01 Week 1 & 2 INTRO TO ENTREPRENEURSHIP.pptx

Entrepmind

1. THE ENTREPRENEURIAL MIND GEENT01X s6o5ybg

2. INTRODUCTION TO ENTREPRENEURSHIP Topic 1 Week 1 and 2

3. TOPIC LEARNING OUTCOMES Define entrepreneurship, explain its nature and origin, and identify characteristics and approaches to entrepreneurship Classify the the 17 United Nations Sustainable Goals Relate Tatang Henry Sy’s 14 Work Life Principles Financial Planning definition; tips and tools for financial planning; financial planning cycle; and its importance .

4. Entrepreneur Social Entrepreneurship Business Entrepreneurship Prestige Risk Barter System Sustainability Risk-taker Privilege Innovation Profit Leader Creativity Power Drone Entrepreneur Innovative Entrepreneur Fabian Entrepreneur Imitating Entrepreneur Social Entrepreneurs UN Sustainability Development Goals      

5. Have you ever dreamed of becoming the next multi-millionaire? It is not chance that gives you millions, instead being a millionaire results from hard work and determination. Starting your own business is a good beginning towards fulfilling your dreams. Entrepreneurship is the way!

6. HISTORY AND EVOLUTION OF ENTREPRENEURSHIP E ntrepreneurship is defined as the process of starting a business . Today, entrepreneurs are romanticized as being the cornerstones of a successful capitalist economy. But where did entrepreneurship begin? Who were the first entrepreneurs? In a global economy dominated by big businesses, what does the future hold for entrepreneurship?

7. HISTORY AND EVOLUTION OF ENTREPRENEURSHIP The Beginning of Entrepreneurship Agricultural Revolution The Expansion of Trade Routes from 2000 BCE Onward The first known trading between humans took place in New Guinea around 17,000 BCE Locals would exchange obsidian (a volcanic glass prized for its use in hunting tools) for other needed goods – like tools, skins, and food. During this period humans started to domesticate plants and animals Villages and towns started developing close to fertile lands. Common areas of specialization: Hunting and gathering , Fishing , Cooking , Tool-making , Shelter-building , Clothes-making Trading salt from Africa across the Roman Empire Trading technologies like Chinese paper-making around the world Trading rice from China across Asia Trading coffee, lemons, and oranges from Arabia into Europe Trading complex ideas like the Arabic number system into Europe (this occurred in the year 1200 thanks to an Italian trader named Leonardo Fibonacci). Trading gunpowder (a combination of carbon, Sulphur, and potassium nitrate) from China to other parts of the world

8. HISTORY AND EVOLUTION OF ENTREPRENEURSHIP Entrepreneurship and the Invention of Money Entrepreneurship and the Beginnings of the Marketplace in the Medieval Period The Unexpected Stifling of Innovation One of the key developments in the history of entrepreneurship (and in human history) was the invention of money. Prior to the invention of money, all entrepreneurship and trade took place through the barter system. The limits of the barter system were known as a “coincidence of wants.” Banking grew to new heights and complexities as small business owners had greater financing needs. The guild system expanded, giving skilled craftsmen and other entrepreneurs a way to organize their business together, regulate the quality of the goods produced, and develop reputations for certain goods in towns across medieval Europe. This period gave rise to some of the world’s most influential technologies, including the windmill, paper mill, mechanical clock, the map, and the printing press, among many others .

9. ENTREPRENEURIAL MYTHS ENTREPRENEURS DON’T HAVE A PERSONAL LIFE REAL ENTREPRENEURS DON’T QUIT BUSINESS PEOPLE DON’T HAVE A BOSS ENTREPRENEURS ARE RICH THE KEY TO SUCCESS IS BELIEVING IN IT ENOUGH ENTREPRENEURS TAKE EXTREME RISKS ENTREPRENEURS THINK ONLY ABOUT MONEY THERE IS NO BUSINESS WITHOUT A UNIQUE IDEA THERE IS A SECRET TO SUCCESS ENTREPRENEURS SHOULD ALWAYS TRUST THEIR GUTS YOU HAVE TO BE YOUNG AND RESTLESS TO BE AN ENTREPRENEUR ENTREPRENEURS ARE BORN, NOT MADE ENTREPRENEURS ARE GAMBLERS ENTPRENEURS ARE INVENTORS

10. PRINCIPLES 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 the enterprise. The enterprise is created by an entrepreneur and the process is called “Entrepreneurship.” Entrepreneurs are innovators. An entrepreneur person who possesses managerial and decision-making skills needed to run a business enterprise. He should be able to identify market opportunities, so that available resources can be utilized efficiently, leading to higher production and profit.

