Business Management

BUMA 1A 2012LU 3

Learning Objectives

0Define Entrepreneurship0List and Describe the characteristics of an

entrepreneur0 Identify the different types of entrepreneur

What is entrepreneurship?

0YOU are the owner/manager“ a person who creates a new business in the face of risk and uncertainty for the purpose of achieving profit and growth by identifying opportunities and assembling the

necessary resources to capitalise on those opportunities”

0 Innovator, developer, recognise and seize opportunities, assumes the risks involved

0Creating, building, expanding a sustainable venture

Characteristics of an Entrepreneur

0The need to achieve0Need for autonomy- independence0 Internal locus of control- steer their own destiny0Calculated risk taking0Self-efficacy- ability to start and complete an activity

Entrepreneurs are also:

0 Creative- ideas, new new new0 Innovative, putting those ideas into development0 Committed and determined0 Able to deal with risk and uncertainty0 Opportunity orientated0 Determined and motivated to excel0 Self-confident0 Visionary minded0 Superior in conceptual ability0 Able to inspire others

Myths regarding entrepreneurs

1. Entrepreneurs are born not made2. Entrepreneurs are doers and not thinkers3. Entrepreneurs are gamblers4. Are un-academic and social nonconformists5. Depend on luck6. Unstructured and chaotic7. Starting a business is risky and often ends in failure 8. Money is the most important start-up ingredient9. Entrepreneurs fit a specific profile

Types of Entrepreneurs

0Corporate entrepreneurs- work in an existing business 0Technopreneurs- combined techno and

entrepreneurial skills0Copreneurs- couples, Melissa’s0Corporate cast-offs and drop outs- retrenched or resign0Social entrepreneurs- develop and benefit the

community0Women entrepreneurs- women