Entrepreneurship and Innovation MBA 1 SE

Enrtrepreneur and innovation

1. Entrepreneurship and Innovation By Prof.Komal Apte

2. 1. Introduction to Entrepreneurship and Innovation What is entrepreneurship? (Starting new businesses, taking risks). What is innovation? (Creating new ideas, products, or ways of doing things). Why entrepreneurs and innovation matter for jobs and society. Examples of entrepreneurs (e.g., Elon Musk, local small business owners). The entrepreneurial mindset : Being creative, taking risks, and solving problems.

3. Entrepreneurship :Turning Ideas into Action Entrepreneurship is the process of designing, launching, and managing a new business venture, often in response to identified opportunities. It involves taking on financial risks with the goal of making a profit, but it also encompasses innovation, problem-solving, and creating something new. Essentially, entrepreneurship is the act of turning an idea into a successful and sustainable business. 

4. Combines: Vision- seeing opportunities Action- converting ideas into reality Risk-taking- accepting uncertainty for potential rewards.

5. Key Elements: Starting a New Business Identify Opportunities Organizing Resources Building a product/service from scratch Risk Taking Market uncertainty Financial Commitment Personal Time & reputation

6. Why Entrepreneurs Take Risks Higher rewards potential (profit , market leadership) Competitive advantage through innovation Personal growth & satisfaction Creating jobs & contributing to the economy.

7. Examples Ola: Started with a few cabs , took risk against established taxi market. Nykaa : Entered e-commerce beauty market when dominated by big players. Paper Boat: Took risks of reviving traditional drinks in modern packaging.

8. Innovation: Creating New Ideas, Products , or Ways of D oing Things The process of developing and applying new ideas ,products ,processes , or services that add value or improve existing solutions. Not just invention – it’s making ideas work in the real world

9. Key Aspects Creativity in Action – Turning ideas into practical solutions Novelty – Something new or improved Value Creation – Benefits customers , business ,or society Implementation - Bringing the idea to market successfully (not just thinking , but doing)

10. Why Innovation Matters Keeps businesses competitive Solves customer pain points Opens new market opportunities Drives economic growth

11. Types of Innovation in Entrepreneurship Product Innovation – New or improved goods/services ( Tech, Auto , Consumer goods) Process Innovation – Enhance efficiency reduce cost (automation , streamlining workflows ,) Business Model Innovation – Changing how value is created ,delivered , captured (Spotify) Service Innovation – E nhancing or introducing new service to improve customer experience or met unmet needs. (UBER) Social Innovation – New solutions to social problems

12. Types of Innovation in Business

13. Examples

14. Examples Swiggy Instamart – Speed focused grocery delivery (process innovation) Tesla – Electric cars + over-the-air software updates (product & business model) Paytm – Digital wallet transforming payment habits (business model innovation)

15. Why Entrepreneurs & Innovation Matter for Jobs and Society Impact on Jobs Diverse Work Roles -

16. 2. Impact on Society

17. Examples Entrepreneurs – Ola , Zomato , Nykaa – Job creation in tech , logistics, marketing Innovation – UPI payments financial inclusion & convenience for millions Social Enterprise – SELCO India – affordable solar energy for rural communities

18. Examples of Entrepreneurs Global Examples

19. Indian Examples

20. Local Business Tell me Tell more One More

21. The Entrepreneurial Mindset Being creative . Taking Risks . Solving Problems

22. Definition A way of thinking that enables individuals to identify opportunities , innovate , take calculated risks ,and create value. “Your time is limited, so don’t waste it living someone else’s life. Don’t be trapped by dogma – which is living with the results of other people’s thinking. Don’t let the noise of others’ opinions drown out your inner voice. Most importantly, you should be courageous to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary .” –  Steve Jobs , co-founder of Apple Inc.

23. ….. An entrepreneurial mindset is not only for people starting companies — it’s a way of thinking useful in any career. It means looking at challenges as opportunities and being willing to act, even with uncertainty. Three core qualities define it: Creativity, Risk-taking, and Problem-solving.

