ENTREPRENEURSHIP

DEVELOPMENT
Starting a New Business

www.AssignmentPoint.com
The Entrepreneurial Process
 An entrepreneur must find, evaluate and develop an
opportunity by overcoming the forces that resist the
creation of something new. The process has four
distinct phases
 Identify and evaluate the opportunity
 Development of the business plan
 Determination of the required resource
 Management of the resulting enterprise

www.AssignmentPoint.com
 Identify and Evaluate the Opportunity
 Identify the Opportunity
 Consumers and business associates
 Members of distribution channels
 Technical people
 Evaluate the Opportunity
 Creation and length of opportunity
 Have to understand the cause of opportunity ( technological change,
market shift, Govt. regulation, competition)
 Time period available for creating the new venture

 Real and Perceived Value of Opportunity

 Risk and Return of Opportunity
 Opportunity verses Personal Skills and Goals
 Competitive Situation
www.AssignmentPoint.com
Development of the Business Plan
A good business plan is not only important in
developing the opportunity but also essential in
determining the resources required, obtaining
those resources and successfully managing the
resulting venture.

www.AssignmentPoint.com
 Determination of the Required Resource
 Existing Resources of Entrepreneur
 Critical resources must be distinguished from the helpful
one.
 Care must be taken not to underestimate the amount and
variety of resources needed.
 The risks associated with insufficient or inappropriate
resource should also be considered.
 Resource Gap and Available Supplies
 Acquiring the needed resources in a timely manner while
giving up as little control as possible.
 Alternative suppliers of those resources along with their
needs and desires must be identified
 Access to Needed Resources
 Structure a deal that enables the resources to be acquired
at the lowest possible cost and the least cost control.
www.AssignmentPoint.com
Management of the Resulting Enterprise
 Management Style
 Key variable for Success
 Identification of Problems and Potential Problems
 Implementation of Control System.

www.AssignmentPoint.com
 To Get A Successful Starting
Financial
Experience Capital
Records

Condition of the
business (if Location
Purchased) Business
Success

Competition Lease

Inventory Customer
Management Demography
www.AssignmentPoint.com
Stages of Action for Starting a Small Business
Selection of Arrangement
Industry Selection of Location and
for know how Acquisition of Premises

Entire Economic Variability

including Marketing and Prepare a Project Report
Pricing Strategy, Financing,
Staffing etc should be Apply for
Apply to financial institutions for NOC and
worked out at this stage
assistance for fixed assets and Permission
implementation comes at
later stages working capital inclusive of
export finance if warranted

Apply for quota Apply for power Place order for

Recruit Staffs of raw materials connection Machinery

Procurement of Connect
raw materials Machinery TRAIL
www.AssignmentPoint.com RUNS
 TRAIL
RUNS

Corrective
Measures

Purchase of
Raw Materials
Maintenance of record
standardization of products
Production quality control productivity

Sales
Pay
Credit
Sales Dividends
Realization
Profit
Recycle
Realization
Plough
Back
www.AssignmentPoint.com
END OF THE CHAPTER

www.AssignmentPoint.com