NAME = Devansh Saxena

Entrepreneurial Skills- I CLASS = 9TH 'A'

Session 1 : Identify various types of business Activities

Introduction

Business is an economic activity that is related to the regular production and distribution of goods and service for
profit.
Businesses are important for the society to sustain. They cater to the needs of the people. But at times we find
that there is a gap between what is needed and what is available. This gave is used by some people us in
opportunity in setting up small businesses. They are the people who are ready to take risk and fill the gaps by
providing necessary product and service for profit. These people are called entrepreneurs.

Various Types of Business Activities

The business activities are varied and comprise several types of activities. All business activities may by
classified into three broad categories:

Business Activities

Manufacturing Business Service Business Hybrid Business

Manufacturing Business Service Business Hybrid Business

It is also called product A service business revolves around A hybrid business is the one where the business is
business. the idea of a company providing its doing both selling the products as well as services.
customers with some kind of service. Example: online payment service etc.
Example: Car, trucks, and vans
Example: lawyers, salons, doctors,
manufacturer etc.
repair shops etc.

Types of Businesses Found in Our Community

Unlimited Single
Liability Ownership
Sole
No
Less Legal Sharing of profit
Formalities Proprietorship and loss

One Man's
Capital
One Man Control

Membership Voluntary
Registration
Unlimited
Liability PARTNERSHIP Continuity

Contractual
Sharing of Relationship
profit & loss

LEGAL Transfer Of
formalities Interest

Session 2 : Demonstrate the Knowledge of Distinguishing Characteristics of Entrepreneurship

Introduction

Entrepreneur Entrepreneurship Enterprise

The Person The Process The Outcome

Entrepreneurship Development

Entrepreneurship development is the process of improving the skills and knowledge of entrepreneurs through various trainings
and classroom programs that teach the dynamics of business set-up, development and expansion of the enterprise.

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Stages in Entrepreneurship Development Process

The entrepreneurship development process has following stages.

Identification and evaluation of the opportunity

Development of the business plan

Create a new venture, product, or market

Determining of the required resources

Management of the resulting enterprise

Adapt with time

Factors that Effect Entrepreneurship Growth

Entrepreneurship growth is affected by the following three

Economic Factors Social Factors

Growth
Factors

Psychological
Factors

Economic Factors

Capital Labor Raw Material Market Infrastructure Others

Capital : It is one of the most important factors for the establishment of an enterprise.

Labor : It is the easy availability of the right type of workers that helps in the growth of entrepreneurship.

Raw Material : It is one of the basic ingredients required for production.

Market : It comprises potential customers as well as competitors.

Infrastructure : Well developed transportation facilities help to enlarge the market and expand the horizons of business.

Other Factors : The institutions, government policies, business schools and libraries also that make valuable contributions
towards promoting and sustaining entrepreneurship.

Social Factors

Social Mobility Family Background Education Attitude of the Society Cultural Value

Social Mobility : It is the freedom to move from one socio-economic strata to another.

Family Background : It greatly influences entrepreneurship. Youngsters who belong to business

families often join their family business.

Education : It enables people to understand the outside world and equips them with the basic knowledge
and skills to stand on their feet.

Attitude of the Society : Certain societies are more progressive and encourage innovations and
novel ideas for earning a livelihood.

Cultural Value : Some socio-cultural groups or business communities are more money-oriented than others.

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 Psychological Factors

Need For Achievement Loss of Status Motives

Need for Achievement : It refers to the innate drive to aim high and achieve success.

Loss of Status : People who are displaced from their native place due to conflicts or political disturbances,
and migrate to new places may turn entrepreneurs and take up new ventures to earn a living.

Motives : The desires and goals of the entrepreneur play an important role in the development of entrepreneurship.

Distinguishing Characteristics of Entrepreneurship

Characteristics of entrepreneurship are as follows:

Goal Oriented : Entrepreneurship is a purposeful activity.

Risk Bearing : Risk is inherent and inseparable from entrepreneurship.

Creative Response : Entrepreneurship is a creative response to changes in environment.

Gap Filling : An entrepreneur identifies and fills the gap between what the society needs and what is
available.

Organizational Skills : An entrepreneur brings together various factors of production such as land, labor, capital etc.

Initiative : Entrepreneurship involves taking initiative by the entrepreneur.

Dynamic Process : Entrepreneurship thrives on changes in environment.

Role of Entrepreneurship

Industrial and Economic Development : Entrepreneurs play a premium role in promoting development of economy.

Create Employment Opportunities : Unemployment is a major concern today.

Community Development : It requires infrastructure for education, training, healthcare and other public
service.

Balanced Regional Growth : If an entrepreneur sets up a unit in a rural or semi-urban area, it leads to
job opportunity which in turn reduces migration from rural to urban area.

Utilization of Resources : The growth of industry in an area leads to utilization of local resources like raw
material and manpower which improves the living standard of local community.

Greater Export : Any growing business will eventually want to export to expand their business to foreign
markets.

Improved Standard of Living : The entrepreneurs use highly advanced technology and latest techniques
which result in lower cost of production.

GDP and Per Capital Income : If country witness a economic growth, then its GDP and per capital income
also grows.

Rewards of Entrepreneurship

Here are some rewards of entrepreneurship:

Being the Boss: The most significant reward of entrepreneurship is working for your own.

Doing What You Enjoy: As an entrepreneur, you are bound to enjoy every moment of your journey.

Having Opportunity to be Creative: Entrepreneurs are creative persons.

Building an Enterprise: Building an enterprise is a very rewarding achievement.

Rewarded for Assuming Risk: Risk-taking is almost synonymous with entrepreneurship.

Contribution to the Economy: Being able to see how your business has contributed to the local economy
and provided jobs to people, is incredibly rewarding.

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and provided jobs to people, is incredibly rewarding.

Setting Own Schedule: As you are the boss, you are in charge of deciding when you want to work.

Work from Anywhere: there is no need to go to the office every day for work.

Entrepreneur

Entrepreneurial Promotional Managerial Commercial

1. Innovation 1. Discovery of an Idea 1. Planning 1. Production

2. Risk-taking 2. Detailed Investigation 2. Organizing 2. Marketing

3. Organization Building 3. Assembling Resources 3. Staffing 3. Personnel

4. Financing the Proposition 4. Directing 4. Finance

5. Controlling

6. Coordination

Functions of an Entrepreneur

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