Lesson 1: Definition and Concept of the same time, an entrepreneur is defined as someone 2.

is defined as someone 2. Choosing who to work with – you get to decide

Entrepreneurship who can establish and administer a startup venture and who is part of your team, ensuring that you
risk entitled to it, to make profits. determine what type of people, and what skills
What is Entrepreneurship? you want to bring aboard. Hence, your company’s
Entrepreneurs are often known as sources of new ideas or
 The art of observing correct practices in managing success or failure is entirely dependent on you
innovators who bring new ideas in the market by
and operating a self-owned wealth-creating and your decisions.
replacing the old. Being an entrepreneur isn’t just another
business enterprise by providing goods and job. Instead, it’s a lifestyle.
services that are valuable to the customers 3. Be your own boss – No matter how high up you
As mentioned earlier, it often involves undertaking a lot of have climbed up the corporate ladder, there will
 It involves seeking opportunities for a market,
risks and uncertainty, but at the same time, it comes with always be a boss above you. Not in
establishing, and operating a business out of that
great potential and leading a rather remarkable life. There entrepreneurship. Here, you are your own boss.
opportunity, and assessing its risks and rewards
are multiple successful entrepreneurship stories and You manage all the work schedules, not just
through close monitoring of the operations
examples worldwide, like Bill Gates, Jeff Bezos, or Indian yourself, but all your employees as well.
ENTREPRENEUR – originates from the French word entrepreneur heroes like Azim Premji, Ritesh Agarwal, and Additionally, you get to decide your salary based
“entreprende” which means to “undertake”. even Sharvan and Sanjay Kumaran. They prove that on the success of the business.
entrepreneurship is the most creative and rewarding form
Howard Stevenson, a Harvard Business School professor,
of business both to themselves and the societies. Even 4. A flexible schedule – So many people resent the
defines it as:
though multiple studies show that almost 90% of startups office routine that it’s called the “9-to-5 grind.” As
Entrepreneurship is the pursuit of opportunity beyond fail, there come certain benefits along with an entrepreneur, you can break out of that cycle
resources controlled. The true excellence of Stevenson’s Entrepreneurship, which you must not miss listening to. and create your own schedule. Start your day
definition depicts how it opens up entrepreneurship to So let’s take a look at those 8 benefits. early if you’re a morning person, or work past 12
any person, including such people we don’t usually think if you are a midnight owl!
can have the capability to be entrepreneurs. BENEFITS OF ENTREPRENEURSHIP:
5. Making a difference to serve the society – being
Entrepreneurship becomes a creative mindset rather than 1. Take control of your destiny – you no longer have
an entrepreneur gives you a chance to change the
the caricature we’re used to, of the drive, risk-addicted, to deal with promotions, salary hikes, or job
world for the better. Partner with NGOs or
type-A serial business-starter. However simply put, performances decided by others. You’re the
employ disabled people if your operations permit
entrepreneurship is the process of starting a business to master of your business, goals, mission, vision,
it. This will provide you with immense
make a financial profit. and everything else. Think of ideas and have the
contentment, and at the same time, is excellent
liberty to implement it, too, which you might not
Of course, making money is not the only motivation for marketing and promotion of your business.
get to do at your job?
entrepreneurs, but risk-taking, usually in financial
investments, is the bottom line of all entrepreneurs. At
 6. Lead an exciting life – yes, entrepreneurship who is not an advocate of and does not practice  Arts Administrator
comes with its share of challenges, but tackling the concepts and principles of entrepreneurship.  Secondary School Teacher
These challenges ensure that you lead a
fascinating life. Each day is filled with ROLE OF ENTREPRENEURSHIP AND Fashion Designing
opportunities to grow, develop your skills, and ENTREPRENEURS IN ECONOMIC  Designer wear production
there’s always something new to learn. DEVELOPMENT AND SOCIETY  Fashion marketing, planning and concept
management
7. Meeting like-minded people – entrepreneur Jim 1. Creates Employment  Fashion media design production management
Rohn said, “You are the average of the five people 2. Develops new market  Fashion accessory design, quality control, and
you spend the most time with.” By becoming an 3. Introduces innovation promotion of brands
entrepreneur, you will join a group of ambitious 4. Generates new sources of materials  Costumer designer
people who believe in bettering themselves and 5. Stimulates investment interest in the new  Fashion consultant and personal stylist
the world. These connections will help you evolve business ventures being created  Technical designer and graphic designer
into a better person in the future. 6. Improves the quality of life  Production pattern maker
7. Serves as role models  Fashion coordinator
8. Leadership experience – communication skills, 8. Brings social benefits to the people
self-discipline, passion, patience, optimism and 9. Utilizes and mobilizes indigenous resources Sports and Fitness Management Jobs
unrelenting work ethic. Building a company from 10. Provides more alternatives for consumers
 Health club manager
the very bottom level nurtures these leadership  Strength, wellness, or conditioning coach
A business that is rooted from areas of interest, passion
skills. This means that entrepreneurship can
work experience, technical skills, knowledge of business  Professional or amateur team manager
transform you into an inspiring leader both
practices, hobbies, social ties and family background, etc.  Sports facility manager
professionally and personally.
are most likely to succeed. Consider the following  Corporate fitness director
examples:  Rehabilitation center director
CONCEPT OF ENTREPRENEURSHIP  Nutrition center manager
Fine Arts
 Small business – refers to a business or enterprise  Artist
Technical – Vocational Track
that correctly adopts and practices the principles  Graphic Designer
 Cook / Chef
of entrepreneurship.  Photographer
 Automotive Mechanic
 Illustrator
 Electrician
 Ordinary small business – pertains to a business  Film Director
 Technical Support Specialist
enterprise engaged and operated by an owner  Art Gallery Manager
 Tool Keeper and Technician
 Curator
  Data analyst SEEKING, SCREENING, AND SEIZING
 Surveyor
- The 3s opportunity spotting and assessment is the
 Network support associate
framework that most of the promising entrepreneurs use
 Mechanical technologist
to finally come-up with the ultimate product or service
suited for a specific opportunity.
Lesson 2: Recognizing a Potential
Market S1: Seeking the Opportunity
Opportunity seeking is the first step and is the most
SCANNING THE MARKETING ENVIRONMENT difficult process of all due to the number of options that
the entrepreneur will have to choose from. It involves the
development of new ideas from various sources as
follows: (Level of Opportunity Seeking)

