Frequently Asked Questions About Entrepreneurship
Entrepreneurship is a mentality but also a multidimensional concept that appears at different levels and in every type of organization. The term entrepreneurship represents a specific way of “thinking” and “operating” and does not stick to the definitions that usually equate entrepreneurship with starting a business. For example, a business-minded employee of a mobile phone company who had the idea of multi-functional mobile phones with the integration of a camera and not just a camera is also characterized as a business thinker. But if we wanted to give a specific definition of entrepreneurship we could say that it is the process of creating something new that has value (for the market, society), by dedicating the necessary time and effort,
2) What are the characteristics of a successful entrepreneur?
Numerous surveys by universities around the world and by public organizations confirm that successful entrepreneurs have certain common qualifications in skills, interests, and personal characteristics. These advantages of a successful entrepreneur include the following:
– The tendency to take initiative, responsibility, energy, and perseverance. These are usually combined with good health.
– Analytical ability, creativity, critical thinking.
– Positive human relationships. Emotional balance, sociability, sensitivity to others, teamwork, cooperation, and good manners.
– Communication skills. Ability to capture and understand oral, written, and non-verbal messages as well as to express themselves effectively in all ways.
– Techniques of the production process for products and services and the ability to utilize the information that concerns and affects them.
– Self-initiation. Ability to envision, inspire and direct his actions towards the realization of the goals that he sets even under difficult conditions.
3) What reasons push most young people to start their own business?
– To make money, securing their future and the future of their family.
– To do something that they like, please and inspire.
– So that they do not have bosses over their heads.
– To get rid of the stress of finding a permanent job.
– To gain the respect of their social environment.
4) Where will I get ideas for starting a new business?
Before a business is set up, organized, and operated, there is, almost always, the conception, the generative idea, the vision. But discovering a business idea should become your obsession! You have to be very observant and constantly look for market gaps. See if there are ways and margins for improvement on existing products and services in the market. Emphasize your own grievances as consumers, product use, and consumer complaints. Also, keep an eye on technology developments and how they affect the market as well as the sudden rise in certain industries.
5) What methods can I follow to generate a new business idea?
– Focus groups were initially used to evaluate ideas.
– Brainstorming using the spontaneous thoughts of the participants.
– List of problems. Here you can give consumers a list of problems for a general product category.
6) What is the business process I should follow after conceiving the idea?
The business process has 4 distinct phases:
– Identification and evaluation-qualification of the opportunity (evaluation and your possibilities).
– Development of feasibility plan and business plan.
Identify the necessary resources and their sources.
– Preparation for the Management of the resulting company.
7) How do I analyze and evaluate an opportunity?
For your business idea to be successful in its realization, you should think seriously and think about the following questions:
– What market need does it cover?
– What have you personally noticed?
– Is the market size satisfactory?
– From a technical point of view can I produce the product/service?
– Examine the data from the market research you have done.
– Evaluate the competition. Are there any patents?
– How will the money come out?
8) What is a feasibility plan?
Before committing time, money, and energy to prepare a business plan, you need to make a quick study of the feasibility of your business idea to prepare the research and analysis that will follow to support the drafting of the plan with solid evidence. The feasibility study examines whether there are any insurmountable obstacles to the success of the project. It also investigates whether the product/service can be produced/supplied, whether it can be financed, and whether it can offer to the market. Finally, it attempts to define, in general, but clearly, the strategy and objectives of the proposed activity.
9) What is and what should a business plan include?
A Business Plan is a document that details what a business is, what it does, and where it wants to go. It describes the company itself, the market in which it moves, its products and customers, its strategy, the competition, its people, and its needs and analyzes in detail all its relevant financial data. A business plan also includes all the assumptions and predictions that we may make and on which we base our business idea. The business plan should include the following:
- Introductory page
- Executive summary
- Company description – opportunity – products / services
- Industry – market – competition analysis
- Marketing plan
- Operational plan
- Organizational plan – administrative team
- Financial plan – the necessary financing (financial plan)
- Risk assessment
10) Why write a business plan?
A business plan is essentially a process of capturing the present and planning and planning for the future based on where we want to go. Therefore, the reasons that lead to the preparation of a business plan are to:
- Understand your business.
- Secure funding.
- Find a strategic partner.
- Explain the business to your customers/suppliers.
- Attract key people/employees.
- Help the management of the company to focus on the goals of the company.
11) How is a successful business plan?
It is said that for a business plan to be successful it must be SMART, ie specific, measurable, feasible, realistic, and with specific time horizons (Specific, Measurable, Achievable, Realistic, Time-phased).
12) Where can I find the funds needed to start my own business?
Starting any new business requires some capital. The most popular ways of financing are of course any “your” funds which come either from your own savings (personal funds) or from personal loans that you will ask from your family or some acquaintances. It is also estimated that one in three start-ups uses the banking system to find financing. Nevertheless, in recent years, several positive steps have been taken in our country regarding entrepreneurship and specifically in the field of subsidies. The sources of funding for a young entrepreneur, in addition to the obvious sources from family, friends, relatives, and commercial banks are:
- Informal venture capital
– Business Angels
- Formal venture capital
– Venture Capital
– Business Incubators
– Technology Parks (Technology Parks)
– EU Community Programs