my paper.. please ignore.
The Merriam-Webster dictionary defines an entrepreneur as “one who organizes, manages, and assumes the risks of a business or enterprise.” [Merriam-Webster Website] But they are more than just pursuers of opportunities. Entrepreneurs act as agents of evolution. They sweep away the established ways of doing things and replace them with methods of greater value. History books recount stories of entrepreneurs like Thomas Edison and Henry Ford, whose methods and imaginations changed the way American culture worked. Thousands of others go mostly unrecognized as their ventures only address the needs of a smaller community. Some want to create a social stir while others simply want to satisfy their personal financial need. [Harvard Business Essentials p.xiii] But the overall reason I and others want to become entrepreneurs is to seek the risk, thrill, and fulfillment of being the one in charge.
How can I become one of these revolutionaries? While many careers require years of education and training, entrepreneurship only requires know how and a little research. But, most colleges do offer coursework in entrepreneurship and some of them offer it as a major. Educated or not, some entrepreneurs buy businesses, and run franchises, but the most successful come up with their own ideas.[Harvard Business Essential p.3] I have many, many unique ideas for business ventures. By becoming an entrepreneur I will gain the power and tenacity to make my ideas into realities. Entrepreneurial people are always generating ideas for potential businesses. But they must distinguish the few that embody true business opportunities.
A business opportunity is one that (1) creates considerable significance to customers (2) offers major risk-adjusted profit potential (3) has a good fit with competence of the managing team (4) is potentially profitable over a realistic time span, and (5) is adaptable to financing. Opportunities can be found in areas of new knowledge and technological revolutions, changing regulation, social confusion, municipal letdowns, and changing tastes. Many opportunities crop up in finding convenient solutions to people’s everyday problems. [Harvard Business Essentials p.29]
While ideas and opportunities are essential building blocks of success for entrepreneurs, they’re not as imperative as personal background, characteristics, motivation, abilities, and attitude. Entrepreneurs are ‘no guts, no glory’ kinds of people. When involved in a development, the further risk taking there is, the greater amount of self satisfaction they receive. [Lewis p.181] Prior to starting and operating an endeavor, there are questions a would-be business owner should ask themselves: Can I stomach high levels of stress? Am I a first-rate decision maker? Am I prepared to put my personal finances in jeopardy? Do I have the commitment required to put in long hours for extended periods to reach my goals even though the odds are against me? [Harvard Business Essentials p.2] The odds? Every entrepreneur should know that The Small Business Administration advises that fifty percent of all new businesses fail within thirty-six months. [Lewis, p. 200]
This self-knowledge assists people in thinking through the personal side of entrepreneurial work and their aptitude for it. A person might have the attitude but to be successful they should also have negotiating skills, technical skills, the ability to sell their vision to others, the ability to motivate employees and assign work to them, a the ability to execute plans into actions, and most importantly a passion for what they are doing.
Passion is the motivation that supports a person throughout the course of their venture. [Harvard p.7] Sam Walton, founder of Wal-Mart , said “I think I overcame every single one of my personal shortcomings by the sheer passion I brought to my work. I don’t know if you’re born with this kind of passion, or if you can learn it. But I do know you need it. If you love your work, you’ll be out there everyday trying to do it the best you possibly can, and pretty soon everybody around will catch the passion from you- like a fever.”[Wal-Mart Website]
One of the very few thorough research studies on entrepreneurial characteristics was performed between 1987 and 2002 by Walter Keumnerle, an associate professor at Harvard Business School. Kuemnerle discovered that it is critical to have the following traits for entrepreneurial success: comfort in stretching the rules; being prepared to make powerful enemies (competitors); having patience to start small; a willingness to adjust strategy quickly; and knowing how to close a deal. [Harvard Business Essentials p.3]
Entrepreneurship often runs in families. Children of business owners are more likely than others to start or purchase their own enterprises. They are also more likely to attend seminars and enroll in the entrepreneurship courses offered by undergraduate and M.B.A. programs at colleges. The children of business-owning families learn the “what” and “how” of enterprise ownership from dinner table discussions and from many weekends and summers working in the family store or factory. Paul Newman, the actor, grew up in the family of entrepreneurs and has recounted in many interviews how he worked at his father’s store for many weekends of his childhood. Paul took those experiences and eventually founded his own packaged foods company, “Newman’s Own” and donates its profits to charity. [Harvard Business Essentials p.8]
My father had several entrepreneurial ventures, from an insurance company my grandparents owned, to a construction company building cabins for people. His last business venture, a chiropractic clinic, landed him the position as President of the Southside Business Association. My mother used her medical training to partner up with a start-up assisted living home. My Uncle and Aunt have created a local chain of free delivery drycleaners. I’d say entrepreneurship runs in my family.
