Entrepreneurship

• Relevance of the course:

  • Development of managerial capabilities: benefits entrepreneurs by developing their managerial skills
  • Creation of organizations: entrepreneurship leads to the existence of many organizations
  • Improving standard of living: entrepreneurship can lift up the economic status of individuals
  • Means of economic development: improves the life of the entrepreneur and the society where the business is located
• Concept of Entrepreneurship:

  • Derived from the French verb "enterprendre" meaning "to undertake"
  • Entrepreneurs undertake the risk of enterprise, creating organizations through entrepreneurship
• Entrepreneurship:

  • Act or process of introducing or starting new organizations, particularly new businesses in response to identified opportunities
  • Entrepreneurs are not necessarily motivated by profit, but see it as a standard for measuring achievement or success
  • Characteristics of entrepreneurs according to economist Joseph Alois Schumpeter:

  1. Value self-reliance

  2. Strive for distinction through excellence

  3. Highly optimistic

  4. Always favor challenges of medium risk
• Factors affecting entrepreneurship:

  • Personality factors:
  • Initiative
  • Proactive
  • Problem-solver
  • Perseverance
  • Persuasion
  • Planner
  • Risk-taker
  • Environmental factors: political, climate, legal system, economic and social conditions, and market situations
• Common competencies in entrepreneurship:

  • Decisive
  • Communicator
  • Leader
  • Opportunity seeker
  • Proactive
  • Risk-taker
  • Innovative
• Types of entrepreneurs:

  • Innovative entrepreneurs: create new things by thinking of new ideas
  • Imitating entrepreneurs: follow the ideas of other entrepreneurs
  • Fabian entrepreneurs: skeptical, follow only after they are satisfied
  • Drone entrepreneurs: live on the labor of others, die-hard conservatives
  • Social entrepreneurs: initiate changes in fields such as education, health, human rights, environment, and enterprise development
• Career opportunities in entrepreneurship:

  • Business Consultant
  • Teacher
  • Researcher
  • Sales
  • Business Reporter
• Market Research or Marketing Research Process is the process of gathering, analyzing, and interpreting information about products or services to be offered for sale to potential consumers in the market
• Data collection is the most valuable tool in any research study
• Inaccurate data collection may cause mistakes and lead to invalid results
• Tips in collecting data:

  • Organize collected data as soon as it is available
  • Know the message you want to get across and collect relevant data
  • Collect more data
  • Create more data
  • Take note of interesting or significant data
• Surveys are the most common way to gather primary research using questionnaires or interview schedules
• When designing a research questionnaire:

  • Keep it as simple as possible
  • Make sure it is clearly appealing and easy to read
  • Cluster or block related questions
  • Move from complex questions to more specific questions
  • Ensure questions are concise and easily understood
  • Avoid difficult questions
  • Use response scales consistent with mutually exclusive categories
• Interviews are a reliable way to get relevant information from target customers
• Interviews typically last from 15 to 40 minutes, but can be longer based on participants' interest
• Types of interviews:

  • Personal interviews: traditional method, establish relationships, highest response rates, clarify answers, seek follow-up information
  • Telephone interviews: less expensive and time-consuming, lower response rate than face-to-face interviews
• Focus Group Discussion (FGD) is an excellent method for generating and screening ideas and concepts
• Considerations for using focus group discussions in market research:

  • Session length: 90-120 minutes
  • 8 to 10 participants per group
  • Assign an expert moderator/facilitator
  • Use a semi-structured or open-format discussion
  • Strive for consistency in the group's composition
• Marketing Mix is a set of controllable and connected variables that a company gathers to satisfy a customer better than its competitor
• Marketing Mix is also known as the "Ps" in marketing
• Product refers to any goods or services produced to meet consumers' wants, tastes, and preferences
• Place refers to the location where the buyer and seller exchange goods or services
• Distribution channels can include physical stores, virtual stores, or online shops
• Price is the value of money exchanged for a product or service
• Pricing strategy example: penetration pricing sets the price artificially low to gain market share
• Promotion includes activities that communicate the product, brand, or service to the user
• Promotional mix mediums: Advertising, Personal Selling, Sales Promotion, Direct Marketing, and Social Media
• Advertising is a means of communication to attract interest, engagement, and sales
• Public Relations aims to shape public perception of a business through various strategies
• Personal Selling involves direct, face-to-face interaction with potential customers to build relationships and brand awareness
• Sales Promotion initiatives aim to increase sales, usage, or trial of a product or service
• Direct Marketing presents information about a company, product, or service to target customers without an advertising middleman
• Forms of Direct Marketing: Brochure, Catalogs, Fliers, Newsletters, Postcards, Coupons, Email, Phone calls, Text messages
• People are crucial in marketing as they sell and push the product
• Packaging is the outside appearance of a product for protection, containment, information, utility, and promotion
• Positioning creates an image in the minds of a target market
• Positioning Strategy types: Product attributes and benefits, Product price, Product quality, Product use and application, Competitors
• What are the 7p's in marketing?

  Product, place, price, promotion, people, packaging, positioning
• Give the 5 ways of advertising.

  Radio, television, print, electronic, word of mouth
• 4 types of promotion

  public relations, personal selling, sales promotion, direct marketing