ENTREPRENEUR Core Competencies in Entrepreneurship

Relevance of Entrepreneurship to an Organization 1. Economic and dynamic activity - Entrepreneurship is

1. Development of Managerial capabilities - this means an economic activity because it involves the creation
that one of the benefits an entrepreneur gets is to and operation of an enterprise with a view to creating
develop his managerial skills. value or wealth by ensuring optimum utilization of
2. Creation of Organizations - which means that limited resources.
because of entrepreneurships many organizations will 2. Innovative - Entrepreneurs constantly look for new
exist. ideas, thus he needs to be creative.
3. Improving standard of living - this means that 3. Profit Potential - The entrepreneur can be
entrepreneurship can lift up the economic status of an compensated by his profit coming from the operation.
individual. 4. Risk bearing – The entrepreneur needs to gamble but
4. Means of economic development - this means that wise enough to offset the risk.
not only the life of the entrepreneur is improved but
also the society where the business is located. Types of Entrepreneurs
Concept of Entrepreneurship 1. Innovative entrepreneur - They are those who
The word “entrepreneur” was derived from the French always make new things by thinking of new ideas. They
verb enterprendre, have the ability to think newer, better and more
which means “to undertake.” This is pinpointing to economical ideas.
those who “undertake” the risk of enterprise. The 2. Imitating entrepreneurs - They are those who don’t
enterprise is created by an entrepreneur and the create new things but only follow the ideas of other
process is called “Entrepreneurship.” entrepreneurs.
Entrepreneurs are innovators, willing to take risks and 3. Fabian entrepreneurs - They are skeptical about
generate new ideas to make it unique and profitable changes to be made in the organization. They don’t
solutions to the present-day problems. initiate but follow only after they are satisfied.
4. Drone entrepreneur - They are those who lives on
Factors Affecting Entrepreneurship the labor of others. They are die-hard conservatives
1. Personality Factors which includes: even ready to suffer the loss of business.
a. Initiative- which means doing things even before 5. Social entrepreneurs - They are those who initiate
being told. changes and drive social innovation and transformation
b. Proactive -which means he can classify opportunities in the various fields such as education, health, human
and seize it. rights, environment and enterprise development.
c. Problem Solver - which means he can retain good
relations with other people. Career Opportunities of Entrepreneurship
d. Perseverance - meaning he will pursue things to get 1. Business Consultant - with the expertise of in the
done regardless of challenges. field of entrepreneurship, he can be a very good source
e. Persuasion-means that he can entice people to buy of advices to other entrepreneurs and would be
even if they don’t. business man.
f. A Planner - meaning he makes plan before doing 2. Teacher - a graduate of an entrepreneurship can use
things and do not fail to monitor it. his knowledge in teaching.
g. Risk-taker - which means that he is willing to gamble 3. Researcher - the entrepreneur can be employed as
but he will calculate it first. researcher by an enterprise.
4. Sales - the entrepreneurship graduate can apply as
2. Environmental Factors which include political, salesman.
climate, legal system, economic and social conditions 5. Business Reporter - the entrepreneur being expert in
and market situations. the field, he can be
employed as business reporter.
Common Competencies in Entrepreneurship
1. Decisive-an entrepreneur must be firm in making Entrepreneurship
decisions. This is an act of creating a business or businesses while
2. Communicator - an entrepreneur must have a building and scaling it to generate a profit.
convincing power.
3. Leader - an entrepreneur must have the charisma to An entrepreneur is...
be obeyed by his A person who sets up a business with the aim of making
employees. a profit and
4. Opportunity seeker - an entrepreneur must have the creating a new business, bearing most of the risks and
ability to be the first to enjoying most of the rewards. An innovator, a source of
see business chances. new ideas, goods, services, and business/or
5. Proactive - controlling a situation by making things to procedures.
happen or by preparing
for possible future problems. Entrepreneurship -
6. Risk Taker - they have the courage to pursue their Entrepreneurship is an act of being an entrepreneur,
business ideas. or "the owner or manager of a business enterprise who,
7. Innovative - the entrepreneurs have big business by risk and initiative, attempts to make profits.
ideas and they do not stop
improving and thinking of new worthwhile ideas for Entrepreneur-a person who organizes and manages any
their business. enterprise, especially a business, usually with
considerable initiative and risk. Innovation- can refer to
something new or to a change made to an existing
product, idea, or field.
