1 )What is difference between professional manager & entrepreneur ?

An entrepreneur is a person who is motivated to satisfy a high need for achievement in innovative and creative activities. He is a great motivator to start his new business and manage it successively. He is the investor and takes risk in the enterprise. He perceives and exploits opportunity and works for his satisfaction to get positive results, whereas a manager (Professional Manager) takes care of the general functions of running an organisation such as strategic planning, operation planning, organising the resources, staffing, coordination, motivation and controlling work of the organisation. Normally a professional manager acquires such knowledge through formal education and training. He has to work within the policy framework set by the entrepreneurs (owners) of the organisation.

Difference between Manager & Entrepreneur The Entrepreneur and the Manager - Are they different?

At the heart of every new venture and start up company is a "structural conflict", which often poses a threat to the continued existence of the organization. This conflict can be summed up by the following statement: "The very qualities necessary to set up a new business, are the qualities which will adversely affect the smooth running of that business, sometimes, fatally".

The "structural conflict" arises from the fact that the entrepreneur, who has taken significant personal and commercial risks to set up the business, who has worked day and night to strengthen and promote it, at some point discovers that the business is working well and he can sit back, relax, and enjoy the fruits of his labors. But the typical entrepreneur is not the type to take things easy; he continues to be actively involved in the day-to-day activities of the company, which is growing quickly and now requires well-organized administration. His involvement can lead to hostility and tension, which damage the organization's ability to function and even to survive.

For this reason, the literature and history of commercial organizations in western countries are full of cases where the entrepreneur did not know when to ask himself: "Am I superfluous around here?" as well as many descriptions of "the entrepreneur who ruins his business". Let's summarize the significant differences between the entrepreneur and the manager: Behavioral Differences The typical entrepreneur wants to "be in control" of his life (which is often the reason why he started the business), of his business and especially of his employees. The professional manager, on the other hand, enters a company which needs to delegate authority, since it has reached the stage in its development where the entrepreneur can no longer "do it all himself".

2. Management Style The entrepreneurial management style is very demanding, leaving very little room for error, and none at all for actual failures, since in most cases the business is a "one man show", even if there are other employees. The professional manager, however, must be tolerant of failure (and see it as a basis for learning) and develop an administrative team, since a basic assumption is that responsibility in the organization must pass from the "all-knowing" entrepreneur to people who still have to learn about the business. 3. The Moving Force Entrepreneurial management is characterized by concepts such as "entrepreneurship", "creativity", "innovation", and so on, indicators of the desire to create "something from nothing". Professional management is characterized by concepts such as "order", "organization", "procedures", and so on, indicating the desire to organize and maintain what exists. Growth Entrepreneurial management is noted for its ability to react quickly and effectively to new business opportunities. This ability is the foundation for rapid growth of the company in its entrepreneurial stage. Professional management is noted for medium and long term strategic planning, which leads to controlled growth of the company during the process of establishment. 5. Organizational Structure The entrepreneurial organization is characterized by its informal, flexible structure, which allows it to adapt to changes required by its rapid growth. Professional management, on the other hand, requires a formal and fairly rigid organizational structure, which leaves no room for rapid reactions to business opportunities, but protects the organization from sudden collapse. 6. Decision-MakingThe entrepreneur usually makes decisions, even those of critical importance for his business, on the basis of his own personal intuition and "gut feelings". The professional manager makes decisions after collecting detailed information and reaching operative conclusions, while relying on experts both from within and outside the organization. 7. Definition of Aims The entrepreneur describes his organization in terms of "vision", "dream" and "mission" and manages to give his employees the feeling that they are working for a higher aim than just marketing a product and/or service. The professional manager describes the company aims in terms of market segments, yield per worker and profitability. 8. Attitude to Money Although the accepted myth is that entrepreneurs are driven by the desire for power and money, both theoretical and empirical studies have shown that typical entrepreneurs are in fact driven by the desire for success rather than power. This means that, in the eyes of most entrepreneurs, while money is a welcome by-product of their efforts, it is not the reason for their efforts. The professional business manager, on the other hand, looks at the business he manages through "financial eyes" and defines its aims (usually in the short term only) purely in financial terms.

9. Attitude to Risk The myths describe entrepreneurs as "wild risk-takers", although many studies have shown that in fact the typical entrepreneur is very good at assessing risks. On the other hand, the professional manager, who sees his task as strengthening and maintaining the company, is naturally afraid of risks and tries to maintain the status quo. Company Culture

The typical entrepreneur does not usually try to define a "culture" for the organization he sets up, since in most cases he himself is the organization. The literature defines this situation as "the entrepreneurial organizational culture", characterized by large doses of charisma and "manipulativeness".