24. Key Traits

25. 13 Mind-sets Traits of Successful Entrepreneurs Ability to maintain a positive attitude Openness to anything Being independent Goal-oriented Passion for entrepreneurship Persuasion comes naturally to you

26. Being Self-Motivated You’re creative Learning-oriented Taking ownership of everything that happens Resiliency and tenacity Taking risks and experimenting Not afraid of failure

27. How to develop your Entrepreneurial Mindset Think big Be flexible Keep learning Network Learn when to yes, and when to say no Talk to the experts

28. What are the 3 Cs of the entrepreneurial mindset? The entrepreneurial spirit is defined by three essential qualities: Confidence, Creativity, and Courage . Confidence strengthens your faith in your vision, primarily through challenging periods. Creativity allows for the invention of original solutions and sets you apart from competitors . Courage inspires you to face uncertainty and explore new grounds fearlessly.

29. Too Sum up Fostering an entrepreneurial mindset is essential for driving innovation and bridging the gap between academia and industry. By embracing these six characteristics, you can significantly enhance your contribution to both your institutions and the wider community. Together , these characteristics form a comprehensive framework that not only drives innovation but also ensures that entrepreneurial efforts are impactful and sustainable, benefiting both the academic world and the broader community.

30. Usefull links https://boolkah.com/entrepreneur-mindset / https://www.dcp.edu.gov.on.ca/en/curriculum/business-studies/courses/bem1o/g9-10-intro https://www.21kschool.com/in/blog/entrepreneurial-mindset/ https://snacknation.com/blog/entrepreneurial-mindset/ https://www.geeksforgeeks.org/finance/entrepreneurial-mindset-meaning-benefits-examples-and-challenges/ https://blog.hubspot.com/sales/entrepreneur-mindset https://orpical.com/entrepreneurial-mindset/ https:// drexel.edu/close/news/announcements/2018/May/How%20to%20Develop%20Your%20Entrepreneurial%20Mindset/ https ://www.uiin.org/training/?_ training_themes=entrepreneurship https :// theintactone.com/2018/03/07/mtic-u3-topic-2-types-of-innovation-innovation-strategies-and-models/ https ://www.geeksforgeeks.org/finance/entrepreneurial-mindset-meaning-benefits-examples-and-challenges/

31. 2. Why People Become Entrepreneurs   Psychological reasons: Need to achieve goals (McClelland’s theory). Social reasons: How family, culture, or community inspire entrepreneurship. Examples of motivations: Wanting success, solving problems, or gaining independence. How being different (e.g., outsider status) can spark new ideas . Men and women as entrepreneurs: Similarities and differences

32. Introduction Different theories regarding development of entrepreneurship have been introduced in different time All of which have emphasized the importance of entrepreneurship development. These theories also tries to keep pace with emergence of new entrepreneurs and made the readers thinks how important entrepreneur for social and economic development of a country.

33. …… Innovation Entrepreneurship Theory - Joseph Alois Schumpeter - Entrepreneurs take the stationary economy to the new level of development by adding innovation and creativity by their own. Economic Entrepreneurship Theory - Richard Cantillon - Economy as one of the fields affected by entrepreneurship - Acts both producers and exchange ,demand of people in our economy

34. …… Sociological Entrepreneurship Theory - Max Weber - Talks about the social aspects of Entrepreneurship social aspects like religious beliefs, culture and customs. Psychological Entrepreneurship Theory - David McClelland -The theory emphasizes the internal motivation of entrepreneurs, particularly their need to achieve success and overcome challenge. Implies that entrepreneurs tend to be highly motivated, goal oriented, and strong desire for feedback on their performance.