 A. Target Market
Market- refers to the group of people/ consumers and Market Targeting is a sage in market identification
organizations willing and has interest to buy goods. process that aims to determine the buyers with
Customer-It refers to the group of people/ consumers common needs and characteristics. Prospect customers
and organizations willing and has interest to buy goods. are market segment that entrepreneurial venture
Opportunities-Is a packaged business investment that intends to serve.
allows the buyer to begin a business. (Technically, all
franchises are business opportunities, but not all Commonly used methods for segmenting the market
business opportunities are franchises. are follows.
1. Geographic segmentation – the total market is
A potential market divided according to geographical location.
is the part of the market you can capture in the future.  Variables to consider:
It includes the demographic groups that are not a. Climate
currently your customers but could become customers b. Dominant ethnic group
in the future (Lake, L, 2019). c. Culture
D. Density (either rural or urban)
Potential market-Is the part of the total population that
has shown some level of interest in buying a particular 2. Demographic Segmentation–divided based
product or service. Potential market is also called Total consumers.
addressable market (TAM) (MBA Skool Team, 2018).  Variables to consider:
a. Gender
Available Market-Are prospects who are willing and b. Age
capable (have sufficient resources) buyers, and have c. Income
access to a particular market or service. d. Occupation
e. Education
Target Market- This refers to a group of potential f. Religion
customers to whom a company wants to sell its g. Ethnic group
products and services. Target markets are generally h. Family size
categorized by age, location, income, and lifestyle
(Kenton, W., 2019). 3. Psychological Segmentation- divided in terms for
customers think and believe.
Penetrated Market-Is a set of customers or clients who  Variables to consider:
are already using a particular product or service. a. Needs and wants
b. Attitudes
Need-Is a motivating force that compels action for its c. Social class
satisfaction. Needs range from basic survival needs d. Personality traits
(common to all human beings) satisfied by necessities, e. Knowledge and awareness
to cultural, intellectual, and social needs (varying from f. Brand concept
place to place and age group to age group) satisfied by g. Lifestyle
necessaries.
4. Behavioral Segmentation- divided according to
Market-Is a place where two parties can gather to customers behavior pattern as they interact with a
facilitate the exchange of goods and services (Kenton, company.
W. & Boyle, M., 2020).  Variables to consider:
a. Perceptions
Existing customers-Are people who have already b. Knowledge
purchased your product. c. Reaction
d. Benefits
Prospects-Are people who have not yet purchased your e. Loyalty
product but are considering it. f. Responses

Target market users-Are people in your target market B. Customer Requirements

who are not currently looking for a solution. Customer requirements are the specific characteristics
that the customers need from a product or a service.
Value Proposition (VP) is a business or marketing There can be two types of customer requirements:
statement that summarizes why a consumer should buy 1. Service Requirement
a company's product or use its service. 2. Output Requirement

 Target Customer Service Requirement:

 Needs/opportunity Intangible thing or product that is not able to be
 Name of the product touched but customer can feel
 Name of the enterprise/company the fulfillment. There are elements in service
requirement like on-time delivery, service with a smile,
Unique selling proposition (USP) refers to how you sell easy-payment etc.
your product or services to your customer. You will
address the wants and desires of your customers. Output Requirements:
Tangible thing or things that can be seen. Characteristic
specifications that a consumer expects to be fulfilled in
the product. Costumer that will avail services as a
product, then various service requirements can take the 3.It obtains information on general attitudes,
form of output requirements. understand the circumstances under which customers
might require your product or services, understand
C. Market Size their desired outcomes.
Is like arena where the entrepreneurs will pay their - Data gathering
business. It is the approximate number of sellers and 4. It is the most common way to gather primary
buyers in a particular market. research with the use of questionnaire or interview
Entrepreneur’s most critical task is to calculate the schedule.
market size, and the potential value that market has for - Survey
their startup business. Market research will determine 5. It is the most valuable tool of any type of research
entrepreneur possible customers in one locality. study.