The professional manager does try to establish a well-defined company culture, based on company values on one hand and commercial aims on the other. 2) Problems of Women Entrepreneurs in India Women entrepreneurs face a series of problems right from the beginning till the the enterprise functions. Being a woman itself poses various problems to a woman entrepreneur, The problems of Indian women pertains to her responsibility towards family, society and lion work. The tradition, customs, socio cultural values, ethics, motherhood subordinates to ling husband and men, physically weak, hard work areas, feeling of insecurity, cannot be tough etc are some peculiar problems that the Indian women are coming across while they jump into entrepreneurship. Women in rural areas have to suffer still further. They face tough resistance from men. They are considered as helpers. The attitude of society towards her and constraints in which she has to live and work are not very conducive. Besides the above basic problems the other problems faced by women entrepreneurs are as follows: 1. Family ties: Women in India are very emotionally attached to their families. They are supposed to attend to all the domestic work, to look after the children and other members of the family. They are over burden with family responsibilities like extra attention to husband, children and in laws which take away a lots of their time and energy. In such situation, it will be very difficult to concentrate and run the enterprise successfully. 2. Male dominated society: Even though our constitution speaks of equality between sexes, male chauvinism is still the order of the day. Women are not treated equal to men. Their entry to business requires the approval of the head of

the family. Entrepreneurship has traditionally been seen as a male preserve. All these puts a break in the growth of women entrepreneurs.

3. Lack of education: Women in India are lagging far behind in the field of education. Most of the women (around sixty per cent of total women) are illiterate. Those who are educated are provided either less or inadequate education than their male counterpart partly due to early marriage, partly due to son's higher education and partly due to poverty. Due to lack of proper education, women entrepreneurs remain in dark about the development of new technology, new methods of production, marketing and other governmental support which will encourage them to flourish. 4. Social barriers: The traditions and customs prevailed in Indian societies towards women sometimes stand as an obstacle before them to grow and prosper. Castes and religions dominate with one another and hinders women entrepreneurs too. In rural areas, they face more social barriers. They are always seen with suspicious eyes. 5. Shortage of raw materials: The scarcity of raw materials, sometimes nor, availability of proper and adequate raw materials sounds the death-knell of the enterprises run by women entrepreneurs. Women entrepreneurs really face a tough task in getting the required raw material and other necessary inputs for the enterprises when the prices are very high. 6. Problem of finance: Women entrepreneurs stiffer a lot in raising and meeting the financial needs of the business. Bankers, creditors and financial institutes are not coming forward to provide financial assistance to women borrowers on the ground of their less credit worthiness and more chances of business failure. They also face financial problem due to blockage of funds in raw materials, work-in-progress finished goods and non-receipt of payment from customers in time. 7. Tough competition: Usually women entrepreneurs employ low technology in the process of production. In a market where the competition is too high, they have to fight hard to survive in the market against the organised sector and their male counterpart who have vast experience and capacity to adopt advanced technology in managing enterprises

8. High cost of production: Several factors including inefficient management contribute to the high cost of production which stands as a stumbling block before women entrepreneurs. Women entrepreneurs face technology obsolescence due to non-adoption or slow adoption to changing technology which is a major factor of high cost of production. 9.Low risk-bearing capacity: Women in India are by nature weak, shy and mild. They cannot bear the amount risk which is essential for running an enterprise. Lack of education, training and financial support from outsides also reduce their ability to bear the risk involved in an enterprises. 10 Limited mobility: Women mobility in India is highly limited and has become a problem due to traditional values and inability to drive vehicles. Moving alone and asking for a room to stay out in the night for business purposes are still looked upon with suspicious eyes. Sometimes, younger women feel uncomfortable in dealing with men who show extra interest in them than work related aspects. 11. Lack of entrepreneurial aptitude: Lack of entrepreneurial aptitude is a matter of concern for women entrepreneurs. They have no entrepreneurial bent of mind. Even after attending various training programmes on entrepreneur ship women entrepreneurs fail to tide over the risks and troubles that may come up in an organisational working. 12. Limited managerial ability: Management has become a specialised job which only efficient managers perform. Women entrepreneurs are not efficient in managerial functions like planning, organising, controlling, coordinating, staffing, directing, motivating etc. of an enterprise. Therefore, less and limited managerial ability of women has become a problem for them to run the enterprise successfully. 13. Legal formalities: Fulfilling the legal formalities required for running an enterprise becomes an upheaval task on the part of an women entrepreneur because of the prevalence of corrupt practices in government offices and procedural delays for various licenses, electricity, water and shed allotments. In such situations women entrepreneurs find it hard to concentrate on the smooth working of the enterprise. 14. Exploitation by middle men: Since women cannot run around for marketing, distribution and money collection, they have to depend on middle men for the above activities. Middle men tend to exploit them in the guise of helping. They add their own profit margin which result in less sales and lesser profit.

