Unit 2Enterprise and Entrepreneurs

Objectives of this unit What is Enterprise? Characteristics of Entrepreneurs Intrapreneurs Enterprise Skills Planning SWOT Analysis Enterprise in Action Why become an Entrepreneur? The Role of the Entrepreneur

What is Enterprise? Enterprise involves

people using their initiative to come up with ideas that they can turn into a business.

When they take the risk to set up the business, they become an entrepreneur.

EntrepreneurThe role of the entrepreneur is to: Satisfy customer needs Implement the plan Source resources Create a plan Generate an idea

Class Task

Obtaining finance Risk Business understanding Business knowledge Having good ideas Determination Having lots of money Knowing what limited

liability is

Enthusiasm Energy Drive Spotting a niche

market Leadership Having a good

education Having a totally

original idea

Divide a page into two and head each section ‘Important things for an entrepreneur’ and ‘not

essential for an entrepreneur’. Stick the below words into the section you think

is the most appropriate.

Characteristics of Entrepreneurs

Confident: › Being self-reliant

Leader: › Giving direction

Flexible: › The ability to adapt to change

Realistic: › Having a vision that is attainable; but dream

big. Risk taker:

› Taking reasonable chances

Characteristics of Entrepreneurs

Decisive: › Choosing a course of action

Communicator: › Passing a message on effectively

Energetic: › Taking action

Creative: › New ways to solve problems

Personality Types

Class Task Make a list of the reasons why you

think that a person might want to start up their own business.

Once you have made your list, put the reasons in an order of priority - the most important reason first down to the least important reason.

How many of the reasons on this list match with yours?

Skills of Entrepreneurs Inner control:

› Enterprising people take control of their own destiny. They believe fully in the project they are undertaking and will be determined to follow it through to its conclusion.

Planning:› Enterprising people must be good

planners. They will be prepared to set short and long-term goals and to devise strategies to achieve those goals.

Skills of Entrepreneurs Innovation:

› Enterprising people are innovative and are always looking out for new and better ways of doing things.

Decision making:› Enterprising people must be prepared to

make decisions. They must be able to look at a situation with an open mind and listen to and consult with others before choosing a definite course of action.

Skills of Entrepreneurs Prioritising:

› Enterprising people must be able to look at every situation on its merits and importance and be able to allocate their time and efforts to the most important task.

Managing people:› Enterprising people must be able to

communicate and interact effectively with others. They must be able to relate well to others and be able to carry them along with them.

Skills of Entrepreneurs Timing:

› Enterprising people must have good time management skills. This means being able to take the appropriate action at the right time as well as making the best use of the time available.

Stress management:› Enterprising people must be able to cope

well under pressure and be a calming influence in stressful situations.

Class Assignment Research an Irish or International Entrepreneur you

admire. Profile his/her career in 400 words Include information such as:

› What was the problem or opportunity that allowed the entrepreneur develop their idea

› Their motivation for the establishment of the business.› Challenges facing their business› Personal characteristics and drive.› Secret of their success.› Plans for the future.

Due Thursday 27th Oct

Intrapreneur An intrepreneur is an employee

working within a business who shows enterprise. He/she uses his/her initiative and thinks of a new idea to help the business they work in.

Problems facing Entrepreneurs

Ireland is one of the most open trading economies in the world with 140% of GNP traded.

There is too strong a reliance on the home and UK market. Over 80% of indigenous manufacturing output is sold on the home or UK market.

There is weak investment in Research and Development and innovation.

There is still high levels of bureaucracy and form filling to be complied with.

In some quarters, entrepreneurs are viewed as ‘chancers’ and not being honest.

Problems facing Entrepreneurs

The Irish are wary of change and venturing into the unknown. There is little tolerance of failures which can hamper further efforts at start up.

In the case of service companies, taxation levels would be considered excessive.

In the past our education system encouraged their students towards the secure job. As this concept exists no longer, there is a need to encourage people to become self sufficient.

Enterprise in IrelandIn 2007: 18,740 new businesses started in Ireland 1 in 10 adults owned or ran their own business. There were 260,000 small businesses in Ireland in

2007, compared to 160,000 ten years previous. Ireland ranked No.1 in Europe in terms of ‘cultural

perception of entrepreneurship’. Ireland was best in terms of Government support for

new and expanding firms. In Ireland, new business activity is highly

concentrated in Dublin and a couple of major cities and large towns.

Enterprise and lifeIndividuals: Learning a new skill Forming a band Organising an outing or party Taking a course to improve career

prospects Joining a club to meet new people

Enterprise and lifeFamilies: Decorating, altering or extending the

family home. Organising a get-together for the

extended family. Building a tree-house together. Organising family holidays.

Enterprise and lifeCommunities: Setting up clubs to suit different groups

of people. Organising meals-on-wheels. Setting up a job centre or community

centre. Organising a community clean-up.

Enterprise and lifeCity or County Councils: Building children’s playgrounds,

swimming pools and skateparks. Urban renewal projects. Improving roads. Building houses. Creating parks.

Enterprise and lifeGovernment: Building roads, schools, hospitals. Setting up the International Financial

Services Centre. National Development Plan. Nanoscience Centre in TCD. Wave power projects in Mayo and

Galway.

Enterprise and lifeInternational: International agreements on trade, the

environment, climate change, human rights.

The formation and development of the EU.

The international Space Station. The Large Hadron Collider in Geneva.

Investors and Entrepreneurs

Case Study

Investors and Entrepreneurs

Case Study With reference to the video, what

entrepreneurial characteristics were evident from the two founders?

Identify and comment on the relationship that exists between:› Investor and entrepreneur.› Entrepreneur and customer.

What skills are required by the entrepreneurs to remain successful into the future.