Entrepreneurship

Entrepreneurship

Glenn Muske Micro Business Specialist Oklahoma State University

Outline

   Entrepreneurship – Myths – Defined – Opportunity, Risk and Reward – What the social sciences tell us Entrepreneurs and the community – Entrepreneurs vs. small business owners & others – Role of entrepreneurs in the local economy – Building an entrepreneurial community Entrepreneurial examples  Special entrepreneurial situations  Final thoughts CM 4.02 Am I An Entrepreneur 3

Personal Passion

The freedom to pursue personal passion leads many to start businesses.

“Nothing great in the world has been accomplished without passion.”

George Wilhelm Friedrich Hegel German Philosopher (1770-1831) CM 4.02 Am I An Entrepreneur 4

1.

Questions often asked but aren’t the most important What can I do? What business should I start?

2.

Can I get a grant?

3.

What business will earn lots of money?

4.

What about e-commerce?

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1.

Questions often not asked but should be!!

Am I an entrepreneur?

2.

Is there a market?

3.

Can I profitably tap that market?

4.

How do I get to market?

- E-commerce is just a means to market CM 4.02 Am I An Entrepreneur 6

The Myths of Entrepreneurship

Myth #1

 Get Rich Quick!

 Truth is – Life as an entrepreneur is not about money.

– Success rarely happens overnight.

– It's about what you want to do with your life.

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Myth # 2

 You must be born an entrepreneur (trait theory)  Truth is: – some of the most successful entrepreneurs are the most unlikely.

– It is a lifestyle choice, not an accident.

9 CM 4.02 Am I An Entrepreneur

Myth # 3

 You must be at the right place at the right time (environment theory)  Truth is: – successful entrepreneurs operate whatever the macroeconomic and structural factors are 10 CM 4.02 Am I An Entrepreneur

Myth # 4

 "I'll have all this free time…"  Truth is entrepreneurs work many hours – advantages are:  control of time  variety of tasks CM 4.02 Am I An Entrepreneur 11

 It get easier.

Myth # 5

 Truth is it gets more challenging – must work faster, smarter & longer – must enjoy the battle CM 4.02 Am I An Entrepreneur 12

Myth # 6

 If you build it, they will come.

 Truth is building your business is just the start.

Next is the real work: – planning – timing – strategizing and more.

13 CM 4.02 Am I An Entrepreneur

Myth # 7

 It's all about the bottom line.

 Truth is that the bottom line is necessary but not sufficient – purpose and meaning to the business – inspire customers and employees CM 4.02 Am I An Entrepreneur 14

Myth # 8

 Entrepreneurs are risk takers  Truth – Entrepreneurs are calculators – Studies show entrepreneurs are only moderate risk takers CM 4.02 Am I An Entrepreneur 15

Myth # 9

 You have to have a great idea  Truth – Your idea must be good – Your idea must be doable – Your idea must be wanted or needed – Your idea must be priced right CM 4.02 Am I An Entrepreneur 16

Myth # 10

 It takes a lot of money  Truth – Over 50% start for under $10,000 – Also look for  Certain business types  Turn-around situations  Possibility of using other people’s money CM 4.02 Am I An Entrepreneur 17

Entrepreneur’s goal is

“to create or capitalize on new economic opportunities through innovation   By finding new solutions to existing problems Or by connecting existing solutions to unmet needs or new opportunities” SOURCE: Lichtenstein & Lyons, Incubating New Enterprises: A Guide to Successful Practice, 1996 18

Entrepreneurship Definitions:

1.

2.

3.

Creation of an innovative economic organization for the purpose of gain or growth under conditions of risk and uncertainty Self-employment through business ownership that includes significant elements of risk, control, and reward (Coleman Foundation) Organizing a business venture assuming a certain amount of risk to make a profit (Burns and Bolton) 19 CM 4.02 Am I An Entrepreneur

More Definitions:

 Profits from bearing uncertainty and risk  Purposeful activity to initiate and develop a profit-oriented business  Moderate risk taking  Creation of new organizations  The pursuit of opportunity without regard to resources currently controlled CM 4.02 Am I An Entrepreneur 20

Entrepreneurship: Basic Elements

1.