35. David McClelland’s Theory (1961): Entrepreneurial motivation is driven by three dominant needs: Need Description Entrepreneurial Example Need for Achievement (n-Ach) Desire to set and achieve challenging goals Entrepreneurs constantly set higher goals (e.g., Elon Musk, Byju Raveendran) Need for Power (n-Pow) Desire to influence and lead others Business leaders who build organizations with strong influence Need for Affiliation (n- Aff ) Desire to build relationships and be accepted Social entrepreneurs focusing on community building

36. No Statement Related Need 1 I enjoy setting and achieving difficult goals. 2 I prefer to take charge of group decisions. 3 I like working with others and maintaining harmony in a group. 4 I take calculated risks to reach my goals. 5 I feel motivated when others follow my ideas or advice. 6 I value recognition and appreciation from my peers. 7 I constantly look for new challenges to test my abilities. 8 I feel comfortable making decisions that affect others. 9 I enjoy being part of a supportive and friendly team. 10 I like to evaluate my success by comparing it with clear performance standards.

37. Rate each statement from 1–5 : (1 = Strongly Disagree, 2 = Disagree, 3 = Neutral, 4 = Agree, 5 = Strongly Agree) No Statement Related Need 1 I enjoy setting and achieving difficult goals. Achievement 2 I prefer to take charge of group decisions. Power 3 I like working with others and maintaining harmony in a group. Affiliation 4 I take calculated risks to reach my goals. Achievement 5 I feel motivated when others follow my ideas or advice. Power 6 I value recognition and appreciation from my peers. Affiliation 7 I constantly look for new challenges to test my abilities. Achievement 8 I feel comfortable making decisions that affect others. Power 9 I enjoy being part of a supportive and friendly team. Affiliation 10 I like to evaluate my success by comparing it with clear performance standards. Achievement

38. Social reasons of becoming entrepreneur Family Culture Community

39. Family gives role models & resources . Reliance Group – Dhirubhai Ambani’s vision carried forward by his sons. Culture shapes mindset & encourages business . (Gujarati, Marwari, Sindhi) Community creates problems to solve & provides support . Dr. Verghese Kurien ( Amul ) – Inspired by farmers’ struggles, built India’s White Revolution. Together, these social factors inspire entrepreneurship.

40. Family Nithin & Nikhil Kamath ( Zerodha ) – Brothers who started trading from home and built India’s biggest discount brokerage.

41. Families in business often pass down entrepreneurial values. Children observe business practices early, gain confidence. Family support (finance, guidance, networks) makes risk-taking easier. Example: Reliance Group – Dhirubhai Ambani’s vision carried forward by his sons.

42. Culture Jewish diaspora businesses – Strong cultural networks worldwide that foster entrepreneurship. Gujarati Patel motel owners in the US – Community culture shaping entrepreneurship abroad.

43. Certain communities (Gujarati, Marwari, Sindhi) strongly value trade and enterprise. Culture shapes attitudes: job security vs. business independence. Entrepreneurship often seen as a status symbol in such cultures. Example: Many Indian startups have roots in culturally business-oriented families

44. Community Arunachalam Muruganantham (“ Padman ”) – Started low-cost sanitary pad machines after seeing the problem in his village. Bunker Roy – Barefoot College – Empowering rural communities with solar engineering.

45. Entrepreneurs arise to solve local/community problems. Community support provides motivation and first customers. Can lead to social entrepreneurship (impact-driven businesses). Example: Dr. Verghese Kurien ( Amul ) – Inspired by farmers’ struggles, built India’s White Revolution.

46. Influences Family : Entrepreneurial parents = early exposure, risk comfort . Family gives role models & resources . Culture: Business-oriented communities (Marwari, Gujarati, Sindhi ). Culture shapes mindset & encourages business . Community: Solving local problems becomes a motivator (e.g., SELCO, Rang De ). Community creates problems to solve & provides support.

47. Being Different: Outsider Advantage Sometimes , not fitting in drives creativity and innovation. Examples: Steve Jobs (adopted, outsider to formal education) → revolutionary thinker. Howard Schultz (Starbucks CEO) → grew up poor, wanted inclusive workplaces. Arunachalam Muruganantham (“ Padman ”) → challenged taboos and built a social enterprise.