doing so. Not all independent business people are true entrepreneurs, and not all entrepreneurs are created equal. Different degrees or levels of entrepreneurial intensity and drive depend upon how much independence one exhibits, the level of leadership and innovation they demonstrate, how much responsibility they shoulder, and how creative they become in envisioning and executing their business plans. This paper focuses and provides an insight into the meaning, qualities required for an entrepreneur, opportunities and challenges faced by them and at last with a small discussion on entrepreneurship as a career. INTRODUCTION The concept of entrepreneurship was first established in the 1700s, and the meaning has evolved ever since. Many simply equate it with starting ones own business. Most economists believe it is more than that. To some economists, the entrepreneur is one who is willing to bear the risk of a new venture if there is a significant chance for profit. Others emphasize the entrepreneurs role as an innovator who markets his innovation. Still other economists say that entrepreneurs develop new goods or processes that the market demands and are not currently being supplied. Business expert Peter Drucker (1909-2005) took this idea further, describing the entrepreneur as someone who actually searches for change, responds to it, and exploits change as

an opportunity. A quick look at changes in communicationsfrom typewriters to personal computers to the Internetillustrates these ideas. Most economists today agree that entrepreneurship is a necessary ingredient for stimulating economic growth and employment opportunities in all societies. In the developing world, successful small businesses are the primary engines of job creation, income growth, and poverty reduction. Therefore, government support for entrepreneurship is a crucial strategy for economic development. NEED FOR ENTREPRENEURSHIP BY AN INDIVIDUAL Perhaps a person has been laid off once or more. Sometimes a person is frustrated with his or her current job and doesnt see any better career prospects on the horizon. Sometimes a person realizes that his or her job is in jeopardy. A firm may be contemplating cutbacks that could end a job or limit career or salary prospects. Perhaps a person already has been passed over for promotion. Perhaps a person sees no opportunities in existing businesses for someone with his or her interests and skills. Some people are actually repulsed by the idea of working for someone else. They object to a system where reward is often based on seniority rather than accomplishment, or where they have to conform to a corporate culture. Other people decide to become entrepreneurs because they are disillusioned by the bureaucracy or politics involved in getting ahead in an established business or profession. Some are tired of trying to promote a product, service, or way of doing business that is outside the mainstream operations of a large company. In contrast, some people are attracted to entrepreneurship by the advantages of starting a business. These include: Entrepreneurs are their own bosses. They make the decisions. They choose whom to do

business with and what work they will do. They decide what hours to work, as well as what to pay and whether to take vacations.

Entrepreneurship offers a greater possibility of achieving significant financial rewards

than working for someone else. It provides the ability to be involved in the total operation of the business, from concept

to design and creation, from sales to business operations and customer response. It offers the prestige of being the person in charge. It gives an individual the opportunity to build equity, which can be kept, sold, or passed

on to the next generation. Entrepreneurship creates an opportunity for a person to make a contribution. Most new

entrepreneurs help the local economy. No one reason is more valid than another; none guarantee success. However, a strong desire to start a business, combined with a good idea, careful planning, and hard work, can lead to a very engaging and profitable endeavor. ROLE OF ENTREPRENEURSHIP IN THE ECONOMY The entrepreneur who implements new combinations of means of production plays a crucial role in disturbing the status quo through innovation or creative destruction and thereby becomes an agent of change. As such, the dynamic equilibrium achieved by a constantly innovating entrepreneur could generate the conditions for:
a) increasing opportunities for employment (comprising various competitive skill sets);

b) additional wealth creation;

c) introduction and dissemination of new methods and technology and

d) overall economic growth. It is in the creation of more wealth, and in the constant innovation from prevailing to the next best practices, that the signicance and importance of Entrepreneurship lies.