2.

3.

4.

Opportunity recognition Creation and/or innovation Resource gathering and the founding of an economic organization Desiring the chance for gain while accepting risk and uncertainty CM 4.02 Am I An Entrepreneur 21

Other Entrepreneurial Motivators

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?? Tell a time when you were entrepreneurial ??

Were you successful??

Opportunity Recognition

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An Entrepreneurial Opportunity defined:

 A situation in which changes in which changes in technology, or economic, political, social, and demographic conditions generate the potential to create something new or to remarket something existing. 26 CM 4.02 Am I An Entrepreneur

Entrepreneurial Opportunity Grid

Market Existing Product/Service Existing Market Penetration New Market Development New New Offering Development Diversification

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What are opportunities?

 Small steps  Little jumps  Huge leaps CM 4.02 Am I An Entrepreneur 28

"Don't be afraid to take a big step if one is indicated; you can't cross a chasm in two small jumps." David Lloyd George CM 4.02 Am I An Entrepreneur 29

Opportunities can be...

      Technical or scientific Political and regulatory   Social & demographic changes New raw material Process or production method  Product obsolescence Organizing New market and marketing Personnel   Corporate stagnation One-product vulnerability  Chance CM 4.02 Am I An Entrepreneur 30

Think like a…..

 Manager – Problem solving  Entrepreneur – Opportunity Exploitation CM 4.02 Am I An Entrepreneur 31

Opportunities

 External – Unexpected event – Technology changes and convergence – Change in methods – Demographics/market – size, – Changes in competition  Internal  Other methods CM 4.02 Am I An Entrepreneur 32

The Opportunity Myth An Idea does not equal an

Opportunity

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Creation & Innovation

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Creativity “ Imagination is more important than knowledge” -

Einstein CM 4.02 Am I An Entrepreneur 35

The Creative Process

 Planning & definition – focus on building the RIGHT product  Design, demonstration & customer support – focus on building the product RIGHT CM 4.02 Am I An Entrepreneur 36

Customer requirement Technology Product solution NOT Product Find a consumer CM 4.02 Am I An Entrepreneur 37

Basic questions

 What is the customer’s need?

–How large is the opportunity?

–How likely is it to happen?

–What is the market timing?

–Is it aligned with our organizational strengths?

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Time is money!

Delays give others time to develop the same product.

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Reduce product development time by 1/3 & you will triple profits & growth.

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Exercise

 In groups of 3-4, think of 3 things you have observed externally lately that would be a potential business opportunity. CM 4.02 Am I An Entrepreneur 41

Resource Gathering

Resourced-based Theory of Entrepreneurship

Dimensions of Entrepreneurship

Individual Characteristics Environment New Venture Creation Organization Constraints in the Environment CM 4.02 Am I An Entrepreneur 43

Resource

 any thing or quality that is useful  used to develop sustainable competitive advantage  heterogeneous & immobile – you have them, others cannot easily get them CM 4.02 Am I An Entrepreneur 44

Strategic Resources

 Valuable – Exploit an environmental opportunity  Rare – Not enough for all competitors  Imperfectly imitable – Cannot be merely copied  Non-substitutable 45 CM 4.02 Am I An Entrepreneur

Competitive Advantage

No Advantage Common Readily available & cheap Ordinary

Resource Dimension

Valuable Rare Imitable Advantage Exploits opportunities Unique & expensive Complex & ambiguous Many & easy Difficult 46

Types of Resources

 Financial  Physical  Human  Technology  Reputation  Organizational CM 4.02 Am I An Entrepreneur 47

Risk and Reward

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If the business succeeds, the entrepreneur reaps the reward of profits; if it fails, one takes the loss.

