FOUNDATIONS OF ENTREPRENEURSHIP Class Two The Entrepreneur and

FOUNDATIONS OF ENTREPRENEURSHIP Class Two: The Entrepreneur and the Entrepreneurial Mindset Elikem Nutifafa Kuenyhia Management Consultant & Corporate Lawyer

AGENDA: � Recap of Class one � Introducing the entrepreneur � Traits of entrepreneurs � Other factors influencing entrepreneurs � Are entrepreneurs made or born? � Entrepreneurs vs. Managers � Behaviours typical of Ghanaian entrepreneurs � Why some entrepreneurs fail � Types of entrepreneurs � Some celebrated Ghanaian entrepreneurs

Introducing the Entrepreneur � An entrepreneur is the person who initially ‘dreams the dream (or vision)’ or who buys into an existing dream (or vision), which dream, coupled with the entrepreneur’s energy, passion and dedication drives the process of moving a venture from a mere idea into an enterprise providing products or services that people value and are often (but not always) willing to pay for. � Entrepreneur develops dream into a vision then mobilises resources to achieve the vision � The dreamer is the ‘founding entrepreneur’ � Other instances in which on may become an entrepreneur include acquisition and franchising.

Traits of an Entrepreneur � Interpersonal skills � Ability to become ‘connected’ � Self-confidence and Optimism � Salesmanship � Passion � Risk-taking � Flexibility � Unsentimental (about a particular � Discipline � Opportunity obsessed � Initiative � Desire for responsibility � realists idea)

Traits of Entrepreneur (cont’d) �Energetic and hardworking �Sense of mission �Tolerance for ambiguity �Committed �Resilient �Resourcefulness �Future oriented �Unwilling to submit to authority

Other factors influencing entrepreneurs �Entrepreneur’s background �Age �Educational level

Are entrepreneurs born or made? � Many Ghanaians desire to own their own business � According t Shefsky some dreams remain in the ‘dream drawer’ and are never launched � Shefsky maintains that entrepreneurs are made and not born although certain groups have a greater predisposition to become entrepreneurs � Examples of such groups include migrants and children of entrepreneurs

Entrepreneurs vs. Managers � Entrepreneurs create, managers maintain the status quo � Managers handle risks differently from entrepreneurs -Shefsky � Managers are more concerned with risks, entrepreneurs with reward � As an enterprise becomes more stable, entrepreneurs may have to give way to managers to take over � An entrepreneur may however play both roles if he has the necessary managerial skills

Behaviours typical of Ghanaian entrepreneurs � Inability to separate self from � Personality driven � Lack of planning � Do not listen � Spreading too thinly � Lack of trust � Control � Cutting corners � Inability to think big � Unwilling to stick it out � Competency dependence business

Why entrepreneurs fail �Social, Environmental and Technological factor reasons �Over-optimism �Over-engagement in task oriented activities �Approach to decision making �Underestimation of competition �Inadequate investment of product or service development

Different types of Entrepreneurs �Lifestyle vs. High Growth Entrepreneurs �Religious Entrepreneurs �Political entrepreneurs �Social entrepreneurs �Opportunity vs. Necessity Entrepreneurs �Intrapreneurs �Extrapreneurs

The State as an Entrepreneur � Arguably, the state becomes an entrepreneur when it is involved in establishing enterprises that circumvent the deficiencies usually associated with public management and competes effectively with the private sector � Capital for the state’s entrepreneurial activity is provided by the state � State enterprise may be run by civil servants or public workers or sometimes private sector individuals � A recent example of state entrepreneurship is GIMPA

Some celebrated Ghanaian entrepreneurs � Captain (rtd) Kofi Amoabeng (Unique Trust) � Alhaji Asoma Banda (Antrak Group of Companies) � Mr. Ernest Bediako-Sampong (Ernest Chemist Ltd. ) � Mr. R. A. Darko (Mechanical Lloyd Co. Ltd. ) � Mr. Mark Davies (Busy Internet) � Mr. Herman Chinery Hesse ( SOFT Tribe) � Dr. (Mrs. ) Esther Ocloo (Modern Caterers Company) � Mr. Ken Ofori-Atta (Databank Financial Services) � Mr. Sandy Osei-Agyemang (Slid Industries) � Mr. Kwasi Twum (Multimedia Broadcasting Corporation) � Mrs. Elizabeth Villars (Camelot Ghana Ltd. )

Case: THE KING OF TRAVEL: PAK-WO SHUM

The End �Questions?