Liceo De Buenavista, Inc.

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“Excellence is our Commitment”

Name of Student: Grade & Section: 7- ST. JOHN

Quarter: Fourth
Week: One
Date: March 2024
Subject: Technology and Livelihood Education 7
Lesson: Personal Entrepreneurial Competencies
Teacher: Mrs.Nancy A. Manapat
Reference: T.L.E Home Economics by Xandra S. Caballero

PERSONAL ENTREPRENEURIAL COMPETENCIES INTRODUCTION:

In this lesson, you will learn more about entrepreneurship and the entrepreneurial
competencies related to your specialization. You will have a first-hand experience in educational
activities leading to assessment of your personal entrepreneurial competencies (PECs) and the
entrepreneurial competencies of a successful businessman within your province. You will also have
several activities that will align your competencies with those of successful practitioners. Moreover,
this module will encourage you to think about entrepreneurship and its role in the business
community as well as in the economic and social development of an individual.

To start with this Lesson, let us first understand entrepreneurs and entrepreneurship. Entrepreneurs
are those with the skills and capabilities to see and evaluate business opportunities. They are
individuals who can strategically identify products or services needed by the community, and have the
capacity to deliver them at the right time and at the right place.

Entrepreneurs are agents of economic change; they organize, manage, and assume risks of a
business. Some of the good qualities of entrepreneurs are opportunity-seeker, risk-taker, goal-setter,
and excellent planner, confident problem-solver, hardworking, persistent and committed.
Entrepreneurship, on the other hand, is not just a simple business activity but a strategic process of
innovation and new product creation.

Entrepreneurship is both an art and science of converting business ideas into marketable products
or services to improve the quality of living.

Now that you have background knowledge about entrepreneurs and entrepreneurship, you can now
walkthrough in assessing your PECs. Always remember that successful entrepreneurs continuously
develop and improve their PECs.

A Personal Entrepreneurial Competencies (PECs) assessment evaluates an individual’s

entrepreneurial skills, traits, and attributes. It helps identify strengths and areas for development in
the context of entrepreneurship. Here are some key points about Pecs’s assessments:

PECs refer to the personal qualities and competencies that contribute to an individual’s success as
an entrepreneur. These competencies encompass a range of characteristics, including work
ethic, confidence, discipline, adaptability, and creativity.

https://www.youtube.com/watch?v=90-19za06lk

Personal Entrepreneurial Competencies

The entrepreneurial competencies refer to the important characteristics that an individual should
possess in order to perform entrepreneurial functions effectively. In this lesson, you will learn some of
the most important characteristics, attributes, lifestyle, skills and traits of a successful entrepreneur in
order to be successful in a chosen career. The following are the fundamental characteristics of an
entrepreneur:
1.Hardworking:
If you are determined to run your own business, you must concentrate on your work either as a
producer or as a seller. The success of your business depends on how much time and effort you will
spend on it. This means habitually working diligently for a long period. Hardworking people keep on
improving their performance to produce good products and results, or provide good services.

2.Self-Confidence:
Entrepreneurs have confidence in one’s ability and own judgment. They exhibit self-confidence in
order to cope with all the risks of operating their own business. You must have strong faith in your
ability despite the problems that you will encounter along the way.

3.Future-Oriented:
Once a person enters in a line of business, you must understand that you are in a non-stop contract
as an entrepreneur. It may take several years to build up a business to a reasonable standard. The
goal for most successful business people is to build a secure job and stable income for themselves
based on their own abilities.

4.Profit-Oriented:
When you enter into the world of business, obviously, you are looking for income because you know
that this will be your family’s bread and butter. Therefore, you must see to it that the business can
generate income. Another plan of action is to expand your own business through the use of your
generated income. An entrepreneur enters into the world of business to generate profit or additional
income. This shall become the bread and butter for you and for your family as well. Therefore, you
must see to it that the business can generate income

5.Goal-Oriented:
An entrepreneur is forward looking. You have an advanced preparation for your business. You set
along-term goal for the activities that are needed, an extensive preparation for the production process
and procedures that you need to go through to acquire human and non-human resources. Everything
in your business will have to beset clearly, organized, and planned depending on the goal you want to
achieve.

