DAY 5 WHAT IS ENTREPRENUERSHIP GOALS l What

DAY 5 WHAT IS ENTREPRENUERSHIP? GOALS l What does it mean to be an entrepreneur? l Pros and Cons l Entrepreneurs in History l Today’s Entrepreneurs

What is Entrepreneurship? l Most of us earn a living by working in a business l A person who works in a business owned by someone else is an employee of that business l Someone who creates and runs a business is called an entrepreneur

What is Entrepreneurship? l To be entrepreneurial means to think or act like an entrepreneur l When an entrepreneur starts a new business, risk is involved l Risk is the chance of losing something l Entrepreneurs make an investment of money, time, and energy in the hope of receiving greater rewards or benefits

Employees vs Entrepreneurs l Employees work for someone else l Entrepreneurs work for themselves l Employees risk losing a job if the don’t perform their work, but they are paid for their work l Entrepreneurs risk not being able to pay their employees or themselves if business is slow

Employees vs Entrepreneurs l The rewards employees and entrepreneurs get from their work can also differ. l Rewards can involve money, but it also might be personal satisfaction or independence l Entrepreneurs are in control of the money made by the business and have final say in all business decisions l They are responsible for success or failure

Why be an Entrepreneur? l Making you own rules – You are the boss of when, where, how, why, and what l Doing the work you enjoy – Majority of your life is spent working l Creating greater wealth – Employees only make a salary but there is no limit to what and Entrepreneur can make l Helping your community

Risks of Being an Entrepreneur l Potential Business Failure – Will it make it or not? l Unexpected Obstacles – Problems can happen that you don’t expect. l Financial Insecurity – The amount of money you can pay yourself may go up or down, depending on how well your business performs. l Long Hours and Hard Work

Entrepreneurship in History l The 1800’s l Thomas Edison started working at 12. At 117, he had his own newspaper called the Weekly Herald. He had over 1, 000 patents. He hated debt. l PT Barnum was 60 years old when his circus staged its first show with $400, 000 sales in the first year. Later it was called what? ? l The Greatest Show on Earth

Entrepreneurship in History l The 1900’s l In 1903, William Harley and Arthur Davidson wanted to improve on the two wheeled bicycle, and the motorcycle was born. Harley Davidson was one of the only two manufacturers to stay afloat during the Depression of the 1930 s. Now, it’s the world’s largest manufacturer of motorcycles with over $41 M annually.

Entrepreneurship in History l The 1900’s l Maggie Lena Walker was an advocate of human rights, humanitarian causes, selfsufficiency, and race relations. Her philosophy was turning “nickels into dollars”. She became the first woman to charter a bank in the US. It opened in 1903 and is now the oldest continuously operating minority owned bank in the US. Consolidated Bank and Trust Company.

Entrepreneurship in History l Present Day l Name some of the present day Entrepreneurs

Characteristics of Successful Entrepreneurs l Aptitudes – a natural ability to do a particular type of work or activity well. Can sometimes be developed through hard work. l Attitude – a way of viewing or thinking about something that affects how you feel about it. l Positive Attitude l Negative Attitude

Characteristics of Successful Entrepreneurs l Positive thinking tends to make you feel happier and have more energy. It makes the difference between failure and success. l You can’t choose which aptitudes you inherited, but you have the power to choose your attitude. l Must have self-esteem.

Characteristics of Successful Entrepreneurs l Personal Characteristics – No one is born with all the characteristics needed to be a successful entrepreneur. But, if you keep a positive attitude and believe in yourself, you can develop many of them. l Courage – A willingness to take risks in spite of possible losses. l Creativity – Inventing new ways of doing things, thinking outside the box.

Personal Characteristics l Curiosity – The desire to learn and ask questions. l Determination – Refusing to quit in spite of obstacles. l Discipline – The ability to stay focused and follow a schedule to meet deadlines. l Empathy – Being sensitive to the thoughts and feelings of others.

Personal Characteristics l Enthusiasm – Being passionate about something; the ability to see problems as opportunities. l Flexibility – ability to adapt to new situations; a willingness to change l Honesty – commitment to be truthful/sincere l Patience – recognizing that most goals are not reached overnight l Responsibility – don’t pass the buck

Characteristics of Successful Entrepreneurs l Skills – an ability that’s learned through training and practice. l Ex. You didn’t know how to tie your shoes when you were born. You had to learn l You must have basic skills like: l Business Skill – understand how to create and manage a business l Communication Skill – ability to listen well, write well, and speak well

Basic Skills Needed l Computer Skill – ability to use technological tools effectively l Decision-Making and Problem-Solving Skills – knowing how to apply logic, information, and past experiences to new decisions and problems l Mathematical Skill – using math to create budgets, keep accurate records, and analyze financial statements

Basic Skills Needed l Organizational Skill – knack of keeping tasks and information in order, ability to plan well and manage your time l People Skill – ability to persuade and motivate people, knowing both how to be a leader and work in a team

Think Like an Entrepreneur l Owning a business is not for everyone, but thinking like one can help you be a better employee. Employers promote these kinds of employees. l Observe – keep on the lookout for chances to learn new skills and accept new responsibilities. Be aware of what goes on around you. l Listen – Pay attention to what others have to say. l Think – Instead of complaining about a problem, analyze it and suggest possible solutions.