As such, the development of Entrepreneurship in a particular milieu depends not on a single overriding factor but rather on a constellation of factors at the individual, societal and national levels. Entrepreneurship depends on individual motivations, individual experiences, socio-cultural (including family) traditions, educational opportunities, availability of relevant skills and attitudes, supporting nancial institutions and access to credit, existence of commercial trading centers, supporting infrastructure including trade routes with efcient transport and communication facilities, macro-economic environment and overall political stability. It has also been argued that Innovation and Entrepreneurship ourish best in decentralized systems by empowered people, who are willing to explore new ideas as well as willing to deal with exogenous inuences. Recent surveys, such as those undertaken by Goldman Sachs and Price water house Coopers, have estimated that India has the potential to be among the worlds leading economies by 2050. Further, Indias economy can potentially gain signicantly from the countrys characteristic features a democratic open society, a strong technology base (with capacity for leapfrogging), unparalleled diversity, vibrant capital markets (including growing private equity and venture capital markets), an increasingly youthful population (50% of India is 25 years and younger), a sizeable market of a large number of customers with vast unmet needs as well as an environment of full and free competition in the private sector. ESSENTIAL QUALITIES OF ENTREPRENEURSHIP Here are 12 characteristics that are found within all successful entrepreneurs and without which most people will fall short of what it takes to succeed in an entrepreneurial enterprise. 1) Confident Confidence is a hallmark of the entrepreneur. Not all of us are born with confidence, but that does not mean we are not capable of it. Many confident women and men gain their sense of selfesteem and faith in their ability to greet challenges by acting even when they lack the confidence and then gaining strength and belief in themselves by seeing the results and gaining the praise and respect of others.

2) Feels a Sense of Ownership Taking responsibility for getting things done and doing them with care and attention means to act like an owner. Rather than viewing a problem as someone elses, the entrepreneur sees it as his or her own and takes pride in finding a solution, leaving things in better shape then they were before encountering them, and improving upon situations rather than leaving them unattended. While a sense of ownership makes for a stellar employee, the entrepreneur knows that the goal is not to be owned by the enslavement of too much responsibility. Rather than controlling situations in an attempt to possess them, the entrepreneur teaches other people how to take charge. In that way the clever entrepreneur uses individual accountability in the ultimate pursuit of profitability, teamwork, and overall success. 3) Able to Communicate Entrepreneurs recognize that the most important part of any business is the human element. Human resources whether in the form of clients, employees, or strategic partners are what makes or breaks a business, and communication is the key to successful relationships with people. The entrepreneur works to hone communication skills, whether those are written, spoken, or non-verbal messages conveyed through body language. Above all, the entrepreneur develops a keen ability to listen and hear what others are trying to say, because the best communicators got that way by first being the best listeners. 4) Passionate about Learning Entrepreneurs are often autodidactic learners, which means that much of what they know they learned not in a formal classroom setting but instead on their own by seeking out information, asking questions, and doing personal reading and research. They also are quick to learn from their own mistakes, which mean they are less prone to keep repeating them due to arrogance, ego, or blindness to ones own faults, shortcomings, or errors in judgment. To teach is to learn. And to lead, train, and impart experience to others the entrepreneur is constantly striving to learn more and get better educated. Because of the passion for education, true entrepreneurs surround themselves with people who either know more than they do or know things that are different from what they know. They entertain the views of others and perspectives that may be unlike their own, for instance, in order to be better students of human nature. In this way they continue

to enrich themselves with knowledge while also making a concerted effort to grow that knowledge by sharing it with others who are also front row students of lifes valuable and unlimited lessons. 5) Team Player Those who go into business for themselves but do not utilize teamwork wind up without the team but still have all the work to get done. They shoulder the whole burden for themselves, and wind up just trading their old job for a new and more demanding one in an attempt to be selfemployed. But the new venture carries greater personal and financial risks. On the other hand, team players know how to succeed by employing the physics of interpersonal synergy and dynamic relationships. One twig can be easily snapped, but a bundle of those small twigs becomes stronger than the sum of its individual parts and can be impossible to bend, much less break. The same goes for businesses, and successful entrepreneurs leverage teamwork to get the heavy lifting done without breaking stride. 6) System-Oriented Like mathematical formulas, good systems allow us to reproduce great results every time with less and less exertion of energy or resources. Entrepreneurs rely upon systems before they rely upon people, and they look for system based solutions before searching for human resource solutions. If the person gets the job done but falls sick or leaves, the job is threatened. But if a system is created to get the job done, anyone can step in and follow the blueprint to get the desired result. Similarly, when troubleshooting and problem solving, the entrepreneur will first examine and study the system because a flaw in the system will produce a flawed outcome each and every time. Designing, implementing, and perfecting systems is one of the most useful and rewarding skills of an entrepreneur. 7) Dedicated Entrepreneurs dedicate themselves to the fulfillment of their plans, visions, and dreams, and that tenacity of purpose generates electricity throughout the whole organization. One of the biggest reasons that companies fail is because they lose focus. Target a goal, clarify the objective, refine the brand, and narrow the margin of error. Regardless of what the effort might involve, an

