CT 1

1. Meaning of term Entrepreneurship

Entrepreneurship is the act of starting and running your own business. It involves coming up
with a new idea, creating a plan, and taking risks to make that idea successful.
Entrepreneurs are the people who do this, often bringing new products or services to the
market.

2. Difference between self-employment and salaried employment

 3. Contribution of entrepreneurship to national development.
Requirement for entry into Self Employment
 4. Evolution of Entrepreneurship History, Theories, Characteristics

Evolution of Entrepreneurship

History
Ancient Times: Started with traders exchanging goods.
Middle Ages: Entrepreneurs managed large projects, like building cathedrals.
Industrial Revolution: Boomed with factories and new inventions.
20th Century: Growth of small businesses and tech startups.
21st Century: Focus on digital businesses and sustainability.

Theories
Classical: Entrepreneurs drive economic growth (Adam Smith).
Schumpeter's Theory: Entrepreneurs innovate and disrupt markets.
Knight's Theory: Entrepreneurs take risks in uncertain markets.
Kirzner's Theory: Entrepreneurs spot opportunities others miss.

Characteristics
1. Visionary: Sees the future and sets goals.
2. Risk-Taker: Takes calculated risks.
3. Innovative: Thinks creatively and finds new ideas.
4. Resilient: Bounces back from setbacks.
5. Self-Motivated: Driven to succeed.
6. Leader: Guides and inspires the team.
7. Adaptable: Adjusts to changes easily.
8. Passionate: Deeply committed to their work.
9. Decisive: Makes quick, effective decisions.
10. Resourceful: Uses resources wisely and solves problems.

5. Importance of entrepreneurship theories

Entrepreneurship theories are important because they:

1. Guide Business Planning: They help with creating effective business strategies.
2. Anticipate Challenges: They prepare entrepreneurs for potential risks and issues.
3. Inspire Innovation: They encourage new ideas and creative solutions.
4. Aid Decision-Making: They offer insights for making informed choices.
5. Provide Learning: They help entrepreneurs learn from successful models and
experiences.

6. Factors affecting entrepreneurship development

Key factors affecting entrepreneurship development include:

1. Economic Conditions: Stability and growth opportunities.

2. Access to Capital: Availability of funding.
3. Education and Training: Skills and knowledge.
4. Government Policies: Supportive regulations and incentives.
5. Market Demand: Need for products or services.
6. Networking: Connections and mentorship.
7. Technology: Access and use of tech.
8. Cultural Attitudes: Society's view on entrepreneurship and risk.

7. Types of Entrepreneurs

1. Innovative Entrepreneurs: They create new products or ideas, often changing entire
industries. Example: Steve Jobs (Apple).

2. Imitative Entrepreneurs: They take existing ideas and improve or adapt them. Example:
Sam Walton (Walmart).

3. Hustler Entrepreneurs: They start small and grow through hard work and persistence.
Example: Mark Cuban (Shark Tank).

4. Social Entrepreneurs: They focus on solving social issues, prioritising impact over profit.
Example: Muhammad Yunus (Grameen Bank).
5. Serial Entrepreneurs: They start multiple businesses, moving from one venture to the
next. Example: Richard Branson (Virgin Group).

6. Lifestyle Entrepreneurs: They create businesses that fit their personal passions or desired
lifestyle. Example: A travel blogger who turns their blog into a business.

7. Small Business Entrepreneurs: They run small, local businesses like shops or restaurants.
Example: A family-owned bakery.

Each type has its own style and impact on the world.

8. Qualities of an entrepreneur.
Roles of an entrepreneur in an enterprise

Qualities of an Entrepreneur:

1. Visionary: Sees the future and sets goals.

2. Risk-Taker: Takes calculated risks.
3. Innovative: Thinks creatively and finds new ideas.
4. Resilient: Bounces back from setbacks.
5. Self-Motivated: Driven to succeed.
6. Leader: Guides and inspires the team.
7. Adaptable: Adjusts to changes easily.
8. Passionate: Deeply committed to their work.
9. Decisive: Makes quick, effective decisions.
10. Resourceful: Uses resources wisely and solves problems.

Roles of an Entrepreneur in an Enterprise:

1. Idea Creator: Develops the business idea.

2. Decision Maker: Makes important choices.
3. Team Leader: Leads and motivates the team.
4. Risk Manager: Handles potential risks.
5. Resource Manager: Allocates money and resources.
6. Networker: Builds important relationships.
7. Innovator: Improves products or services.
8. Marketer: Promotes the business and drives sales.
9. Financial Planner: Manages budgets and funds.
10. Problem Solver: Fixes issues that arise.