6.Persistence:
Differences in opinion and judgment. Your opponent can be a part of the rejection on what you intend
to do for your endeavor. As an entrepreneur, you must be firm, strong-willed, and follow your own
belief

.7.Copes with Failure:

Learn from your mistakes. As an entrepreneur, you must learn how to deal with the frustrations and
failures and turn these into productive learning experiences.

8.Discipline:
Successful entrepreneurs always stick to the plan and fight the temptation to do what is unimportant

9. Committed:
A good entrepreneur accepts full responsibility of everything in his/her business. He/she gives full
commitment and solid dedication to make the business successful.

10.Ability to Accept Change:

Change occurs frequently. When one owns a business, he/she should cope-up and thrive on
changes. He/she has to capitalize on positive changes to make his/her business grow.
11. Creative:
An entrepreneur should be creative and innovative to stay in the business and have an edge over the
other competitors.

12. Initiative
: An entrepreneur takes the initiative. You must put yourself in a position where you are responsible
for the failure or success of your business.

13.Excellent Planner:
 Planning is strategic thinking and setting of goals to achieve objectives by carefully maximizing all the
available resources. A good entrepreneur develops and applies step-by-step plans to realize the
goals. A good entrepreneur knows that planning is an effective skill only when combined with action
.14.Possesses People Skills:
It is an important skill in order to be successful in any kind of business. People skill refers to the
effective and efficient communication and relation to people working in and out of your business. In
the day-to-day business transactions, you need to deal with people. A well-developed people skill can
spell out the difference between success and failure of the business.

15.Sound Decision Maker:

Successful entrepreneurs have the ability to think quickly by making wise decision toward
predetermined set objectives. Sound decision should spring out from given facts and information and
should be towards the predetermined objectives.

Entrepreneurial competencies refer to the skills and behaviors necessary for creating,
developing, managing, and growing a business venture. These competencies encompass a range of
abilities, including handling risks associated with running a business. Let us delve deeper into what
makes up entrepreneurial competencies:
1. Technical Competencies: These are specific skills related to business operations, such as financial
management, marketing, and product development.
2. Behavioral Competencies: These focus on personal attributes and behaviors that contribute to
entrepreneurial success. Examples include adaptability, resilience, and creativity.
3. Attitude-Based Competencies: Attitudes play a crucial role in entrepreneurship. Having a positive
mindset, being open to learning, and embracing challenges are essential.
4. Productivity-Based Competencies: These involve time management, goal setting, and efficiency in
executing tasks.
Entrepreneurs often take on three key roles:

 Creator: Generating innovative ideas and solutions.

 Organizer: Structuring and managing resources effectively.
 Market Maker: Identifying and capitalizing on market opportunities.

Why do organizations seek employees with entrepreneurial competencies? Here are some
reasons:
1. Value Addition: Employees with an entrepreneurial mindset contribute more to the workplace. They
take ownership and go beyond their job descriptions.
2. Innovation and Creativity: Entrepreneurial employees drive innovation, seek opportunities, and
think outside the box.
3. Self-Driven and Responsible: They exhibit self-motivation, accountability, and a sense of
ownership.
4. Passion and Engagement: An entrepreneurial mindset leads to higher engagement and passion for
work.

Guides on how to strengthen your own PECs:

1. React positively to criticisms and be open to feedbacks.

2. Always demonstrate a positive attitude to achieve a desired goal.
3. Always project a strong and well-balanced behavior.
4. Always exercise the assertive style in your work environment.
5. Avoid being too passive and being too aggressive.
6. Consider negative comments as challenges in improving your business.
7. Prioritize your business goals rather than personal goals in order to become a successful
entrepreneur.
8. Acquire specific skills for creating and maintaining a conducive work environment.
9. Be responsible for everything you do in your business.
10. Always observe entrepreneurial ethics in putting up a business.
Directions:
Match the entrepreneurial competencies in column A with their meaning in column B. Write the letter
of the correct answer on the space provided before each number.
A B
____1. Creative A. makes wise decisions towards the set objectives
_____2. Profit-oriented B. strategic thinking and setting of goals
____3. Disciplined C. trusting in one’s ability
____4. Sound decision maker D. adoptable to change
____5. Possess people skills E. innovates to have an edge over other competitors
____6. Excellent Planner F. solid dedication
____7. Confident G. skillful in record keeping
____8. Hardworking H. always sticks to the plan
____9. Ability to accept change I. work diligently
____10. Committed J. effective and efficient communication skills and relate swell
to people K. always looking for an opportunity to have/earn income

