NSHM - BBA

ENTREPRENEURSHI
P
 A QUOTE
“….These are the reasons why
businesses are getting started in 2023.
29% of entrepreneurs say they wanted
to be their own boss, 17% were
dissatisfied with corporate life, 16%
wanted to pursue their passion, and
12% say the opportunity presented
itself.
Entrepreneurship in India has witnessed
a remarkable surge over the past few
decades. With a burgeoning economy
and a dynamic ecosystem, the country
has produced a plethora of successful
 MODULE 1

INTRODUCTION TO
ENREPRENEURSHIP
 Entrepreneur

 An entrepreneur is an individual who

undertakes the risk associated with
creating, organizing, and owning a business.
 An entrepreneur could be defined as person
who invests his resources ( which not only
include his money, land and other inanimate
objects but also himself ) in an enterprise
which he controls and tries to make a
monetary profit which shows whether he has
been successful or not .
 Entrepreneurs play a key role in any
economy.
 Entrepreneurship

 Entrepreneurship is
the process of
identifying,
creating, and
pursuing business
opportunities to
establish and
manage a new
venture or expand
existing ones.
 Traits of Entrepreneur

There is no one definitive profile.

Successful entrepreneurs come in
various ages, income levels, gender, and
race.
They differ in education and
experience.
 But research indicates that most
successful entrepreneurs share certain
personal attributes, including :
 Traits of Entrepreneur

 Creativity,
 Adaptability,
 Persistence,
 Risk-taking,
 Leadership,
 Passion,
 Self-confidence, and
 Problem-solving skills.
 Entrepreneur vs. Manager

Parameters Entrepreneur Manager

Roles & An entrepreneur is A manager is responsible for
Responsibiliti responsible for starting overseeing and directing the
es and running a business. activities of a team within an
organization.
Approach to An entrepreneur is A manager is typically more
Risk typically willing to take on focused on mitigating risk and
a higher level of risk in ensuring the stability and
order to achieve growth efficiency of the team they are
and success for their responsible for.
business.
Level of Entrepreneur has ultimate A manager, on the other hand,
Control control over their may have some level of
business, as they are the decision-making authority
owner and decision-maker. within their team, but they do
not have the same level of
control as the entrepreneur.
Goals & An entrepreneur is often A manager is typically more
Strategy more focused on long- focused on day-to-day
term goals and strategy. operations and ensuring that
the team they are responsible
for is meeting short-term
goals and objectives.
 Entrepreneur vs. Intrapreneur

An Entrepreneur
is an individual with an exclusive idea to
initiate something new and they have the
enthusiasm of bringing a change in the world.
 is a highly motivated and creative individual
who is willing to take risks and face
unpredictable situations arising in this dynamic
world.
Businesses that are initiated by
entrepreneurs are known as Startups.
Entrepreneurs have a creative approach and
they are majorly known for their creativeness.
 Entrepreneur vs. Intrapreneur

 An Intrapreneur
 is a person who works at a company/business
that someone else founded.
is a person who works with his entrepreneurial
skills at a previously established company.
 His/her input in the company is that they
embrace innovation, such as expanding the
innovation by introducing new products, etc.
They embrace innovation to expand the
company and help it grow.
ENTREPRENEURSHIP
PROCESS
 Timmons model of Entrepreneurship
 According to the Timmons Model of
Entrepreneurship, the three critical factors
of a successful venture are opportunities,
teams, and resources.
The successful entrepreneur is one that can
balance these critical factors.
 Jeffery Timmons of Babson College in
Massachusetts developed the Timmons
Model of Entrepreneurship as his doctorate
thesis at Harvard University.
 Further research and case studies have
since then enhanced this model as a guide
for entrepreneurs to increase their chances
of success.
 Timmons model of Entrepreneurship
(contd.)

