Philippine Christian University

Sampaloc 1, Dasmariñas City, Cavite 4114

SENIOR HIGH SCHOOL
S.Y. 2021-2022

MODULE IN ENTREPRENEURSHIP (GRADE 12)

QUARTER 1 - WEEK 1 (SEPTEMBER 13-17, 2021)

LESSON 1: CONCEPT OF ENTREPRENEURSHIP

Overview

This lesson will give you an overview of entrepreneurship and its terminology. The challenges associated with defining
the concepts of entrepreneur and entrepreneurship will be discussed, as well as the importance of entrepreneurship in
every economy because it contributes to society's socioeconomic growth. Furthermore, you will be able to recognize
the significance of this topic in your daily life.

https://allassignmentexperts.com/blog/understanding-entrepreneurship/

Objectives

At the end of this lesson, you are expected to:

1. Examine the challenges associated with defining the concepts of entrepreneur and entrepreneurship;
2. Identify the difference between entrepreneur to entrepreneurship; and
3. Explain the importance of entrepreneurship in your daily life.

Test Yourself
 “ENTREPRENEURSHIP IS IMPORTANT”
Instruction: Think of any word/s that can best describe entrepreneurship. Use the letters I M P O R T A N T as your
guide.
Innovation
Managing
Process
Opportunity Perception
Routine
Technological Change
Activities
Networker
Team
https://evoma.com/business-centre/7-roles-of-
entrepreneurship-in-economic-development-of-a-
country/
Study these terms

1. Entrepreneurship is the process of discovering new ways of combining resources. When the market value
generated by this new combination of resources is greater than the market value these resources can generate
elsewhere individually or in some other combination, the entrepreneur makes a profit. The process of creating
something new and assuming the risks and rewards.
2. Entrepreneur is comprehensively defined by Zimmerer & Scarborough (2005) as someone who “createsanew
business in the face of risk and uncertainty for the purpose of achieving profit and growth by identifying
significant opportunities and assembling the necessary resources to capitalize on them” (p.3). They are the
ones who act on their business ideas. The word “entrepreneur” originates from a thirteenth-century French
verb, entreprendre, meaning “to do something” or “to undertake.” By the sixteenth century, the noun form,
entrepreneur, was being used to refer to someone who undertakes a business venture. Entrepreneur-derived
from the latin word:“Entre”- means enter, “Pre”-means before, “Neur”-means a nerve center-a source of
power or control.
3. Enterprise is a company or business, often a small one. The outcome of the actor and the act. A project or
undertaking, especially one that requires boldness or effort.

Discussion
Entrepreneurship has emerged over the last two decades as arguably the most potent economic force the world has
ever experienced. With that expansion has come a similar increase in the field of entrepreneurship education. The
recent growth and development in the curricula and programs devoted to entrepreneurship and new-venture creation
have been remarkable. The number of colleges and universities that offer courses related to entrepreneurship has
grown from a handful in the 1970s to over 1,600 in 2005 (Kuratko, 2005, p. 577).
Entrepreneurship is a discipline, which means an individual can learn about it, and about how to be an effective
entrepreneur. It is a myth that people are born entrepreneurs and that others cannot learn to become entrepreneurs
(Drucker, 1985). Kuratko (2005) asserted that the belief previously held by some that entrepreneurship cannot be
taught has been debunked, and the focus has shifted to what topics should be taught and how they should be covered.
Solomon (2007) summarized some of the research on what should be covered in entrepreneurship courses, and how it
should be taught. While the initial focus was on actions like developing business plans and being exposed to real
entrepreneurs, more recently this approach has been supplemented by an emphasis on technical, industry, and
personal experience. “It requires critical thinking and ethical assessment and is based on the premise that successful
entrepreneurial activities are a function of human, venture and environmental conditions” (p. 172). Another approach
“calls for courses to be structured around a series of strategic development challenges including opportunity
identification and feasibility analysis; new venture planning, financing and operating; new market development and
expansion strategies; and institutionalizing innovation” (p. 172). This involves having students interact with
entrepreneurs by interviewing them, having them act as mentors, and learning about their experiences and approaches
through class discussions.

Topic. Entrepreneurs and Entrepreneurship (Considerations Influencing Definitions of Entrepreneur and

Entrepreneurship)

It is necessary to be able to determine exactly who entrepreneurs are before we can, among other things, study them,
count them, provide special loans for them, and calculate how and how much they contribute to our economy.

 Does someone need to start a business from scratch to be called an entrepreneur?

 Can we call someone an entrepreneur if they bought an ongoing business from someone else or took over the
operations of a family business from their parents?
 If someone starts a small business and never needs to hire employees, can they be called an entrepreneur?
 If someone buys a business but hires professional managers to run it so they don’t have to be involved in the
operations, are they an entrepreneur?