entrepreneur brings a single-minded dedication to the task by being committed to a positive outcome and ready and willing to do the needful. No matter what that might mean in terms of rising to meet a challenge or acting above and beyond the call of duty, the entrepreneur shows steadfast dedication. 8) Grateful Being grateful for what we have opens us up to receive more, and one reason that is true is because those who are grateful appreciate what they are given. They respect it and nurture it. They do their best to make it grow instead of allowing it to dwindle away due to neglect. Entrepreneurs learn to take nothing for granted in this world. That gives them the agility and flexibility to adapt to changes and demands, while it also invests in them a thankfulness that reminds them that riches and wealth are not about stuff, but are about fulfillment, satisfaction, and the pleasure that comes from ones accomplishments and contributions. 9) Optimistic A positive outlook is essential for the entrepreneur, who learns to see setbacks as bargain priced tuition for the valuable business lessons gained through firsthand experience. Past shortcomings, failures, or disappointments are relegated to the past so that they cannot continue to haunt the present or obstruct the future. And when things go right and business prospers, this further fuels the optimism and positive mindset of an entrepreneur, helping to give impetus and momentum for greater accomplishments and increased hopefulness. 10) Gregarious Because business is all about people, entrepreneurs tend to be socially outgoing. They get excited about sharing ideas, products, and services, and that excitement is contagious to their employees, clients, friends, and other contacts both within and beyond the business sphere. But women and men who work hard as entrepreneurs also relish the unique opportunity to have fun doing something that they love as their primary vocation. Human resource experts, career counselors, and business psychologists all agree that those who do jobs they enjoy and are good at have higher rates of success and broader measures of satisfaction. Entrepreneurs know that firsthand,

from their own experience, and they tend to be a fun-loving group of people both on and off the job. 11) A Leader by Example Entrepreneurs not only lead themselves through self-motivation as self-starters who jump into tasks with enthusiasm, but they are also skilled at leading others. They know the importance of teamwork, and they understand the need to appreciate others, support them, and reward them accordingly. True leaders do not become indispensable, otherwise things fall apart in their absence and they can never rise to the highest level of entrepreneurial freedom and prosperity. Neither do they squander the potential of those working under their guidance. 12) Not Afraid of Risk or Success Many people could be successful if they only took chances. And many people who do take chances and become somewhat successful find the realization of their dreams an overwhelming possibility, so they sabotage their continued success by retreating back into a comfort zone of smallness. As discussed earlier, the employee mindset is preoccupied with a need for security. Those who cling to what is familiar to them even if it means the denial of their dreams lack the perseverance and ambition that the real entrepreneur exhibits. Entrepreneurs are not immune to fear. But they prioritize their approach to life so that the fear of failure, frustration, boredom, drudgery, and dissatisfaction far outweighs the lingering fear of success.

