Republic of the Philippines

Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

Developing a Business Plan

INTRODUCTION
This Chapter is the introduction to entrepreneurship. Before we proceed to the
lesson, let us define first the entrepreneurship. Three thinkers were central to the
inclusion of entrepreneurs: Joseph Schumpeter, Frank Knight, and Israel Kirzner.
Schumpeter suggested that entrepreneurs—not just companies—were responsible for
the creation of new things in the search of profit. Knight focused on entrepreneurs as
the bearers of uncertainty and believed they were responsible for risk premiums in
financial markets. Kirzner thought of entrepreneurship as a process that led to the
discovery. According to Hisrich, it is the process of creating something new of value
devoting (giving) the necessary time and effort. Those are some definition of
entrepreneurship. And as we go along with the lesson, entrepreneurship will discuss
more.

1
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

On this module, lesson 1 will discuss the characteristics of entrepreneur. On

that part, you will be able to adapt the character of an entrepreneur. In lesson 2, it
will discuss on a propose solution to a problem and the proposed product.
This module is the beginning on how to be an entrepreneur.

Lesson 1: Introduction to Entrepreneurship

Let’s Begin!

This lesson discuss the skills and responsibilities WORDS YOU WILL
of an entrepreneur. To be an entrepreneur, one must ENCOUNTER
know the roles and responsibilities. Not everyone
 INNOVATIVE
become an entrepreneur. Techniques should be  RISK-BEARER
learned. It will also discuss on how to be an innovative  DECISIVE
person. Through innovation, there will be a different  CREATIVE
product that will be invented.

By reading and doing the given exercises after the

lesson, you will understand and learn to be an entrepreneur. You will going to think
differently, not only an ordinary business but something different that is not yet in
the market. This will guide you on how to be a successful entrepreneur.

Learning Targets:

At the end of this lesson, you should be able to:

 explore job opportunities for entrepreneurship as a career;
 apply the role of entrepreneur;
 understand the benefits of being entrepreneur.
2
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

The Lesson

Concept of Entrepreneurship

Various views about an “Entrepreneurship”

 as a risk bearer
 as an organizer
 as an innovator
Entrepreneurship is related to:
 coordination, innovation and performance of the entrepreneur
 a system of creating a new business
 referred to the various activities, done for the establishment and operation of
an enterprise

Definition of Entrepreneurship 3
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

 “Entrepreneuship is the purposeful activity of an individual or a group of

associated individuals, undertaken to initiate, maintain or aggrandize profit by
production or distribution of economic goods and services”
- A.H. Cole
 “Entrepreneurship is based on purposeful and systematic innovation. It included
not only the independent businessman but also company directors and
managers who actually carry but innovative functions”
- Joseph A. Schumpeter
 “Entrepreneurs are people who have the abilities to see and evaluate business
opportunities, together with the necessary resources to take advantage of them,
and to ensure appropriate action to ensure success.”
-International Labour Organization
 “An entrepreneur is a person who starts a new venture, taking the initiative and
risk associated with it and does so by creating something new to provide value
to customer.”
- David Holt
 “Entrepreneurship is the process by which individuals pursue opportunities
without regard to resources they currently control”
- Stevenson & Jarillo
 “Entrepreneurship is the art of turning an idea into a business.”
- Fred Wilson

With those definition, we can say that entrepreneurship is not only a job, but
there is a purpose on how a business will be successful. It is a job wherein there is
an opportunity if a person is creative and innovative.

4
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

Entrepreneurial Traits

 Passion for the business

This passion typically stems from the entrepreneur’s belief that the
business will positively influence people’s lives.
 Product/Customer Focus
An entrepreneur’s keen focus on products and customers typically stems
from the fact that most entrepreneurs are, at heart, craftspeople.
 Execution Intelligence
The ability to fashion a solid business idea into a viable business is a key
characteristics of successful entrepreneurs.