Even after checking through all things, background, aptitude, motivation, there are still many tests out there to measure one’s suitability for starting and operating an enterprise. But the tests should not be exclusively relied upon. Tests are not able to account for individual differences and exceptions. [Harvard Business Essentials p.3]
Scholar and practitioner William Bygrave wrote,
“Today, after more research, we know that there is no neat set of behavioral attributes that allow us to separate entrepreneurs from nonentrepreneurs.” [p.2]
Successful enterprise is a combination of personal qualities and extensive planning. To be a thriving entrepreneur I don’t have to be a genius with a breakthrough discovery, or a technical business mastermind. There are no limitations against education, money, or gender on the entrepreneur. Entrepreneurs can use self generated funds to expand upon growth opportunities or they can get backing for several types of financial institutions. And women are the rising stars of entrepreneurship! They open small businesses at twice the rate of men and are the fastest growing segment of the small business community. There are also no limitations on how much success one can generate as it is virtually impossible to document entrepreneurial earning power. [Lewis p.197]
Works Cited
Bygrave, William. The Portable MBA in Entrepreneurship, 2nd Edition. New York: John Wiley & Sons, Inc., 1997.
Harvard Business Essentials. Entrepreneur’s Toolkit: Tools and Techniques to Launch and Grow Your New Business. Boston: Harvard Business School Press, 2005.
Lewis, William, and Nancy Schuman. Fast Track Careers. New York: John Wiley & Sons, Inc., 1987.
Merriam-Webster. Dictionary Entry- “entrepreneur.”< http://merriam-webster.com/cgi- bin/dictionary?book=Dictionary&va=entrepreneur&x=0&y=0> 2005 Merriam-Webster, Inc. 09 Jun 2005.
Walton, Sam. “Sam's Rules For Building A Business” Wal-Mart. 09 Jun 2005.
How can I become one of these revolutionaries? While many careers require years of education and training, entrepreneurship only requires know how and a little research. But, most colleges do offer coursework in entrepreneurship and some of them offer it as a major. Educated or not, some entrepreneurs buy businesses, and run franchises, but the most successful come up with their own ideas.[Harvard Business Essential p.3] I have many, many unique ideas for business ventures. By becoming an entrepreneur I will gain the power and tenacity to make my ideas into realities. Entrepreneurial people are always generating ideas for potential businesses. But they must distinguish the few that embody true business opportunities.
A business opportunity is one that (1) creates considerable significance to customers (2) offers major risk-adjusted profit potential (3) has a good fit with competence of the managing team (4) is potentially profitable over a realistic time span, and (5) is adaptable to financing. Opportunities can be found in areas of new knowledge and technological revolutions, changing regulation, social confusion, municipal letdowns, and changing tastes. Many opportunities crop up in finding convenient solutions to people’s everyday problems. [Harvard Business Essentials p.29]
While ideas and opportunities are essential building blocks of success for entrepreneurs, they’re not as imperative as personal background, characteristics, motivation, abilities, and attitude. Entrepreneurs are ‘no guts, no glory’ kinds of people. When involved in a development, the further risk taking there is, the greater amount of self satisfaction they receive. [Lewis p.181] Prior to starting and operating an endeavor, there are questions a would-be business owner should ask themselves: Can I stomach high levels of stress? Am I a first-rate decision maker? Am I prepared to put my personal finances in jeopardy? Do I have the commitment required to put in long hours for extended periods to reach my goals even though the odds are against me? [Harvard Business Essentials p.2] The odds? Every entrepreneur should know that The Small Business Administration advises that fifty percent of all new businesses fail within thirty-six months. [Lewis, p. 200]
This self-knowledge assists people in thinking through the personal side of entrepreneurial work and their aptitude for it. A person might have the attitude but to be successful they should also have negotiating skills, technical skills, the ability to sell their vision to others, the ability to motivate employees and assign work to them, a the ability to execute plans into actions, and most importantly a passion for what they are doing.
