Module: Entrepreneurship

Topic: The Entrepreneurial and Intrapreneurial Mind

Kashif Ali
Department of Business Administration
kashifali@uosahiwal.edu.pk

Week 2

1
 Learning Objectives
• To explain the aspects of the
entrepreneurial process.
• To explain the differences between
entrepreneurial and managerial domains.
• To explain the organizational environment
conducive for entrepreneurship.
• To identify the general characteristics of an
entrepreneur.
• To explain the process of establishing
entrepreneurship in an organization.
 Learning Objectives
• To identify key elements in an
entrepreneur’s background.
The Entrepreneurial Process
• The Entrepreneurial Process involves finding,
evaluating, and developing an opportunity by the
strong forces that resist the creation of something
new.
 Phases of Entrepreneurial
Process
• Identification and evaluation of the
opportunity
• Development of the business plan
• Determination of the required
resources
• Management of the resulting enterprise
 Identify And Evaluate The
Opportunity
Opportunity Analysis: Assessing the Opportunity
•What market need does it fill?
•What personal observations have you made?
•What are the underlying social conditions?
•Examine the market research data.
•Assess competition. Any patents?
•Where is the money to be made?
 Develop a Business Plan
• A good business plan must be developed in order
to exploit the opportunity defined.
• A good business plan is important in developing
the opportunity and in determining the resources
required, obtaining those resources and
successfully managing the venture.
 Determine The Resources
Required
• Assessing the resources needed starts with an
appraisal of the entrepreneur’s present resources.
• Acquiring needed resources, while giving up as little
control as possible, is difficult.
• The entrepreneur should try to maintain as large an
ownership position as possible, particularly in the
start-up stage.
• As the business develops, more funds will probably
be needed, requiring more ownership be
relinquished.
 Management of the
Resulting Enterprise
• The entrepreneur must employ these resources
through implementation of the business plan.
• This involves implementing a management
structure, as well as identifying a control system.
Management Vs Entrepreneurial
Decisions Making
Difference Can Be Viewed By Five
Key Business Dimensions.
1.Strategic Orientation
2.Commitment to Opportunity
3.Commitment of Resources
4.Control of Resources
5.Management Structure
 Entrepreneurial Endeavors’
Elements.
• New business venturing
• Organizational innovativeness
• Self-renewal
• Proactiveness
Corporate Vs Intrapreneurial
Culture
• The guiding principles in a traditional corporate
culture are:
– Follow instructions given
– Do not make mistakes
– Do not fail
– Do not take initiative
– Stay within your turf and protect your backside
– This restrictive environment is not conducive to
creativity, flexibility, and risk taking
Corporate Vs Intrapreneurial
Culture
• The guiding principles of intrapreneurs:
• Aspects of an Entrepreneurial culture are quite
different.
– Develop visions, goals, and action plans
– Be rewarded for actions taken
– Suggest, try, and experiment
– Create and develop
– Take responsibility and ownership
 Intrapreneurship
• Intrapreneurship is entrepreneurship within
an existing business structure.
• The process begins by establishing an
intrapreneurial culture. This refers to instilling the
entrepreneurial spirit in an existing organization in
order to innovate and grow.
 Traditional Manager
• The traditional culture is hierarchical in nature, with
established procedures, lines of authority, and
control mechanisms.
• These support the present corporate culture, and do
not encourage new venture creation
Climate for Intrapreneurship
• Focus on Technology and research & Development
• Experimentation, trial and error are encouraged
• Opportunity Parameters
• Resource availability
• Multidisciplinary team approach
• Spirit of intrapreneurship is Voluntary
• Reward system
• Favorable corporate environment
• Support from Top management
 Characteristics of an
Intrapreneur
• Often operates on the frontiers of technology so
understands multiple aspects of the environment.
• Has a vision.
• Possesses flexibility, problem
solving skills and uses a
multi-disciplinary approach.
• Encourages open discussion and
teamwork.
• Builds a coalition of supporters.
 Establishing Intrapreneurship
in the Organization
• Secure commitment by top, upper and middle
management.
• Identify ideas and general interest areas.
• Use technology for greater flexibility.
• Use a group of interested managers and share their
experiences.
• Get close to the customers (Database)
• More Productive with fewer resources
• Establish strong support culture
• Implement evaluation system
Entrepreneurial Background
and Characteristics
• Education
• Personal value
• Age
• Work History
– Dissatisfied with company job but has technical
knowledge

• Motivation
 Role Models and Support
Systems
• Who are your entrepreneurial role models?
• parents, relatives, or entrepreneurs in the
community.
• may serve as mentors.
• may help establish a moral support network.
• invaluable source of counsel and advice.
 Moral-Support Network
• It is important for the entrepreneur to establish a
moral support network of family and friends.
• Most entrepreneurs indicate that their spouses are
their biggest supporters.
• Friends can provide advice that is more honest than
that received from others, plus encouragement,
understanding, and assistance.
• Relatives can also be sources of moral support,
particularly if they are also entrepreneurs.
Professional-Support Network
• The entrepreneur also needs advice and counsel,
which can be obtained from members of a
professional support network.
• A mentor-protégé relationship is an excellent way to
secure the needed professional advice.
• The mentor is a coach, sounding board, and
advocate.
• The individual selected needs to be an expert in the
field..
 Male vs Female
Entrepreneurs
Male
•motivated to achieve independence and ‘make things
happen.’
•Departure point: job dissatisfaction, layoff.
•Support group: friends, professional acquaintances.
•Initiates between ages 25-35. More likely to start a
business in manufacturing, construction or high tech.
 Male vs Female
Entrepreneurs
Female
•motivated to accomplish a goal and achieve
independence.
•Departure point: job frustration, change in personal
circumstances.
•Support group: spouse, family, close friends.
•Initiates between ages 35-45. More likely to start a
service business.
Most other dimensions show no differences
 Entrepreneurs vs Inventors
• An inventor creates something for the first time.
While the entrepreneur falls in love with the new
venture, the inventor falls in love with the invention
and often requires the expertise of an entrepreneur
to launch a new venture.

Historians classify Albert Einstein as an inventive

genius and Henry Ford as an entrepreneurial
genius. Do you agree or disagree? Why?
 Reference Book /Reading
Material

1.Hisrich, R. D., Peters, M. P., Shepherd, D. A., (2017),

Entrepreneurship. McGraw Hill Education. New York
 Any Questions?

In case of any query feel free to contact:

kashifali@uosahiwal.edu.pk
Thank you