Entrepreneurial ch 2
Psychic risk
FAILURE
Entrepreneurs know where they want to go.
They have a vision or concept of what their firms can be.
ethics
a set of principles prescribing a behavioral code that explains what is good and right or bad and wrong
code of conduct
a statement of ethical practices or guidelines to which an enterprise adheres.
failure
a venture not being able to survive as caused by inexperience or incompetent management
having identified these causes , entrepreneurs then can combat excessive stress by
acknowledging it's existence, Developing coping mechanisms, and probing unacknowledged personal needs.
entrepreneurial mind-set
all the characteristics and elements that compose the entrepreneurial potential in every individual
external optimism
allows others to believe in them during rough periods
entrepreneurial persistence
an entrepreneur's choice to continue with an entrepreneurial opportunity regardless of counter influences or other enticing alternatives
entrepreneurial behavior
an entrepreneur's decision to initiate the new venture formation process
Entrepreneurial Cognitive
as the knowledge structures that people use to make assessments, judgments, or decisions involving opportunity evaluation, venture creation and growth
Stress
can be viewed as a functional of discrepancies between a persons expectations and ability to meet demands, as well as discrepancies between the individuals expectations and personality.
The desire for independence and autonomy
does not preclude the entrepreneurs' desire to build a strong entrepreneurial team.
entrepreneurial experience
emerge as a function of the novel, idiosyncratic, and experiential nature of the venture creation process involving three parallel, interactive phenomena: emergence of the opportunity, venture, and the entrepreneur
Family and social risk
entrepreneurs expose their families to the risks of an incomplete family experience and the possibility of permanent emotional scars
Dark side of Entrepreneurship
exists, and its destructive source can be found within the energetic drive of successful entrepreneur
Entrepreneurs face a number of different type of risks.
financial risk, career risk, family and social risk and psychic risk
unethical behavior does not take place in business. why? few possible explanations
greed, distinctions between activities at work and activities at home, a lack of foundation in ethics, survival ( bottom line thinking) ,and a reliance on other social institutions to convey and reinforce ethics
Successful Entrepreneurs
highly qualified, well- motivated team that helps handle the venture's growth and development
Metacognitive model
integrates the combined effects of entrepreneurial motivation and context, toward the development of metacognitive strategies applied to information processing within an entrepreneurial environment
social cognitive theory
introduces the idea of knowledge structures mental models that are order in such a way as to optimize personal effectiveness within given situations
risk
involves uncertain outcomes or events. the higher the rewards the greater the risk.
Cognition
it refers to mental processes. these processes include attention, remembering, producing and understanding language, solving problems and making decisions.
SIx specific ways to cope with stress
networking, getting away from it all, communicating with employees, finding satisfaction outside the company, delegating and exercising rigorously
in addition to the roles and environment experienced by entrepreneurs
stress can result from a basic personality structure.
Cognitive Adaptability
the ability to be dynamic, flexible, and self-regulating in one's cognition given dynamic and uncertain task environment
Financial risk
the money or resources at stake for a new venture
Successful entrepreneurs start with
the opportunity and let their understanding of it guide other important decisions
Grief recovery
the traditional process of recovering from grief involves focusing on the particular loss to construct an account that explains why the loss occurred
entrepreneurial motivation
the willingness of an entrepreneur to sustain his or her entrepreneurial behavior
Type A Behavior
this personality structure describes people who are impatient, demanding, and overstrung
role failure
unethical acts against the firm involving a person failing to perform his or her managerial role
role distortion
unethical acts committed on the basis they are " for the firm" even though they are not.
role assertion
unethical acts involving people who represent the company by helping the firms long term
rationalizations
what managers use to justify questionable conduct
Career Risk
whether an entrepreneur will be able to find a job or go back to an old job if his or venture fails