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Business Failure Rate

80 60 40 20 0 0 2yrs 5yrs 6yrs 8yrs Number of business failures per 100 start-ups

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Statistics

 10% of small businesses fail each year  40 - 80% of small businesses do not survive for 5 years  Most small businesses closures do not result in uncovered liabilities  Majority of small business owners who fail will start another business 51 CM 4.02 Am I An Entrepreneur

Why do businesses fail?

– 2 general categories  Financial  Nonfinancial CM 4.02 Am I An Entrepreneur 52

Financial Reasons

   Lack of record keeping  Inadequate financial forecasting and review   Under-capitalized Poor cash flow planning Lack of accounting training Excessive debt 53 CM 4.02 Am I An Entrepreneur

Nonfinancial Reasons

 Loneliness  Lack of management skills and training      Little passion Impact of regulations Inefficiency Inexperience Lack of planning CM 4.02 Am I An Entrepreneur 54

"I never failed once. It just happened to be a 200l-step process."

Thomas A. Edison CM 4.02 Am I An Entrepreneur 55

Rewards

???

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"In the realm of ideas everything depends on enthusiasm, in the real world all rests on perseverance." Johann Wolfgang von Goethe CM 4.02 Am I An Entrepreneur 57

The Social Sciences on “What Makes an Entrepreneur”

Trait Theory

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Energy/motivation

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Business orientation

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Business attitude

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People skills

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http://www.sba.gov/starting_business /startup/entrepreneurialtest.html

http://www.toolkit.cch.com/tools/dow nloads/swchek.rtf

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Personality Characteristics

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Need for achievement

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Locus of control

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Risk-taking propensity

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Career Anchors

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Motivate vocational choices

    

Technical Managerial Security Creativity Autonomy

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Sociological Characteristics

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Negative displacement

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Between things

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Positive pull

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Positive push

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Situational Characteristics

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Perceptions of desirability

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Perceptions of feasibility

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Entrepreneurial event

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Desires

Change: –Your life –A product or service –The environment CM 4.02 Am I An Entrepreneur 65

Entrepreneurs and the Community

Creation Attraction Retention Expansion

CARE Model

(Dr. Mike Woods, Jack Frye, & Stan Ralstin) CM 4.02 Am I An Entrepreneur % of New Jobs Created Attraction - 1% Retention & Expansion – 44% Creation – 55% 67

We all want to find the next gazelle!!

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Entrepreneurs vs. Small Business Owners

Carland, Hoy, Boulton, & Carland

argue they are different - Entrepreneurs and entrepreneurial businesses involve innovation & growth Entrepreneurs goal-orientation is different - financial success vs. other criteria - need for achievement/power Entrepreneurs use strategic management practices 69 CM 4.02 Am I An Entrepreneur

Small Business

Independently owned and operated, not dominant in its field, and does not engage in any new marketing or innovative practices Owner – Establishes and manages for purpose of furthering personal goals. Business is primary source of income & consumes majority of time & resources. Owner perceived business as extension of personality, intricately bound with family needs and desires. 70 CM 4.02 Am I An Entrepreneur

Entrepreneurial Venture

Engages in growth and profitability and innovation by introducing new products, new processes, opening new markets, or reorganizes the industry Entrepreneur – Establishes and manages the business for growth and profit. Is innovative and employees strategic management practices. CM 4.02 Am I An Entrepreneur 71

??QUESTION??

Are entrepreneurs and small business owners the same thing?

Why??

Why not??

Does rural make a difference??

72 CM 4.02 Am I An Entrepreneur

Comparing Entrepreneurs to Managers and Leaders

Entrepreneur Manager Leader

Innovates Creates Administers Maintains Innovates Develops Sees opportunities Asks how and when See problems Asks how and when Makes it happen Does things right Sees the future Asks what and why Uses influence Builds the team Relies on control Inspires trust CM 4.02 Am I An Entrepreneur 73

Entrepreneurship is a style and a general method of operating, not just a set of business skills.

