Entrepreneurship has turned to be the lifeblood of the business. Qualities of a successful entrepreneur are key to a successful business. In this article, I am going to talk about the qualities of a successful entrepreneur.
Qualities of a successful entrepreneur
The qualities of a successful entrepreneur are broadly categorized as follows:
Breakdown of Qualities of a successful entrepreneur
Key initiatives include risk-taking, organizing, and innovation. An entrepreneur loves to take initiatve.
In simple words, management is getting things done with and through others. Different experts have defined the term management differently. According to Henry Fayol (1949), the “father of the principles of management”, “management is predicted, planned, managed, ordered, coordinated and controlled” “
According to George Terry (1), “management is a separate process that performs planning, organizing, implementing, and controlling to set and accomplish goals through the use of people and organizations.”
The significance of the management function lies in the fact that there is no management or poor management system, but with poor facilities and resources, great facilities and quality companies have become fantastic.
In small enterprises, entrepreneurs who also own the enterprise have to perform the management systems.
In the general discussion, the pre-determined program is to accomplish the planning goals. In other words, the plan is today’s projection for tomorrow’s activities. Extensive planning in all aspects of the business.
An entrepreneur has to decide on what to do, how to do it, when to do it, where to do it, who to do, and so on.
The importance of the plan lies in the fact that it ensures the smooth and effective completion and management of a business venture. The absence of planning creates confusion which, in turn, affects the smooth performance of the work.
The organizational activity of an entrepreneur is meant to bring together men, material, machines, money, etc. to implement the plan. The entrepreneur unites and organizes the various organs mentioned above in such a way that they all work together as one, that is, the enterprise.
Thus, the organized function of an entrepreneur is ultimate to provide purposeful, integrated, and cooperative action by many people in a concerted and concerted effort to implement a business plan.
Involves employees in human resource planning and human resources management. Thus, an entrepreneur’s staffing program includes a list of available personnel, staffing requirements, sources of manpower recruitment, selection of them, remuneration, training and development, and periodic evaluation of staff working in the enterprise.
Things like planning, organizing, and staffing are just preparations for setting up a business venture.
The task of managing the entrepreneur actually started setting up the enterprise. Under the guidance task, the entrepreneur guides, mentors, teaches, stimulates, and activates its employees to work efficiently to achieve the stated goals.
Thus, the task of managing the entrepreneur as a whole is concerned that any entrepreneur influences the activities of his / her employees/employees. Acting on the realities of its employees is the final step for an entrepreneur after any preparation is completed.
Controlling is the latest management task performed by the entrepreneur. Understanding whether or not the words are executed in simple words, so the control is to compare the actual performance with the target or standard performance and to identify the differences between the two, if any, and to take corrective measures so that the goal is successful. Either.
8. Identifying and Selecting Business Ideas
Every purposeful entrepreneur wants to start a most profitable and rewarding project. Choosing the most appropriate business project involves a process. Based on the alleged entrepreneur, his knowledge, experience, and information gathered from friends and relatives, he creates some potential business ideas that can be experimentally pursued as a business venture.
This process is also described as “scope scanning and identification.” Then, the ideas generated are analyzed in terms of the costs and benefits associated with them. By analyzing the cost-benefits of all concepts, the most beneficial concept is ultimately chosen as a business venture.
9. Preparing a Business Plan or Project Report
The entrepreneur prepares a statement called ‘business plan’ or ‘project report’ which he proposes to accept. In other words, business planning is a well-developed course of action created by the entrepreneur to achieve specific goals within a given time period.
In this sense, a business plan is just like an operating document. It is not necessary to prepare a business plan, but it is very effective for the entrepreneur to establish his enterprise in an effective and efficient manner.
However, it is definitely a must for those who want to apply for financial assistance from financial institutions and banks for their initiatives.
It contains information on purposeful entrepreneurship, venture location, land and building requirements, plant and equipment, raw materials, utilities, transportation and communication, manpower, sources of supply, breaking-even points with breakthrough points, and project implementation schedule.
10. Money Requirements
The entrepreneur prepares the requirements for the fund with its detailed structure. Financial requirements are categorized individually in the short term and long term.
Then the sources of supply are also mentioned in order to obtain the required funds. The equity and preference share is clearly defined as the share capital and how much capital will be taken from various financial institutions and banks.
When the enterprise was finally established, it began to produce or service the product, whatever. Production activities include factory site selection, design and layout, products to be manufactured, research and development, and product design decisions.
Ancillary activities include production planning and control, maintenance and repair, purchase, store-maintenance, and material management. Manufacturing efficiency depends, in large part, on proper production planning and control.
All products are for marketing basically. Marketing is the performance of business activities that govern the flow of products and services from producer to consumer or user. So, marketing basically starts and ends with customers. It is important to note that marketing is not just sales. In fact, marketing involves much more than sales. The last act of sales marketing activity.
Examples of marketing activities include marketing or consumer research, product planning and development, standardization, packaging, pricing, storage, promotional activities, distribution channels, etc.
The success of marketing activities is linked to a suitable ‘marketing mix’. Dition Thematically, the marketing mix is referred to as 4 PS, such as product, price, promotion and physical distribution. Of late, the packaging, people, and process added another 3 ps to the “marketing mix”.
The main goal of any business organization is to make a profit and create wealth. Is the calculation determined by whether the business is meeting its goals? According to the American Institute of Certified Public Accountants, accounting is the industry’s record of recording, categorizing, and summarizing in a significant way, transactions and events, at least in part, of a financial character and interpretation. “
Thus, accounting involves a process consisting of the following four levels:
1. Transaction recording
2. Classifying transactions
3. Transaction Overview
4. Prepare final calculations
5. Analyzing and interpreting the results.
The Profit and Loss Account is designed to determine whether or not a business has made or has earned a profit over a period of time, also known as the ‘Accounting Year’.
The balance sheet is ready to know the financial position of the business during the accounting period. Therefore, the balance sheet is also called ‘position statement’.
14. Practical risks
One of the two primary tasks of an entrepreneur is to take responsibility for the financial and practical risks of managing their business.
There are tools to help mitigate potential risks, such as managing the risk of a fire, theft, or accident by purchasing insurance with adequate coverage limits.
You can also limit the amount of damage caused by fire, theft, or accident by following the risk management advice provided by the insurance company. Keep employees trained and up-to-date on safety and damage prevention.
15. Putting money on the line
Financing a business is another important part of entrepreneurial risk-taking. If entrepreneurial products and services are not successful, entrepreneurs run the risk of losing their entire investment.
Reduce financial risk by carefully selecting the products and services you sell. Evaluate the benefits of new or increased expenditures. Study market conditions, learn from others’ mistakes and plan how you scale your products and services to profitability.
16. Products and Services
In addition to taking the risks associated with managing their business, entrepreneurs have always been leaders in bringing products and services to the market.
As the primary and often the only decision-maker, you must choose your product or service wisely. Focus on the niche of the market that will fill your business. Learn and use good practices for renting and managing.
Keep up to date on business competitors, general business climate, and financial management strategies.
Entrepreneurs are different from managers because they carry out many responsibilities in managing their business, whereas managers focus only on managing a part of the business.
Entrepreneurs cannot sell their product or service if no one knows about it. They need to continuously research on the market, product, price, as well as competitors.
Vision and innovation mean little if entrepreneurs do not communicate why their businesses stand out to competitors. Use good communication skills to talk about your business.
Activate networks of potential customers with good word of mouth and creative use of social media tools. Study marketing and communication strategies used by other successful entrepreneurs. Keep them to grow your own business.