Module 1 3.

Leader - an entrepreneur must have the

Scamper – charisma to be obeyed by his employees.
Substitute, Combine, Adopt, Modify, Put to
another use, Eliminate, Reverse 4. Opportunity seeker - an entrepreneur must
have the ability to be the first to see business
Smart – chances.
Specific, measurable, attainable, realistic, 5. Proactive – an entrepreneur can control a
timely situation by making things happen or by
preparing for possible future problems.
RELEVANCE OF ENTREPRENEURSHIP TO AN
ORGANIZATION 6. Risk Taker – an entrepreneur has the courage
1. Development of Managerial Capabilities - to pursue business ideas.
develop his managerial skills. 7. Innovative - the entrepreneur has big
2. Creation of Organizations - many business ideas and he does not stop improving
organizations will exist. and thinking of new worthwhile ideas for his
business.
3. Improving Standard of Living - can lift up the
economic status of an individual. Core Competencies in Entrepreneurship
4. Means of Economic Development - not only 1. Economic and Dynamic Activity -
the life of the entrepreneur is improved but also Entrepreneurship is an economic activity
the society where the business is located. because it involves the creation and operation
of an enterprise with a view to creating value or
Concept of Entrepreneurship wealth by ensuring optimum utilization of
The word “entrepreneur” was derived from the limited resources.
French verb enterprendre, which means “to 2. Innovative – The entrepreneur constantly
undertake.” This is pinpointing to those who looks for new ideas, thus he needs to be
“undertake” the risk of enterprise. The creative.
enterprise is created by an entrepreneur and
the process is called “Entrepreneurship.” 3. Profit Potential - The entrepreneur can be
compensated by his profit coming from the
Factors Affecting Entrepreneurship operation.
1. Personality Factors which include: 4. Risk bearing – The entrepreneur needs to
a. Initiative - doing things even before being gamble but wise enough to offset the risk
told.
b. Proactive - can classify opportunities and Types of Entrepreneurs
seize it. 1. Innovative Entrepreneurs - always make new
things by thinking of new ideas.
c. Problem Solver - can retain good relations 2. Imitating Entrepreneurs - don’t create new
with other people. things but only follow the ideas of other
entrepreneurs.
d. Perseverance - pursue things to get done
regardless of challenges.
3. Fabian Entrepreneurs - skeptical about
changes to be made in the organization.
e. Persuasion - can entice people to buy even if
they don’t want to. 4. Drone Entrepreneurs - who live on the labor
of others.
f. A Planner - makes plans before doing things
and does not fail to monitor it. 5. Social Entrepreneurs - who initiate changes
and drive social innovation
g. Risk-taker - is willing to gamble but he will
calculate it first. Career Opportunities of Entrepreneurship
1. Business Consultant - very good source of
2. Environmental Factors which include advices to other entrepreneurs and would be
political, climate, legal system, economic and business men.
social conditions and market situations.
2. Teacher - a graduate of an entrepreneurship
can use his knowledge in teaching.
Common Competencies in Entrepreneurship
1. Decisive - an entrepreneur must be firm in 3. Researcher - can be employed as a
making decisions. researcher by an enterprise.
2. Communicator - an entrepreneur must have 4. Sales - the entrepreneurship graduate can
a convincing power. apply as a salesman.
5. Business Reporter - can be employed as a discovery or because of the use of latest
business reporter. technology.

Module 2 3. Government’s thrust, programs, and

Entrepreneurial Process of Creating New policies
Venture The priorities, projects, programs, and
Creating of Entrepreneurial Ideas – policies of the government are also
Identification of Entrepreneurial Opportunities good sources of ideas.
– Opening of Entrepreneurial Venture
Essentials in Entrepreneur’s Opportunity – 4. People’s interest
Seeking The interest, hobbies, and preferences of
Entrepreneurial mind frame. allows the people are rich sources of entrepreneurial ideas
entrepreneur to see things in a very positive
5. Past experiences
and optimistic way in the midst of difficult
The expertise and skills developed by a person
situation.
who has worked in a particular field may lead to
Entrepreneurial heart flame. driven by passion
Entrepreneurial gut game. entrepreneur of the opening of a related business enterprise.
being intuitive. This also known as intuition. Competition – it is the act or process of trying
Sources of Opportunities to get or win something.

1. Changes in the environment Forces of Competition Model

Entrepreneurial ideas arise when changes It is also known as the “five forces of
happen in the external environment. competition”.
External environment refers to the physical 1. Buyers are the ones that pay cash in
environment, societal environment, and
exchange for your goods and services.
industry environment where the business
2. new entrant companies or businesses
operates.
Physical environment that have the ability to penetrate or
a. Climate – the weather conditions. enter into a particular industry
3. Rivalry among existing firms is a state
b. Natural resources – such as minerals, forests, or situation wherein business
water, and fertile land that occur in nature and organizations are competing with each
can be used for economic gain.
other in a particular market
c. Wildlife – includes all mammals, birds, 4. Substitute products serves the same
reptiles, fish, etc., that live in the wild. purpose as another product in the
Societal environment market.
a. Political forces – includes all the laws, rules, 5. Suppliers provide something that is
and regulations that govern business practices needed in business operations.
as well as the permits, approvals, and licenses
necessary to operate the business.
b. Economic forces – such as income level and Module 3
employment rate.
Value Proposition (VP) - is a business or
c. Sociocultural forces – customs, lifestyles and marketing statement that summarizes why a
values that characterize a society. consumer should buy a company's product or
d. Technological environment – new inventions use its service. Name of products/company.
and technology innovations.
Unique Selling Proposition (USP) – refers to
Industry environment
how you sell your product or services to your
a. Competitors
customer. Tagline of the product.
b. Customers
Target Market - process that aims to determine
c. Creditors the buyers with common needs and
d. Employees characteristics.