Jerry Gustafson Beloit College 74 CM 4.02 Am I An Entrepreneur

Entrepreneurs

People who create and grow enterprises  Aspiring entrepreneurs   Survival entrepreneurs Lifestyle entrepreneurs   Growth entrepreneurs Serial entrepreneurs  Social entrepreneurs

Entrepreneurs and the Community

What they bring

Does it matter what they are called?

Both:  Add income to the household and jobs and wealth to the community     Add economic strength to a community Add stability to a community Provide the owner with the ability to achieve his or her goals Create new opportunities within the community - Multiplier CM 4.02 Am I An Entrepreneur 77

Who entrepreneurs are?

 Classified as: – Small business – Micro business – Home-based business – Family business  Also: – Underground economy – Informal economy – Formal economy CM 4.02 Am I An Entrepreneur 78

Metro, Micro, Rural Comparison

20% of OK households own & run a business Metro (n=146) Micro (n=54) Rural (n=46) Primary bus.

Family bus.

Home-based Spouse in bus.

Service Construction Retail 62% Ag/For/Fish Service Ag/For/Fish Construction, Retail FIRE & Service 74% 78% 66% 63% 70% 48% 46% 65% CM 4.02 Am I An Entrepreneur 79

Metro, Micro, Rural Comparison

Avg # empl Gross inc.

- Mean - Median Metro (n=146) 1.83

$241,891 $49,000 Micro (n=54) 2.04

$333,589 $35,000 Rural (n=46) 2.11

$162,190 $40,000 CM 4.02 Am I An Entrepreneur 80

The numbers

      Small businesses – 16 million nonfarm – OK – 290,000 (employer & nonemployer) 50% of private workforce – OK – 54% Create 2/3 of all new jobs 52% of all nonfarm output Micro businesses – ???

– OK – 270,000 – 94% + 84,000 farm/ranch operations CM 4.02 Am I An Entrepreneur 81

The numbers

 Family businesses – 12.7% of households – OK – 185,000 - $6.5 billion inc transferred to family – South – 3.3 million - $109 billion transferred – U.S. – 9.7 million - $348 billion transferred  Home-based businesses – 5% - 18% of hh – OK – 67,000 – 176,000 - $1 - $6.2 billion/year 82 CM 4.02 Am I An Entrepreneur

Creating Entrepreneurial Communities

People Formal Institutions Informal Organizations

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Entrepreneurial Communities

4 types 1. Those that develop entrepreneurs 2. Those that act entrepreneurially 3. Those that do both 4. Those that do neither CM 4.02 Am I An Entrepreneur 84

Entrepreneurship development the infrastructure of public and private supports that facilitate entrepreneurship Entrepreneurial communities those where significant economic and social entrepreneurial activity exists and where there is an effective system of entrepreneurship development SOURCE: WK Kellogg Foundation 85

1.

2.

3.

Entrepreneurial Communities

Has critical mass of entrepreneurs actively engaged in capturing new market opportunities Group of entrepreneurs recognizable within the community Community as a whole is entrepreneurial Social capital (Floras) Human capital-diversity (Florida) Clusters (Porter) Public-Private Partnerships (Tupelo-Grishom) Innovative Infrastructure (Feldman) CM 4.02 Am I An Entrepreneur 86

Theory Expansion

  Social capital – Trust, networks, reciprocity, and collective action – Horizontal, vertical, and flexible (not in the group at all times) Human capital – Education  Beyond high school  Continuous and life-life long  Include specific and general  Inclusive – pre-K – older citizen  Just-in-time – Knowledgeable and involved citizens 87 CM 4.02 Am I An Entrepreneur

Theory Expansion

 Clusters – Why? – Based on economies of scale, technology transfer & availability of human capital (Eric Scorsone, Industrial clusters: Enhancing rural economies through business linkages, SRDC 21 st Century Series)  Innovative infrastructure – Basics plus items such as a visionary government, day care, & technology 88 CM 4.02 Am I An Entrepreneur

1.

2.

3.

4.

5.