B. Directions:
Answer the following guide questions on a space provided.
1. Explain the importance of assessing one’s PECs before engaging in a particular entrepreneurial
activity.
_______________________________________________________________________________
________________ ________________________________________________________________
_______________________________ _________________________________________________
______________________________________________ __________________________________
_____________________________________________________________

2. What are the desirable personal characteristics, attributes, lifestyles, skills, and traits of a
prospective entrepreneur? Why are these
important? _______________________________________________________________________
__ ______________________________________________________________________________
_________________ _______________________________________________________________
________________________________
3. Why is there a need to assess one’s PECs in terms of characteristics, attributes, lifestyles, skills,
and traits before starting particular business?
_______________________________________________________________________________ _
________________________________________________________________________________
______________ __________________________________________________________________
Lesson 2

Three Cluster of PECS

A. Achievement Cluster
1. Opportunity Seeking and Initiative
* Does things before asked or forced to by events
* Acts to extend the business into new areas, products or services
*Seizes unusual opportunities to start a new business, obtain financing, equipment, land
workspace or assistance.

2. Risk Taking
* Deliberately calculates risks and evaluate alternatives
* Takes action to reduce risks or control outcomes
* Places self in situation involving a challenge or moderate risk

3. Demand for Efficiency and Quality

* Find ways to do things better, faster or cheaper
* Acts to do things that meet or exceed standards of excellence
* Develop or uses procedures to ensure work is completed on time or that work meets agreed
upon standards of quality.

4. Commitment to the Work Contract

* Makes a personal sacrifice or expends extraordinary effort to complete a job
* Pitches in with workers or in their place to get a job done
* Strives to keep customers satisfied and places long term good will over short term gain

B. Planning Cluster

5. Information Seeking
* Personal seeks information clients, supplies or competitors
* Does personal research on how to provide a product or services
* Consult experts for business or technical advice

6. Goal Setting
* Sets goals and objectives that are personally meaningful and challenging
* Articulate clear and specific long-range goals.
* Sets measurable short term objectives

C. Power Cluster

7. Persuasion and Networking

* Uses deliberate strategies to influence or persuade others
* Uses key people as agents to accomplish own objectives
* Acts to develop and maintain business contracts

8. Independence and self-confidence

* Seeks autonomy from rules or control of others
* Sticks with own judgement in the face of opposition or early lock of success
* expresses confidence in own ability to complete a difficult task or meet a challenge.
8 Elements Of The Business Environment

Martin Luenendonk

No business or firm can operate and succeed in isolation. Apart from the essential human
resources needed for your business, external and internal environmental elements can affect
your business’s operations.

Every organization needs to study its business environment to grow, gain a competitive
advantage, and enjoy a rich return on investment (ROI). You need to know your micro-
environment and other factors that directly or indirectly influence your business.

This article reveals eight major components of the business environment.

Let’s get started.

What is a Business Environment?

A business environment refers to all the factors, both internal and external, that have a hand in
influencing how business operations are carried out.

Factors such as customers' needs and expectations, government intervention, competitors, laws
and regulations, supply and demand, social and market trends, and economic changes make up
the factors that define a business environment.

These factors directly or indirectly influence how business functions, and the total of all
these factors can bring about a positive or negative change to a company or the business
environment in which it exists.
The business environment and all the factors that define it are often outside the power and
control of the business organization. Still, they have a massive hand in the performance of the
business immensely.

As inconsequential as the business environment might seem, it can be the make and break of a
business.

A proper understanding of the business environment benefits people in the industry. They
conduct their operations alongside such factors to get the best out of the economic conditions
they find themselves in.