Chapter 2

9. Explain the differences among creativity, innovation, and entrepreneurship.

Here’s a simple explanation of the differences:

1. Creativity:
 What It Is: The ability to think of new and original ideas.
Example: Coming up with a new recipe or a fresh marketing slogan.

2. Innovation:
What It Is: The process of turning creative ideas into practical, usable products, services,
or methods.
Example: Developing a new app based on an original idea that solves a common
problem.

3. Entrepreneurship:
What It Is: The act of building a business around a new idea, product, or service.
Focus: Taking innovation to the market, managing risks, and organizing resources to
create and grow a business.
Example: Starting a company to sell the new app and managing its operations, marketing,
and finances.

In short:
Creativity is about coming up with ideas.
Innovation is about making those ideas real and useful.
Entrepreneurship is about turning those innovations into a successful business.

10. Describe why creativity & innovation are such an integral part of
entrepreneurship.

Creativity and innovation are crucial in entrepreneurship because they:

1. Solve Problems: Creativity helps find new solutions; innovation turns them into real
products.
2. Stand Out: They make a business unique, giving it an edge over competitors.
3. Adapt to Change: They help businesses stay relevant in a changing market.
4. Drive Growth: New ideas and innovations lead to business expansion.
5. Satisfy Customers: They help meet customer needs better, increasing satisfaction.

In essence, creativity sparks ideas, and innovation makes them happen, both of which are
key to a successful business.

11. Understand how the two hemispheres of the human brain function and what
role they play in creativity.

The two brain hemispheres work together in creativity:

Left Hemisphere: Handles logic and details, helping organize and refine ideas.
Right Hemisphere: Manages imagination and big-picture thinking, generating new ideas.

Creativity uses both sides: the right creates ideas, and the left turns them into practical
solutions.
 12. Explain the 10 mental locks that limit individual
Here are 10 mental locks that limit creativity:

1. Fear of Failure: Avoiding new ideas because of mistakes.

2. Self-Doubt: Not believing in your own abilities.
3. Perfectionism: Trying too hard to be perfect.
4. Sticking to Tradition: Following old ways only.
5. Lack of Confidence: Doubting your ideas.
6. Fear of Judgment: Worrying about what others think.
7. Narrow Viewpoint: Limited perspectives on problems.
8. Routine Thinking: Always doing things the same way.
9. Resource Limits: Believing you don’t have enough to try new ideas.
10. Wanting Quick Results: Looking for immediate success.

These mental locks can block your creative potential.

13. Understand how entrepreneurs can enhance the creativity of their employees
as well as their own creativity.

To boost creativity:

1. Encourage Sharing: Let ideas flow freely.

2. Support Experimentation: Allow for trial and error.
3. Offer Variety: Provide new and different tasks.
4. Promote Teamwork: Collaborate to generate ideas.
5. Provide Training: Invest in creative skill development.
6. Reward Creativity: Recognize and celebrate new ideas.
7. Allow Flexibility: Let employees choose how and when they work.
8. Set Time for Brainstorming: Schedule creative thinking sessions.
9. Foster Curiosity: Support exploring new interests.
10. Lead by Example: Show creativity in your own work.

These steps help enhance creativity for both entrepreneurs and their teams.

14. Describe the steps in the creative process

Here are the key steps in the creative process:

1. Preparation: Gather information, research, and understand the problem or challenge.

2. Incubation: Let the idea sit in your mind, often subconsciously, while you focus on other
things.
3. Illumination: Experience a breakthrough or moment of insight where a solution or idea
becomes clear.
4. Evaluation: Critically assess the idea’s feasibility, strengths, and weaknesses.
5. Implementation: Develop and execute the idea, putting it into action to solve the problem
or create something new.

These steps help transform initial thoughts into practical and innovative solutions.
 15. Discuss techniques for improving the creative process
To boost creativity:

1. Brainstorm: Come up with lots of ideas.

2. Mind Map: Draw diagrams to connect ideas.
3. Seek Different Views: Get input from various people.
4. Use Limits: Set constraints to inspire solutions.
5. Take Breaks: Step away to refresh your mind.
6. Keep a Journal: Write down ideas regularly.
7. Change Setting: Work in a different environment.
8. Practice Regularly: Engage in creative activities often.
9. Ask “What If?”: Explore alternative possibilities.
10. Collaborate: Work with others to share ideas.

These techniques help enhance and streamline the creative process.