11. Are Entrepreneurs Born or Made? Some people believe that entrepreneurs are born, influenced by their parent’s traits and guidance Others say entrepreneurs are made, as they are shaped by the education and training, they got from different institutions, workshops, seminars, and symposia. But it is also said that business courses taught in schools are not enough. Practical and relevant knowledge, or being “street smart” is also important when venturing into business

12. Entrepreneurial Spirits: Is it in the Genes or Can it be Developed? Some say being an entrepreneur “runs in the blood” There are many stories attributing individuals’ business success to their entrepreneurial roots. Family plays a vital role in everyone’s endeavors. This belief has shaped the passion of many individuals and inspired them to be involved in continuing their families’ legacy

13. Who can become an ENTREPRENEUR? ANYONE can become an entrepreneur. ANYONE who desires progress in one’s personal and family life as well as for the economy can be an entrepreneur Old textbooks have defined businesses as made up of different factors of production: land, labor, and capital. More recently, another factor has been added to the list: ENTREPRENEURSHIP One important role of entrepreneurs is to make decisions on how to effectively and efficiently utilize the factors of production so that the firm can be successful. Armed with proper education and training, entrepreneurs can engage in all types of commercial activities and create commodities that are needed by society.

14. Why should you be an ENTREPRENEUR? PROFIT, POWER, PRESTIGE, AND PRIVILEGE. But before they can achieve all of these, they must undergo a series of trial and error, risks, tons of research, and years of hard work. To get the right formula, an individual who aspires to become an entrepreneur should embrace a willful attitude and develop skillful decision-making The entrepreneurial trait will always be a combination of values, genes, influences, and experiences that shape the core of one’s personality.

15. Henry Sy, Sr. Business tycoon Henry Sy of SM Holdings started out selling shoes on the street. His life story shows that, given the right attitude and business skills, anyone can be a successful businessman

16. TATANG HENRY SY, SR. and his 14 WORK-LIFE PRINCIPLES As I move on in life and work on more dreams, I have realized something – there is no limit to what we can do . - Henry Sy, Sr.

17. TATANG HENRY SY, SR. and his 14 WORK-LIFE PRINCIPLES Tatang Henry Sy, Sr. lived by14 principles that helped him live a fruitful life. These are the principles he passes to the millions of people whose lives are touched by SM Foundation. 1. Strive to be a leader in your chosen field. 2. Be a person of integrity. 3. Have a long-term vision and strategy. 4. Focusing means concentrating and prioritizing. 5. Have great passion to achieve.

18. TATANG HENRY SY, SR. and his 14 WORK-LIFE PRINCIPLES 6. Work Hard 7. Be patient and persevere. 8. Recognize opportunity. 9. Be optimistic. 10. Be confident. 11. Be disciplined. 12. Build your organization. 13. Make it your mission to provide employment. 14. Social responsibility is important.

19. The Entrepreneur’s Alphabet A – Ability to organize resources It is the ability to identify the needed resources in the business or the 6M's - Manpower, Machine, Materials, Money and Moment, Methods B – Boldly takes calculated risks An entrepreneur highlights the difference between entrepreneurship and perceptions of luck and gambling C – Creative and Innovative Creativity - producing something new and generation of different ideas, processes, and customer experiences Innovation - putting into use that new creation and creating something fresh and new out of those new ideas D – Demands quality results entrepreneurs may seem strict but the caliber of the end result really matters to them. aims for perfection E – Excited to Compete Competition energizes entrepreneurs. Entrepreneurs use competition as a venue to showcase their drive and passion for success. war freaks. they use it as a challenge ro improve and enhance commodities they offer to the public F – Finds opportunity in crisis Crisis is the best moment to come up with a new, profitable creation or innovation that responds to emerging needs G – Goal-Oriented Entrepreneurs act to achieve the goal they have set. must know what they want from the beginning, at present and in the future

20. The Entrepreneur’s Alphabet H – Hardworking Not limited by work hours and work locations. Entrepreneurs also work smart. They know how to delegate tasks. They are distinguished by their industriousness and perseverance in achieving goals I – Inquisitive when pursuing improvements It is the ability of an entrepreneur to ensure their creations can evolve and withstand the test of time. He ensures it is high quality by creating thorough researches to determine what works best J – Jack of all Trades An entrepreneur wants to learn as much as possible so they do not have to depend on anyone. want to be in control and at least understand everything. K – Keen Eye for Detail He knows that the devil is in the details. He is passionate about the bigger picture but have a keen understanding of the smaller details L – Legitimate He knows no one is above the law. He knows that a business should be established legally and comply with all the requirements M – Mindful of Changes in the Environment He is open in anything affecting and affected by what is going on in its environment. He remains up to date to the new offers and threats by being connected locally and globally N – Networker He loves networking and connecting with people. He knows that by networking he can maximize opportunities to increase business viability