It is also necessary to fully understand what we mean by entrepreneurship before we can study the concept. Gartner
(1990) identified 90 attributes that showed up in definitions of entrepreneurs and entrepreneurship provided by
entrepreneurs and other experts in the field. The following are a few of these attributes:
 Innovation – Does a person need to be innovative to be considered an entrepreneur? Can an activity be
considered to be entrepreneurial if it is not innovative?
 Activities – What activities does a person need to do to be considered an entrepreneur?
  Creation of a new business – Does someone need to start a new business to be considered to be an
entrepreneur, or can someone who buys a business, buys into a franchise, or takes over an existing family
business be considered an entrepreneur?
 Starts an innovative venture within an established organization – Can someone who works within an existing
organization that they don’t own be considered an entrepreneur if they start an innovative venture for their
organization?
 Creation of a not-for-profit business – Can a venture be considered to be entrepreneurial if it is a not-for-
profit, or should only for-profit businesses be considered entrepreneurial?

After identifying the 90 attributes, Gartner (1990) went back to the entrepreneurs and other experts for help in
clustering the attributes into themes that would help summarize what people concerned with entrepreneurship
thought about the concept. He ended up with the following eight entrepreneurship themes:
1. The Entrepreneur – The entrepreneur theme is the idea that entrepreneurship involves individuals with unique
personality characteristics and abilities (e.g., risk-taking, locus of control, autonomy, perseverance,
commitment, vision, creativity). Almost 50% of the respondents rated these characteristics as not important to
a definition of entrepreneurship (Gartner, 1990, p. 21, 24). “The question that needs to be addressed is: Does
entrepreneurship involve entrepreneurs (individuals with unique characteristics)?” (Gartner, 1990, p. 25).
2. Innovation – The innovation theme is characterized as doing something new as an idea, product, service,
market, or technology in a new or established organization. The innovation theme suggests that innovation is
not limited to new ventures, but recognized as something which older and/or larger organizations may
undertake as well (Gartner, 1990, p. 25). Some of the experts Gartner questioned believed that it was
important to include innovation in definitions of entrepreneurship and others did not think it was as important.
(Gartner, 1990, p. 25).
3. Organization Creation – The organization creation theme describes the behaviors involved in creating
organizations. This theme described acquiring and integrating resource attributes (e.g., Brings resources to
bear, integrates opportunities with resources, mobilizes resources, gathers resources) and attributes that
described creating organizations (new venture development and the creation of a business that adds value).
(Gartner, 1990, p. 25) “Does entrepreneurship involve resource acquisition and integration (new venture
creation activities)?” (Gartner, 1990, p. 25)
4. Creating Value – This theme articulated the idea that entrepreneurship creates value. The attributes in this
factor indicated that value creation might be represented by transforming a business, creating a new business
growing a business, creating wealth, or destroying the status quo. “Does entrepreneurship involve creating
value?” (Gartner, 1990, p. 25).
5. Profit or Nonprofit - While for-profit organizations are responsible for paying taxes based on their net income,
nonprofit organizations are exempt from paying income tax While nonprofits are not required to pay taxes
on net income, they are responsible for state and property taxes. “Does entrepreneurship involve profit-making
organizations only” (Gartner, 1990, p. 25)?
6. Growth - Success in business. Should a focus on growth be a characteristic of entrepreneurship?
7. Uniqueness – This theme suggested that entrepreneurship must involve uniqueness. Uniqueness was
characterized by attributes such as a special way of thinking, a vision of accomplishment, ability to see
 situations in terms of unmet needs, and creates a unique combination. “Does entrepreneurship involve
uniqueness?” (Gartner, 1990, p. 26).
8. The Owner-Manager – Some of the respondents questioned by Gartner (1990) did not believe that small mom-
and-pop types of businesses should be considered to be entrepreneurial. Some respondents felt that an
important element of a definition of entrepreneurship was that a venture be owner-managed. To be
entrepreneurial, does a venture need to be owner-managed?

4 ASPECTS OF AN ENTREPRENEUR
1. Involves creation process. Capability to think new ideas that will bring something useful to the community.
2. Requires devotion of time and effort. If something is important to you, time and effort will be easy to give in. it
is somewhat “What is important is seldom urgent and what is urgent is seldom important”. Therefore, invest
time and effort for more productive work.
3. Involves rewards of being an entrepreneur. Give something to yourself as an entrepreneur when you achieve
something and it could help you to be more inspired in your next project. It also serves as price to your hard
work.
4. Requires assumption of necessary risk Business is not always on the top that’s why risk is always present. We
don’t know when will be the uncertain risk and when will be the best day in business because everything is not
the same day. Therefore, having assumption will help the entrepreneur to be quite ready.

10 QUALITIES OF A SUCCESSFUL ENTREPRENEUR

1. Disciplined – are focused on making their business work and eliminate and hindrances or distraction to their
goal.
2. Confidence – are confident with the knowledge that they will make their business succeed.
3. Open-minded – they have the ability to look at everything around them and focus it toward their goals.
4. Self-starter – knows that if something needs to be done, they should start it themselves.
5. Competitive – they need to win at the sports they play and need to win at the business they create.
6. Creativity - often come up with solution which are the synthesis of other items.
7. Determination – they look at the defeat as an opportunity for success.
8. Strong people skills – has strong communication skills to sell the product and motivate employees.
9. Strong work ethic – will often be the first person to arrive at the office and last person to leave.
10. Passion – they genuinely love their work and willing to put extra hours to make the business succeed.