CHALLENGES FACED BY YOUNG ENTREPRENEUR Family Challenges: Convincing to opt for business over job is easy is not an easy task for an individual. The first thing compared is Will you make more money in business of your choice or as a successor of family business. This is where it becomes almost impossible to convince that you can generate more cash with your passion than doing what your Dad is doing. Social Challenges: Family challenges are always at the top because that is what matter the most but at times social challenges also are very important. Let us say you and your friend graduated at the same time. You opted for entrepreneurship and your friend opted for a job. He now has a

flat, car and what not because he could easily get those with a bank loan but you still have nothing to show off and this is where challenge comes. Technological Challenges: Indian education system lags too much from the Job industry as a whole but then it lags even more when it comes to online entrepreneurship. What technology would be ideal and how to use that technology effectively? Financial Challenges: (Difficulty in borrowing fund): Financial challenges are a lot different in India especially for online entrepreneurs. When you are starting out as an entrepreneur you dont opt for venture funding but try to go with funding from small to medium business people. Many such non-technical business people dont understand the online business models as a whole and so getting an initial business funding from them becomes challenging. The other option you can think of is loan but bank loan is not at all an option in India for new online entrepreneurs. The Innovation Challenge: For business organizations, innovation means sustained and improved growth because it delivers higher profits. For employees, innovation has a meaning of new and more interesting work, better skills and higher wages. For the economy as a whole innovation is the key to higher productivity and greater prosperity for all. Opportunity Challenge: In a dynamic world, a company's success rests to a very large degree on its ability to pursue new opportunities. Recognizing the importance of the entrepreneurial opportunities, research attention on the phenomenon of entrepreneurial opportunities assumes critical significance. D evelo p ing vis ion and bus ines s idea: Developing a business idea is usually the first challenge faced by every entrepreneur when starting a business from scratch. Finding the right business opportunity or creatively developing an idea is certainly not an easy task. Fin d in g the Right Bus ines s L ocation: Finding a right place for setting up business with minimum price is hectic problem. We have to get a location that has a rapidly growing population, good road network and other amenities at a good price. Fin d in g G ood Em ployee team : Business owners know how difficult it is to find a hardworking, trustworthy employee. Most employees want to work less and get paid more. Finding a good employee who will be passionate about delivering his or her services is quite

difficult. Finding good employees is a minor task compared to the business challenge of forging your hired employees into a team. Fin d in g Good C us tom ers : The challenge faced in the process of starting a small business from scratch is finding good customers. Note the keyword good customers. In the process of building a business, there are good customers as well as bad customers. He/she must be on guard for bad customers. Good customers are really hard to find. A good customer will try to do the right thing that will benefit both himself and your company mutually. CHALLENGES FACED BY EXPERIENCED ENTREPRENEUR It is not only the young entrepreneurs have challenges, there are also challenges faced by experienced entrepreneurs who are in the business for a long time. They are as follow, O ver co m ing C om petition: Competition is the next challenge that everyone will face when starting a business. Competition must be treated as a benchmark for creativity, the main engine that stimulates innovation and production of quality products at great prices. Without competition, there will be no innovation and without innovation, the world will be stagnant. U n fo r es een Bus ines s C hallenges and Expens es : Just as a sailor prepares for unexpected storm, just as a pilot is always on the watch for unpredictable bad weather and thunderstorms, so must an entrepreneur prepared for whatever comes. Unexpected challenges can come in the form of: Unexpected law suits Inconsistent government policy Not being able to make payroll Unpaid bills and taxes Unexpected resignation of staff from sensitive office Bad debts from customers Loss of market share Dwindling working capital

Inadequate stock or inventory

These business challenges, if not handled properly can ruin your plan to build a successful business. Another challenge is an unforeseen increase in business expenses. If not handled properly, it might result in constant negative cash flow and eventually; business failure. K eep in g Up Wi th Indus tr ial C hanges and Tr ends : Change in trends is a challenge which must be prepared for when starting a small business. Trends have made and broken lot of businesses. There are a lot of profitable businesses that have been wiped out by slight industrial changes and trends. Keeping in line with changing industry keeps the challenges changing. Exitin g the Bus ines s : When building a new business from scratch, entrepreneur face the challenge of determining exit strategy. Thus it is important to plan exit strategy even before starting the business. Most entrepreneurs run their business without any plans to exit and even if they have an exit strategy, they find it difficult to implement it. CHALLENGES FACED BY WOMEN ENTREPRENEURSHIP In addition to above listed challenges, women entrepreneurship specifically affected by following reasons, Burden of taking care of family. Hesitation towards global exposure. Lack of women role models. Lack of business articulation. Role conflict Lack of social acceptance Lack of freedom of expression Susceptible to negative attitude Afraid of failure and criticism

