What is Entrepreneurial Competencies?

What is Entrepreneurial Competencies?

  • Competency was first popularized by Boyalzis (1982)
  • Performed a comprehensive study of over 2000 managers and identified and accessed over a hundred potential Competency
  • [Competency = Capacity]

Define Competency as :- 

A Capacity that exist in a Person that leads to behavior that meets the job Demands within the parameters of Organizational environment and that in turn brings about Desire results

Entrepreneurial competencies are defined as underlying characteristics possessed by a person which results in a new venture certain survival Or Growth

 

What is Entrepreneurial Competencies?

 

Types of Entrepreneurial Competencies

1. Personal Entrepreneurial Competencies 

  • Initiative
  • Ability to see and Act on opportunities
  • Information seeking
  • Concern for a high quality of work
  • Commitment to work
  • Systematic planning
  • Problem solving

2. Venture Initiation & Success Competencies 

(A) Enterprise launches competencies

  • Competency to understand the nature of business
  • Competency to comply with government regulations
  • Competency to deal with the business
  • Competency to finance the business
  • Competency to locate the business
  • Competency to plan the marketing strategy
  • Competency to choose the type of ownership
  • Competency to obtain technical assistance
  • Competency to develop a business plan
  • Competency to determine the potential as an entrepreneur
Also Read  What is Business Plan & Its Process ?

(B) Enterprise Management Competencies 

  • Competency to protect the business
  • Competency to manage customer credit and collection
  • Competency to manage the finance
  • Competency to manage the business records
  • Competency to sale efforts
  • Competency to permote the products and the services of business
  • Competency to manage human resources
  • Competency to manage the businesses

 

Components Of Entrepreneurial Competencies 

(A) Attitudinal Competency Attributes 

  • Self confidence
  • Dealing with failures
  • Tolerance for ambiguity
  • Concern for a high quality

(B) Behavioral Competency Attributes

  • Initiatives
  • Sees and acting on opportunities
  • Risk taking
  • Innovation
  • Creativity

(B) Managerial Competency Attributes 

  • Information seeking
  • Systematic planning
  • Problem solving
  • Communication Skill
  • Technical knowledge
  • Social skill

 

Process Of Entrepreneurship

  1. Identify opportunity
  2. Evaluate the opportunity
  3. Develop the Business plan
  4. Determine the resources required
  5. Manage the enterprise

 

Role Of Government in Entrepreneurship Development 

Government Provides:-

  1. Training
  2. Assistance (Marketing)
  3. Schemes (Make In India)
  4. Concession on Duties
  5. Credit Facilities

Examples:-

  • LBI – Livelihood Business Incubator
  • Start up India Scheme
  • NSDM – National Skill Development Mission
  • PMKVY – Pradhan Mantri Kaushal Vikash Yojna
  • STEP – Suport to Training & Employment Programe Of Women
Also Read  What is Entrepreneur and Entrepreneurship? & It's Types, Importance and Process

 

Business Opportunities 

Business Opportunities 

Opportunity Recognition 

Generally entrepreneurs use one of the following way to start their Ventures :-

  1. Offering new products or services to satisfy the unmet needs
  2. Offering the existing products or services into totally new market
  3. Starting as a franchise of a Well-Stablished Business

Characteristics Of Entrepreneurial Opportunity 

  1. Market Orientated
  2. Feasible (Money,Labour,Technology,etc.)
  3. Profit Orientation
  4. Motivational
  5. Legal
  6. Ethical

Process Of Opportunity Recognition 

  1. Idea Generation
  2. Conversion of Idea Into Opportunities
  3. Access the Opportunity
  4. Select the best and Feasible Opportunity

Creation to Access Business Opportunities 

  1. Industry & Market
  2. Economic
  3. Competition
  4. Exit Issues
  5. Management Team
  6. Personal Criteria

 

Environmental Scanning 

What is Environment Scanning?

Process of gathering and evaluating information about the events and their relationship within an organisations internal and external environment.

Simply, It is the process of analysing internal and external environment.

Helps to grab opportunities and to deal with threats. If any Future Threats

Process of Environmental Scanning

  1. Identifying Environment Factors
  2. Collection of Environmental data
  3. Analysis of collected Environmental data
  4. Designing Profile (ETOP, SAP, SWOT, ETC.)
  5. Reposting Of Data
  6. Strategic Decision Making
Also Read  What is International Business & it's Importance?

Technique of Environment Scanning 

1- QUEST ( Quick Environment Scanning Technique)

Quickly Major Environment Factors and Trends are Checked

2- ETOP (Environmental Threats & Opportunities Profile)

Given “W.G Glueck” . Economic, Social, Political, Regularity, Market, Technology, etc.

3- SWOT Analysis (Strength, Weakness, Opportunity & Threats)

Shows the current position of an Organizations. Main Objectives should be on improving Strength & grabbing opportunities and minimizing the Threats & Weakness.

4- PEST Analysis (Political, Economical, Social & Technological)

 

Conclusion: In this article we learn that ‘Entrepreneurial Competencies, Business Opportunity & Environment Scanning’. This Article Is Very Important For All students who adopt ‘Entrepreneur’ Subject.

Leave a Reply