New Business Ventures CH. 1, 2, 3

Hurdles

Inaction Taking the right actions

Entrepreneur

Founder/ Manager of the business

Specialized Professionalization

Founders or owners are passionate about one or two of the key business functions.

3 types of rewards

Growth Rewards Income Rewards Flexibility Rewards

Entrepreneurial Operational Competencies

Key Business Functions Industry Specific Knowledge Resource Competencies Determination Competencies Opportunity Competencies

Myths about Small Businesses

Not enough financing You can't start a business during a recession To make profits, you need to make something If you fail, you can never try again Students don't have the skills to start a business Ninety percent of all new businesses fail within two years

Testing and Validation

Reaching out to 100 friends Technical Issues (making website) Marketing and branding (finding logo) Bootstrapping versus hiring (what youre will to do, what youre willing to spend Getting 100 test subjects Survey Monkey

2 Government Agencies for Small Businesses

SBA: Small Business Administration SBDC: Small Business Development Center

Wantrapreneur

Someone who wants to start a business but never follows through with it

Organizational Identity

composed of the name, description, and distinctive elements of a firm, such as trademarks, uniforms, logos, characters and stories part of the BRIE model

Bootstrapping

using low-cost or free techniques to minimize your cost of doing business

Sustainable Entrpreneurship

An approach to operating a firm or a line of business which identifies, creates, and exploits opportunities to make profit in a way that can minimize the depletion of natural resources

The Idea Phase

Brainstorming and putting together business competencies Building a prototype

Planning Styles of Entrepreneurs

Comprehensive (long term) Critical Point (most important first) Opportunistic (start with a goal) Reactive (passive) Habit (dont plan)

Boundary

Creating a place for your business- in location and in peoples minds

Minimalized business professionalization

Entrepreneur figures that "good enough" is all that is necessary to keep the business going.

Components of Small Business Environment

External Environment Task Environment Internal Environment Organizational Culture

Professionalization

The extent to which a firm meets or exceeds the standard business practices for its industry.

business environment

The sum of forces outside the entrepreneur and the firm

Expert Business

Those which you notice everything seems to be done in the best way possible. Firm has exceeded the standard business practices of the industry.

Standard Business Practice

a business action that has been widely adopted within an industry or occupation

Legitimacy

belief that a firm is worthy of consideration or doing business with because of the impressions or opinions of customers, suppliers, investors, or competitors.

social entrepreneurship

doing business for a social cause, help support social, cultural or environmental issues.