PROFILING OF AN ENTRPRENEUR

ENTREPRENEURSHIP MANAGEMENT

Presented By Group 5
Siddhesh Ambade Avdhut Raut Prathamesh Chawathe Ruchi Agarwal Ankita Sen Suviksha Bhat Varun Dubey Hepal Shah 201004 201011 201016 201018 201021 201024 201035 201054

Who is an Entrepreneur?
A term applied to a person who is willing to help launch a new venture or enterprise and accept full responsibility for the outcome An owner or manager of a business enterprise who makes money through risk and initiative Jean-Baptiste, a French economist, coined the word "entrepreneur" in the 19th century. He defined an entrepreneur as "one who undertakes an enterprise, especially a contractor, acting as intermediary between capital and labor.

 According to the economist T.N. Srinivasan, Innovation and Entrepreneurship is a two-way relationship.

According to Peter Drucker, "Innovation is the specific instrument of entrepreneurshipthe act that endows resources with a new capacity to create wealth"

Entrepreneurship In India
Entrepreneurship is an integral part in the Indian tradition The entrepreneurial spirit is an ongoing characteristic of Indias history, particularly visible in a number of communities engaged primarily in trading As India is a growing economy, there are a lot of entrepreneurship opportunities as compared to the developed countries, and could therefore be far more complex as there is so much more that needs to be done According to 2011 statistics, there are around 200 million entrepreneurs in India. This means that out of a population of 1.2 billion only 18% are entrepreneurs

Some Entrepreneurs in India

Jamsetji Tata (18391904), pioneering Indian industrialist, founder of the Tata Group of companies

K. C. Mahindra, co-founder of the Mahindra Group

K.M. Mammen Mappillai, founder of Madras Rubber Factory (MRF)

Capt. G. R. Gopinath, founder of Air Deccan, vice-chairman of Kingfisher Red

Brijmohan Lall Munjal (1923- ), founder of The Hero Group, which owns Hero Motors

Objective of the Study

The objective is to study the different traits of entrepreneurs on parameters like age, capital, education qualification, work experience etc

Research Methodology
Primary Research has been conducted by interacting with different entrepreneurs

The Sample size is 50 entrepreneurs

Area Coverage: Malad to Borivali

[Link] form of business you are in?

Analysis: 48% of the entrepreneurs run their business with sole proprietorship followed by 26% each for family business and partnership purpose
26%
48%

Form of Business

Family Business Partnership

26%

Sole Proprietor

It can be seen that more number of people are starting their business on a sole proprietary basis. In India as there more number of businesses are family owned one, the pie chart indicates that the scenario is changing.

Q2. Does any entrepreneur influence you?

Influenced?

Analysis:
More number of entrepreneurs are not influenced by any other entrepreneur. That is 66% are not influenced whereas 34% are not influenced by any entrepreneur while starting their business Its their own interest and passion that drives them to take up this big step. At times its circumstances that force people to take up the business route

34%

66%

Yes No

[Link] entrepreneur influences you?

Analysis:
Influenced by which entrepreneur? Majority of entrepreneurs with 35% each are influenced by their friends and uncle in order to start a new venture 12% of them were of the view that they started their business out of their interest and passion. Only 6% each are influenced by their grandfathers, fathers and brothers.

6% 35% 35%

Father Friend Grandfather Passion Brother Uncle

6%

12%

6%

Q4. At what age did you start business?

Analysis: Getting into Business?
4% 16%

In survey done by our group, we found that, most of the entrepreneurs are in the age bracket 35 50

Age
50% 20-25 30% 25-35 35-50

Before starting their business, they had an experience of 6-7 years in jobs related to their own business However it is heartening to know that 16 % are between age bracket 20-25, this shows that there are youngsters who dream to be big and plunged into their own business by being entrepreneurs

50-60

Q5. What was the motivation behind opening this firm?

Analysis:
Motivation factor?

A majority of entrepreneurs with 40% started their own venture out of their sheer interest and passion
8% 32% 20%

Family Business Had a passion/hobby

40%

No option Time/Money Other

32% of them had no option or money was a constraint, as a result they started their own business Only 20% had their own family business and were making strategies for the growth and expansion of their business

Q6. How did you finance your business?