15. Lack of self confidence: Women entrepreneurs because of their inherent nature, lack of self-confidence which is essentially a motivating factor in running an enterprise successfully. They have to strive hard to strike a balance between managing a family and managing an enterprise. Sometimes she has to sacrifice her entrepreneurial urge in order to strike a balance between the two.

3) classification of entrepreneur Types of Entrepreneurs Classification on the basis of:

Type of business Use of Technology Motivation Growth Stages in Development Others

Type of business

Business entrepreneur: Convert ideas into reality; deal with both manufacturing and trading aspect of business (Small trading and manufacturing business) Trading entrepreneur: Undertakes trading activities; concerned with marketing (Domestic and international level) Industrial entrepreneur: Undertakes manufacturing activities only; new product development etc (textile, electronics, etc) Corporate entrepreneur: Interested in management part of organisation; exceptional organising, coordinating skills to manage a corporate undertaking (Ambani, Tata families) Agricultural entrepreneur: Production and marketing of agricultural inputs and outputs (Dairy, horticulture, forestry)

Use of Technology

Technical entrepreneur: Production oriented, possesses innovative skills in manufacturing, quality control etc.

Non technical entrepreneur: Develops marketing, distribution facilities and strategies Professional entrepreneur: Uses the proceeds from sale of one business to start another one. Brimming with ideas to start new ventures

Motivation

Pure entrepreneur: Psychological and economic rewards motivate him Induced entrepreneur: Incentives, concessions, benefits offered by government for entrepreneurs motivates him Motivated entrepreneur: Sense of achievement and fulfillment motivate him Spontaneous entrepreneur: Born entrepreneurs with inborn traits of confidence, vision, initiative

Growth

Growth entrepreneur: One who enters a sector with a high growth rate; is a positive thinker Super growth entrepreneur: One who enters a business and shows a quick, steep and upward growth curve

Stages in Development

First generation entrepreneur: Innovator, risk taker, among the firsts in family to enter business Modern entrepreneur: Who considers feasibility of business, which can adapt to change and dynamic market Classical entrepreneur: One who gives more importance to consistent returns than to growth; concerned about customer and marketing needs

Others

Area- Rural and Urban entrepreneur Gender/Age- Men and Women entrepreneur Scale- Small and Large scale entrepreneur

4) role of entrepreneur in business Entrepreneur Definition:

Someone who assumes the financial risk of the initiation, operation and management of a business In the most general sense of the word, an entrepreneur is someone who organizes a business venture and assumes the risk for it. Rut true entrepreneurship goes way beyond that simple definition. An entrepreneur is a person who has possession of a new enterprise, venture, or idea and assumes significant accountability for the inherent risks and the outcome. The term is originally a loanword from French and was first defined by the Irish economist Richard Cantillon. Entrepreneur in English is a term applied to the type of personality who is willing to take upon herself or himself a new venture or enterprise and accepts full responsibility for the outcome. Jean-Baptiste Say, a French economist is believed to have coined the word entrepreneur first in about 1800. He said an entrepreneur is one who undertakes an enterprise, especially a contractor, acting as intermediatory between capital and labour Entrepreneur Role and responsibilities 1. Part of the responsibilities an entrepreneur has when trying to successfully operate their business is developing the traits and qualities of a good leader, qualities that inspire confidence and trust from not only employees, but customers as well, and the confidence they have that you know what your doing and trust that you will do what you say you will do, in addition to other attributes any good leader must develop and use before anyone willingly follows them. 2. To be a successful leader the entrepreneur must develop a clear and concise vision needed to inspire people by giving them purpose and direction, and you will get the best out of your team, since it is only natural for people to want to be part of a success story, and it is the entrepreneurs task as a leader to show them how you can lead them there. 3. Developing a well thought out plan is critical to accomplish you vision, and the plan doesnt have to be expansive and elaborate, but you need to clearly define the path which you are going to lead the team on from point A to point B, in simple, clear concise steps and be finally, the sure to assigned timelines with deadlines to each, step of the process, and entrepreneur needs to make sure that everyone son board with the plan and clearly understands not only their individual roles, but the, ole of the team as well, to insure the teams and your success. 4. If you do not have the instinct, then you must develop the leadership attribute of decisiveness, since no one wants-to follow someone who cant make up their own mind, especially when it comes to what is, perceived as small decisions, and this doesnt mean make acknowledgeable decisions, but first get as much wise input and counsel as you can, and then make an educated decision you can live with and always be ready to make new decisions based on additional information, and remember that informed decisive decisions is a quality of a leader that others are willing to follow. 5. A successful entrepreneur is able to adapt and make adjustments in the ever changing world of the marketplace, adaptation to new trends, technology, products, and marketing strategies, always working with the plan in mind, and brainstorm with the team ways you can best adapt to

