ENTREPRENUERSHIP IN NEW VENTURES

New venture creation is a set of behaviors undertaken by individuals who detect an opportunity and engage in starting a new business. Since the late 1980s, entrepreneurship and new venture creation have become fashionable subjects in business and social sciences. The advent, diffusion and continuous development of high technology have contributed to an increasing number of new venture projects and start-ups all over the world, particularly in the USA. Very successful entrepreneurs, such as Bill Gates, Michael Dell and Jeff Bezos have become popular household names. Venture creation has become an increasingly familiar activity to an ever-wider segment of the population, not just in America, but also in Europe, as well as in East Asia and high-potential developing countries. However, while creativity and innovation led to the proliferation of new business opportunities, the proportion of new business failures has also increased. Research shows that the vast majority of new ventures fail for opportunity-related reasons:
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demand/market reasons: perhaps the target market simply wont buy the product/service; industry reasons: the competition is strong and can easily steal your potential customers; entrepreneurial team reasons: the people engaging in the new venture may lack the wide array of competences (technical and/or economic knowledge, ability to execute, connections, propensity for risk) that are needed to deal with the vast forces that combine to bring down a new business.

Many start-up entrepreneurs, as well as the people advising them have stressed the importance of writing a business plan as a foundation of the new venture process. The result of such perception has been an over-supply of business plans that look and sound similar, due to the formatting provided by many software programs, templates and literature available from a variety of sources (in particular the internet). Usually, the ready-made business plans end up having little relation to reality, being used only as a tool to raise financial backing, and not to plan the business. This course looks at the business plan as the corollary of a process of finding, screening and analyzing business ideas, the outcome of the development

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OBJECTIVES
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To develop a better understanding of entrepreneurial aptitudes, behaviors and goals. To understand the process of opportunity recognition and analysis. To understand the criteria used in evaluating opportunities and to develop venture screening criteria. To understand the basic financial tools necessary for analyzing financial requirements and forecasting the profitability of new businesses. To identify the various sources of financing for ventures. To understand the role of teams in the entrepreneurial process and the type of team partners that entrepreneurs must seek. To understand the types of venture partners and alliances that might be beneficial for venture success. To realize how these preliminary steps lay the ground work for the creation of an effective business plan.

QUALITIES OF A GOOD ENTREPRENUER

1) INTEGRITY Someone once said, Right is right even if no one is doing it, and wrong is wrong even if everyone is doing it. We all hear the news stories about corporate greed and corruption. However, successful entrepreneurs and millionaires rated being honest with everyone the number one factor of their success. 2) SELF DISCIPLINE To become a successful entrepreneur you have to be highly disciplined. If you are trying to build a business from the ground up, a lot of times youll be faced with doing all the job functions of a company, such as accounting, marketing, web design, and customer service. You have to develop the ability to get things done, even when you dont feel like it. Luckily, you can learn self-discipline with the right information and conscious efforts.

3) PEOPLES SKILLS Another critical factor among successful entrepreneurs is having good people skills. You should make an effort to genuinely like, respect, and appreciate other people. The ability to win people over will carry you far in all walks of life, especially your own business. If you have a blog, you might want to check out my tips to have better people skills online. 4) STRONG WORK ETHIC Theres no substitute for hard work when it comes to becoming a successful entrepreneur. Most people want to do the fastest and easiest solution when it

comes to work. If you want to be a success, dedicate yourself to persistent, productive, old fashioned hard work. 5) PASSION It almost goes without saying that in order to become a successful entrepreneur, you need to be passionate about your business. That doesnt necessarily mean you have to build a business around something you love. You can (and should) identify a profitable market and then build your business. Ed dale talked about this in the 30 Day Challenge when he brought up the niche market of trout fishing. He pursued it because of its profit potential. He admits that he didnt know anything about trout fishing prior to starting a website about it. He became passionate about his niche and learned all he could. Now its one of his most profitable businesses. Loving your business will also make it easier to get through the start-up phase, and other future obstacles.

6) STRONG LEADERSHIP QUALITY Being able to communicate effectively, motivate others, sell your ideas, and be decisive, are just a few of the qualities of a good leader. In order to become a successful entrepreneur you must dedicate yourself to improving your leadership skills and abilities.