Source: K
necnotes

Elements of Business Environment

Elements or components of a business environment consist of the sum of all the factors that
have a level of control, be it direct or indirect control over the activities of a business.

Such business environment elements influence all businesses' internal and external environment
under that geographical area.

Here are the eight essential elements of the business environment.

1. Political Environment

A political environment consists of political factors that describe how government policies and
activities affect the business environment of that country.

The political system affects the business environment of any country. External factors such as
taxes and duties, fiscal and monetary policies, and subsidies are issues under the political
environment that can impact businesses either positively or negatively.

Political elements such as the country's political ideology, management relationship between the
country and the rest of the world, level of political morality, and political institutions and agencies
are all among the elements that define a political environment.
Essentially, the political environment significantly impacts how people in business carry
out their business activities. Before committing to your business under such a government,
you must scan the political environment for favorable factors.

Essential Aspects of the Political Environment

Here are some of the essential aspects of the political environment:

 Country's constitution

 Current political system

 Government's foreign policies and interventions

 Cultural values and value system of political parties and political leaders

Political Climate and Government Control and Stability

The political climate and the stability of governments are other factors that people in
business need to consider in deciding on a country for their daily business activities.

Scrutinize the government's control over companies under their jurisdiction and the laws guiding
their operations thoroughly to ensure it is a perfect fit for their companies.

How restrictive regulations are for foreign businesses, import tariffs, quotas, and export
restrictions are among the criteria people in the industry are looking for in choosing a suitable
business environment.

Apart from the federal and state governments, the local government exerts its control over
businesses.

The responsibilities of the state and local governments often include issuing business licenses
and corporate charters and imposing taxes to establish a political and legal environment for that
area.

2. Economic Environment

An economic environment consists of several economic factors that have a hand in the economic
system of a geographical location and how a business unit under this location functions.

The factors that influence an economic environment are usually a combination of the economic
system, economic policies, current stage in the business cycle , trade cycle, economic
resources, interest rates, inflation rate, employment, consumer income, capital structure, and
several other factors.

An economic environment is dynamic and complex as it allows for interactions between

business firms and economic market conditions like demand and supply factors and the
government's economic policies.

Apart from how a business is expected to conduct its operations, the business environment also
affects a company's growth.

The economic system of a country, be it capitalism, socialism, or a mixed economy, all have
unique reactions to changes in economic factors.

The economic elements of a business environment can fall under either a macro environment or
a microenvironment.
 Source: St
udiousGuy
Macroeconomic elements are external economic elements that affect the whole country's
economy, including exchange rates, interest rates, inflation, agricultural and manufacturing
trends, and financial institutions, among other external factors.

On the other hand, micro factors of an economic environment consist of all the elements of a
business environment that affect internal business operations.

Unlike macro environment elements, microeconomic elements can be controlled by

businesses as they are directly related to the company and include customers, suppliers, and
the firm's competitors.

Essential Aspects of the Economic Environment

Here are some of the essential aspects of an economic environment.

 Role of the public and private sector

 Balance of trade and payment

 International debt

 Savings and investment rate

 Rate of growth of GDP, GNP, and Per Capita Income

 Money supply in the economy

Economic factors have an immediate impact on businesses.

Every economic environment comes with unique opportunities and constraints. It is imperative for
people in the industry to scan the economic environment of their desired strategic business
location for the best fit for their companies.
Source: Owlgen

3. Social Environment

The social environment consists of social factors that highlight demographics, population size,
and dominant cultural trends of that location that influence consumers' products and services.

This environment depends on the customs and traditions of the larger society where the
business exists and contributes significantly to its success or failure.

A positive social environment encourages harmony, confidence, and stability and helps
impact business performance and productivity by maximizing business opportunities and
addressing their peculiar challenges.

The social environment contrasts sharply with the natural environment. Unlike the natural
environment, some social aspects of the larger social environment are similar in values, customs,
and traditions. In contrast, others differ entirely across the same social factors.

The social environment can be either internal or external, depending on businesses' control
and the level of influence they have over these social factors.

External Social Environment

An external social environment consists of factors beyond the control of the business. It
can be seen in the society at large as it is a multicultural social environment with its unique and
prevailing external social factors such as customs, traditions, and values.

