SOCIAL ENTREPRENEURSHIP
enterprise managed and operated by an owner who is
Social Entrepreneurship create innovative solutions to
immediate social problems and mobilizes the ideas,
Capacities, resources, and social arrangement required
for sustainable social transformation
Function of Social Entrepreneurship
•To create and maintain a stable level of employment.
•Create jobs and provide support to socially vulnerable
groups.
•Social Entrepreneurship promotes development of
entrepreneurial skills.
•Compensating countries narrow place.
•Social Entrepreneurs create social innovation and
change in various areas, including education, health,
environment and business development.
•Social Entrepreneurship reduces poverty risk.
INTRODUCTION TO ENTREPRENEURSHIP
ENTREPRENEUR
originates from the French word “entreprendre”
which means “to undertake”.
It connotes a business paradigm which signifies the
start of a business undertaking.
ENTREPRENEURSHIP
comes from the word entrepreneur
It refers to a particular field of practice or process, as
compared to an entrepreneur which is a person
practicing entrepreneurship. Comparatively, the
relationship is like that of a manager and the
management in which a manager is a person who
practices correctly the concept of management.
SMALL VS. ORDINARY SMALL BUSINESS
Small Business- refers to a business or enterprise that
correctly adopts and practices the principles of
entrepreneurship.
-It is ownedby oneperson with a limitedworkforceof not
more than 20 persons.
-Also includes the small and medium enterprises (SMEs)
Ordinary Small Business - pertains to a business
not an advocate of and does not practice the concepts
and principles of entrepreneurship.
RELEVANCE OF THE COURSE
Salient Features of Entrepreneurship
 Art of Correct Practices
 Wealth-Creating Venture
❑Profit–represents the excess income or
revenue from the cost and expenses.
❑Wealth- defined as the abundance of money,
property or possession. It is created when the
benefits derived by the owner in providing
goods and services to the customers are
abundant enough to cover the costs incurred by
the business.
 Providing Values to Customers
 Opening and Managing Self-Owned
Business
❖Business that are being managed by
others for the benefit of the owners do not
fall within the sphere of entrepreneurship,
such business are operating under the
concept of INTRAPRENEURSHIP.
❑Planning– is an important principle in
management. It refers to the process of
setting the goals of the business.
 Risk-Taking Venture
❑Business risk pertains to the risk in
entrepreneurship.
KEY CONCEPTS CORE
THEORIES IN ENTREPRENEURSHIP
❑Theory is a generalization that explains a set off acts
or phenomena.
❑It is not an absolute truth.
❑It can be supported by another observation or proven
to be otherwise.
1.Innovation theory
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This theory was contributed by Joseph Schumpeter, an
Austrian economist and political scientist. He wrote a
book, TheTheory on Economic Development
2.Keynesian theory
This theory was developed by John Maynard Keynes, a
British economist. Key concepts were included in his
book, The General Theory of Employment, Interest and
Money, which was published during the Great
Depression in 1936.
Depression
•Unusual and extreme form of recession slowdown in
economic activity over the course of a normal business
cycle.
•It is a sustained, long-term downturn in economic
activities in 1 or more economies.
3.Alfred Marshal theory
This theory was developed by Alfred Marshal, an English
economist and was introduced in his book Principles of
Economics.
4.Risk and uncertainty-bearing theory
Conceptualized by an American economist, in his book:
Risk, Uncertainty and Profit.
•Certainty-Environment in which relevant parameters
have known values
•Risk-Environment in which certain future events have
probable outcomes
•Uncertainty-Environment in which it is impossible to
assess the likelihood of various future events
FORMS OF ENTREPRENEURSHIP
•SOCIAL ENTREPRENEURSHIP
•BUSINESS ENTREPRENEURSHIP
It’s about the study of systems, structure, and staffing
to make a large corporation stay competitive,
innovative, and profit able on a sustainable basis.
•TECHNO ENTREPRENEURSHIP
The use of technology as an integral and key element in
the transformation of goods and services.
Misconceptions on Entrepreneurship
1. Entrepreneurship applies only to manufacturing
businesses.
2. Entrepreneurship applies only to small businesses.
3. Entrepreneurship applies mostly to persons with
good educational background in business courses.
4. Entrepreneurship applies only to a good economy.
5. Entrepreneurship is simply opening a small business
Importance to the Filipino People
1. It provides guidelines in their wealthcreating
ventures.
2. It helps improve their financial and social life.
3. It helps broaden their creativity.
4. It helps make their lives happy, fruitful and successful
Importance to the Local Community
1. It provides employment in the community.
2. It creates new demand in the market
3. It makes substantial contribution to the raising and
collection of taxes.
4. It facilitates the movement of the factors of
production.
5. It creates new business opportunities.
6. It promotes a peaceful and loving community.
7. It increases constructive competition.
Importance to the Philippine Economy
1. It encourages competitiveness and thereby
challenges entrepreneurs to keep improving their
products and services.
2. It helps find an entrepreneurial niche in world
market.
3. It helps hasten the economic recovery process of the
Philippines during financial crackdown
4. It facilitates the smooth flow of money in the local
market.
5. It assists the national government in its desire to have
favorable economic ratings in the world market.
COMPETENCIES AND CAREER OPPORTUNITIES
ACHIEVEMENT CLUSTER
• Consists of entrepreneurial character traits that are
directly related to the entrepreneur’s desire to be an
achiever in the field of entrepreneurship.
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Characteristics of an entrepreneur who aspires to business and expand as fast as possible in
achieve: order to be able to hire employees
3. Innovators: inventive abilities to design a
 Opportunityseeker
better product and create companies to
 Committed develop, produce and sell the item.
 Persistent 4. Acquirers: Take over a business started by
 Risk Taker somebody else and use their own ideas to make
 Efficient and qualityoriented it successful. This often happen when there is
PLANNING CLUSTER financial problem in current operation.
5. Buy-sell Artists: Buy a company to improve
• Set of characteristics of successful entrepreneurs that it so that they can sell it again for profit.
basically supports the character traits in the 6. Speculators: Purchase a commodity and
achievement cluster. resell it for a profit.
Characteristics of an entrepreneur who belongs to this
cluster: DEVELOPING A BUSINESS PLAN
 Goal-setter ENTREPRENEURIAL MOTIVATION
 Informationseeker
INTERNAL FACTORS
 Systematic in planning and monitoring