 Unlike conventional entrepreneurship

models that start with a business plan and
identify an opportunity, the Timmons model
starts with a market opportunity.
The business plan and the financing receive
secondary importance, and come only after
identification of a viable opportunity.
The model holds that a sound business
opportunity would readily receive financing,
and identification of the opportunity first
makes the business plan failure-proof.
Steps in the Entrepreneurial decisional Process

1. Discovery
2. Concept
Development
3. Resourcing
4. Actualization
5. Harvesting
 Steps in the Entrepreneurial Process

1. Discovery: The stage in which

the entrepreneur generates
ideas, recognizes
opportunities, and studies the
market.
Innovation

Opportunity
 Discovery

Consider consumer
Consider your needs and wants
hobbies or skills

Conduct Surveys and

questionnaires – test Study
the market demographics
 Steps in the Entrepreneurial Process
(contd.)

2. Concept Development:
• Develop a business plan: a
detailed proposal
describing the business
idea.

Code of
ethics
Mission Executive
Statement summary
 Concept Development

– Choose business location

– Will a patent or trademark be
required?
Steps in the Entrepreneurial Process
(contd.)

3. Resourcing: The stage in which the

entrepreneur identifies and
acquires the financial, human, and
capital resources needed for the
venture startup, etc.

Start-up
 Resourcing
Apply for loans,
grants and
assistance

Identify potential
investors

Hire
employees
Steps in the Entrepreneurial Process
(contd.)

4. Actualization: The stage in which the

4.
entrepreneur operates the business and
utilizes resources to achieve its
goals/objectives.

Grand Opening

Day-to-Day Operations
Steps in the Entrepreneurial Process
(contd.)

5. Harvesting: The stage in which the

entrepreneur decides on venture’s future
growth, development, or demise.

What is your 5-year or 10-year plan?

Consider adding locations or providing

different products/services

Will you go public?

BUSINESS PLAN
 Critical Components of Business plan

A business plan is an essential roadmap for

business success.
This living document generally projects 3-5
years ahead and outlines the route a
company intends to take to grow revenues.
The key components of Business plan re :

•Executive Summary
Your executive summary is a snapshot of
your business plan as a whole and touches
on your company profile and goals.
Critical Components of Business plan (contd.)

• Company description
Your company description provides information on
what you do, what differentiates your business
from others, and the markets your business serves.
• Service or Product line
What do you sell? How does it benefit your
customers? What is the product lifecycle? Get tips
on how to tell the story about your product or
service.
• Market Analysis
Before launching your business, it is essential for
you to research your business industry, market and
competitors.
Critical Components of Business plan (contd.)

• Competition
How is your target market solving their problem
today? Are there alternatives or substitutes in
the market?
• Marketing & Sales
How do you plan to market your business? What
is your sales strategy?
• Organization & management
Every business is structured differently. Provide
a brief overview of your team and a short
explanation of why you and your team are the
right people to take your idea to market.
Critical Components of Business plan (contd.)

• Funding Request
If you are seeking funding for your business,
find out about the necessary information you
should include in your plan.
Include a short statement indicating how much
money you need to raise to get your business off
the ground.
• Financial Projections
If you need funding, providing financial
projections to back up your request is critical.
Highlight the key aspects of your financial plan,
ideally with a chart that shows your planned
sales, expenses, and profitability.
 Critical Components of Business plan
(contd.)

• Milestones and traction

The last key element of an executive summary
that investors will want to see is the progress that
you’ve made so far and future milestones that you
intend to hit. If you can show that your potential
customers are already interested in—or perhaps
already buying—your product or service, this is
great to highlight.
• Appendix
An appendix is optional, but a useful place to
include information such as resumes, permits and
leases. Find out any additional information you
should include in your appendix.
ROLE OF ENTREPREEURSHIP
IN ECONOMIC
DEVELOPMENT
 Understanding the role of entrepreneurship in
economic development
In today’s fast-paced economy, entrepreneurship
development is necessary to understand economic
growth and professional advancement.
Entrepreneurship development programmes allow
individuals to transform their ideas into successful
businesses.
These programmes incorporate extensive business
planning, marketing strategies, creativity, teamwork
skills, communication, financial management, etc.
Entrepreneurship drives the economic growth of a
country by introducing new services and technologies
that could meet the demands of current markets in
order to generate profits.
Here are some of the key roles of entrepreneurship
in economic development:
 Different Roles
Economic Advancement
• Entrepreneurship plays a crucial role in advancing
economic growth by fostering innovative
technologies.
• It also contributes to a country’s GDP and
promotes self-reliance by reducing the country’s
dependency on imported goods and services.
• Through hard work and dedication, entrepreneurs
control their financial stability and generate
income.