e. Government Commonly used methods for segmenting the

markets are follows:
f. Suppliers 1. Geographic segmentation – the total market
2. Technological discovery and is divided according to geographical location.
advancement
A person with entrepreneurial interest sees a. Climate
possibility of business opportunities in any new b. Dominant ethnic group
c. Culture for sale to the potential consumers in the
market.
d. Density (either rural or urban)
2. Demographic Segmentation – divided based DATA COLLECTION - is the most valuable tool in
on consumers any type of research study.
a. Gender SURVEYS are the most common way to gather
primary research with the use of questionnaires
b. Age or interview schedule.
c. Income When designing or constructing your own
d. Occupation research questionnaire, remember the following
guidelines:
e. Education

f. Religion Keep it as simple as possible

g. Ethnic group  Make sure it is clearly appealing and easy to
read
h. Family size
 Cluster or block related questions
3. Psychological Segmentation – divided in
terms of how customers think and believe  Move from complex questions to more
specific questions
a. Needs and wants
 Make sure questions are concise and easily
b. Attitudes understood
c. social class  Avoid questions that are difficult to answer
d. Personality traits  Make sure response scales used are
e. Knowledge and awareness consistent with categories that are mutually
exclusive
f. Brand concept
INTERVIEW is one of the most reliable and
g. Lifestyle credible ways of getting relevant information
4. Behavioral Segmentation – divided according from target customers.
to customers’ behavior pattern as they interact
with a company. Personal interviews are the traditional method
of conducting an interview.
a. Perceptions
Telephone interviews are less expensive and
b. Knowledge less time-consuming.
c. Reaction
FOCUS GROUP DISCUSSION (FGD) - moderated
d. Benefits group interviews and brainstorming sessions
that provide information on user’s needs and
e. Loyalty behaviors.
f. Responses
The following are considerations in the use of
Customer Requirements - specific focus group discussions in market research:
characteristics that the customers need from a  The length of the session is between 90 and
product or a service. 120 minutes.
Two types of customer requirements:  Conduct focus groups discussion with 8 to 10
1. Service Requirement - intangible thing or participants per group.
product
 Assign an expert moderator / facilitator who
2. Output Requirement - Tangible thing or can manage group dynamics.
things that can be seen.
 Use a semi-structured or open-format
Market Size - It is the approximate number of discussion
sellers and buyers in a particular market.
 Strive for consistency in the group’s
Module 4 composition
Market Research - the process of gathering,
analyzing and interpreting the information
about the products or the services to be offered
MODULE 5 5. PEOPLE - They sell and push the product.
The 7 P’s of Marketing People are one of the most important elements
The framework of 7 p’s of marketing includes of the marketing mix today.
product, place, price, promotion, people,
packaging and positioning. 6. PACKAGING - outside appearance of a
product and how it is presented to the
1. PRODUCT – goods or services that is customers.
produced to meet that consumers’ wants,
tastes and preferences. Five Basic Function of Packaging
1. Protection
2. PLACE - represents the location where the a. Natural deterioration
buyer and seller exchange goods or services. b. Physical protection
c. Safety
3. PRICE - the value of money in exchange for a d. Waste reduction
product or service. 2. Containment
3. Information
Pricing Strategies 4. Utility of use
Penetration Pricing - price charged for products 5. Promotion
and services is set artificially low in order to gain
market share. 7. POSITIONING - process used by marketers to
Skimming Pricing - company charges a higher create an image in the minds of a target market.
price then slowly lowers the price to make the
product available to a wider market because it How to Create an Effective Market Positioning
has a considerable competitive advantage. Strategy?
Competition Pricing - seller uses prices of 1. Determine company uniqueness by
competing products as a benchmark instead of comparing to competitors
considering own costs or the customer demand. 2. Identify current market position
Product Line Pricing - practice of reviewing and 3. Competitor positioning analysis
setting prices for multiple products that a 4. Develop a positioning strategy
company offers in coordination with one
another.
Bundle Pricing - act of placing several products
or services together in a single package and
selling for a lower price than would be charged
if the items were sold separately.
Premium Pricing - Setting the price of a product
higher than similar products.
Psychological Pricing - practice of setting prices
slightly lower than rounded numbers.
Optional Pricing - company earns more through
cross-selling products along with a basic core
product.
Cost Plus Pricing - adding a markup to the cost
of goods and services to arrive at a selling price.
Cost Based Pricing - a fixed sum or a percentage
of the total cost is added (as income or profit)
to the cost of the product to arrive at its selling
price. Value Based Pricing - price-setting
strategy where prices are set primarily on
consumers' perceived value of the product or
service.
4. PROMOTION - complete set of activities,
which communicate the product, brand or
service to the user.

Promotional Mix
1. Advertising
2. Public Relation
3. Personal Selling
4. Sales Promotions
5. Direct Marketing