1 / 35

PowerPoint Presentation

PowerPoint Presentation. Section 1.2 Pages 12-15. 1.2 The Entrepreneurial Process. What you’ll learn The process of entrepreneurship The components of a new venture organization How businesses succeed. 1.2 The Entrepreneurial Process. Why it’s important.

barneyc
Download Presentation

PowerPoint Presentation

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. PowerPoint Presentation • Section 1.2 • Pages 12-15

  2. 1.2The Entrepreneurial Process What you’ll learn • The process of entrepreneurship • The components of a new venture organization • How businesses succeed

  3. 1.2The Entrepreneurial Process Why it’s important • Understanding the entrepreneurial process will help you build a more effective business that creates value.

  4. 1.2The Entrepreneurial Process Why it’s important • Learning the facts about business success and failure will help you make wiser business decisions.

  5. 1.2The Entrepreneurial Process Key Terms environment enterprise zones opportunity start-up resources new venture

  6. 1.2The Entrepreneurial Process Key Terms (Cont.) business failure discontinuance

  7. 1.2The Entrepreneurial Process I. ENTREPRENEURIAL START-UP The entrepreneurial start-up process includes five key components. A. The entrepreneur

  8. 1.2The Entrepreneurial Process B. The environment • C. The opportunity • D. Start-up resources • E. The new venture • organization

  9. 1.2The Entrepreneurial Process II. THE ENTREPRENEUR A. The entrepreneur pulls together the different components involved in creating a new business.

  10. 1.2The Entrepreneurial Process B. The entrepreneur brings to the business all the behaviors and experience from his or her life to that point.

  11. 1.2The Entrepreneurial Process III. THE ENVIRONMENT A. The business environment refers to the variables affecting it that are not controlled by the entrepreneur.

  12. 1.2The Entrepreneurial Process B. There are four general categories of environmental variables affecting a new venture. • 1.The nature of the environment (uncertain, fast-changing, stable, highly competitive etc.)

  13. 1.2The Entrepreneurial Process 2. The availability of resources 3. Ways to realize value (favorable taxes, good markets, supportive government policies) 4. Incentives to create new businesses, such as enterprise zones

  14. 1.2The Entrepreneurial Process Enterprise zones - Specially designated area of a community that provide tax benefits to new businesses locating there and grants for new product development.

  15. 1.2The Entrepreneurial Process Springboard Analyze the current business environment. ?

  16. 1.2The Entrepreneurial Process IV. THE OPPORTUNITY A. An opportunity is an idea that has commercial value. B. New businesses are founded on recognized opportunities in the environment.

  17. 1.2The Entrepreneurial Process V. START-UP RESOURCES A. The start-up resources an entrepreneur needs to start a business include the following. 1. Capital

  18. 1.2The Entrepreneurial Process 2. Skilled labor 3. Management expertise 4. Legal and financial advice 5. A facility 6. Equipment 7. Customers

  19. 1.2The Entrepreneurial Process B. The most important start-up resource is customers.

  20. 1.2The Entrepreneurial Process VI. THE NEW VENTURE ORGANIZATION A. The new venture organization is the shell that surrounds all the parts of a new business.

  21. 1.2The Entrepreneurial Process B. The parts of a new business include the following. • 1. Products • 2. Processes • 3. Services

  22. 1.2The Entrepreneurial Process C. Entrepreneurs are able to create value for a business through new venture organization.

  23. 1.2The Entrepreneurial Process VII. HOW BUSINESSES SUCCEED A. The myth that most new businesses fail is not true.

  24. 1.2The Entrepreneurial Process B. A recent study done by Dun & Bradstreet found that more businesses succeed than fail.

  25. 1.2The Entrepreneurial Process C. The problem with most reports on business failure is that they don’t define failure properly.

  26. 1.2The Entrepreneurial Process VIII. WHAT IS BUSINESS FAILURE? A.A business failure is a business that files Chapter 7 bankruptcy or loses money for creditors and their investors.

  27. 1.2The Entrepreneurial Process B. Businesses that disappear from public lists are not always failures. • C. Some businesses that disappear from public lists are discontinuances.

  28. 1.2The Entrepreneurial Process D. A discontinuance is a businesses that is either operating under a new name or has been purposely discontinued to start a new one.

  29. 1.2The Entrepreneurial Process Discussion Starter Name a business in the community that is considered a discontinuance--not a failure. ?

  30. 1.2The Entrepreneurial Process E. Discontinuances are not failures because they are planned and cause no harm to creditors.

  31. 1.2The Entrepreneurial Process F. Failure is also sometimes mistakenly reported when an owner changes the legal status of a business.

  32. 1.2The Entrepreneurial Process IX. HOW CAN ENTREPRENEURS SUCCEED? A. The chances of a new business succeeding are good with effective planning.

  33. 1.2The Entrepreneurial Process B. The number–one cause of business failure is poor management.

  34. 1.2The Entrepreneurial Process C. Entrepreneurs can improve their chances of success. • 1. Learn how to build a new business • 2. Assemble a team that has the expertise they need

  35. 1.2The Entrepreneurial Process End of Section 1.2

More Related