Other Entrepreneurial Traits

 Achievement motivated - referred to as the need for achievement (and
abbreviated n Achievement), is an important determinant of aspiration, effort,
and persistence when an individual expects that his performance will be
evaluated in relation to some standard of excellence.
 Alert to opportunities - paying full attention to things around you and are able
to deal with anything that might happen.
 Creative - relating to or involving the imagination or original ideas, especially in
the production of an artistic work.
 Decisive - settling an issue; producing a definite result
 Energetic - showing or involving great activity or vitality.
 Has a strong work ethic - the principle that hard work is intrinsically virtuous
or worthy of reward.
 Is a networker - An extended group of people with similar interests or concerns
who interact and remain in informal contact for mutual assistance or support.
 Initiative taker - a personal quality that shows a willingness to get things done
and take responsibility.
 Optimistic disposition - hopeful and confident about the future.
5
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

 Persuasive - someone to do or believe something through reasoning or the use

of temptation.
 Responsive to criticism - to listen actively and make a concerted effort not to
be defensive.
 Self-confident and self-starter - understanding that you trust your own
judgment and abilities, and that you value yourself and feel worthy, regardless
of any imperfections or of what others may believe about you.
 Tenacious - tending to keep a firm hold of something; clinging or adhering
closely.
 Tolerant of ambiguity - person to deal with the ill-defined nature of problems
that have creative potential.
 Visionary - thinking about or planning the future with imagination or wisdom.

Business Opportunity

6
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

A business opportunity, in the simplest terms, is a packaged business

investment that allows the buyer to begin a business. (Technically, all franchises are
business opportunities, but not all business opportunities are franchises.) Unlike a
franchise, however, the business opportunity seller typically exercises no control over
the buyer's business operations. In fact, in most business opportunity programs,
there's no continuing relationship between the seller and the buyer after the sale is
made.

Although business opportunities offer less support than franchises, this could
be an advantage for you if you thrive on freedom. Typically, you won't be obligated to
follow the strict specifications and detailed program that franchisees must follow.
With most business opportunities, you would simply buy a set of equipment or
materials, and then you can operate the business any way and under any name you
want. There are no ongoing royalties in most cases, and no trademark rights are sold.

These are the most common types of business opportunity ventures:

Distributorships. A distributorship involves entering into an agreement to offer

and sell the product of another, without being entitled to use the manufacturer's
trade name as part of the agent's trade name. Depending on the agreement, the
distributor many be limited to selling only that company's goods or may have the
freedom to market several different product lines or services from various firms.

Rack Jobbing. This involves selling another company's products through a

distribution system of racks in a variety of stores that are serviced by the rack jobber.
In a typical rack-jobbing business opportunity, the agent or buyer enters into an
agreement with the parent company to market their goods to various stores by means
of strategically-located store racks. Under the agreement, the parent company
obtains a number of locations in which it places racks on a consignment basis. It's
up to the agent to maintain the inventory, move the merchandise around to attract
7
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

the customer, and do the bookkeeping. The agent presents the store manager with a
copy of the inventory control sheet, which indicates how much merchandise was
sold, and then the distributor is paid by the store or location that has the rack, less
the store's commission.

Vending Machine Routes. These are very similar to rack jobbing. The
investment is usually greater for this type of business opportunity venture since the
businessperson must buy the machines as well as the merchandise being sold in
them, but here the situation is reversed in terms of the payment procedure. The
vending machine operator typically pays the location owner a percentage based on
sales. The secret to a route's success is to get locations in high-traffic areas and as
close to one another as possible. If your locations are spread far apart, you waste
time and traveling expenses servicing them, and such expenses can spell the
difference between profit and loss.

Try This!

TRUE or FALSE. Write TRUE if the statement is correct, and write FALSE is the
statement is incorrect.
______1. An entrepreneur is a risk bearer.
______2. An entrepreneur is an organizer.
______3. An entrepreneur is an innovator.
______4. Entrepreneurship is a non-systematic innovation.
______5. Business opportunity is cannot seen by entrepreneur.
______6. An entrepreneur is a person who start a new venture.
______7. Entrepreneurship is the art of turning an idea into business.
______8. Risk-bearing is able to assume the risk involve in the enterprise.
______9. An entrepreneur act as a trigger head to give spark to economics.
_____10. An entrepreneur must prepare to make decisions.

8
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

Do This!

Worksheet 1.1

As an entrepreneur, what are the traits you think you have? Label the image below
and list down at least ten traits.