OPPORTUNITIES FOR ENTREPRENEURS Institutional and informal associations as well as networks of entrepreneurs can play a signicant role in encouraging Entrepreneurship. Some of the major industry associations in India include CII, FICCI and ASSOCHAM. Local chambers of commerce such as Mahratta Chambers of Commerce, Industries and Agriculture (MCCIA) in Pune, Bengal Chambers of Commerce and Industry (BCCI) in Kolkata, Gujarat Chambers of Commerce and Industry (GCCI) in Ahmedabad, Federation of Andhra Pradesh Chamber of Commerce and Industry (FAPCCI) in Hyderabad and Federation of Karnataka Chambers of Commerce and Industry (FKCCI) in Bangalore revealed that chambers of commerce can and do play institutional roles in nurturing young entrepreneurs, through their established networks as well as by providing platforms for discussing entrepreneurial best practices and experiences.
1) MSME (micro, small, and medium enterprises) provides loans for entrepreneurs who

have a strong business plan. Especially women entrepreneurs are encouraged with lower rate of interest. By this thousands of people are able to start their own business. An interesting initiative is that of the Bharatiya Yuva Shakti Trust (BYST, also known as Business and Youth Starting Together), that provides key support in nance and training. BYST primarily caters to underprivileged groups (with per-capita family income less than Rs. 5000) between 18 and 35 years.
2) Other groups such as the National Entrepreneurship Network (NEN) and The Indus

Entrepreneurs (TiE) are also very active in providing mentoring and networking in the entrepreneurial ecosystem, especially in the knowledge-driven and high growth sectors in key metropolitan cities.

SUCCESS STORY OF FEW ENTREPRENEURS

K. Pandia Rajan is a prominent Indian businessman and politician. He is best known as the founder of Ma Foi Management Consultants Ltd, a firm which played a crucial role in the evolution of the HR industry in India. He holds a B.E. (Hons.) degree from PSG College of Technology, followed by an M.B.A in Industrial relations from XLRI Jamshedpur.

R. G. Chandramogan is the Chairman and Managing Director of Hatsun Agro Product Ltd, which is the manufacturer of branded milk and ice cream and the largest private dairy in India. Arun Ice Creams, a popular ice cream brand in south India is owned by Hatsun Agro. Hatsun group is also producing Arokya and Gomatha, two popular milk branks in Tamil Nadu. The company is expected to cross 1000 crore rupees turnover in year 2009. He is one of the first generation of entrepreneurs from Sivakasi. Kiran Mazumdar Shaw is one of the richest women in India studied zoology at Bangalore University and brewery at Ballarat University. She started her career as trainee brewer at Carlton & United Beverages in 1974. Four years later she started her own company, Biocon, in her garage with an investment of Rs 10000. With hard work and commitment, Shaw transformed Biocon into one of the leading biopharmaceutical firms in India.

CONCLUSION Keeping in line with changing industry keeps the challenges changing This thesis is not prudent or paranoia for the given scenario. But still, it encapsulates the opportunities that reside among the risk. Past experience of the world has expressed that the entrepreneurship needs to be conducive for the country if the economy has to be growth led. Though plethora of opportunities up for the grab, entrepreneurship is still a toddling child in India. This paper illuminates various debacles and ways to overcome it. The study of entrepreneurship has relevance today, not only because it helps entrepreneurs better fulfill their personal needs but because of the economic contribution of the new ventures. More than increasing national income by creating new jobs, entrepreneurship acts as a positive force in economic growth by serving as the bridge between innovation and market place. REFERENCE

http://www.knowledgecommission.gov.in http://www.actioncoach.com http://www.ait.org http://yes2012.youngceoindia.com