Entrepreneurship Development and Management What is entrepreneurship Entrepreneurship

Entrepreneurship Development and Management

What is entrepreneurship • Entrepreneurship has been described as the "capacity and willingness to develop, organize and manage a business venture along with any of its risks in order to make a profit". • The most obvious example of entrepreneurship is the starting of new businesses.

Entrepreneur • Someone who exercises initiative by organizing a venture to take benefit of an opportunity and, as the decision maker, decides what, how, and how much of a good or service will be produced.

Partnership • A legal form of business operation between two or more individuals who share management and profits. • A partnership, as different from a corporation, is not a separate entity from the individual owners. The partnership income tax is paid by the partnership, but the profits and losses are divided among the partners, and paid by the partners, based on their agreement.

Sole proprietorship • The sole proprietorship is the simplest business form under which one can operate a business. The sole proprietorship is not a legal entity. It simply refers to a person who owns the business and is personally responsible for its debts. • This is the simplest form of business entity. The sole proprietorship is not a legal entity. The business has no existence separate from the owner who is called the proprietor.

Schemes of assistance by entrepreneurial support agencies • NABARD role in rural development in India is phenomenal. National Bank For Agriculture & Rural Development (NABARD) is set up as an apex Development Bank by the Government of India with a mandate for facilitating credit flow for promotion and development of agriculture, cottage and village industries.

NSIC • National Small Industries Corporation Limited (NSIC) is a Mini Ratna PSU established by the Government of India in 1955 It falls under Ministry of Micro, Small & Medium Enterprises of India. NSIC is the nodal office for several schemes of Ministry of MSME such as Performance & Credit Rating. • NSIC also helps in organising supply of raw materials like coal, iron, steel and other materials and even machines needed by small scale private industries by mediating with other government companies like Coal India Limited, Steel Authority of India Limited, Hindustan Copper Limited and many others, who produce this materials to provide same at concessional rates to SSIs.

KVIC/KVIB • The Khadi and Village Industries Commission (KVIC) is a statutory body formed by the Government of India, under the Act of Parliament, 'Khadi and Village Industries Commission Act of 1956'. It is an apex organisation under the Ministry of Micro, Small and Medium Enterprises, with regard to khadi and village industries within India, which seeks to - "plan, promote, facilitate, organise and assist in the establishment and development of khadi and village industries in the rural areas in coordination with other agencies engaged in rural development wherever necessary. ". [1] In April 1957, it took over the work of former All India Khadi and Village Industries Board.

Science & Technology Entrepreneurs Park (STEP) • The Science & Technology Entrepreneurs Park (STEP) programme was initiated to provide a re-orientation in the approach to innovation and entrepreneurship involving education, training, research, finance, management and the government. A STEP creates the necessary climate for innovation, information exchange, sharing of experience and facilities and opening new avenues for students, teachers, researchers and industrial managers to grow in a trans-disciplinary culture, each understanding and depending on the other's inputs for starting a successful economic venture. STEPs are hardware intensive with emphasis on common facilities, services and relevant equipments.

What is Market Survey • A market survey is a tool used to gather information about existing or potential customers in a certain market or population. The information from the survey is then used to assess attitudes and beliefs, and in turn predict market behavior, such as buying intentions.

Concept of Demand Supply • Demand for a given good is the consumers' willingness and ability to consume that good, and it is often represented by a downwardsloping line called the demand curve. The inverse relationship between price and quantity demanded of a good is known as the law of demand.

Factors effecting the demand • The demand for a product will be influenced by several factors: • Price. Usually viewed as the most important factor that affects demand. . • Income levels. . • Consumer tastes and preferences. . • Competition. . • Fashions.

Supply • Supply of a commodity refers to the quantity of a product which a seller is willing and able to sell at a given price per unit of time. In words of Anatol Mirad, “The quantity supplied is defined as the quantity of a commodity offered for sale at a given price in a given market at a given time.

Factors effecting the supply • Some of the factors that influence the supply of a product are described as follows: • i. Price • ii. Cost of Production • iii. Natural Conditions • iv. Technology • v. Transport Conditions • vi. Factor Prices and their Availability • vii. Government's Policies • viii. Prices of Related Goods

Definition of Management • According to Henri Fayol, "to manage is to forecast and to plan, to organise, to command, to co-ordinate and to control. " • Fredmund Malik defines it as "the transformation of resources into utility. "

• Management (or managing) is the administration of an organization, whether it is a business, a not-forprofit organization, or government body. Management includes the activities of setting the strategy of an organization and coordinating the efforts of its employees (or of volunteers) to accomplish its objectives through the application of available resources, such as financial, natural, technological, and human resources. • The term "management" may also refer to those people who manage an organization.

Functions of Management • • • Planning Organizing Staffing Coordinating Controlling

14 Principles of Management of Henri Fayol • • • • Division of Work Authority and Responsibility Discipline Unity of Command Unity of Direction Subordination of Individual Interest Remuneration The Degree of Centralization Scalar Chain Order Equity Stability of Tenure of Personnel Initiative Esprit de Corps

Principles of management by F. W. Taylor • • • Science, Not Rule of Thumb Harmony, Not Discord Mental Revolution Cooperation, Not Individualism Development of each and every person to his or her greatest efficiency and prosperity.

Human Resource Management • Human resource management, or HRM, is defined as the process of managing employees in a company and it can involve hiring, firing, training and motivating employees. An example of human resource management is the way in which a company hires new employees and trains those new workers.

• The responsibilities of a human resource manager fall into three major areas: staffing, employee compensation and benefits, and defining/designing work. Essentially, the purpose of HRM is to maximize the productivity of an organization by optimizing the effectiveness of its employees.

5 Major Functions of Human Resource Management • • • Recruitment And Selection Orientation Maintaining Good Working Conditions Managing Employee Relations Training And Development

Definition of Marketing • “the action or business of promoting and selling products or services, including market research and advertising”. • Marketing is used to create, keep and satisfy the customer. With the customer as the focus of its activities, it can be concluded that Marketing is one of the premier components of Business Management