POWER CLUSTER ✓Strong desireto do something new.

Defines how entrepreneurs project themselves in the
business community.
An entrepreneur in the power cluster is:
 Persuasive and positive networker
 Selfconfident
✓To be independentin Life.
✓Making the maximum useof technical/professional
knowledge.
✓Occupational experience/background.
✓Passionateabout particular activity.
✓Dissatisfactionwith present job.
✓To attain self-satisfaction.
EXTERNAL FACTORS

• Skills – personal abilities to do things well. These ✓Utilizing Government grants & subsidiaries.
come from the totality of knowledge, practice and ✓To continue ancestor business.
experience of a person. ✓Financial assistance from Institutions.
• Entrepreneurial Skills – set of cognitive, technical and ✓Availability of resources.
interpersonal skills required in the practice of ✓Encouragementfrom big business houses.
entrepreneurship. ✓Availability of sick units/easy financial terms.
✓Encouragement from family members.
Entrepreneurial Skills
SOURCES OF ENTREPRENEURIAL IDEAS
 COGNITIVE SKILLS
•Changes in the environment
 TECHNICAL SKILLS
 INTERPERSONAL SKILLS •Entrepreneurial ideas arise from the changes
that happen in the external environment.
The following are examples of what
•Not everyone welcomes changes in the
an entrepreneurs can do: external environment
•However, a person with an entrepreneurial
1. Self-employed: perform all the work and
drive views these changes positively. He/she
keep all the profit
determined What business opportunities they may
2. Opportunistic Entrepreneurs: starts a
provide.
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•The term external environment refers to the: 1. Qualified working force
2. Complete and new physical facilities
-Physical environment;
3. Democratic leadership style
a.Climate 4. Motivated workers
b.Natural resources; and 5. Valuable intangible assets
c.wildlife
SWOT Analysis – Weaknesses
-Societal environment; and
1. Autocratic form of leadership
a.Economic forces
2. Demoralized employees
b.Sociocultural forces
3. Poor and dilapidated equipment and
c.Political forces
machineries
d.Technological environment
4. Unskilled workers
-Industry environment.
5. Poor technological structures
-Government
SWOT Analysis – Opportunities
-Competitors
-Suppliers 1. Innovative products introduced to the market
-Customers 2. Increasing the market share because of market
-Creditors advantage
-employees 3. Providing services to new customers
4. New programs of the government
SWOT Analysis – Threats
•Technological discovery and advancement
1. Possible entry of competitors
A person with entrepreneurial interest looks at the
2. Stiff government regulations
possibility of business opportunities in any new
3. Higher interest rates
discovery or advancement in technology.
4. Entry of cheaper products
•Governments thrust, programs, and policies 5. Unstable peace and order situation
6. Shift of customers’ taste and preference
The priorities, projects, programs, and policies of the
government are also good sources of entrepreneurial
ideas,

•People’s interest

•The interests, hobbies, and preferences of people are a

rich source of entrepreneurial ideas.

•Past experiences

The expertise and skills developed by a person who has

worked in a particular filed may lead to the opening of a
related business enterprises.

MARKET IDENTIFICATION

ENVIRONMENTAL SCANNING

Is a process that systematically surveys and interprets

relevant data to identify external opportunities and
threats

SWOT Analysis – Strength

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