21. The Entrepreneur’s Alphabet O – Organized and is an organizer He knows what resources are needed in his business and how these could be utilized effectively and efficiently P – Passionate He is determined to breakthrough any obstacle. His spirit cannot be easily dampened Q – Questions the status quo He is never satisfied on what is presently available. Entrepreneurs are change agents or the cause of change. He always steps ahead at everything. R – Resourceful Entrepreneurs always see the glass half full instead of half empty. They find ways to effectively utilize resources they have to achieve desired results S – Success-Oriented They believe that the road to success is always under construction T – Time Conscious Time is their most important resource, so they never waste it. They may often be seen as hyperactive and always in a rush to finish things. Tine is gold. For them maximizing time connotes maximizing profits U – Undivided focus When they work, they work. when they rest, they rest. They do not divert attention away from what they want to do.

22. The Entrepreneur’s Alphabet V – Visionary They know where they are going. They are very good at creating their ideal future. They have predictions of possible outcomes W- Winning Attitude They are born to win. Even if they lose, they are able to bounce back X – X- tremely Smart They are street smart. They are very practical and their decisions and actions are grounded Y – Yearning to Learn He never stops learning. He may not know everything yet but they are capable of learning anything that they need to know. consider life as a continuous learning process. Z – Zealously energetic They have inexhaustible energy at work. Others may feel tired watching entrepreneur. They are always eager, passionate, and intense in business.

23. TYPES OF ENTREPRENEURS Innovative Entrepreneurs – They are aggressive. They are those who always make new things by thinking of new ideas. They have the ability to think newer, better and more economical ideas. Imitating Entrepreneurs – The are also called adoptive entrepreneurs. They are those who do not create new things but only follow the ideas of other entrepreneurs. Fabian Entrepreneurs - They are skeptical about changes to be made in the organization. They do not initiate but follow only after they are satisfied. The Fabian entrepreneur is timid and cautious. He imitates other innovations only if he is certain that failure to do so may damage business. Drone Entrepreneurs - They are those who live on the labor of others. They are die-hard conservatives even ready to suffer the loss of business. His entrepreneurial activity may be restricted to just one or two innovations. The refuse to adopt changes in production even at the risk of reduced returns. Social Entrepreneurs - They are those who initiate changes and drive social innovation and transformation in the various fields such as education, health, human rights, environment and enterprise development.

24. Ten commandments for entrepreneurial success Honing of business skills: Learning has no end. As entrepreneur may know many things but he must go on learning business skills to make him more competitive. Acquiring new technology and processes: Technology today is providing tools that entrepreneurs never had ten years ago. Ingraining shock proofing elements: Entrepreneurs know that there are many uncertainties and critical situations that can destroy their enterprise. Entrepreneurs are tolerant against risks . Understanding and inspiring people : This is not just a communication skill but to take relatively complex issues and make them easy to understand and to inspire people with one’s own vision. It is to inspire people to move in a new direction to attain success soon with all simplicity. Building up strategic relationships: Entrepreneurs may prosper by banking their efforts on such strategic relationships without experiencing a sharp learning curve with full of mistakes. Team building: A combined effort under an able behavior is the precondition for entrepreneurs to achieve their success.

25. Ten commandments for entrepreneurial success 7. Reward sharing: the success of entrepreneur, depends on the efforts of many people. It does not mean sharing rewards only with people who helped him but giving back something within his own venture. 8. Evaluation of opportunities: Entrepreneurial failures are high among new ventures because business ideas neglect to undertake basic research on whether it can create a viable and profitable venture. Therefore, before embarking on a new venture, use of evaluation models to test the worth of any new one is a must. Mere business ideas and passion about them may lead to disaster. 9. Global operations : Some small entrepreneurial stars are thinking lately to join the global market. Catering to international market will ensure growth 10. Infinite learning: Entrepreneurs must be like sponges. They must always be ready to learn and willing to change the direction if there is an alternative. They must recognize that they can learn from the experience of others and never limit themselves to any fruitful exposure.

26. SOCIAL ENTREPRENEURSHIP •Social entrepreneurship is all about recognizing the social problems and achieving a social change by employing entrepreneurial principles, processes and operations. •Social entrepreneurship is the process of recognizing and resourcefully pursuing opportunities to create social value. Social entrepreneurs are innovative, resourceful, and results oriented. They draw upon the best thinking in both the business and nonprofit worlds to develop strategies that maximize their social impact.

