Transcript File

ENTREPRENEURIAL
FEELINGS
CHAPTER 3
ENTREPRENEURIAL FEELINGS

Entrepreneurs come from a variety of back
grounds, family situations & work
experiences
LOCUS OF CONTROL
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“an attribute indicating the sense of control that
a person has over life”
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Internal locus of control
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These people believe that they can control their own destiny
& make decisions at their own.
External locus of control
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These people believe that their lives are controlled by
outside forces & external forces influence their decisions.
Checklist for Feelings About
Control
1.
2.
3.
4.
Do you often feel “that’s just the way things are
and there’s nothing I can do about it”?
When things go right and are terrific for you,
do u think, “its mostly luck”?
Do you think you should go into e-business
because everything you read these days is
urging you in that direction?
Do you know that if you decide to do
something, you’ll do it and nothing can stop
you?
Checklist for Feelings About
Control
5. Even though it’s scary & risky to try something
new, are you the kind who tries it?
6. Do you think it’s important for everyone to like
you?
7. If u wants something, do you ask for it rather
than wait for someone to notice you and “ just
give it to you”?
8. Even though people tell you “it can’t be done,”
do you have to find out for yourself?
Checklist for Feelings About
Control

Answering yes to Q’s 4,5,7,8 indicates that
you possess the internal control aspect of
being an entrepreneur.

Answering yes to Q’s 1,2,3,6 indicates that
you are more geared towards external
controls which may hinder your
entrepreneurial tendencies.
Feelings About Independence
and Need for Achievement

Need for independence

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“Being one’s own boss” – one of the strongest needs
of an entrepreneur.
Need for achievement

“An individual’s need to be recognized”.
Check list about Feelings About
Independence
1. I hate to go shopping for clothes alone
2. If my friends won’t go to a movie I want to see, I’ll go by myself
3. I want to be financially independent.
4. I often need to ask other people’s opinions before I decide on
important things
5. When I know I’m in charge, I don’t apologize; I just do what has to be
done
Check list about Feelings About
Independence
6. I’ll speak up for an unpopular cause if I
believe in it
7. I’m afraid to be different
8. I want the approval of others
Check list about Feelings About
Independence

Answering yes to Q’s 1,4,7,8 indicate that
you do not have a strong need for
independence.
Risk Taking
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
Risk taking—whether financial, social, or
psychological—is a part of the
entrepreneurial process.
Successful entrepreneurs are not
gamblers
They manage risks by transferring it to
others (share financial & business risks)
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Partners
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Venture capitalists


professional investors Investing in business
Angel investors

Wealthy private investors who invest in regional or local
companies within their industry or area of professional
expertise
www.ventureworthy.com
http://tremu.gov.pk/forum/display_forum_topics.asp?ForumID
=16
www.tplinc.com
www.angel-investor-news.com

www.atrc.net.pk
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Check list about Willingness to
take Risk
1.
2.
3.
4.
5.
If you are frightened of something, will you try
to conquer the fear?
Do you hesitate trying new foods, new places,
and totally new experiences?
Can u walk up a total stranger & strike up a
conversation?
Have you ever intentionally traveled an
unfamiliar route?
Do you need to know that it’s been done
already before you’re willing to try it?
Check list about Willingness to
take Risk

Answering yes to Q’s 2,5 indicates that u
need to develop a greater willingness to
take risk.
Entrepreneur Background and
Characteristics

The background areas explored include:
Child hood family environment
 Education
 Age
 Work History
 Feed back
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Childhood Family Environment
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Family environment of an entrepreneur
includes
Birth order
 Parents Occupation
 Social Status
 Relationship with parents
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Education

Education is important in the upbringing of
the entrepreneur.
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The ability to deal with people and
communicate clearly in the written and
spoken word is also important in any
entrepreneurial activity.
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Colonel Sanders
Henry Ford
Age

entrepreneurial age (the age of the
entrepreneur reflected in the experience)
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In terms of chronological age, most
entrepreneurs initiate their entrepreneurial
careers between the ages of 22 and 45.
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Colonel Sanders
Doris Drucker
Work History
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The past work
individual
Learn by doing
experience
of
an
Feed Back
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Actively use & seek feed back
Learning from mistakes & setbacks
Excellent listeners & quick learners
Not afraid of failing
Sources of Motivation
Role Models
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Individuals influencing an entrepreneur’s
career choice and style
Moral-Support Network
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Individual who give psychological
support to an entrepreneur
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friends provide honest advice
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Relatives (spouse,children, parents,
grandparents, aunts, and uncles) can
also be strong sources of moral support,
particularly
if
they
are
also
entrepreneurs.
Professional–Support Network
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A mentor
Business associates
Trade associations
Personal affiliations
A mentor
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A coach, an advocate, who provides
guidance - someone with whom the
entrepreneur can share both problems &
successes
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Mentor finding process
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Make a list of experts in various fields
Identify the individual who can provide the most
assistance
Contact the individual
Business associates
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Self employed individuals who have
experience starting a business
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Clients or buyers of venture
product/service
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Lawyers
Trade associates
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Trade associations keep up with new
developments
Provide over all industry data
Personal affiliations
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Affiliations developed through
Shared hobbies
 Participation In sporting events
 Clubs
 School alumni groups
 Online community
Are excellent potential sources of referrals,
advice & information
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A look at the non entrepreneurial
mind
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Personality types that have a difficult time in
successfully creating & managing a new venture
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Invulnerability
Machismo
Anti-authoritarian
Impulsivity
Outer control
Perfectionist
Know it all
Counter dependency
Invulnerability
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Nothing disastrous could happen to them
Likely to take unnecessary chances &
unwise risks
Machismo
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People who try to prove that they are
better than others and can beat them
Exposing themselves to danger, taking
large risks
Foolish head-to-head competition &
irrational takeover battles
Anti-authoritarian
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Dislike control of their actions by any
outside authority
Do not tell me what to do!!,,no one can tell
me what to do!!
No feed back
Impulsivity
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Taking decisions quickly
Fail to explore the implication of their
actions
Do not review alternatives before acting
Outer control
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Outer locus of control
They feel that they can do little
If things go well, they attribute it to good
luck
Perfectionist
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Being a perfectionist & having high
standards are not the same
The time & cost implications of attaining
perfection invariably result in the
opportunity window being slammed shut
by a more decisive & nimble competitor
Know it all
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Entrepreneurs who think they have all the
answers usually have very few
Fail to recognize, what they do not know
Counter dependency
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Severe case for independence
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Determined to accomplish things by
themselves, without help from anyone