Internal Social Environment

The internal social environment is specific to the company. It includes beliefs, customs,
behaviors, attitudes, practices, and values that they have direct control over in their internal
environment.

Essential Aspects of the Social Environment

Here are some of the essential aspects of the social environment.

 Quality of life

 Literacy rate
  Birth and death rates

 Population

 Consumption habits

 Place of women in the workforce

 Traditions and customs of people

As people in business, you cannot overlook the importance of the social environment despite
their effect and influence being long-term.

Social environment components do not immediately impact the business, but with time,
companies reap the total rewards and benefits it has to offer them.

Source: SketchBubble

4. Demographic Environment

A demographic environment is an element of the external environment that pertains to the human
population of a country concerning demographic factors.

These demographic factors include population size, education, sex ratio, age, occupation,
income, wealth status, and marital status. They all serve as criteria for which businesses can
study various components of the demographic environment in detail.

Every country has its distinct demographic environment due to the differences in cultural
values and the overall value system of that country. Demographic factors influence how a
business operates to a large extent.
A country with a large population would have a significant demand for goods and services than a
country with a lower population.

So a proper and detailed understanding of the demographic environment and the factors that
influence it can have a favorable effect on your business if well utilized.

Knowing the demographics of the population of an area helps businesses come up with variables
that interest them as it affects their growth and success.

Source: Questio
nPro

Demographic Characteristics and Factors

Every business has its unique demographic characteristics, and a demographic environment
serves as an indicator of the amount of success your business can achieve.

Apart from indicating how your business might perform in a place, demographic factors can help
companies to determine how well their products or services will sell in a geographical location.

In cases where a business wants to launch a new product or service in an unfamiliar

environment, the demographics of that environment help the company conclude the general
acceptability of the new products or services.

Demographics and Decision Making

Demographics are at the center of all business decisions and are an uncontrollable factor in
the business environment.

Business managers must closely monitor demographics to give them a competitive edge as the
business world is plagued with tremendous competition.

5. Technological Environment
Technology is one of the areas of the business environment that has brought about changes in
how a business operates in terms of the methods utilized for production and the quality of goods
produced.

With constant technological developments leading the charge, business firms need to be
positioned to monitor and take advantage of the changes in the technical environment to benefit
their businesses.

The technological environment also dictates the speed at which progress is made in
research and development in coming up with modern and more effective technologies in
production.

Despite being capital intensive, technological developments provide a cost-effective

alternative to traditional labor methods, as utilizing technology is key to growth and surviving
in a competitive business environment.

Technological trends, whether prevailing or not, can either be beneficial or pose severe risks to
the success of business strategies.

Improving product or service processes and general environment can make your business more
efficient. Technological innovation is the most popular innovation type .

S
ource: Walter Dorn
On the downside, technological advancements can pose significant risks to businesses as
they can drive them entirely out of existence through machinery and automation.
Famous examples are in the cases of the invention of online stores, which are systematically
replacing physical stores, and automation carrying out tasks in place of a physical human being.

Ultimately, the technological environment aims to influence business decisions by using

new equipment and machinery to improve the quality of both the process and the production
processes.

Essential Aspects of the Technological Environment

Here are some of the essential aspects of a technological environment:

 Innovations and inventions

 Developments in the IT sector

 Import and export of technology

 Scientific improvements

Understanding Technological Environment for Economic Growth

Under capitalism or other economic systems, utilizing technology to transform economic

resources into products or services helps stimulate economic growth.

Technology is the application of science and skills and knowledge gathered in

engineering to develop practical solutions to production and business operational problems. It is
one of a company's most valuable assets.

A nation's ability to build and maintain wealth depends mainly on its speed and effectiveness in
developing new equipment, techniques, and software that improve productivity and decrease
costs.

6. Legal Environment

Legal factors are external factors that influence a business environment, consisting of laws
and regulations designed to govern how businesses conduct business activities in a country.

Countries utilize common legal laws and regulations to govern business operations, including
consumer, employment, safety, and antitrust laws.