L1: Opportunity Recognition – Seeing existing

products. Seeing existing demand for them.
Exploiting the existing opportunity.

L2: Opportunity Discovery – Seeing an existing

supply. No existing demand. Looking for the 1. Political factors – are mostly included by
demand and exploiting it (or vice versa). government policies and administrations, which
can have a strong effect in the entrepreneur’s
L3: Opportunity Creation – No existing supply and
business. The entrepreneur should take note of
demand. Creating the opportunity for supply and
the following political factors and examples:
demand.
 Government stability and likely changes
MACROENVIRONMENTAL SOURCES  Bureaucracy
 Corruption level
PEST – this is a mnemonic for Political, Economic, Socio-
 Tax policy (rates and incentives)
Opportunity is an entrepreneur’s business idea that can cultural, and Technological factors.
 Freedom of press
potentially become a commercial product or service in the
 Rule of law
future. The entrepreneur serves as the catalyst of creating
 Government effectiveness
a value for the customers through the new or innovative
 Political rights
product or service.
2. Economic Factors – These factors play a vital role person of the locality behaves and reacts to improving the product or service or replacing
in the scanning of the marketing environment marketing and selling activities. them entirely. The entrepreneur should take note
because economic factors directly affect any of the following technological factors:
business venture. These factors include income,  Basic infrastructure level
expenses, and resources that can influence the  Rate of technological change
cost of doing business and generating income.  Spending on research and development
The entrepreneur should take note of the  Technology incentives
following “economic factors”.  Legislation regarding technology
 Communication infrastructure
 Access to newest technology
 Internet infrastructure and penetration

