Entrep

• Entrepreneurship


  A proposed venture to sell a product or service for which customers are willing to pay more than the required investments and operating costs
• Entrepreneurship


  The pursuit of opportunity beyond the resources currently controlled
• Entrepreneurship


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

  2. Seeking opportunities for a market

  3. Establishing and operating a business out of the opportunity

  4. Assessing its risks and rewards through close monitoring of the operations
• What entrepreneurship teaches us

  • Create opportunity
  • Ensure social justice
  • Instill confidence
  • Stimulate the economy
  • Take risks
  • Fail and persevere
  • Become creative, inventive, and innovative
• Entrepreneurship is a key driver of economy
• The 1987 Philippine Constitution recognizes entrepreneurship as an engine of economic growth
• Article XII Section 1 highlights the role of private enterprises in supporting equitable distribution of income and wealth, sustaining production of goods and services, expanding productivity, therefore raising the quality of life
• Entrepreneurship


  More than just an economic term - it is a way of thinking
• Entrepreneurship


  A way of inspiring creative individuals to pursue opportunities despite its risks
• Societal and Economic Benefits of Entrepreneurship

  • Produces more jobs that equate to an increase in national income
  • Amplifies economic activities of different sectors of society
  • Introduces new and innovative products and services
  • Improves people's living standards
  • Disperses the economic power and creates equality
  • Controls local wealth and balances regional development
  • Reduces social conflicts and political unrest
  • Elicits economic independence and capital formation
• Common and Core Competencies in Entrepreneurship

  • Proactive
  • Agents of change
  • Risk takers
  • Have a sharp eye for opportunities
  • Sociable
  • Networkers
  • Decisive
  • Balanced
  • Innovative
  • Leaders
  • Communicators
  • Specialists
  • Problem Solvers
• Marketing Mix: The 7Ps of Marketing


  A widely accepted strategic marketing tool that combines the original 4Ps (product, place, price, promotion) with the additional 3Ps – people, packaging, and process – in formulating marketing tactics for a product or service
• Entrepreneurs must use the 7Ps model to conduct a situation analysis; set objectives; conduct a SWOT or competitive analysis; and ultimately come up with marketing strategies and tactics
• Key questions a budding entrepreneur must ask at the onset

  • What product or service is the most appropriate for the opportunity, and why will customers buy or avail them
  • What location is best suited for the business where there are more potential customers? Can they conveniently transact on-site or online? How is the process of distribution of products or performance of services?
  • What is the most appropriate price, and what pricing strategies will be used for the target customers?
  • What is the most effective advertisement or combination of advertisements, and which advertising tool should be used to drive awareness and increase sales
  • What type of people need to be hired? What are the basic skills needed for the job? What leadership style will be applied by the entrepreneur?
  • What is the best packaging for the product that is attractive enough to customers and cost-efficient at the same time? What physical evidence does the entrepreneur need to set up so as to sell the service?
  • What is the most compelling feature of the product or business that will make a difference in the lives of the customers? What sets the product or service from the rest?
• Product


  Any physical good, service, or idea that is created by an entrepreneur or an innovator in serving the needs of the customers and addressing their existing problems
• Entrepreneurs must first scan the environment, find a compelling problem, and create a persuasive product or service out of the opportunity. The product or service should not be created before finding the right customers, because this is very risky and the resources and time might be put to waste
• The three-level concept of products or services

  • Core Benefits of the Product or Service
  • Physical Characteristics of the Product or Service
  • Augmented Benefits of a Product or Service
• Place


  Location or the medium of transaction. A strategic location depends on the nature of the business and the primary target market. Place also covers the product distribution and the whole business logistics
• Price


  The peso value that the entrepreneur assigns to a certain product or service after considering its costs, competition, objectives, positioning, and target market
• Common Pricing Strategies

  • Bundling
  • Penetration pricing
  • Skimming
  • Competitive Pricing
  • Product line pricing
  • Psychological pricing
  • Optional pricing
  • Cost-based pricing
  • Cost plus pricing
• Pricing Guidelines


  • Do not price the product below its cost
  • Monitor competitors' prices, and ensure that your prices are at par with them unless the product or service is really way superior to the competitors
  • Align prices with the 7Ps
  • Implement price strategies that are relevant to your market segment
  • Align prices with your business objectives
• Promotion


  Presenting the products or services to the public and how these can address the public's needs, wants, problems, or desires
• Promotional Tools


  • Advertising
  • Selling
  • Sales Promotion
  • Public Relations
• People


  Play a vital role in servicing customers even though the entrepreneur sells only physical goods. It is not just about the quality of products anymore, but how employees serve customers
• Packaging


  How the product or service is presented to customers. It determines the uniqueness of the product from competitors and preserves the shelf life of the product or service. Its ultimate goal is to entice customers to purchase the product or service
• Entrepreneurship


  A proposed venture to sell a product or service for which customers are willing to pay more than the required investments and operating costs
• Process


  Step-by-step procedure or activity workflow that the entrepreneur or employees follow to effectively and efficiently serve the customers. Its components include input, throughput, and output
• Entrepreneurship


  The pursuit of opportunity beyond the resources currently controlled
• Entrepreneurship


  1. Seeking opportunities for a market

  2. Establishing and operating a business out of the opportunity

  3. Assessing its risks and rewards through close monitoring of the operations
• Business Plan


  A written outline of every aspect of your business with a focus on your business model and economic viability
• What entrepreneurship teaches us

  • Create opportunity
  • Ensure social justice
  • Instill confidence
  • Stimulate the economy
  • Take risks
  • Fail and persevere
  • Become creative, inventive, and innovative
• Purposes of a Business Plan


  • Convince prospective business investors about the soundness and potential of the business
  • Convey the capabilities and competencies of the owners and managers
  • Sell the proponent and the business proposition to the audience
• Entrepreneurship is a key driver of economy
• Business plans are can be created during the first few years of the enterprise in order to guide the entrepreneur on which strategies would be most beneficial for the enterprise to take
• The 1987 Philippine Constitution recognizes entrepreneurship as an engine of economic growth
• There are also business plans that are focused on bringing the enterprise to a higher level of growth
• Article XII Section 1 highlights the role of private enterprises in supporting equitable distribution of income and wealth, sustaining production of goods and services, expanding productivity, therefore raising the quality of life
• Audiences of a Business Plan

  • Entrepreneur
  • Investors and financiers
  • Managers and staffs of the organization
• Entrepreneurship is more than just an economic term – it is a way of thinking
• Entrepreneurship is a way of inspiring creative individuals to pursue opportunities despite its risks