MODULE 1-2

ENTREPRENEURSHIP
Content Standards Performance Standards
The learner demonstrates understanding of key The learner independently creates/provides a
concepts, underlying principles, and core quality and marketable product or service in
competencies in entrepreneurship. entrepreneurship.

WHAT I NEED TO KNOW

Entrepreneurship is the creation or extraction of value. It is viewed as change, generally

entailing risk beyond what is normally encountered in starting a business. It is a process
of designing, launching, and running a new business which is often similar to a small
business, or as the capacity and willingness to develop and manage a business venture.
In this module, you will learn relevance of the course (Social and economic Benefits) and the core
competencies in Entrepreneurship.

WHAT IS IT
What is ENTREPRENEURSHIP?
- It is a proactive process of developing a business venture to make a profit.
- It involves seeking opportunities for a market, establishing and operating a business out of
the opportunity, and assessing it risks and rewards through close monitoring of the operations.

Social and Economic Benefits of Entrepreneurship

1. Entrepreneurship produces more jobs that equate to an increase in national income.
2. Entrepreneurship amplifies economic activities of different sectors of society.
3. Entrepreneurship introduces new and innovative products and services.
4. Entrepreneurship improves people’s living standards.
5. Entrepreneurship disperses the economic power and creates equality.
6. Entrepreneurship controls the local wealth and balances regional development.
7. Entrepreneurship reduces social conflicts and political unrest.
8. Entrepreneurship elicits economic independence and capital formation.

Who is an ENTREPRENEUR?
- It came from the French words entre, which means “between” and prendre, which means “to
take”.
- An Entrepreneur is a unique individual who has the innate ability and extraordinary dedication to
establish and manage a business, acknowledging all the risks and reaping its rewards.

LEADERSHIP- is the core of every entrepreneur.

Five Levels of Entrepreneurial Development according to

According to Action Coach

Level of Entrepreneurial CHARACTERISTICS

Development
1. THE SELF-EMPLOYED  Not comfortable with the routines of a desk job.
 Do not want to conform to fixed working schedule.
 Want to do things in their own.
 Too reliant on themselves which leads to exhaustion.
 Eventually realize that a successful business should work for them.

2. THE MANAGER  They feel the need to step up and ask some help from other people.
 Delegate and hire potential employees.
 Problems on the employees qualifications may arise that will lead them to
assess their employees and begin to create positions that match the
requirements of the business and employees expertise.

3. THE LEADER  They already enjoy seeing people flourish, stepping up and producing
great results with minimal supervision.
 They already recognized key leaders in their organization.

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  Focus on the big picture and strategic direction of the business rather than
generating sales and operating the business.

4. THE INVESTOR  They look for more opportunities for their business to grow.
 May either purchase one or two businesses.
 Will delegate a suitable manager for the business operations and will act
as directors.

5. THE TRUE  They aim for quality and excellence in their work.
ENTREPRENEUR  They have fully learned, and continue to practice, a four-step process of
thinking- idealization, visualization, verbalization, and materialization.
 In this stage, true entrepreneurs now have an income that keeps on
multiplying even if they do not put much effort.

Four- Step Process of Thinking of a

True Entrepreneur

1. IDEALIZATION- entrepreneurs dream enormously and desire to build an ideal environment.

2. VISUALIZATION- entrepreneurs start to create plans to make the dream a reality.
3. VERBALIZATION- involves sharing their ideas with other people, knowing that their vision is
already occurring.
4. MATERIALIZATION- happens when the vision becomes a reality.

Other terms coined to suit an entrepreneur’s

Field or Expertise.
1. Technopreneur- is an entrepreneur who puts technology at the core of his or her business
model.
2. Social Entrepreneur- is one who takes advantage of the country’s social problems and turn
them to profitable institutions with the intention of helping the disadvantaged community
rather than making a profit.
3. Intrapreneur- is an entrepreneur in a large company or corporation who’s tasked to think,
establish, and run a new big idea or project. They are usually product managers or the
business development managers of a company.
4. Extrapreneur- is an entrepreneur who hops from one company to another to act as the
innovation champion, providing creative and efficient solutions.