- Data collection
The Market Research or Marketing Research Process 6.A data gathering technique where it can be done via
can be defined as the process of gathering, analyzing direct mail, over the phone, internet or e-mail.
and interpreting the information about the products or - Survey
the services to be offered for sale to the potential 7. They also allow the researcher to clarify indefinite
consumers in the market. answers and when necessary, seek follow-up
Steps in strategic marketing: information.
1. Estimate the potential market - Personal interview
2. Estimate customers who probably dislike to buy 8. A data gathering technique where it can be
your product or avail the services. moderated group interviews and brainstorming sessions
3. The entrepreneur to estimate the market share. that provides information on user’s needs and behavior.
- Focus Group Discussion
DATA COLLECTION is the most valuable tool of any type 9. It is typically done in personal between the
of research study. Inaccurate data collection may cause researcher/entrepreneur and a respondent where the
mistakes and ultimately lead to invalid results. researcher asks pertinent questions that will give
significant pieces of information about the problem that
SURVEYS are the most common way to gather primary he will solve.
research with the use of questionnaires or interview - Interview
schedule. These can be done via direct mail, over the 10. It can be a moderated group interviews and
phone, internet (e.g. Google) or email, face-to-face or brainstorming sessions that provide information on
on Web (e.g. Skype or Viber). user’s needs and behaviors.
- Focus Group discussion
INTERVIEW is one of the most reliable and credible 11. It normally lasts from 15 to 40 minutes, but they can
ways of getting relevant information from target last longer, depending on
customers. It is typically done in personal between the the participants’ interest in the topic.
researcher/entrepreneur and a respondent where the - Interview
researcher asks pertinent questions that will give 12. It is a type of interview are less expensive and less
significant pieces of information about the problem that time consuming
he will solve. Interviews normally last from 15 to 40 - Telephone interview
minutes, but they can last longer, depending on the
participants’ interest in the topic. 1. The entrepreneurs who create new ideas are called?
a. Innovative
Personal interviews are the traditional method of 2. The entrepreneur who lives on the labor of others is
conducting an interview. It allows the researcher to called?
establish relationship with potential participants and a. Drone
therefore gain their cooperation. 3. These are entrepreneurs who are to follow the path
shown by innovative entrepreneur.
Telephone interviews are less expensive and less time b. Imitating
consuming, but the disadvantages are that the response 4.Which of the following is NOT a function of an
rate is not as high as the face-to- face interview, but entrepreneur?
considerably higher than the mailed questionnaire. d. Make no changes with his product
5. Entrepreneur means:
FOCUS GROUP DISCUSSION (FGD) - is an excellent b. To undertake
method for generating and screening ideas and 6. It is a personality factor which means “doing things
concepts. It can be a moderated group interviews and even before being told.”
brainstorming sessions that provide information on d. initiative
user’s needs and behaviors. 7. It is a personality factor which means convincing
customers to buy the product.
MOD1 b. Persuasion
Identify the following: 8.Which of the choices is NOT part of the environmental
1. It is an information gathered directly from the factors?
respondents who answered set of questions. d. family background of the manager
- Survey 9. All except one does NOT belong to the group?
2. It is the traditional method of data collection which is a. Unfair trade practices
normally done on a personal manner with the b. Strikes
respondents. c. Political protest
- Personal Interview d. Product
10.The entrepreneur who is skeptical about the changes 12. Societal environment includes the following, except:
in the company is called? D. Natural resources
a. Fabian 13. Which among the following is the result of
11. Which is NOT a career for an entrepreneur? identifying entrepreneurial opportunities?
d. Domestic Helper D. Entrepreneurial process
12. They are entrepreneurs who drive social innovation 14. What entrepreneurial idea will you recognize, if you
and transformation in various consider the new discovery and advancement of
fields. technology as source of opportunity?
b. Social entrepreneur B. Technological discovery and advancement
13. Which of the statements below is true? 15. A source of entrepreneurial idea where expertise
c. Entrepreneurs are contributor to the development of and skills developed by a person from its previous work
the society. can lead to the opening of a related business enterprise.
