ENTREP (LAI)

• Entrepreneurship


  The process by which an individual or a group of individuals exploit a commercial opportunity, either by bringing a new product or process to the market or by substantially improving an existing good, service, or method of production
• Entrepreneur


  An owner of a business who invests his/her resources to bring an idea to life. A person who organizes the means of production to engage in entrepreneurship, often under considerable uncertainty and financial risk
• Entreprende


  A French word which means "to undertake". It connotes a business paradigm which signifies the start of new business undertaking
• Enterprise


  The business itself
• Feasibility


  The possibility that can be made, done, or achieved, or is reasonable
• Obstacles commonly faced by entrepreneurs


  • Overcoming bureaucracy
  • Hiring talent
  • Obtaining financing
• Entrepreneurship process


  1. Idea generation

  2. Developing business model

  3. Resourcing

  4. Promotion

  5. Actualization

  6. Harvesting
• Wage employment


  Work for others, follow instructions, routine job, earning is fixed, never negative, does not create wealth
• Entrepreneurship


  Own boss, make own plans, create activity, can be negative, sometimes generally surplus, creates wealth
• Characteristics of an entrepreneur

  • High degree of commitment
  • High energy level
  • Foresightedness
  • Desire for responsibility
  • Risk taking ability
  • Leadership and managerial skills
  • Value for achievement over money
  • Open-mindedness and optimism
• Characteristics of an entrepreneur

  • Mental ability
  • Business secrecy
  • Clear objectives
  • Human relations
  • Communication ability
• Importance of entrepreneurship
• Economics


  The study of how people choose to allocate scarce resources to fulfill their needs and wants
• Competition


  A rivalry where two or more parties strive for a common goal which cannot be shared
• Market structures


  The nature and degree of competition among business operating in the same industry
• Businessman


  An individual who establishes a business with an old business idea. Market players
• Entrepreneur


  An individual having an exclusive idea to establish a new venture. Market leaders
• Business plan


  A written document that describes in detail how a business is going to achieve its goals. A formal written expression of an entrepreneur's vision. Standard in evaluating the business performance, and keeps entrepreneur on track with his business goals
• Purposes of a business plan

  • To raise money for your business
  • To make sound decisions
  • To help you identify potential weaknesses
  • To communicate your ideas with stakeholders
• Parts of a business plan

  • Title page and contents
  • Executive summary
  • Description of business or business concept
  • Product or service description
  • Market strategies
  • Analysis of competition
  • Production and operations management
  • Financial data
  • Supporting documents
• The cover page of a business plan contains the following list: business logo, name of the proponents (owner, entrepreneur), business address, telephone number, e-mail, facebook account and website address
• Executive summary


  A brief introduction and summary of your business plan. It should describe your business, the problem that it solves, your target market, and financial highlights
• Management or business organizational structure


  The ladder of your business organization, from the highest position down to the lowest staff member of the company
• Unique selling proposition


  A statement of what makes your business unique and valuable to your prospective customer or target audience. Essentially, it answers the questions... How are you better than your competition? Or why should the customer choose you over your competition?
• Value proposition


  Describes what your company is offering, to whom you are offering it, and how it solves your customer's problem
• A unique selling proposition is a specific statement that can vary slightly between landing pages, offers, and promotions. It is meant to "move the masses" because it is uniquely better than the competition
• Business concept


  A statement that describes the reach and reason for the existence of a given business idea. In other words, it sums up the crucial elements that define the business. It is about the directions and forms of its operations. Business concept is a bridge between an idea and a business plan. It focuses one's thinking so that the entrepreneur can identify the specifics of his/her proposed venture
• 8 business concepts


  • Infrastructure concept
  • Business-to-business concept
  • Consumer-goods concept
  • Consumer-to-consumer concept
  • E-commerce concept
  • Mobile concept
  • Consumer service concept
  • Small business concept
• Differences between product and service

  • Product: Tangible, physical, can be held, seen, movable, value derived by customer, limited customer care, can be stored, can be owned, quality depends on nature
  • Service: Intangible, can only be felt, not touched, value offered by provider, customer care critical, perishable, cannot be stored, cannot be owned, quality depends on provider, cannot be returned, billing can be continuous, difficult to compare quality, cannot be quantified
• How to be a successful entrepreneur

  • Know your product or service
  • Analyze the market potentials
  • Determine the market strategy
  • Know the competitors
  • Do not set on your laurels
• Market strategy


  A business's overall game plan for reaching prospective consumers and turning them into customers of their products or services. It contains the company's value proposition, key brand messaging, distribution channels, and marketing tactics
• How to be a successful entrepreneur

  • Know your product or service
  • Analyze the market potentials
  • Determine the market strategy
  • Know the competitors
  • Do not set on your laurels
• Market Strategy

  A business's overall game plan for reaching prospective consumers and turning them into customers of their products or services
• Developing Market Strategy


  1. Segmentation

  2. Targeting

  3. Positioning
• Types of Segmentation


  • Demographic
  • Psychographic
  • Geographic
  • Behavioral
• Targeting


  Selection of potential customers to whom a business wishes to sell products or services
• Positioning


  The ability to influence consumer perception regarding a brand or product relative to competitors
• The 4Ps of Marketing Mix


  • Product
  • Price
  • Promotion
  • Place
• SWOT Analysis


  • Identifies the positives and negatives inside your organization (Strength & Weakness) and outside of it, in the external environment (Opportunity & Threat)
• Internal Factors in SWOT

  • Human resources
  • Physical resources
  • Financial
  • Activities and processes
  • Past experience