Creating an Entrepreneurial Climate Entrepreneurship must be an explicit economic development strategy Community must embrace and nurture entrepreneurs – Goal - A continuous pipeline of entrepreneurs a. Supportive public policies b. Balances regulations with business needs c. Education – early & on-going, formal and nonformal Access to capital – banks, investment, angels Access to quality workers Recognize entrepreneurial efforts CM 4.02 Am I An Entrepreneur 89

Enterprise Development

“Assistance to entrepreneurs in support of the creation, growth, and survival of their businesses”

Koven & Lyons (2003) nonprofit, private, public service providers youth entrepreneurship programs micro enterprise programs business incubators manufacturing network small business development centers angel capital networks revolving loan funds 90

Nurturing of Entrepreneurs

     Mentors and coaches Business/management assistance & support – Coordinated, seamless, and local Access to technology Technical assistance Inclusion of all into events, programs, & groups CM 4.02 Am I An Entrepreneur 91

Other Examples: How Communities Can Help

 Purchase locally   Help create new local businesses Develop human resources  Initiate local investment strategies (endowments, fundraising, micro loan programs)  Free-up potentially productive space  Mobilize external resources CM 4.02 Am I An Entrepreneur 92

Challenges for Sustainable Rural Economic Development

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3.

Translating models to place based strategies - no silver bullet Implement strategy with tangible benefits - taxpayers see return on investment Need to create good jobs - self-sustaining wages CM 4.02 Am I An Entrepreneur 93

Challenges for Sustainable Rural Economic Development

(cont.) 4.

5.

Need for strategies that build on all assets - young, old, men, women, ethnicities Shortage of resources in most small towns.

SOURCE: Emery, Wall, Macke, 2004 94

Shortcomings of Enterprise Development

#1 Tool-Driven-Not Needs-Focused Worked one-place and one-time Solutions in search of a client base Voice of the customer-the entrepreneur-is missing Entrepreneurial Needs Hard for entrepreneurs to articulate Entrepreneurs may not trust those asking the questions Entrepreneurs difficult to identify and reach SOURCE: Lichtenstein, Lyons, Kutzhanova, 2004 CM 4.02 Am I An Entrepreneur 95

Shortcomings of Enterprise Development

(continued) #2 Fragmented and Categorical “Creaming” – we need more than a quarterback #3 Too Little Focus on Execution Various gurus crisscross the country – then go home Gap between ideas and education #4 The Broken Learning Cycle Best practices vs. successful practices SOURCE: Lichtenstein, Lyons, Kutzhanova, 2004 CM 4.02 Am I An Entrepreneur 96

Shortcomings of Enterprise Development

(continued) #5 Focus on the Business, not the Entrepreneur #6 Missing Function: Responsibility for the Community’s Supply of Entrepreneurs #7 Funders, not Clients, Drive the Program #8 Impact is not Scalable Community-wide impact SOURCE: Lichtenstein, Lyons, Kutzhanova, 2004 CM 4.02 Am I An Entrepreneur 97

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Successful Entrepreneurial(?) Communities

Acceptance of Controversy Ability to Depersonalize Politics Surplus Income to Invest Willingness to Take Risks Ability to Define Community More Broadly Networking Ability Emphasis on Academics Flexible, Dispersed Leadership CM 4.02 Am I An Entrepreneur SOURCE: Flora and Flora 98

SOURCES FOR THIS PRESENTATION

Lichtenstein, Lyons, Kutzhanova

“Building Entrepreneurial Communities: The Appropriate Role of Enterprise Development Activities” Journal of the Community Development Society, 2004

Emery, Wall, Macke

“From Theory to Action: Energizing Entrepreneurship (E2), Strategies to Aid Distressed Communities Grow Their Own” Journal of the Community Society, 2004

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Entrepreneurs We Know

Do you know who they are?

 Stan Clark  Frank Epperson  Fred Smith  Bill Bowerman & Philip Knight  Dr. John Pemberton & Asa Chandler 101 CM 4.02 Am I An Entrepreneur

Do you know who they are?