9
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

Worksheet 1.2

Scrambled Word. Answer and define the following words.

1. vedeecsi - __________________________________________
2. atecrive - __________________________________________
3. citoptimis - ________________________________________
4. isivryona - _________________________________________
5. evisausrep - ________________________________________
6. cantesuio - _________________________________________
7. rowrekten - _________________________________________
8. gernecit - ___________________________________________
9. tomavidet - __________________________________________
10.aitiniveti - ___________________________________________

Keep this in Mind!

There are qualities that entrepreneur must have. Not everyone become an
entrepreneur. If we understand the traits and qualities of an entrepreneur, it will lead
into a successful business. It is also a career the helps the economic development.
Without entrepreneur we do not have economy. As we understand the meaning of
entrepreneurship, we will appreciate the role of entrepreneur.

Entrepreneurs are those persons (business owners) who seek to generate value,
through the creation or expansion of economic activity, by identifying and exploiting
new products, processes or markets. Entrepreneurial activity is the enterprising
human action in pursuit of the generation of value, through the creation or
expansion of economic activity, by identifying and exploiting new products, processes

10
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

or markets. Entrepreneurship is the phenomenon associated with entrepreneurial

activity.

Apply what you have learned!

Figure out that after four years you are entrepreneur and you owned a
business. State in two paragraphs that what kind of entrepreneur you are.

______________________________________________________________________________
____________________________________________________________________________________
____________________________________________________________________________________
____________________________________________________________________________________
_________________________________.
______________________________________________________________________________
____________________________________________________________________________________
____________________________________________________________________________________
____________________________________________________________________________________
_________________________________.

11
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

FINAL PARTS OF THE MODULE:

Self-Check
The final section of the lesson would be a self-check or self-evaluation of the learner to see if
he/she has understood the unit enough to see it working in their own lives. It is also a way of closing out
the unit by reiterating the objectives and seeing whether these were met upon completion of the unit by
the learner. In the skills column, you can state here the competencies the learners’ should have achieved
at the end of the unit.

Check As an Entrepreneur, I can…

Creates a quality service in Entrepreneurship.

Provides marketable product.

Understand the concept of Entrepreneurship.

Reflect
Finding solution to the problem...

Today I have learned that ________________________________________________________.

I find __________________________ the most interesting because ______________________.
I got ____ checks because _______________________________________________________.
I need to improve on _______________________because _____________________________.
I need to practice _________________________ because _____________________________.
I plan to _____________________________________________________________________ .

12
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

References

DUTTAGUPTA, ABHISHEK. (2017, January 5). Introduction to Entrepreneurship. Retrieved from

https://www.slideshare.net/albertramanujan/introduction-to-entrepreneurship-70718160

SAM, JAISLIMMAN. (2009, January 2004). Entrepreneurship Studies. Retieved from

https://www.slideshare.net/jssam_80/chapter-1-on-entrepreneurship-presentation

13
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

ABOUT THE AUTHORS

Shandee V. Abegonia

A Bachelor of Science in Computer Science at Adamson University and presently taken up

Master in Information Technology at Bulacan State University. She also took up 18 units of
education at Bulacan State University and passed the Licensure Examination for Teachers
2006.

She served at Department of Education at Meycauayan National High School 2008. She
handle 4th year students under the subject TLE-ICT. And presently she is now teaching at
Senior High School handled different applied subject such as Media and Information
Literacy, Introduction to Philosophy, Entrepreneurship and Contemporary Arts.

She have her certificate in Trainers Methodology 1 and other certificates in TESDA in NC3
Visual Graphic Design. She have also NC2 in Computer Servicing System and Food and
Beverage Servicing.

14
Shandee V. Abegonia
Teacher III
Meycauayan National High School
 Republic of the Philippines
Department of Education
Region III - - Central Luzon
Schools Division OF CITY OF MEYCAUAYAN
MEYCAUAYAN NATIONAL HIGH SCHOOL
Camalig, city of meycauayan, Bulacan

NAME OF EDITOR:
Provide here your BIONOTE.

15
Shandee V. Abegonia
Teacher III
Meycauayan National High School