MANAGING COMPETITION AND ENTREPRENEURSHIP DEVELOPMENT PROGRAMMES Entrepreneurship Development

MANAGING COMPETITION AND ENTREPRENEURSHIP DEVELOPMENT PROGRAMMES Entrepreneurship Development and Industrial Consultancy (DBM-421) A K JHA

Entrepreneurship Development Programmes (EDP) �Entrepreneurship development Programmes are designed to help a person who is willing to start a new venture. �The motive of the EDP is to train and develop the entrepreneurial skills of a person to make him able to run the business successfully. �EDPs focus on developing the capabilities of the entrepreneurs to effectively address the challenges associated with the business under the competitive business environment.

Objective of Entrepreneurship Development Programme 1. 2. 3. 4. 5. 6. 7. 8. Inculcate and reinforce the entrepreneurial skills and capability. Select products and formulate project proposal for the same. Analyse the environment Provide detail knowledge about setting up of enterprise. Make them familiar with source of financial help and other support for establishing an enterprise. Provide guidance and help in increasing necessary managerial skills to start and run an enterprise. Enable entrepreneur to take decision Enable to communicate

Topics of EDP An EDP focuses on following topics: 1. Introduction It should cover fundamental issues and information on Entrepreneurship. For example - Opportunities available in the area of entrepreneurship Factors affecting the industries (particularly small and medium scale industries) Role and importance of entrepreneurs in economic development Supports available from government and other sources for establishing an enterprise Soft skills for the entrepreneurs, etc.

Topics of EDP Motivation of entrepreneurs - It is one of the most challenging aspects of EDPs that is critical for motivating and encouraging an aspiring entrepreneur for establishing a venture. 3. Managerial know how ◦ To establish and run an enterprise knowledge and understanding of managerial principles is desirable. ◦ It is imperative to impart basic and specific knowledge regarding important managerial functions like finance, marketing, production, etc. 2.

Topics of EDPs External help 4. 5. Government and some of the non-government organizations render necessary supports to entrepreneurs/small scale industries. The participants of EDPs are given knowledge about obtaining support from such sources. Feasibility report - Knowledge about preparation and analysis of project feasibility report is provided. 6. Enterprise visits - Finally plant/ industrial visits are arranged so as to give a feel of real life situations to establish and run an enterprise.

Managing Competition � Essential to sustain in the business and run it profitably. � To expand build a strong brand from a small enterprise, knowledge of competition and competitors are essential. � Globalization has raised the level of competition. � A meticulously designed and well executed business and marketing plan helps in effectively address the challenges of competition. � For the formulation of effective market strategy, an entrepreneur must identify and study his competitors and potential customers. � An enterprise should find out its competitors by adopting marketing and industry based analysis. � An understanding and knowledge about the strategies, objectives, strengths and weaknesses of the competitors help entrepreneur manage the

Categories of Organizations From competition's view point organizations can be categorized as a) Market leader �A market leader possess largest market share. �In order to remain dominant, market leader searches for ways to expand total market demand, tries to protect its current market share and even tries to increase the market share. b) Market challenger �A market challenger targets the market leader and other organization in an aggressive way to capture higher market share by adopting general as well as specific strategies.

Categories of Organizations c) Market follower �A market follower is a runner up organization which is interested to maintain its market share. d) Market nicher strategy. �A market nicher caters to small market not served by larger enterprises. � Entrepreneur needs to monitor the moves of these organizations to remain secured as well as improve its status in the market by successfully handling the market competition.