 Jeff Bezos  Cohen and Greenfield  Ray Kroc  Tom Monaghan  Bill Gates  Howard Schultz 102 CM 4.02 Am I An Entrepreneur

Entrepreneurs

All are not equal, nor do they want to be!!

Entrepreneurs

People who create and grow enterprises       Aspiring entrepreneurs Survival entrepreneurs Lifestyle entrepreneurs Growth entrepreneurs Serial entrepreneurs Social entrepreneurs SOURCE: WK Kellogg Foundation CM 4.02 Am I An Entrepreneur 104

Family Business Names

Wal-Mart Ford Weyerhaeuser Michelin Gap Anheuser-Busch Tyson Foods Dillards Cargill Koch Industries Ikea Cox Communication Enterprise Rent-A-Car Hallmark Levi Strauss Kohler 105 CM 4.02 Am I An Entrepreneur

Family Businesses

    Generate 62% of nonfarm business receipts - $16.8 trillion in 1996 – Even greater impact in midwest economy Dominate form in agriculture, retail, wholesale, and distribution sectors Employ 54.8% of workforce – 69.5 million Provide higher than average household income and net worth – Only 1% of households are poor vs. 11% overall CM 4.02 Am I An Entrepreneur 106

Sustainable Family Business Model Available Resources and Constraints PROCESSES Time of Stability Interpersonal Transactions Resource Constraints Times of Change Interpersonal Transactions Resource Transactions Achievements Objective Success Subjective Success Disruptions in Family/Business Transactions Responses to Disruptions in Family/Business Transactions Available Resources and Constraints PROCESSES Time of Stability Interpersonal Transactions Resource Constraints Time of Change Interpersonal Transactions Resource Transactions CM 4.02 Am I An Entrepreneur Sustainability Achievements Objective Success Subjective Success

BUSINESS

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More info

  www.hce.osu.edu/fambus http://www.human.cornell.edu/ne167/ CM 4.02 Am I An Entrepreneur 108

Home-based Business Names

 Hewlet-Packard  Nike  Coke  Mrs. Fields Cookies  Microsoft  Dell 109 CM 4.02 Am I An Entrepreneur

Home-based Business Facts

Nine-state study (1988) – Typical home-based worker  44 year old male, married, with children, 14 yrs. education, & a homeowner  Mean gross business income - $53,164  Mean net business income - $15,628  Mean household income - $42,263 – Had medical insurance from some other source – As # children increased, number of work hours decreased (1 day per child on average) – Had greater longevity in the community 110 CM 4.02 Am I An Entrepreneur

Copreneurs

Defined – Couples in business together – 31% of family businesses – Have more children, lower educational levels, rural location, business manager earns less per year, more likely home-based, and have fewer employees – Make significantly less business income and business profits (by factor of 5) & feel business is less successful – Copreneurs more likely to view business as a way of life as opposed to a way to earn income 111 CM 4.02 Am I An Entrepreneur

Copreneurs cont.

– More likely to intermingle money between business and family – More often family to business  Also use more ways of intermingling – Approximately 20% of couples discontinued the copreneurial relationship (but stayed together as a couple) in a 3-year period  Made less money & saw the business as less successful.

– Another 20% started a copreneurial relationship  Made most money of all 3 groups, run by older men with more education, had fewer dependents, and spouse worked fewer hours in business.

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Value-Added Opportunities

Value-Added

Defined: Adding consumer-desired features to raw materials Done by: 1.

2.

3.

4.

