Post on 23-Jun-2015
description
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 6-1
6
1. An understanding of the three stages of entrepreneurship
2.An overall appreciation for the opportunity concept and an understanding of the primary types of entrepreneurial opportunities
3.An ability to distinguish between opportunity identification, evaluation, and exploitation
4.Insights regarding the various types of financing available to entrepreneurs
5.An appreciation for how existing organizations use corporate entrepreneurship
6.An understanding of and appreciation for the role of social entrepreneurship in society.
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-2
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 6-3
Entrepreneurship refers to the identification, evaluation, and exploitation of opportunities.
Entrepreneurship opportunities are occasions to bring into existence new products and services that allow outputs to be sold at a price greater than their cost of production.
Entrepreneurs are those individuals who identify, evaluate, and exploit opportunities.
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-4
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 2-5
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-6
Types of Entrepreneurship
Creations of new products and services
Discovery of new geographical markets
Creation or discovery of new raw materials or alternatives
Discovery of new methods of production
New methods of organizing
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-7
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-8
Opportunity Identification
Factors that influence identification
1. Alertness
2. Information asymmetry
3. Social networks
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-9
Opportunity Evaluation
Determinants
Feasibility analysis
Entrepreneurial risk
Law of small numbers
Illusion of control
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-10
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 6-11
Opportunity Exploitation
1. Customers
2. Stakeholders
3. Management
Financing Exploitation
1. Angel investors
2. Venture capitalists
3. Bank financing
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 6-12
Types
1)Sustained regeneration
2)Organizational rejuvenation
3)Strategic renewal
4)Domain definition
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 6-13
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall6-14
How do commercial and social entrepreneurship differ?
1. Mission or purpose
2. Availability of funding
3. Performance measures
Success factors in social entrepreneurship
1. Large social networks
2. Capital base
3. Acceptance of values
Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall 6-15
All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United
States of America.
Copyright ©2012 Pearson Education, Inc. publishing as Prentice Hall