BUS 185: BUS 185: Small Business Small Business Management Management

the foundations of the foundations of entrepreneurshipentrepreneurship

The World of the The World of the EntrepreneurEntrepreneur

Definition of EntrepreneurDefinition of Entrepreneur

……one who creates a new business in the one who creates a new business in the face of risk and uncertainty for the face of risk and uncertainty for the purpose of achieving profit and growth by purpose of achieving profit and growth by identifying significant opportunities and identifying significant opportunities and assembling the necessary resources to assembling the necessary resources to capitalize on them…capitalize on them…

Profile of an EntrepreneurProfile of an Entrepreneur

Desire for responsibilityDesire for responsibility Preference for moderate riskPreference for moderate risk Confidence in ability to Confidence in ability to

succeedsucceed Desire for immediate feedbackDesire for immediate feedback High level of energyHigh level of energy Future orientationFuture orientation Skill at organizingSkill at organizing Value of achievement over Value of achievement over

moneymoney

Characteristics of an Characteristics of an EntrepreneurEntrepreneur

High degree of High degree of

commitmentcommitment Tolerance for Tolerance for

ambiguityambiguity FlexibilityFlexibility TenacityTenacity

Benefits of Benefits of EntrepreneurshipEntrepreneurship

Opportunity to:Opportunity to: Create Your Own DestinyCreate Your Own Destiny Make a DifferenceMake a Difference Reach Your Full PotentialReach Your Full Potential Reap Impressive ProfitsReap Impressive Profits Contribute to Society & Be Contribute to Society & Be

Recognized for Your EffortsRecognized for Your Efforts Do What You Enjoy and Have Fun at itDo What You Enjoy and Have Fun at it

Drawbacks of Drawbacks of EntrepreneurshipEntrepreneurship

Uncertainty of IncomeUncertainty of Income Risk of Losing Your Entire InvestmentRisk of Losing Your Entire Investment Long Hours and Hard WorkLong Hours and Hard Work Lower Quality of Life until the Lower Quality of Life until the

Business is EstablishedBusiness is Established High Levels of StressHigh Levels of Stress Complete ResponsibilityComplete Responsibility DiscouragementDiscouragement

Factors that Feed the Factors that Feed the Entrepreneurial Fire Entrepreneurial Fire

Entrepreneurs as HeroesEntrepreneurs as Heroes Entrepreneurial EducationEntrepreneurial Education Demographic and Economic Demographic and Economic

FactorsFactors Shift to a Service EconomyShift to a Service Economy Technological AdvancesTechnological Advances Independent LifestyleIndependent Lifestyle E-Commerce and the E-Commerce and the

World Wide WebWorld Wide Web International OpportunitiesInternational Opportunities

Cultural Diversity of Cultural Diversity of EntrepreneurshipEntrepreneurship

YouthYouth WomenWomen MinorityMinority ImmigrantImmigrant Part-timePart-time Home-BasedHome-Based Family-ownedFamily-owned CopreneursCopreneurs Corporate CastoffsCorporate Castoffs Corporate DropoutsCorporate Dropouts Social EntrepreneursSocial Entrepreneurs

How to Transform an Idea How to Transform an Idea into Realityinto Reality

Step 1: Put your vision Step 1: Put your vision down on paperdown on paper

Step 2: Test it to see if it Step 2: Test it to see if it really is a good ideareally is a good idea

Step 3: Decide how Step 3: Decide how serious you are about serious you are about pursuing your idea and pursuing your idea and turning it into a business turning it into a business venture venture

10 Deadly Mistakes of 10 Deadly Mistakes of EntrepreneurshipEntrepreneurship

ManagementManagement Lack of ExperienceLack of Experience Poor financial controlPoor financial control Weak marketing effortsWeak marketing efforts Failure to develop a strategic Failure to develop a strategic

planplan Uncontrolled growthUncontrolled growth Poor locationPoor location Improper inventory controlImproper inventory control Incorrect pricingIncorrect pricing Inability to make the transitionInability to make the transition

Putting Failure Into Putting Failure Into PerspectivePerspective

If at first you don’t succeed, try, try If at first you don’t succeed, try, try again!again!

How to Avoid the PitfallsHow to Avoid the Pitfalls Know Your Know Your

Business in DepthBusiness in Depth Develop a Solid Develop a Solid

Business PlanBusiness Plan Manage Financial Manage Financial

ResourcesResources Understand Understand

Financial Financial StatementsStatements

Learn to Manage Learn to Manage People EffectivelyPeople Effectively

Keep in Tune with Keep in Tune with YourselfYourself