Additional processing Marketing - change from the current method of distribution Use existing resources to produce a new, more valued product/service Some combination CM 4.02 Am I An Entrepreneur 114

Reap New Profits

: Marketing Strategies for Farmers & Ranchers

Farmers Markets

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“People don’t come all the way out here to get cheap food. They come because it’s fun and the berries are absolutely fresh.” -- Earnie Bohner, Persimmon Hill Berry Farm Pick Your Own CM 4.02 Am I An Entrepreneur 117

E N T E R T I A N M E N T F A R M I N G CM 4.02 Am I An Entrepreneur 118

O T H E R O P I T O N S  Farm Stands  Community supported agriculture (CSA)  Cooperatives  Restaurant sales  Mail order/ Internet/ Direct marketing CM 4.02 Am I An Entrepreneur 119

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Resources:

 USDA Sustainable Agriculture Research and Education (SARE) – www.sare.org  Farmers Markets www.ams.usda.gov/farmersmarkets  Alternative Farming Systems Info Ctr www.nal.usda.gov/afsic  USDA Farmer Direct Marketing www.ams.usda.gov/directmarketing  North American Direct Marketing Assn.

www.familyfarms.com

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Minorities and Women

General Information

    Small business ownership rates for women and minorities are increasing faster than for white males – Still men start new businesses at twice the rate of women – Women – 9.8% own businesses  Translates to over 50% of all businesses – Minorities – Ranges from 5% (Blacks) to 10.4% (Asian) Firm receipts average about 2/3 of all bus.

Proprietor income averages about 50% of all other businesses Firms employee fewer people 124 CM 4.02 Am I An Entrepreneur

Special Issues

 Access to capital  Acceptance by business community  Acceptance by family and friends  Networks are smaller and more family-focused  Most often in retail or service industries – Industries with highest failure rates and lowest profits CM 4.02 Am I An Entrepreneur 125

Barriers to Entrepreneurship

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8.

1.

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3.

A lack of: Steady stream of “want-a-be’s” “Can-do” attitude held by the entrepreneur and the community Coordinated, accessible, long-term support network Coaches and mentors Capital Available human capital Multi-faceted healthy community Supportive regulatory environment 127 CM 4.02 Am I An Entrepreneur

The man who makes no mistakes does not usually make anything."

Edward John Phelps, American lawyer and diplomat (1822 1900)

"Nothing great was ever achieved without enthusiasm."

Ralph Waldo Emerson CM 4.02 Am I An Entrepreneur 128

Highlights

Highlights

      Entrepreneurship is an ever-continuing, growing trend Entrepreneurs contribute to their household and to their community Entrepreneurship is a learned talent Entrepreneurs form our economic base Entrepreneurship allows people to remain in a community Communities can encourage entrepreneurship 130 CM 4.02 Am I An Entrepreneur

Entrepreneurs: - See opportunity - Are innovative in developing that opportunity through creativity and resource gathering - Seek gain while accepting risk and uncertainty CM 4.02 Am I An Entrepreneur 131

One Last Myth

The key to success is a great idea The keys are: Good idea

Great plan

Passion!

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How Extension can help?

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1.

Awareness of owner’s priorities 2. Comfort with subject matter One-on-one Mentoring Advocating Partnering Community support Awareness of other programs Education CM 4.02 Am I An Entrepreneur 134

Resources

 Southern Rural Development Center http://srdc.msstate.edu/  Kansas City Federal Reserve Bank – Center for the Study of Rural America http://www.kc.frb.org/RuralCenter/RuralMain.htm

 Rural Policy Research Institute (RUPRI) http://www.rupri.org/ CM 4.02 Am I An Entrepreneur 135

Resources cont.

 Adult – Cashing In On Business Opportunities – NeXt Level/Fasttrac/other commercial – OSU  Putting It All Together  Food Based Business: The Owner’s Guide  An Exploration of Entrepreneurship  Visual Merchandising – Educational program – Demonstration program  Mapping Your Marketing Future – Magazines, i.e. Entrepreneur CM 4.02 Am I An Entrepreneur 136

Resources cont.

 Youth – Mini-Society – Be the E: Entrepreneurship (4-H CCS) – http://youngbiz.com/ – http://www.celcee.edu/ - clearinghouse  General – http://www.entre-ed.org/index.htm

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Entrepreneurship

Glenn Muske Micro Business Specialist Oklahoma State University