changes, implement the necessary changes with the thought always in mind that the plan is a virtual living tool, not static doctrines that would actually be worthless if one could not adapt them to the ever changing marketplace. 6. Your role as an entrepreneur and leader is only as good as your word, and when it comes to your word, keep it, as in if you tell someone working for you that you are going to do something, then do it, and it is important to remember that it takes time to build the integrity of ones word, and only a moment to undo all the work, as nothing destroys trust and confidence like breaking your word, for which there is really no excuse. 7. Genuine praise should be given whenever it is warranted, as it is important to keep high morale for continued high performance, and avoid even the slightest temptation to give false praise unless you want to lessen and diminish the work thats already been done. 8. Employees will always notice entrepreneurial leaders that are honest and fair-minded, but they are even quicker to notice dishonest and biased behaviour, even the most subtle displays, and great leaders avoid playing favourites and destroying the high morale of the team, always working to build and maintain the successful team.

5) explain in detail Problem faced by rural entrepreneur Most of the rural entrepreneurs face peculiar problems like illiteracy, fear of risk, lack of training and experience, limited purchasing power and competition from urban entrepreneurs. Some of the major problems faced by rural entrepreneurs are as under. 1. Paucity of funds: Most of the rural entrepreneurs fail to get external funds due to absence of tangible security and credit in the market. The procedure to avail the loan facility is too time-consuming that its delay often disappoints the rural entrepreneurs. 2. Competition: Rural entrepreneurs face severe completion from large sized organizations and urban entrepreneurs. They incur high cost of production due to high input cost. 3. Middlemen: Middlemen exploit rural entrepreneurs. The rural entrepreneurs are heavily dependent on middlemen for marketing of their products who pocket large amount of profit. 4. Legal formalities: Rural entrepreneurs find it extremely difficult in complying with various legal formalities in obtaining licenses due to illiteracy and ignorance.

5. Procurement of raw materials: Procurement of raw materials is really a tough task for rural entrepreneur. They may end up with poor quality raw materials, may also face the problem of storage and warehousing. 6. Risk element: Rural entrepreneurs have less risk bearing capacity due to lack of financial resources and external support. 7. Lack of technical knowledge: Rural entrepreneurs suffer a severe problem of lack of technical knowledge. Lack of training facilities and extension services crate a hurdle for the development of rural entrepreneurship. 8. Lack of infrastructural facilities: The growth of rural entrepreneurs is not very healthy in spite of efforts made by government due to lack of proper and adequate infrastructural facilities. 9. Poor quality of products: Another important problem is growth of rural entrepreneurship is the inferior quality of products produced due to lack of availability of standard tools and equipment and poor quality of raw materials. 10. Negative attitude: The environment in the family, society and support system is not conducive to encourage rural people to take up entrepreneurship as a career. It may be due to lack of awareness and knowledge of entrepreneurial opportunities.

6) product planning & development process with diagram

New Product Development Process, Factors and Strategies consumers, usually through some form of marketing research. New product ideas with low concept test scores are discarded or revised. While the Internet is making it easier to gather consumer data, there are limitations. As people get deluged with an increasing number of surveys and solicitations, it is possible that they will grow tired of helping marketers. The business analysis stage is next. At this point the new product idea is analyzed for its marketability and costs. After passing the first three stages an idea may be discarded once marketing and manufacturing costs are analyzed, due to limited potential for profitability or commercial success. Throughout these four stages, the new idea has remained on paper with a relatively small investment required. The fifth stage, prototype development, is the first stage where new product costs begin to escalate. Because of this, many companies have placed greater emphasis on the first four stages and reduced the proportion of new products that reach the prototype stage from about 50 percent to around 20 percent. At this stage the concept is converted into an actual product. A customer value perspective during this phase means the product is designed to satisfy the needs expressed by consumers. Firms may use

quality function deployment (QFD) as they develop the prototype. QFD links specific consumer requirements such as versatility, durability, and low maintenance with specific product characteristics (for example, adjustable shelves, a door-mounted ice and water dispenser, and touch controls for a refrigerator). The customer value perspective requires the new product to satisfy customer needs and meet desired quality levels at specified production costs. Test marketing tests the prototype and marketing strategy in simulated or actual market situations. Because of the expense and risks associated with actual test markets, marketers use them with caution. Products that test poorly are pulled back and reconceptualized or discarded. Commercialization, the final stage, is when the product is introduced full scale. The level of investment and risk are highest at this stage. Consumer adoption rates, timing decisions for introduction, and coordinating efforts with production, distribution, and marketing should be considered.