Module No. and Title Module 4 Introduction to Entrepreneurship Lesson No. and Title LESSON 1: Key Concepts and Common Competencies Learning Outcomes a. Explain the key concepts of common competencies. Time Frame Introduction A new school year is upon us, and we are ecstatic! You made it through the pandemic despite the difficulties. The new standard has arrived, but there is still much to discover. This will be a thrilling prospect! You'll get a bird's eye view of the subject Entrepreneurship as we begin digging through this course pack. So get reading and have fun! Activity These fifteen (15) questions that a potential entrepreneur must ask himself or herself before setting up a new business. A Yes or No answer is highly recommended. 1. Am | a planner, dreamer, or a goal setter? 2. Do | offer a product that people want to buy? 3. Do I have enough resources to start my business? 4. will my business plan allow cash to flow as soon as possible? 5. Am | working around a tight budget for my expenses? 6. Do I have good credit card? 7. Am | expecting too much from my revenues as a result of my hard work? 8. Am | ready to assess and measure everything before putting it out for the Public? 9. Do Ihave strong people skills? 10. Do | enjoy making decisions and being in charge? 11. Am | good at short-range and long-range planning? 12. Am | willing to take initiative when confronted with difficult situations? 43. Am I flexible, and can adapt to changing circumstance? 14. Am | willing to take calculated risks? 15. Am | ready to learn and accept the mistakes that I might encounter along way? z Analysis If you could answer yes to most of these questions, then you are probably ready to become an entrepreneur. There are no correct answers for these questions regardless of your answer. These are some of the basic realities that you must face when starting a business: demand for your product or service, cash flow, income potential, marketability, and flexibility. Be prepared to navigate the road to entrepreneurship and hurdle the challenges and roadblocks along the way. Abstraction Entrepreneurship is a science of converting processed ideas into a remarkable business venture. Entrepreneurship is also a capacity for innovation, investment and expansion in new market, products and techniques. This definition implies that an enterprise is at work whenever an individual takes the risks and invest resources to make somethingunique or something new, designs a new way of making something that already exists, or creates new markets. Competencies This can be considered as the capability, capacity and ability of the entrepreneur in handling situation in various areas in business operations such in marketing, management, production or technical and financial. In starting a business, learner should seek entrepreneurial competencies such as: 4. LOCUS OF CONTROL: Entrepreneur must know how to determine the state to which a person agreed that their actions can directly affect a situation, or that they can control a result. Learners have discovered that founders of successful entrepreneurial organization have a high internal locus of control. 2. SPECIFIC GOAL SETTING: Entrepreneurs should be motivated to set goals, particularly business growth objectives, have been found to increase firm growth resulted in the firm performance and innovation. Set goals of all types have repeatedly been found to lead to greater performance and highlighting the importance of setting goals that are specific, measurable, attainable, realistic and time-bound. 3. SELF-EFFICACY: Entrepreneurs must believe in their own ability or self confidence. Learners with high self-efficacy will persevere even in the face of setbacks, will take negative feedback more positively and use feedback to improve their performance. It must set difficult goals, and will exert more effort over a longer period of time. Leamers consider that when entrepreneurs have high self-efficacy, that there is a strong relationship between this motivation and firm high increase of growth. 4, LAYERS OF COMPETENCY: Entrepreneurs should know the group of attributes, some of which are applicable to all entrepreneurs, while others are coccupation/industry specific. Universal competencies occupying the bottom portion of the pyramid and specific competencies located near to the top. However, this is not to give priority to one competency over the other it is simply to depict the layers of competencies that are beneficial for entrepreneurs in different industries and ‘occupations. 5, NEED FOR ACHIEVEMENT: Entrepreneurs must have a high need for achievement take responsibility for outcomes. Engage in activities that have a moderate degree of consequences and require skill and effort. This competency has also been found to predict firm founding and the successful performance of organization. 6. AMBITION: Entrepreneurs must be motivated, persistent, and persevere even in the face of situational challenges. They are patient and persistent, passionate and goal driven. Learners embrace new challenges while achieving to exceed set expectations and standards. 7. WILLINGNESS TO LEARN: Entrepreneurs should have a strong willingness to. learn often pursue opportunities to acquire new skills and competencies. They initiate personal career development and often secure the feedback to help them make good career decisions. Personal effectiveness competencies are adapted from the Consortium for Entrepreneurial Education.8. STRONG INITIATIVE: Entrepreneurs must have a high initiative are often. driven to work hard. They frequently work independently to achieve task. master, regardless of the extra effort necessary to do so. They take initiative to set a specific, time bound and challenging goals. Oftentimes, they are very confident in their capabilities to perform well and enjoy seeking out challenging opportunities. 