ENTREPRENUER

Ms. Kheanne Cyril Capulong

SHIP
 RELEVANCE OF
ENTREPRENEURSH
IP TO AN
ORGANIZATION
1. Development of Managerial
• This means that one of the benefits an entrepreneur gets is to
Capabilities
develop his managerial skills.

2. Creation of Organizations
• which means that because of entrepreneurship many
organizations will exist.
3. Improving Standard of Living
• This means that entrepreneurship can lift up the economic status
of an individual.

4. Means of Economic Development

• this means that not only the life of the entrepreneur is improved
but also the society where the business is located.
 Concept of Entrepreneurship

• The word “entrepreneur” was derived from the French verb enterprendre,
which means “to undertake.” This is pinpointing to those who “undertake”
the risk of enterprise. The enterprise is created by an entrepreneur and the
process is called “Entrepreneurship.”

• Entrepreneurs are innovators. They are willing to take the risks

and generate unique ideas that can provide profitable solutions to
the needs of the market and the society.
Factors Affecting Entrepreneurship
1. Personality Factors which include:
a. Initiative - doing things even before being told.
b. Proactive - which means he can classify opportunities
and seize it.
c. Problem Solver - which means he can retain good relations
with other people.
d. Perseverance - meaning he will pursue things to get done
regardless of challenges.
Factors Affecting Entrepreneurship
1. Personality Factors which include:
e. Persuasion - means that he can entice people to buy even if
they don’t want to.
f. A Planner - he makes plans before doing things and does not
fail to monitor it.
g. Risk-taker - which means that he is willing to gamble but he
will calculate it first.
Factors Affecting Entrepreneurship

2. Environmental Factors which include political, climate, legal

system, economic and social conditions and market situations.
Core Competencies in
Entrepreneurship
1. Economic and Dynamic Activity - Entrepreneurship is
an economic activity because it involves the creation
and operation of an enterprise with a view to creating
value or wealth by ensuring optimum utilization of
limited resources.

2. Innovative – The entrepreneur constantly looks for new

ideas, thus he needs to be creative.
Core Competencies in
Entrepreneurship
3. Profit Potential - The entrepreneur can be
compensated by his profit coming from the operation.

4. Risk bearing – The entrepreneur needs to gamble but

wise enough to offset the risk
Development of
Business Plan:
Marketing
 Marketing
• The strategic functions involved in identifying and appealing to
particular groups of consumers, often including activities such as
advertising, branding, pricing, and sales.
• Marketing is based on thinking about the business in terms of
customer needs and their satisfaction.
Marketing
• “Selling concerns itself with the tricks and techniques of getting
people to exchange their cash for your product. It is not
concerned with the values that the exchange is all about. And it
does not, as marketing invariable does, view the entire business
process as consisting of a tightly integrated effort to discover,
create, arouse and satisfy customer needs.”
UNIQUE SELLING PROPOSITION
• “According to Entrepreneur.com, USP is the factor or consideration
presented by the seller as the reason one product or service is
different from and better than that on the competition. A business
can peg its USP on:

• Product characteristics
• Price structure
• Placement strategy
• Promotional strategy
Value proposition
• It is a promise of value to be delivered. A business or marketing
statement that summarizes why a consumer should buy a product
or use a service.

• In a nutshell, value proposition is a clear statement that: explains

your product solves customers’ problems or improves their
situation (relevancy), delivers specific benefits (qualified value),
tells the ideal customer why they should buy from you and not
from the competition (unique differentiation)
Identifying Target Market
• Demographics focuses on the characteristics of the customer.
For example age, gender, income bracket, education, job and
cultural background.

• Gender In identifying your target market, you must also identify

what gender your product/service is targeting? Is it a boy, girl,
transgender, etc.
Identifying Target Market

• Age. You must identify the age range of your target market. What
is the age bracket you are targeting?

• Family size. How many are they in the family? Are you targeting
a market that has one child only? An extended family? Their
capacity to buy your product may also vary from how small or big
their family is.
Identifying Target Market
• Educational background. What is the educational attainment of
your target market? Are they out of school youth, elementary,
high school or college? If they are in college are they educations,
psychologist, business, accountants, etc.

• Income size. What are their income size? Minimum wage

earners? Not less than P15,000 monthly or more? Their income
size is also one big factor to identify if your market can afford your
product. With that information, you will identify how much you will
sell your product based from the categories listed above.
Identifying Target Market
• Geographical location such as continent, country, state,
province, city or rural that the customer group resides

• Place. Where does your target market live? Do they live near our
store? What are the other establishments available near your
target market? Are you accessible enough for your market?

• Population size. What is the population size of the area? What

percentage of the population is your target market? How big or
small is it?
Identifying Target Market
• Psychographics refer to the customer group’s lifestyle or
characteristics of a person. For example, their social class,
lifestyle, personality, opinions, attitudes, values, habits and
interests/hobbies
• Behaviougraphics which is based on customer behavior. For
example, online shoppers, shopping center customers, brand
preference and prior purchases.
Identifying Target Market
• Primary target market. They are your main consuming group.
These consumers are the most important purchasers and users of
your product and will be the main-stay of your business. This
market accounts for the highest volume of sales and are most
likely to buy now.
Identifying Target Market
• Market Size. This is the size of the market you are going after to
determine if it is large enough to make your business profitable. If
the market potential is too small, you may not have a viable
product or service to sell.

Thus, in simpler way market size is:

• The number of buyers in the market x
• Quantity purchased by an average buyer in the market per year x
• Price of an average unit
Identifying Target Market
• Profitability is the ability of a business to earn a profit. Profit is
what is left of the revenue, a business generates after it pays all
expenses directly related to the generation of the revenue, such
as producing a product, and other expenses related to the
conduct of the business activities.
• The noun viability means the quality of being able to happen or
having a reasonable chance of success. The viability of holding
your party at a restaurant might depend on how many guests
they can seat. Viability comes from the Latin root vita, meaning
“life.” So the noun viability also refers to something’s capacity to