14. Which of the statement is NOT true? B. Past experiences
b. The profit of the entrepreneur is immediate.
c. All entrepreneurs are successful MOD3
15. Which of the following is NOT true? 1.What is the relationship between unique selling
d. None of the choices proposition and value proposition?
C. persuades another to exchange money for a product
MOD2 service’s
1.It is the process of considering, evaluating, and 2. The following variable to consider in behavioral
pursuing market-based activities that are believed to be segmentation, except.
advantageous for the firm. B. brand concept
A. Opportunity – seeking 3. What is the function of value proposition?
2.This is essential to opportunity – seeking which allows B. convince customers to purchase a particular product
the entrepreneur to see things in a positive and or services
optimistic light in the midst of crisis or difficult 4. Give example in promotion using value proposition
situations. and unique selling proposition.
C. Entrepreneurial heart flame A. with the slogan langhap sarap
3.It is the ability of entrepreneur that can sense without 5. will determine entrepreneur possible customer in
using the five senses, also known as intuition. one locality.
A. Entrepreneurial gut frame D. market size
4.One of the essentials of entrepreneur’s opportunity – 6. The term behavioral segmentation refers to:
seeking that refers to the driven passion of an D. divided according to customers behavior pattern as
individual. they interact with a company.
D. Entrepreneurial heart frame 7. What is market size?
5.What variable of societal environment includes B. size of arena where the entrepreneur will pay their
income level and employment rate? business.
B. Economic forces 8. Considered favorable indicators for doing business in
that particular location.
For questions 6 and 7 refer to the following statements: C. size and growth of the segment
A. Preferences and tastes of the customers easily 9. select type of customer requirements
change. C. service responsibility
B. The buyer has the potential for backward integration. 10. This refers to how you sell your products or services
C. The cost of switching the supplier cost is minimal. to your customers.
D. Product differentiation is highly noticeable. B. Unique selling proposition
11. Tips for the entrepreneur on how to create an
6. Which are the factors of the substitute product that effective unique selling proposition to the target
pose a great threat in the industry environment? customers except.
A. A, B, C, D C. A and D D. Completeness of proportion
B. A and C D. B and C 12. Geographic segmentation refers to:
A. Divided according to geographical location.
7. Which are the factors that influence the buyer to 13. Service requirement thing or product not able to
have a less threats because of the bargaining power? touch but customer can feel the fulfillment
A. A only C. A and D B. Intangible
B. A and C D. B and C 14. Tangible things can be seen refers to what?
8.They are the ones who pay cash in exchange for your B. Output requirements
goods and services. 15. What is the first step in conducting a strategic
A. Buyers marketing?
9. The intensity of rivalry among existing firms is A. Estimate the potential market
characterized to the following factors except one:
C. The product represents a high percentage of the MOD4
buyer’s cost 1.It is the most common way to gather primary research
10. The following are the forces competing within the with the use of questionnaires or interview schedule.
industry except one: C. Surveys
D. Needs and Wants 2. It is the traditional method of data collection which is
11. Which of the following good sources of normally done on personal manner with the
entrepreneurial ideas determine the interest, hobbies respondents
and preferences of people. A. Personal interview
C. People’s enterest
3. A data gathering technique where it can be
moderated to group interviews and brainstorming that
provides information on user’s need and behavior
B. Focus Group Discussion (FGD)
4. It refers to information gathered directly from the
respondents who answered set of questions
D. Data gathering
5. A data gathering technique where it can be done via
direct mail, over the phone, internet or email
B. Survey
6. It refers to the process of gathering, analyzing and
interpreting the information about the product or the
services to be offered for sale in the market.
C. Data gathering