Contents

Concept of Entrepreneur

Traits (Characteristics) of Entrepreneurs

Competencies and Skills of Entrepreneurs

Functions of an Entrepreneur

Myths about Entrepreneurs

Entrepreneur

Entrepreneur

Acts upon

Opportunities

Innovates

Undertakes

RISK

Raises

Capital

Takes

Decisions

Motivated

Welcomes

Change

Plans

Any individual that sees and acts upon an opportunity.

This includes introducing a new product or service,

identifying new markets, or putting a twist on an

existing product, process or service.

Also, includes the raising of capital, taking the risk and

controlling the new venture. Embodies creativity,

aggressiveness, and determination.

By assembling various resources, s/he takes risks and

creates a venture from an idea, hobby, or simply a

dream

Entrepreneur Person who undertakes the ‘risk’ of a new venture

Derived from French words,

Entre meaning ‘between’

Prendre meaning ‘to take’

Originally used to describe people who ‘take on the risk’

between buyers and sellers or who ‘undertake’ a task

such as starting a new venture An entrepreneur assembles and integrates all

the resources needed, the business model,

the strategy, and the risk bearing ability to

transform an invention into a viable business

Definition(s)

An entrepreneur is an agent who

buys factors of production at certain

prices in order to combine them into

a product with a view to selling it at

uncertain prices in future

- Cantillon

An economic agent who units all

means of production – land of one,

the labor of another and the capital

of yet another and thus produces a

product. By selling the product in

the market he pays rent on land,

wages to labor, interest on capital

and what remains is his profit

- J. B. Say

Traits of Entrepreneurs

Traits (Characteristics) of

Entrepreneurs

1. Mental Ability (Intelligence & Creativity)

2. Technical Knowledge

3. Administrative & Organizing Skills

4. Vision & Clarity

5. Business Secrecy

6. Effective Communication

7. Human Relations Ability

8. PR Skills

Traits (Contd.)

TRAITS

High Need Achievement

Risk Taking Propensity

Tolerance for Ambiguity

Innovation

IntuitionInternal Locus

of Control

Low need for Conformity

High need for Independence & Autonomy

Proactive

Entrepreneurial Skills &

Competencies

Entrepreneurial Competencies &

Skills Skills

Technical Skills

•Specific Operation Technology

•Communication

•Interpersonal relations

•Organizational ability

•Coordinating Team members

•Environmental Observation

Business Management

Skills

•Planning

•Formulating Goals

•Decision-making

•Motivating

•Marketing

•Accounting

•Negotiation

Entrepreneurial Skills

•Inner Discipline

•Risk-seeking

•Innovation

•Change-orientation

•Persistency

•Visionary

Entrepreneurial Competencies &

Skills Competencies

Meaning

Ability of an individual to perform a job properly.

Set of defined behaviours that provide a structured guide

enabling the identification, evaluation and development of the

behaviours in individual employees

Combination of knowledge, skills and behaviour used to

improve performance; or the state or quality of being adequately

or well qualified, having the ability to perform a specific role.

For instance, management competency might

include systems thinking and emotional intelligence,

& skills in influence and negotiation.

Entrepreneurial Competencies &

Skills Competencies (Contd.)

As listed by the EDII, Ahmedabad: -

1. Initiative

2. Sees and Acts on Opportunities

3. Persistence

4. Knowing

5. Concern for High Quality of Work

6. Commitment to Work Contract

7. Efficiency Orientation

8. Systematic Planning

9. Problem solving-Observing the symptoms, diagnosing and

curing

10. Self-confidence

Entrepreneurial Competencies &

Skills Competencies (Contd.)

As listed by the EDI (Contd.): -

11. Assertiveness

12. Persuasion

13. Use of Influence Strategies

14. Monitoring

15. Concern for Employee Welfare

Functions of an Entrepreneur

Functions of Entrepreneurs

1. Scouting of entrepreneurial opportunities

2. Generation of business ideas

3. Converting the idea into reality

4. Arranging resources

5. Supply of capital

6. Establishment of enterprise

7. Managing the enterprise

8. Growth and development

Myths about Entrepreneur

Myths About Entrepreneur

Common Myths

Entrepreneurs are born not made

Entrepreneurs are gamblers

Entrepreneurs are motivated primarily

by money

Entrepreneurs should be young

and energetic

Entrepreneurs love the spotlight