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Entrepreneurial Motivation

Entrepreneurial behavior
entrepreneurial motivation.

is

the

result

of

Motivation has been derived from the word


motive which implies the inner state of mind
that activates, provokes and directs our behavior
towards the goal.
Motivation is a process that motivates a person
into action and induces him to follow the course
of action till the goals are finally achieved.

Types of Motivation.

Positive Motivation:
Results in willing co-operation of workers by tempting them
towards rewards or incentives.
Negative Motivation:
Creates fear amongst workers by threatening them with
demotions, pay cuts, lay offs, etc.

Importance of Motivation:
Improves morale of employees.
Lower labour turnover.
Improves goodwill of organisation.
Creates cordial industrial relations.
Changes are more easily accepted by employees.

Factors for Entrepreneurial


Motivation
Entrepreneurial Ambition:
1. to make money
2. to gain social prestige
3. to secure self employment
Compelling Reasons
1. Unemplyment
2. Dissatisfaction with existing job or occupation
3. to use technical or professional knowledge
Facilitating Factors
1. Previous Knowledge, experience
2. Encouragement from family members, friends
3. Imitation of successful entrepreneurs

Factors Responsible for the Emergence


and Growth of Entrepreneurship
Background Factors
1. Education Training and Experience
2. Family, role models and association
3. Financial conditions
Motivational Factors
1. Need for Achievement
2. Personal Motives
3. Business Environment
Economic Factors
1. Supportive Government Policies
2. Availability of Financial Assistance
3. Ancillary Support
Reward
1. Recognition
2. Social Status

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