In a democratic system of government, the laws and legislation guiding a legal environment are
passed in the parliament. Business owners are compelled by law to carry out their business
activities with full regard and within the framework of the legal environment.

The Trade Mark Act, Essential Commodities Act, Consumer Protection Act, and Weights and
Measures Act are among the prevalent legislations passed by various countries over time that
aim to contain how business transactions are performed.

A legal environment often seems to be a dictator as it has its unique constraints, which it
mandates all businessmen to follow.

Still, these laws and regulations also provide unique business opportunities and make the
business relatively favorable for all parties, not just a select few.

Essential Aspects of the Legal Environment

Here are some of the essential aspects of a legal environment.

 Laws and Legislative Acts

 Advertisements Laws

 Foreign Exchange Regulation and Management Act

 Legal Policies about Foreign Trade and Licensing

 Statutory Warnings

Legal Environment Example

The legal segment of a legal environment focuses on how the judiciary system influences the
business activity of a country. An example is the case of intellectual property rights, which is
a crucial aspect of the legal system for most businesses.

Intellectual property piracy is an enormous threat to a business's profit outlook. Many

countries have identified these threats and, under the legal environment of a company, have
passed laws and set up agencies to combat this menace in the business environment.

7. Environmental Factors

Environmental factors are essential elements of an external business environment. They

include climate change, weather conditions, and environmental laws affecting business
operations.

These factors and regulations affect businesses dealing in mining and most manufacturing
companies the heaviest blow as they directly affect how they conduct their business.

Environmental factors are becoming increasingly important as the world becomes more
environmentally conscious.

Businesses must determine how their location and practices affect their surrounding environment
and incorporate processes to preserve the environment into their business structure.

In a general sense, environmental factors identify all the economic, political, technological,
regulatory, and demographic environmental elements that affect how a company operates,
grows, and survives in its business environment.

Environmental factors in business can be categorized as internal or external, depending on

the level of control they can afford.

External Environmental Factors

External environmental factors consist of several factors outside a business unit that they
do not have control over, including competition, socio-economic factors, external costs and
benefits, and legal, ethical, technological, and political environments.

Internal Environmental Factors

Internal environmental factors include all the unique components within a company that they
have control over. They include the company’s leadership, employee strength, corporate
culture, business strategy, and natural resources.
8. International Environment

An international environment is the surrounding where global companies conduct their

business activities.

As a manager, you must avail yourself of the factors that comprise the business environment you
seek to penetrate. You identify threats and devise ways of combating these identified threats
before giving the go-ahead for business activities to commence.

The international environment and all its factors provide the platform for the global market of
trading goods and services to flourish as it exists for the globalization of trade.

An international environment exists as a dynamic business environment where foreign

companies are allowed to carry out their business activities while contributing to the growth and
development of the country.

Source: eFinanceManagement
A company’s management relationship with the factors that constitute an international business
environment is crucial as it directly affects the country’s economy.
An international environment can be in the form of cross-border trading for a mixed
economy, franchising, licensing, or a joint venture depending on the factors related to the
business and the economic conditions provided.

Essential Aspects of the International Environment

Here are some essential aspects of the international environment.

 Political stability

 Corporate culture

 Foreign exchange

 Legal and taxation

 Fiscal policy

Understanding the International Business Environment

International managers are challenged to understand the foreign environment where they
conduct their business activities. There would be cultural and environmental differences that they
need to acclimate their business to for a successful outcome.

The international business environment is multi-dimensional in that it involves various

factors such as political risks, cultural differences, exchange risks, and legal and taxation issues.
Managers must consider all these factors to get the best out of the country’s economy.

As a crucial part of a country’s economy, the international business environment helps

countries achieve significant growth and development as they set the standard for cross-
border business transactions.

Martin Luenendonk
Editor at FounderJar

Martin loves entrepreneurship and has helped dozens of entrepreneurs by validating the business
idea, finding scalable customer acquisition channels, and building a data-driven organization. During
his time working in investment banking, tech startups, and industry-leading companies he gained
extensive knowledge in using different software tools to optimize business processes.

This insights and his love for researching SaaS products enables him to provide in-depth, fact-based
software reviews to enable software buyers make better decisions.
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