Chapter 2

Resource Competencies

Ability or skill of the entrepreneur at finding expendable components necessary to the operation of the business such as the time, information,location, financing, raw materials, and expertise.

Cognition

A person's way of perceiving and thinking about his/her experience.

Promotion Focus

An entrepreneur's attention to maximizing gains and pursuing opportunities likely to lead to gains.(3 of 5P's of Entrepreneur Behavior)

Standard Business Practice

Business action that has been widely adopted within and industry or occupation (5P's of Entrepreneur Behavior).

Habit driven Planners (Planning Style)

Entrepreneurs who do not plan, preferring to let all actions be dictated by their routines. (5P's of Entrepreneur Behavior)

Opportunistic Planners (Planning Style)

Entrepreneurs who start with a goal instead of a plan and look for opportunities to achieve it. (5P's of Entrepreneur Behavior)

Reactive Planners (Planning Style)

Entrepreneurs with a passive approach, who wait for cues from the environment to determine what actions to take. (5P's of Entrepreneur Behavior)

Professionalization

Extent to which a firm meets or exceeds the standard business practices for its industry. (5P's of Entrepreneur Behavior)

Passion

Intense positive feeling an entrepreneur has towards the business or idea behind it. (1 of 5P's of Entrepreneur Behavior)

Expert Business Professionalization

Situation that occurs when all major functions of a firm are conducted according to the standard business practices of its industry. (5P's of Entrepreneur Behavior)

Specialized Business Professionalization

Situation that occurs when businesses have founders or owners who are passionate about one or two of the key business functions, such as sales, operations, accounting, finance, or human resources. (5P's of Entrepreneur Behavior)

Minimalized Business Profesionalization

Situation that occurs when the entrepreneur does nearly everything in the simplest way possible. (5P's of Entrepreneur Behavior)

Perseverance

The ability to stick with some activity even when it takes a long time and its outcome is not immediately known. (2 of 5P's of Entrepreneur Behavior)

Role Conflict

The kind of problem that arises when people have multiple responsibilities such as parent and boss and the different responsibilities make different demand on them.

Critical Point Planners (Planning Style)

Entrepreneurs who develop plans focused on the most important aspect of the business first. (5P's of Entrepreneur Behavior)

Determination Competencies

Skills identified with the energy and focus needed to bring a business into existence.

Prevention Focus

An entrepreneur's attention to minimizing losses, with a bias toward inaction or protective action to prevent loss. (3 of 5P's of Entrepreneur Behavior)

Comprehensive Planners (Planning Style)

Entrepreneurs who develop long range plans for all aspects of the business. (5P's of Entrepreneur Behavior)

Succession

The process of intergenerational transfer of a business.