9. ADAPTABILITY & FLEXIBILITY: Entrepreneurs must learn how to be a highly flexible and adaptable often deal very well with a unique ability to choose actions even without all necessary information. These types of leamers are innovative and creative, often developing novel solutions to complicated problems. They can manage change well, often generating new goals and actions to deal with undesirable events. 10. WILLINGNESS TO TAKE RISKS: Not only are successful learners willing to take consequences, they can also identify and calculate risk. They are skilled at developing new plans and scenarios. These types of leamers take evaluated risks, and lear from past failures. 11. INTERPERSONAL SKILLS: Learner with strong interpersonal skills has skills of working well with people from different backgrounds. They are very insightful with regards to the behaviour of others - understanding motives and actions, quickly aware of strong relationships, and both verbal and nonverbal behaviours. INDUSTRY WIDE COMPETENCIES/WORK COMPETENCIES Adapted from The National Consortium for Entrepreneurial Education These are the entrepreneurial skills needed in order to achieve objectives and goals of the organization: 1. NETWORKING/ COLLABORATION: is the ability to build professional relationships, assists leamers with leveraging contracts, initiating collaborations, and partnering with business contacts. Learners with strong networking skills are perceived as trustworthy. They can negotiate with competitors, establish buy-in with partners, and identify mutual goals. 2. CREATIVE CRITICAL THINKING: Learners who engage in creative. thinking are able to both generate innovative solutions and use relevant information to understand the "greater picture". They can analyze problems and create innovative solutions. They can easily identify what is missing from current product streams and have imagination, creativity, and empathy. 3. ORGANIZING: Successful entrepreneurs plan and prioritize work to sure time is managed effectively. They can work methodically and effectively. allocate time and resources. When goals are not met, they take necessary steps to get projects back on-track. 4. CHECKING, EXAMINING, & RECORDING: The ability to maintain confidential records, easily locate and complete appropriate forms and paperwork, detect errors, and make the necessary corrections is vital to successful entrepreneurshi 5. PLANNING: Entrepreneurs must be specific about the direction of their venture and the strategy they will adopt to achieve their short goals both long and short objectives. Successful entrepreneurs assess risks, estimate costs, and determinethe potential for profit and loss before beginning a new venture. 6. BUSINESS PRINCIPLES: entrepreneurs must understand the basic principles of business. Being well versed in market knowledge, economic principles, and ethical practices are essential entrepreneurial knowledge. 7. COMPUTER COMPETENCY: Entrepreneurs must be competent in the use of basic computer hardware (e.g. printers, copiers, PCs) and software (e.g. spread sheets, word processing). A successful entrepreneur can easily communicate and prepare documents electronically. 8. WORKPLACE COMPETENCIES: Workplace competencies have been defined as "the application of knowledge, skills, attitudes, values, and behaviours in the workplace. Workplace competencies develop from the synthesis of an individual's skills, knowledge, and abilities with on the job tasks and work related experiences. Itis understandable that many successful entrepreneurs place great value on their industry experiences prior to launching their own venture, as workplace competencies develop within the context of occupational tasks and job related experiences. While an entrepreneur may enjoy a wide range of valuable skills, without the opportunity to learn from the application of these skills to practical work experiences the development of workplace competencies is limited. 7. Decisiveness - the entrepreneur resolves issues as they arise in an unavoidable situation and responds flexibly to deal with changing priorities set by the upper authorities. 8. Optimism - the entrepreneur persists in pursuing goals despite hindrances and problems, performs in the hope of success rather than fear of failures; and manages difficult situation. 9. Customer Relation Service - the entrepreneur develops and builds trust and long term relationships with customers; collates an expectation of high level of customer service; and maintains regularly exceeds customer expectation. 40. People Centered - the entrepreneurs create commonality among stakeholders, see and value the best in others. They build the total capability of the people involved. They always consider the principles of inclusiveness in planning and dealing with others. Application Explain the meaning of the following concepts. . Strategic Thinking . Risk Assessment and Management . Workplace Competencies . Commercial Aptitude . Financial Management ORoOws Closure Entrepreneurship is encouraged by the economy because it can provide a lot of opportunities for the unemployed people. It will increase per capita income, improve standard of living and increase individual savings, provide revenue to the government in the form of income tax, value added tax, export duties, import duties, and balanced regional development.