Business is everywhere, anywhere and anytime. Entrepreneurship is important as it has the ability to improve standards
of living and create wealth, not only for the entrepreneurs, but also for related businesses. Entrepreneurs also help
drive change with innovation, where new and improved products enable new markets to be developed.

Importance of Entrepreneurship
by Najm Mohamed
1. Entrepreneurship Accelerates Economic Growth. Entrepreneurs are important to market economies because they
can act as the wheels of the economic growth of the country. By creating new products and services, they stimulate
new employment, which ultimately results in the acceleration of economic development. So public policy that
encourages and supports entrepreneurship should be considered important for economic growth.

2. Entrepreneurship Promotes Innovation. Through the right practices of research and development, entrepreneurs
bring new innovation that opens the door of new ventures, markets, products, and technology. Entrepreneurs have a
role to play in solving problems that existing products and technology have not yet solved. Thus, by producing new
products and services or bringing innovation to existing products and services, entrepreneurship has the potential to
improve peoples’ lives.

3. Entrepreneurship Can Promote Social Changes. Entrepreneurs change or break the tradition or cultures of society
and reduce the dependency on obsolete methods, systems, and technologies. Basically, entrepreneurs are the pioneer
of bringing new technologies and systems that ultimately bring changes to society. These changes are associated with
improved lifestyle, generous thinking, better morale, and higher economic choice. In this way, social changes gradually
impact national and global changes. Thus, the importance of social entrepreneurship must be appreciated.

4. Entrepreneurship Promotes Research and Industrial Development. Along with producing new business ideas and
thinking out of the box, entrepreneurs also promote research and development. They cultivate their ideas, shape them
into a new form, and turn them into a successful business endeavor. Entrepreneurs are a special kind of people; they
are always working to discover new ideas and improve existing ones. But their impact extends beyond their own
companies and ventures: when an entrepreneur develops a new product, service, or idea, others often follow (and
sometimes even further refine the ideas).

5. Entrepreneurship Develops and Improves Existing Enterprises. We often think of entrepreneurs as inventing totally
new products and ideas, but they also impact existing business. Since entrepreneurs think differently, they can come up
with innovative ways to expand and develop the existing enterprises. For example, modernizing production processes,
implementing new technology in the overall distribution and marketing processes, and helping the existing enterprises
to utilize existing resources in more efficient ways.

Activity

NAME: _________________________________GRADELEVEL/STRAND/SECTION: ________________

 WRITTEN WORK 1

I. ESSAY: Respond to this question comprehensively. Write your answer on a separate sheet of paper.

1. What is the difference between an entrepreneur and an entrepreneurship? (15 pts.) An

entrepreneur may be a private who starts and runs a business with limited resources and
planning, and is responsible for all the risks and rewards of their business venture. The
business idea usually encompasses a replacement product or service rather than an existing
business model
2. What is the importance of entrepreneurship in your daily life? (15 pts.)

The main importance of entrepreneurship is the creation of job opportunities, innovation, and
improve the economy. The man behind the entrepreneurship is an action-oriented and highly
motivated individual who is ready to achieve goals.

CRITERIA EQUIVALENT POINTS

Organization of thoughts 20%
Content 50%
Relevance to the topic 30%
TOTAL 100 %
References:
Books:
Entrepreneurship by Divina Edralin

Websites:

https://www.academia.edu/13227090/Learners_Material_Department_of_Education_Republic_of_the_Philippines

https://www.econlib.org/library/Enc/Entrepreneurship.html#:~:text=Entrepreneurship%20is%20the%20proc ess
%20of,the%20entrepreneur%20makes%20a%20profit.

https://openpress.usask.ca/entrepreneurshipandinnovationtoolkit/chapter/chapter-1-introduction-to-
entrepreneurship/

https://www.youtube.com/watch?v=aozlwC3XwfY https:/ /google.com/pictures

Liberal, AE. E. (2007). Appraising and developing yourself for an entrepreneurial career. (Eds.) Maghirnf, T., Librando,P.,
Esguerra, D.,&Recio,D.In

Introduction to Entrepreneurship. QuezonCity: Small EnterprisesResearchandDevelopment Foundation, Inc. in

cooperation with UP-ISSI. pp: 41-43
Najm, M. (2013). Top 5 Takeaways On The Importance of Entrepreneurship. https://dcid.sanford.duke.edu/importance-
of-entrepreneurship/

Prepared by: Checked by: Noted by:

Eydie G. Hojilla
Lorelei V. Sobremonte Excel Ergina Arididon, MBA Mario S. Mecate, Ph.D.
Subject Teacher Management 12 Coordinator AVP, Basic Education Unit/Principal
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