MICROMARKET
The entrepreneur should take note of the
following sociocultural factors: a. Consumer preferences, interests, and perception
 Health consciousness - These are the current needs and wants of
 Education level potential customers that should be discovered
 Attitudes toward imported goods and right away by a budding entrepreneur. This way,
services he or she will be able to take a chance of the
 Attitude toward product quality and opportunity.
customer service A need is recognized when a customer believes
 Growth rates  Attitudes toward saving and investing that there is a difference between his or her
 Inflation rates  Emphasis on safety current situation versus his or her desired
 Interest rates  Buying habits condition.
 Exchange rates  Religion and beliefs
 Unemployment trends A want, on the other hand, is recognized when a
 Labor costs customer believes that there is a specific product
4. Technological Factors – These are composed of
 Stages of business cycle or service that can perfectly suit the need.
innovations of an existing technology or an
invention of a new one mostly in applied science b. Competitors - Recognizing and understanding
3. Socio-cultural Factors – represent a general view and engineering research areas. Entrepreneurs potential competitors will aid the entrepreneur to
of locality’s traditions, customs, beliefs, norms, should always be up to date with the develop a product or service that is unique and
and perceptions. These factors affect how a technological changes, as these are catalysts in will surely stand out from the competition.
c. Unexpected opportunities from customers - entrepreneur is on an island with an awesome Once the compelling opportunities are identified, S2 will
Existing problems and bottlenecks often give rise beachfront, why not put up a hotel? be the next crucial step.
to an unexpected opportunity. In the Philippines,
S2: Screening the Opportunity Opportunity screening is the process of cautiously
there are several budding social entrepreneurs
This concept has been inculcated to you to see the selecting the best opportunity. The selection will depend
who turned unnoticed products into superstar
universe of opportunities an entrepreneur can derive on the entrepreneur's internal intent, i.e., the main
products that also carry the value of social
from the macroenvironmental and microenvironmental objective that the business will accomplish in the
responsibility.
sources. entrepreneur's life, and the external intent, which will
d. Talents, hobbies, skills, and expertise - Business address the compelling needs of the target market.
The key here is in effective choosing or careful diligence.
opportunities do not just come from outside
Entrepreneurs should start with the big picture. This is the The entrepreneur should apply due diligence and
forces, but also from within the entrepreneur.
best way in ensuring that the entrepreneur has scanned independent judgment in selecting the opportunities that
The entrepreneur's talents, hobbies, skills, or
the best potential business to venture into. have a potential and eliminate those that are not within
expertise can be a source of business opportunity.
For example, if the entrepreneur is an artist, why the scope of the entrepreneur's risk appetite.
not sell his or her paintings?
e. e. Irritants in the marketplace such as
deterrents, problems, complaints, and delays -
Generally, entrepreneurs see opportunities in
situations where there is a recurring problem or
sometimes when there is no more hope in solving
the problem. When customers are already sick
and tired of the same old issue or problem, that is
when the opportunistic entrepreneur should
come in and make a difference. Risk appetite refers to the entrepreneur’s tolerance of
f. Location - Often, entrepreneurs just must look at business risks.
their ecosystem and they will be able to spot a S3: Seizing the Opportunity
business opportunity right away. For example, if The last step in opportunity spotting and assessment. This
the entrepreneur's location has many schools, is the "pushing through" with the chosen opportunity.
then a restaurant, an eatery, or school supplies
might be a good business to establish. If the The entrepreneur's idea can be any type of innovation
listed here.
Innovation is the process of positively improving an
existing product or service. It is a key driver for economic
growth.
These are three types of innovation according to the
degree of distinctiveness.

1. Breakthrough innovation - These innovations,

which may also include inventions, occur
infrequently as these establish the platform on
which future innovations in an area are
developed. Breakthrough innovations must be
protected by a patent, a trade secret, or a
copyright.
2. Technological innovation - These innovations
occur more frequently than breakthrough
innovations. These innovations are technological
advancements of an existing product or service.
These innovations need to be protected, too.
3. Ordinary innovation - These innovations occur
ordinarily as the name implies. They are
commonly originating from market analysis and
technology pull instead of a technology push. This
means that the market has a strong influence in
the implementation of an innovation.