Entrepreneurship Decision – The 1st Step Towards Becoming an Entrepreneur
Entrepreneurship Decision is the 1st step towards becoming an entrepreneur. In fact, entrepreneurship is the key reason for the state-of-the-art products & services that we enjoy every day. For instance, the entrepreneurial spirit and actions of Mark Zuckerberg, the founder of Facebook, was the reason for enjoying and using Facebook all over the world for various reasons & purposes, such as business, recreation, social communication. Deciding to become an entrepreneur is the topic of the 1st part (1st chapter) of Entrepreneurship Book (2012), the second book in the 1st year within management books’ program in your channel Management with Merits-Manage to Prosper. We have already introduced this book before in a previous video. In our last post, we finished the 1st book in the channel (Management 2015). Thus, today we establish discussing this book, which will take 3 months (Dec 2019, Jan & Feb 2020). To download the presentation associated with this video in PDF, kindly go to the video in YouTube and click on the link in the description section below the video. To access all the posts and sessions of this book, please go here. You can directly view the videos of this book by going the book’s playlist in our YouTube channel from here.
The book defines Entrepreneurship as a process by which individuals pursue opportunities without regard to resources they currently control. It also talks about corporate entrepreneurship, which is the culture of some firms (like Google) where they believe in innovation and creating new ideas and working towards implementing them to continuously present creative products and services to customers.
Entrepreneurship Decision – Characteristics of Successful Entrepreneurs :
The book provides four essential characteristics of successful entrepreneurs. The below picture shows them.
Entrepreneurship Decision : Fears & Myths
The biggest fear about entrepreneurship is that new ventures usually fail, but this is not true. Kauffman Entrepreneurship Indicators (American Foundation) states in their 2018 report about new stage entrepreneurs that the survival rate (1 year) for new ventures in the U.S has been steady at 79% since 2012. Besides, women can also be successful entrepreneurs. The percentage of female adult Americans in 2018, as per Kauffman Report, who established their new ventures was 0.24%. Besides, the book provides 5 myths about entrepreneurs along with explanation of why they are not true or accurate.
- They are made, not born: While environmental factors play a role for new entrepreneurs, entrepreneurship can be learned and practiced by anyone.
- They are primarily motivated by money: They actually lose money, especially in the first stages. While money is an important motivator, it is not the primary one. The main motivator is the passion towards business and new ideas.
- They are gamblers: They are moderate risk-takers. It’s true that they spend resources for their new businesses derived by their passion, but they accompany this with focus on product and customer, as well as execution intelligence.
- They should be young: Actually Kauffman Report (mentioned before) states that the percentage of senior entrepreneurs (above 50) has been increasing recently, which makes it similar to the percentage of young ones (twenties).
- They seek being under the spotlight: People know only few successful entrepreneurs (like Zuckerberg of Facebook). However, many entrepreneurs don’t like the spotlight, despite their effort in establishing successful, sustainable and popular companies, such as the founders of companies like Sony or Canon.
The Entrepreneurial Process
the book’s approach towards entrepreneurship is presenting it as a multistep process (4 steps) that must be undertaken rigorously. However, the process is not perfectly linear. It is actually an iterative process where the order of steps can’t be maintained neatly. This lesson discussed the 1st step (deciding to become an entrepreneurs). The other steps are developing successful business ideas (part 2), moving from an idea to an entrepreneurial firm (part 3), and finally managing and growing the firm (part 4).
That was our session for today. Next session, we will have a big and nice surprise for you. Thank you so much for watching and following us. Watch and follow us each Thursday on your channel Management with Merits – Manage to Prosper. Subscribe to the channel in YouTube and activate the notifications bell there. Follow us, participate with us and share the channel via all our electronic contact platforms.