Improving Per Capita Income & Gross National

Product
• Entrepreneurship helps improve the per capita
income of a country by generating new job
opportunities.
• It plays a significant role in increasing Gross
National Product.
 Different Roles

Generating Employment Opportunities

•As more people start their own businesses, they
continue to recruit, generating more employability
opportunities across various sectors.
•Through entrepreneurship, the growth of
employment opportunities advances professional
development.

Improving Living Standards

•Entrepreneurship improves the living standards
of people by introducing innovative services that
enhance daily life and address the requirements
of the community.
• Establishing job opportunities in various sectors
leads to an increase in income and an
enhancement in quality of life. Entrepreneurs are
professionals who contribute to a higher quality of
 Different Roles

Reducing Poverty Rate

•Entrepreneurship plays a major role in
reducing poverty by generating new job
opportunities and fostering economic
inclusion.
•Entrepreneurship has the potential to support
individuals in creating sustainable livelihoods
and lowering poverty rates within the country.

Financial Independence
•Through entrepreneurship, individuals
develop financial independence and learn to
manage their businesses positively.
•By thoroughly understanding critical skills,
entrepreneurs learn to navigate complex
challenges.
ETHICS AND SOCIAL
RESPONSIBILITY OF
ENTREPRENEURS
 Business Ethics

Ethics is the moral obligation involving the

distinction between right and wrong.
As a consequence, the study of Ethics pave the
way for the adoption of the general rules of conduct
in society.
The rules about how entrepreneurs ought to
behave are referred to as business ethics.
The ethical behavior required of entrepreneurs is
determined by the following:
 The public,
Interest groups like society of prevention of
cruelty animals,
Business organizations ;and the individual’s
morals & values.
Laws and Regulations requiring ethical
behaviour

 Product safety and quality.

Fair employment practices.

Fair marketing and selling practices.
The use of confidential information for
personal gain.
Bribery and illegal payments to foreign
governments to obtain business.
 Ethical issues facing entrepreneurs

Between the company and its personnel

and its employees.
Between the company and its business
associates.
Between the company and the investors
and the financial community.
Between the company and customers.
 Relations with customers

Entrepreneurs should provide support for

consumer rights which are as follows:
The right to be safe.
The right to be informed.
The right to choose.
The right to be heard.
 Relations with personnel & employees

Good ethical conduct requires entrepreneurs

to be aware of their responsibilities to
employees, there are the following :
Workplace safety.
Quality of life issues.
Avoid discrimination.
Preventing sexual harassment.
 Social responsibility
Social responsibility of entrepreneurs in India, has
gained significant traction in today's rapidly
changing world, especially among entrepreneurs.
Social responsibility refers to the idea that
businesses should focus on maximizing profits and
contributing to the welfare of society and the
environment.
Social responsibility encompasses the ideas that
individuals and businesses must act in their
environment's and society's best interests.
Social responsibility is commonly called corporate
social responsibility (CSR) in entrepreneurship.
It has emerged as a prominent area of focus
within businesses due to shifting social norms and
growing awareness about the need for sustainable
practices.
 Social Responsibility (SR)
The core principle of
social responsibility for entrepreneurs is to strike a balance
between profitability and benefiting society.
This can be achieved through various means, such as
philanthropy, promoting volunteering, ethical labor
practices, and environmental conservation efforts.
By incorporating these practices into their business
models, entrepreneurs can contribute to the well-being
of society while maintaining profitability.

