Lesson 2 Core Competencies in Entrepreneurship

• Core competencies in entrepreneurship are defining characteristics that make a business or an individual stand out from the competition
• Core competencies must meet 3 general conditions:

  • Provide superior value or benefits to the consumer
  • Be difficult for a competitor to replicate
  • Be rare
• A core competence is something unique that a business has or can do strategically well
• Core competencies of an entrepreneur include:

  • Entrepreneur as a missionary
  • Entrepreneur as a marketing man
  • Entrepreneurs are goal-driven
  • Entrepreneurs start small to big
• Factors that develop entrepreneurial activity include:

  • Entrepreneur's initiative
  • Organization of capital resources
  • Development of administrative machinery
  • Development of entrepreneurial autonomy
  • Development of SWOT analysis
• SWOT (Strengths, Weaknesses, Opportunities, and Threats) is a tool used in evaluating a business
• Entrepreneurs should know how to analyze their business using the SWOT analysis tool
• Examples of internal elements for a milk tea business:

  • Strengths: unique taste, quality ingredients, friendly staff
  • Weaknesses: low profits, no business website, fewer offerings than competitors
• Examples of external elements for a milk tea business:

  • Opportunities: market boom, expansion of branches, can implement a loyalty program
  • Threats: rising cost of ingredients, negative reviews, increasing number of competitors
• Core competencies are the defining characteristics that make a business or an individual stand out from the competition
• An entrepreneur must be equipped with core competencies for their business to stand out among competitors