6) COMPETITIVENESS Competition is everywhere. In business, its the survival of the fittest. If you can out-market and outperform your competitors, your chance of being a successful entrepreneur will be much greater. Play to win, but never sacrifice your integrity for the sake of a few bucks. 7) WELL ORGANISED One of the main reasons small businesses fail is a lack of organization. If you too are unorganized, dont worry too much. Everyone can learn organization skills with enough hard work, practice, and persistence. 8) SALES ABILITY The ability to convince others to make a conscious buying decision is a key becoming a successful entrepreneur. Sales guru Zig Ziglar says, People dont buy for logical reasons. They buy for emotional reasons. Being able to appeal to other peoples emotions is the key to selling your ideas, products, or services.

MODERN AVENUES OF THE WOMEN ENTREPRENEURS

The efforts of Udyogini an NGO may be cited here as an example for development and training of women entrepreneurs. Udyogini was set up to co-ordinate and facilitate management training for grassroots women's groups for the World Bank Institute-funded Women's Enterprise Management Training Outreach Program (WEMTOP). This was a three-year participatory action learning project aimed at strengthening the capacity of intermediary NGOs to deliver management training to poor women micro entrepreneurs in 1992. The training program consisted of Grassroots Management Training (GMT) carried out for women producers and the Training of Enterprise Support Teams (TEST) for the trainers of GMT. The trainings were carried out through NGOs who were responsible for group formation and bringing together the women. NGO staff was trained as trainers or Enterprise Support Teams (ESTs).
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The project was based on a package completion approach. It was recognized that training alone would not be sufficient for promotion of enterprises. A number of other linkages - forward and backward - would be necessary. However it was thought that the field based NGOs will provide these other linkages. During the WEMTOP phase, Udyogini worked with 21 Voluntary Organizations (NGOs) in three states of Orissa, Bihar, and Rajasthan. A total of 130 trainers and 1,077 producer women were trained. It was exciting that Udyogini was able to train so many women and NGOs that worked with women. But more was neededespecially as the markets were getting more complex. To remain strategic and inform its training programs for others, Udyogini needed to work directly at the grassroots to understand what it takes to take women all the way through from 'mobilization to market'. So, in 2002, Udyogini began direct implementation at the grassroots. It selected sectors of the economy in which women were concentrated and in which depth and scale were required to be demonstrated to make a difference. It selected regions that offered a resource base skills or natural resources that were required to be harnessed for enterprise and to empower women. It selected locations that were challenging and where

women were not being supported for micro enterprise work in any significant measure by government or NGOs. Udyogini has come a considerable distance since its inception and has acquired critical knowledge of gender and micro enterprise promotion at the grassroots both through its support work with partner NGOs and its programs in the field. SCHEME FOR WOMEN ENTREPRENEURSHIP

In order to alleviate the problems faced by women entrepreneurs, Government of India launched the scheme Trade Related Entrepreneurship Assistance and Development of Women (TREAD) in 1998. The scheme envisages development of micro/tiny women enterprises in the country both in the urban and rural areas. The main objective of the scheme is to empower women through development of their entrepreneurial skills by eliminating constraints faced by them in their sphere of trade. A revised scheme of TREAD was launched in May, 2004. It is to be implemented by Small Industries Development Organisation. It also provides for market development and financial loans through NGOs, which are also provided grants for capacity building. This assistance is to be provided for self-employment ventures by women for pursuing any kind of non-farm activity.

The scheme has three components; (a) To provide assistance to women entrepreneurs through NGOs for non farm entrepreneurial activity. (b) To build up capacity of Entrepreneurship Development Institutions like National Institute for Small Industry Extension & Training (NISIET), Small Industries Service Institutes (SISI), State level EDIs, etc., by providing financial support in the form of Government of India grant.

(c) To create entrepreneurship development training facility through NGOs by providing financial support for conducting training programmes. CONCLUSION The modern trend shows that women join hands in enhancing the income of the family. In turn it also changes their personality and living standards. In the advanced countries like USA, women won 25 percent of all business, in Canada 1/3rd of small business are owned by women and in France, it is 1/5. In UK the number of self-employed women has increased three fold as fast as the number of self-employed men. In India the self-employed women account for only 5.2% of the self-employment persons in the countries. Majority of them are engaged in the recognized sector like agriculture, handicrafts, handlooms and cottage based industries.