Initial Finance

Analysis:
Borrowing loan from the banks is the means through which the entrepreneurs financed their business which constituted for 42% 30% of them financed their business by themselves. They said that whatever they had earned through their previous jobs, they had used the money for financing their business 16%, 8% and 2% each financed their business by way of partners contribution, others, and loan from parents and friends respectively

8% 30%

Contribution from partners

16%

Loan from bank Loan from friends

42%

Loan from parents

Self
2%

2%

Other

Q7. What were the challenges faced initially?

Challenges Before
30 No. of respondents 25 20 15 10 5 0

Analysis:
In the initial stage of the business, marketing/sales was the major challenge faced by the entrepreneurs followed by inadequate capital, profits, experience, getting skilled employees and quality related issue These problems are generally faced because of the initial ups and downs in managing the cash flow

Challenges

Q8. What were the challenges faced now?

Challenges Now
35 30 25 20 15 10 5 0

Analysis: Even once the business was set, marketing/sales is still one of the business challenges faced by the entrepreneurs due to the ever increasing competition Due to the competition, the profits are also being affected

No. of respondents

Challenges

Q9. What is the total no. of permanent employees currently?

No. of employees

Analysis: More number of the employees were in the range 0-50

2% 2%

4%
18% 0-50 51-100 101-200 74% 201-300 300 & above

Only few business which were related to manufacturing business included employees in the range of 51-100 followed by 300 and above, 101-200 and 201-300 with 4%, 2% and 2% respectively

Q10. Who are your customers?

Customers?
45
40 35 No. of respondents 30 25 20 15 10 5 0 Housewives Students Customers Others

Analysis:
A majority of businesses target all kinds of customers ranging from kids to elders They try and not restrict themselves to students and housewives to get a better reach

Q11. Who are your suppliers?

Suppliers
30 25 No. of respondents

Analysis:
Most of the suppliers are on a medium scale followed by large scale, small scale and others Most of the entrepreneurs are into manufacturing and distribution and hence source the raw materials from medium and large scale suppliers

20

15

10

0 Small scale Medium scale Large scale Suppliers Others

They maintain cordial relations with the suppliers since they have been dealing with them since many years

[Link] is the most critical thing you have done to grow your business? Analysis:
Most of the entrepreneurs who are into their family business have bought more shops as well as have come with their manufacturing business Those with sole proprietorship and partnership business, new investment avenues in their related business as well as covering different areas for tapping that area has also been undertaken

Q13. What are the reasons for your success?

Reasons for Success
35 30 25

Analysis:
Hard work scores the most for the success of the entrepreneurs followed by uniqueness or quality, management skills and others This proves the fact that there is no second route to success except hard work

No. of respondents

20
15

10
5 0 Hard work Management Uniqueness or skills quality Reason for success Others

[Link] your qualification?

Analysis:
Qualification
Around 54% of the respondents have done their graduation 27% of the respondents have cleared at least their higher secondary certificate examination This exemplifies that today, even those in the business community have understood the importance of education Academic background need not be directly related to the work they do Few of them have done it to have a social status (order winner in case of marriage) Few have plunged directly into their area of interest 8% of the respondents had completed their masters in business administration and joined the family business

7%

6%

10th-12th 27% Below 10th 6% Graduation (B.A/[Link]/B.E/[Link]) MBA Other

54%

[Link] you were to start another business, what might it be?

Analysis: On interaction, some said that they would like to get into the construction business, manufacturing business and consultancy firms Only one entrepreneur was interested to get himself a job This shows that the entrepreneurs either want to get into their interest areas or something with alignment of their current business

Q16. Which is the most important skill sets required for entrepreneur ?
Skillsets Required
40 35 30 No. of respondents 25 20 15 10 5 0 Innovator Risk taker Skill sets required Other

Analysis: More than 35% were of the view that for growth, expansion and survival in the competitive market, an entrepreneur should be a risk taker followed by being an innovator and others In the others, entrepreneurs feel having proper knowledge about their business is crucial

Conclusion
Based on the interviews, this study concludes that a successful entrepreneurship ecosystem is the function of a number of factors working in tandem. These are classified as Entrepreneurial Triggers. These are as follows: Individual Motivations for Entrepreneurship Socio-cultural Factors

Access to Early Stage Finance

Education and Incubation Business Environment for Entrepreneurship

Thank you