27. SOCIAL ENTREPRENEURSHIP •Example social enterprises in the Philippines: Human Nature, Gawad Kalinga, Blue Bamboo Ventures, others

28. 7 STEPS TO BECOMING A SOCIAL ENTREPRENEUR Research the field Write an action plan Write a mission statement Reach out to team members for feedback and support Conceptualize your unique offering Develop your business model Identify initial funding sources

29. 7 STEPS TO BECOMING A SOCIAL ENTREPRENEUR Write a mission statement “Start by deciding precisely who you want to serve and exactly where and how you want to serve them. Be equally clear about the problem you’d like to solve for this demographic through your business service or product. 2. Research the field “Learn more about the social business landscape you want to work in and see who the players are and how they’re changing the world. Don’t reinvent the wheel 3. Conceptualize your unique offering “How can you offer something different than what others are already offering?

30. 7 STEPS TO BECOMING A SOCIAL ENTREPRENEUR 4. Reach out to team members for feedback and support “What we mean by ‘team member’ is not necessarily someone who is going to work with you and for you, either as a business partner or an employee. Rather, it's someone who will be a steadfast supporter of what you’re trying to accomplish through your purpose-driven venture. Someone who is on your team, rooting for you. 5. Develop your business model “A business model is a roadmap for how your enterprise is going to make money. Think about just how far you want your services and/or products to reach. 6. Identify initial funding sources “This is where you’ll want to do your homework to find out where you’ll source seed funding from. 7. Write an action plan “An action plan — not to be confused with a business plan — very specifically lays out the to-do tasks and action items you need to commit to and by when. It will include the exact date you want to launch your social venture and how long it will take you to get there, working backward from that date.

31. 17 UN SUSTAINABLE DEVELOPMENT GOALS GOAL 1: No Poverty - End poverty in all its forms everywhere GOAL 2: Zero Hunger - End hunger, achieve food security and improved nutrition and promote sustainable agriculture GOAL 3: Good Health and Well-being - Ensure healthy lives and promote well-being for all at all ages GOAL 4: Quality Education - Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all GOAL 5: Gender Equality - Achieve gender equality and empower all women and girls GOAL 6: Clean Water and Sanitation - Ensure availability and sustainable management of water and sanitation for all GOAL 7: Affordable and Clean Energy - Ensure access to affordable, reliable, sustainable and modern energy for all GOAL 8: Decent Work and Economic Growth - Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all GOAL 9: Industry, Innovation and Infrastructure - Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation

32. 17 UN SUSTAINABLE DEVELOPMENT GOALS GOAL 10: Reduced Inequality - Reduce inequality within and among countries GOAL 11: Sustainable Cities and Communities - Make cities and human settlements inclusive, safe, resilient and sustainable GOAL 12: Responsible Consumption and Production - Ensure sustainable consumption and production patterns GOAL 13: Climate Action - Take urgent action to combat climate change and its impacts GOAL 14: Life Below Water - Conserve and sustainably use the oceans, seas and marine resources for sustainable development GOAL 15: Life on Land - Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss GOAL 16: Peace and Justice Strong Institutions - Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels GOAL 17: Partnerships to achieve the Goal - Strengthen the means of implementation and revitalize the global partnership for sustainable development

33. FINANCIAL PLANNING Financial planning is the process of setting, planning, achieving and reviewing your life goals through the proper management of your finances. It is an important life skill to help you plan for your future and take better control of your financial goals by helping you to set realistic plans, evaluate alternatives, and take effective measures.

34. FINANCIAL PLANNING PROCESS

35. FINANCIAL PLANNING PROCESS Assess your Financial situation - A good first step when developing your financial plan is to assess your financial situation. With a clear understanding of your current financial situation, you can decide where you should start from, and what you need to achieve your financial goals. Create a Budget - Track the ins and outs of your money to understand your money habits and take control of your spending and savings. Prioritise your needs and wants and look for any unnecessary expenses you can cut to save money. Also refrain from overspending especially impulse buying by credit card. Set your Financial Goals - Based on a sound understanding of your financial situation, you may be able to identify your short-, medium- and long-term financial goals. 4. Know your risk tolerance - An important part of your financial planning is to evaluate your tolerance for risks. Risk is the potential threat that may impact the expected outcome of your investments. 5. Work out and implement a basic financial plan 6. Regularly review and adjust your financial plan

36. What is a budget? Budgeting is telling your money where to go instead of wondering where it went. Dave Ramsey Budgeting is a process of an estimation of revenue and expenses over a specified future period of time

37. How to budget?

38. Why is there need to budget?

39. Some Budgeting Techniques