Examples of Socially Responsible of Entrepreneurs in

India
Anand Mahindra - Chairman, Mahindra Group
Anand Mahindra, the Chairman of Mahindra Group, is
known for his commitment to social responsibility. The
Mahindra Group has implemented several sustainability
initiatives, including renewable energy projects and
waste management programs.
Mahindra has also championed social causes such as
 Benefits of SR of Entrepreneurs
Adopting
social responsibility practices can bring several benefits to entrepr
eneurs
in India. Here are some key advantages:
Enhanced Reputation and Brand Value: Socially
responsible entrepreneurs are often perceived as
trustworthy and ethical, leading to a positive reputation
and increased brand value.
Access to New Market Opportunities: By aligning
business practices with social causes, entrepreneurs
can tap into new market opportunities and attract
socially conscious consumers.
Improved Employee Morale and Productivity: Social
responsibility initiatives create a sense of purpose
among employees, leading to higher morale, increased
productivity, and improved employee satisfaction.
Strengthened Stakeholder Relationships: Socially
responsible entrepreneurs build strong relationships
with stakeholders, including customers, employees,
 OPPORTUNITIES FOR
ENTREPRENEURS IN INDIA &
ABROAD
 Opportunities for Entrepreneurs in India &
Abroad
 In India there are so many opportunities available
for new as well as existed entrepreneurs.
The Indian government initiative “make in India”
providing motivations to entrepreneurs.
India is a developing country, because of that it has
large opportunities for entrepreneurs in the fields of
tourism, energy sector, automobile sectors, textile,
waste management and recycling, health sector,
organic farming, media, toys, packing,
transportation, food products, training and
education, supplier and marketing, etc.
In any of above field the entrepreneur can start up
business.
This research reveals the opportunities available
for entrepreneurs in India at present.
Opportunities for Entrepreneurs in India & Abroad

International business is becoming increasingly

important to more and more entrepreneurs and to
their country's economy.
Simply stated, global entrepreneurship is the
process of an entrepreneur conducting business
activities across national boundaries.
It may consist of exporting, opening a sales office in
another country or something as simple as placing a
classified advertisement in the Paris edition of Herald
Tribune.
 The activities necessary for ascertaining and
satisfying the needs and wants of target consumers
often take place in more than one country.
When an entrepreneur executes his or her business
in more than one country global entrepreneurship
occurs.
 Opportunities for Entrepreneurs in India &
Abroad
An entrepreneur going global has many advantages:

Large markets beyond home country borders.

 Greater motivation in new opportunities.
 Improvements in technologies, quality and
operations.
 Extending life of product cycle.
 Challenges in doing business in a competitive
environment.
 Earning foreign exchange for the organization
and the home country.
 Reputation enhancement.
 Better training to employees and wider vision.
 More investments, diversified products and new
products.
INTELLECTUAL PROPERTY
RIGHTS
 Introduction

 Intellectual Property is a product of thought,

creativity or an idea and every product or
service that we use from morning till evening,
is the result of an innovation.

 Today, their existence is possible because

they are legally protected through the
acquisition of IP rights.

Intellectual Property (IP), in almost every

aspect, may assist the SMEs in their business
development & competitive management
 Introduction

 Every entrepreneur in the industry has a

unique recognition as a trademark or a
brand name, which differentiates his / her
business image from others business
image.
If anybody is using intellectual property
(for example: patent, trademark etc.) that
belongs to others, then it is strongly
advised to him / her either to buy it or
acquire it by licensing, assignment, cross-
licensing etc., so as to avoid any disputes
or expensive litigation issues in the future.
 Intellectual Property and other assets in the
business
The assets in the business may be largely
divided into two classes: tangible assets i.e.
physical assets - including buildings, machinery,
financial assets & infrastructure and intangible
assets - ranging from Intellectual capital (IC)
like creativity, innovation and know-how to
ideas, brands, and designs.
There is no doubt that the physical assets play
very important role in any company to
determine the competitiveness in the business
arena but the intangible assets may play a
bigger role and describe the potential value in
the business.
In order to acquire the IP rights, SMEs may
have following categories of intangible assets:
Intellectual Property and other assets in the
business

• Patents and utility models for

innovative products and processes;
• Copyright and others related rights for
cultural, artistic, literary works as well
as for computer software;
• Trademarks for distinctive signs;
• Industrial Design rights for creative
designs,
including textile designs;
 Intellectual Property and other assets in the
business (contd.)

• Topographies of integrated circuits for

microchips;
• Geographical indication for goods of a
given
quality or reputation attributable to
the geographical origin; and
• Trade secrets for the business secrets
for commercial purpose.