Passion is the motivation that supports a person throughout the course of their venture. [Harvard p.7] Sam Walton, founder of Wal-Mart , said “I think I overcame every single one of my personal shortcomings by the sheer passion I brought to my work. I don’t know if you’re born with this kind of passion, or if you can learn it. But I do know you need it. If you love your work, you’ll be out there everyday trying to do it the best you possibly can, and pretty soon everybody around will catch the passion from you- like a fever.”[Wal-Mart Website]
One of the very few thorough research studies on entrepreneurial characteristics was performed between 1987 and 2002 by Walter Keumnerle, an associate professor at Harvard Business School. Kuemnerle discovered that it is critical to have the following traits for entrepreneurial success: comfort in stretching the rules; being prepared to make powerful enemies (competitors); having patience to start small; a willingness to adjust strategy quickly; and knowing how to close a deal. [Harvard Business Essentials p.3]
Entrepreneurship often runs in families. Children of business owners are more likely than others to start or purchase their own enterprises. They are also more likely to attend seminars and enroll in the entrepreneurship courses offered by undergraduate and M.B.A. programs at colleges. The children of business-owning families learn the “what” and “how” of enterprise ownership from dinner table discussions and from many weekends and summers working in the family store or factory. Paul Newman, the actor, grew up in the family of entrepreneurs and has recounted in many interviews how he worked at his father’s store for many weekends of his childhood. Paul took those experiences and eventually founded his own packaged foods company, “Newman’s Own” and donates its profits to charity. [Harvard Business Essentials p.8]
My father had several entrepreneurial ventures, from an insurance company my grandparents owned, to a construction company building cabins for people. His last business venture, a chiropractic clinic, landed him the position as President of the Southside Business Association. My mother used her medical training to partner up with a start-up assisted living home. My Uncle and Aunt have created a local chain of free delivery drycleaners. I’d say entrepreneurship runs in my family.
Even after checking through all things, background, aptitude, motivation, there are still many tests out there to measure one’s suitability for starting and operating an enterprise. But the tests should not be exclusively relied upon. Tests are not able to account for individual differences and exceptions. [Harvard Business Essentials p.3]
Scholar and practitioner William Bygrave wrote,
“Today, after more research, we know that there is no neat set of behavioral attributes that allow us to separate entrepreneurs from nonentrepreneurs.” [p.2]
Successful enterprise is a combination of personal qualities and extensive planning. To be a thriving entrepreneur I don’t have to be a genius with a breakthrough discovery, or a technical business mastermind. There are no limitations against education, money, or gender on the entrepreneur. Entrepreneurs can use self generated funds to expand upon growth opportunities or they can get backing for several types of financial institutions. And women are the rising stars of entrepreneurship! They open small businesses at twice the rate of men and are the fastest growing segment of the small business community. There are also no limitations on how much success one can generate as it is virtually impossible to document entrepreneurial earning power. [Lewis p.197]
Works Cited
Bygrave, William. The Portable MBA in Entrepreneurship, 2nd Edition. New York: John Wiley & Sons, Inc., 1997.
Harvard Business Essentials. Entrepreneur’s Toolkit: Tools and Techniques to Launch and Grow Your New Business. Boston: Harvard Business School Press, 2005.
Lewis, William, and Nancy Schuman. Fast Track Careers. New York: John Wiley & Sons, Inc., 1987.
Merriam-Webster. Dictionary Entry- “entrepreneur.”< http://merriam-webster.com/cgi- bin/dictionary?book=Dictionary&va=entrepreneur&x=0&y=0> 2005 Merriam-Webster, Inc. 09 Jun 2005.
Walton, Sam. “Sam's Rules For Building A Business” Wal-Mart. 09 Jun 2005.