Entrepreneurship
MGT602
VU
Lesson
9
THE
INDIVIDUAL ENTREPRENEUR
(continued...)
LEARNING
OBJECTIVES
1.
To
identify some key entrepreneurial
feelings and
motivations.
2.
To
identify key elements in an
entrepreneur's background.
3.
To
discuss the importance of role models
and support systems.
4.
To
identify the similarities and
differences between male and
female entrepreneurs.
5.
To
explain the differences between inventors
and entrepreneurs.
ENTREPRENEURIAL
BACKGROUND AND CHARACTERISTICS
Education
Education
appears important in the upbringing of
the entrepreneur, in the level of education obtained
and
in
playing a major role in coping with
problems. Although formal
education is not necessary
for starting a
new
business, it does provide a
good background. In education, female
entrepreneurs previously
experienced
some disadvantage, with few having
degrees in engineering, science, or
math. The ability to
deal
with people and communicate
clearly in written and
spoken work is also
important.
Personal
Values
Studies
have failed to indicate that
entrepreneurs can be differentiated on
personal valued from
managers,
unsuccessful
entrepreneurs, or the general public.
Leadership, support, aggression,
benevolence,
conformity,
creativity, veracity, and resource
seeking may also be
important. A successful entrepreneur
is
frequently
characterized as a winner; winning may be
a prerequisite for his or her
actually becoming
one.
Age
Entrepreneurial
age is the age of the entrepreneur reflected in the
experience. Entrepreneurial experience
is
one
of the best predictors of success. In chronological
age, most entrepreneurs
start their careers
between
ages
22 and 55. Earlier starts in
an entrepreneurial career seem to be better
than later ones. Generally,
male
entrepreneurs
start their first venture in
their early 30s, while
women tend to do so in their
middle 30s.
Work
History
Dissatisfaction
with one's job often
motivates the launching of a new venture.
Previous technical
and
industry
experience is also important
once the decision to start a
business is made. Experience in
the
following
areas is particularly important: financing;
product or service development;
manufacturing;
development
of distribution channels; and preparation
of a marketing plan. As the venture becomes
established,
managerial experience and
skills become more
important. Entrepreneurial experience
becomes
increasingly
important as the complexity of the venture
increases.
MOTIVATION
While
motivations
may
vary, the reason cited most
often for becoming an entrepreneur
independence-not
wants
to work for anyone else.
Other motivating factors
differ between male and
female entrepreneurs.
Money
is the second reason for
men's starting a venture. Job
satisfaction, achievement, opportunity,
and
money
are the second order reasons
for women.
20
Entrepreneurship
MGT602
VU
KEY
TERMS
Motivations
That
causes people to do something
Need
for achievement
An
individual's need to be
recognized
Need
for independence.
Being
one's own boss-one of the
strongest needs of an entrepreneur
Professional-support
network
Individuals
who help the entrepreneur in business
activities
Role
models
Individuals
influencing an entrepreneur's career
choice and style
Social
status
The
level at which an individual in viewed by
society
Work
history
The
past work experiences of an
individual
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