Entrepreneurship Creating value for individuals and society

Definitions:

Competitive behaviours that drive the market process (Kirzner, 1973)

A way of thinking, reasoning and acting that is opportunity-based, holistic
in approach and leadership balanced. It results in the creation,
enhancement, realization and renewal not just for the owners but for all
participants and stakeholders (Timmons and Spinelli, 2004)
The process of creating something new of value by devoting the necessary
time and effort, assuming the accompanying financial, psychic and social
risks, and receiving resulting reward of monetary and personal satisfaction
and independence (Hisrich and Peters, 2002)
The process by which individuals either on their own or inside
organizations pursue opportunities without regard to the resources they
currently control (Stevenson and Jarillo, 1990)

Overview Of Entrepreneurial Process

Emergence
Opportunity
Identification

Realizing
Resources
Decision-making
Innovation

Entrepreneurship Creating value for individuals and society

The manifest ability and willingness of individuals, on

their own, in teams, within and outside existing
organizations, to: perceive and create new economic
opportunities (new products, new production
methods, new organizational schemes and new
product-market combinations); and to introduce their
ideas into the market, in the face of uncertainty and
other obstacles, by making decisions on location, form
and the use of resources and institutions (Wennekers
and Thurik, 1999)

Characterization of Entrepreneurship
We characterize entrepreneurship as a societal
phenomenon or process of change, comprising the
following three behavioural components:
The identification, evaluation and exploitation of
an opportunity
The management of a new or transformed
organization so as to facilitate the production and
consumption of new goods and services;
The creation of value through the successful
exploitation of a new idea (i.e. requiring both
creativity and innovation)

Entrepreneurship definitions

The Entrepreneur is the individual (or group of individuals) who act(s) as

principal mediator of the process of change described, through undertaking a
specific project based on an opportunity that requires the implementation of a
new idea (or ideas);
An entrepreneur is someone who perceives an opportunity and creates an
organization to pursue it.
The entrepreneurial process includes all the functions, activities, and actions that
are part of perceiving opportunities and creating organizations to pursue them
The entrepreneurial firm is a particular type of organization which emerges as
the result of the entrepreneurship process: this could either be a totally new firm
or the transformation of an existing organization;
Entrepreneurial management involves the specific management behaviours
which entrepreneurs must engage in, in order to drive the market process and
produce innovation;
The owner-manager is typically someone who is involved in running a small
business. It encapsulates a condition which is typical of many firms the
predominant role of the owner as a manager

Building Blocks of Successful Entrepreneurship

1. Entrepreneurial Management
Opportunity identification
Resource leveraging
Networking
Effectual decision-making
Creativity and innovation
2. Knowledge/Technical Skills
Product / technical skills
Market/ industry
IP knowledge

Building Blocks of Successful Entrepreneurship

3. Strategic management competences
Marketing
Financing
Human relations
4. Personal Attributes
Innovative
Determined
External focus
Team leader

Entrepreneurs need for achievement

This need manifests in a number of ways:
Risk-taking
Confidence of success
Desire for independence
Energy in pursuing goals
Measurement of success by wealth

Personality traits of the entrepreneur

Proactive approach
Self-motivation
Tolerance of uncertainty and ambiguity
Opportunistic behaviour
Creative
Visionary
Manipulative
Impatient
Energetic
charismatic

Advantages of Entrepreneurship
1. Independence and opportunity to achieve the desired objectives, it
offers the advantage of not depending on others to implement its wishes;
2.
Chance to notice a difference in a field they are interested in
combining the wishes their social insurance with a win for a better life;
3.
Opportunity to use its full potential for entrepreneurs because
there is much difference between the work of business and recreation,
making them find their place of business to obtain satisfaction, for their use
which have better qualities;
4.
Opportunities to earn substantial profits, although the reason to
start a business, an entrepreneur may not be primarily profit;
5.
Recognition efforts and contribution to the achievement of social
objectives, entrepreneurs become very respected person in the community in
which it operates;
6.
Opportunity to do what you love, because most entrepreneurs
develop business in areas where they want to work and they get special
satisfaction.

Potential Obstacles of Entrepreneurship

1.
Uncertainty of revenue accruing from starting a business that does not
guarantee the achievement of revenue that would provide the necessary support,
entrepreneur
2.
Risk of losing the entire investment due to the relatively high percentage
(approximately 35%) of bankruptcies of small businesses, even in the first two years
and in six years the percentage is nearly double;
3.
Hard labor without a long period of leave under pressure because if the
business ceases, the income is no longer made and customers are lost;
4.
Poor quality of life until the business stabilizes, due to the fact that in a
important period of life (entrepreneurs start their business, usually between 25 and
39 years), their roles in the family after the two fall in terms of the company that
creates;
5.
High stress due to large investments that need to be entrepreneurs, in a low
certainty of winning even as they have invested, what it can lead to bankruptcy;
6.
Full responsibility for the effects of entrepreneurs to take decisions which,
by issues that often have little knowledge or lack of assistance of a specialist in the
field;
7.
Discouragement and disillusionment caused by the obstacles they may face,
which sometimes seem insurmountable, making only characterized by optimistic