Common Traits of Entrepreneurs

1. Proactive
- Entrepreneurs are reactive rather than passive.
- They ensure that proper research is done, the risk factors are assessed, and plans are executed
on timely and most efficient way.
2. Agents of Change
- They are innovation champions.
- They see opportunities in hopeless and complex situations.
- They don’t settle for mediocrity and the status quo.
3. Risk takers
- Entrepreneurs do not just grab opportunities left and right; they have to take into consideration
the potential threats that they may encounter.
- If they think that there is a big chance of succeeding, they push through with the venture and
don’t let the opportunity pass.
4. Have a Sharp Eye for opportunities
- They know how to assess the net cause and effect of an opportunity and decide intelligently if a
venture should be considered or not.
5. Sociable
- Soft skills are one of the most important competencies of entrepreneurs as these establish the
relationship with the most important assets of the company- its people and its customers.
- Relationship management is the key for employee and customer relation, which can be achieved
by a social entrepreneur.
6. Networkers
- A networker knows the key people to connect with.
7. Decisive
- They do not settle for gray areas or unclear solutions.
- They do not leave an issue unsolved without disposition.
- They base their decisions on scientific calculations backed up by their experience and technical
knowledge.

GENERAL INSTRUCTION:
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 8. Innovative
- They do not stop improving and thinking of new and worthwhile ideas for their business.

Core Traits of Entrepreneurs

1. LEADERS
 To be successful leaders, they must be a source of inspiration for their employees.
 They must be very humble, approachable, friendly, and also know how to listen to
people’s concerns.
 They use their strengths and limitations to make the best of a situation.
 They must also be decisive and know how to own up to their decisions.
 They know how to unite the team and bring out the best in every employee.
2. COMMUNICATORS
 Entrepreneurs know how to use all forms of communication to effectively share ideas and
address certain concerns with their employees or customers.
 Communication channels between entrepreneurs and their employees or customers
should always be open to ensure the smooth flow operations in their business.
3. SPECIALISTS
 Entrepreneurs are tactical and are very keen with details.
 They understand the totality and specificity of their business.
 They enjoy being in action instead of being behind the scenes.
4. Problem Solvers
 Entrepreneurs possess critical thinking skills and look at problems as challenges or
puzzles that they need to solve.
 They know how to handle issues in any area of business, be it finance, operations, or
marketing.
 They are able to solve problems by immersing themselves in day-to-day activities,
knowing what is happening in and out of their business.
 They should also be aware of their employee’s personalities; they must know how and
when to use them to help solve the problems.
 They must have faith that every problem has a solution no matter how hard it is.
 They must also be courageous and know how to face the consequences of their
decisions.

ENTREPRENEURSHIP OR EMPLOYMENT?
Important Career Entrepreneur Employee
Factors
1. Income  Income generated passively even when  Income generated actively; no work= no
the entrepreneur is resting pay
 Opportunity income unlimited,  Income usually fixed per month and
depending on the success of the increases every year depending on the
business. employer and the employee’s
 Income only earned when the business performance.
is successful.

2. Hiring and  Provides jobs; is the owner of the  Seeks for a job; is the one applying for a
Firing business and conducts the talent job and is interviewed by the company’s
Organizationa selection. hiring officers.
l Setup and
Major Key  Fully responsible for serving customers,  Has the goal of satisfying only the
Results Areas making the business employer or the direct supervisor.
profitable/sustainable, and providing  Fully dependent on the employer’s
employee satisfaction. performance.
 Has the power to disengage  Can only work for the current employer
nonperforming employees applying the exclusively.
due process policy of disengaging 
personnel.
 Can venture into expansion of business
such as franchising and buying other
similar business.

3. Daily Tasks  Performs all necessary variable tasks to  Has the routine tasks and works on
establish and manage a startup regular or normal hours.
business, which usually takes most of  Follows policies, procedure, and
the entrepreneur’s time; spend more memoranda from the employer.
hours on work than a regular employee
and sometimes gets no sleep.
 Prepares policies, procedures, and
memoranda for the business.

GENERAL INSTRUCTION:
Make sure to read the entire module. Do what is asked. Perform tasks accordingly. FOLLOW DIRECTIONS.
Any form of copying is strictly prohibited. IF DO SO, ANSWERS WILL NOT BE SCORED.
PLEASE WATCH THE SUPPLEMENTAL VIDEO! Seek communication to your teacher when confused. 3
4. Leisure Time  Has a flexible schedule and can take  Has a limited number of vacation days
& Vacations unlimited number of vacation days imposed by the employer.
applicable only if the business as
stabilized already)

5. Taxation  Taxed on the net income; can claim  Taxed on the gross income; cannot use
taxable income deductions for allowable expenses incurred related to the job such
expenses incurred by the business. as food and transportation expenses to
claim for deductions from taxable income.

6. Comfort  Is comfortable in doing multiple and  May be comfortable with routines and
Level at challenging tasks and takes minimal risks; may also be comfortable in
Work accountability with the risks and profits working for the company itself.
of the business; does not want to be
confined in a box; thinks outside the box
or sometimes thinks there is no box..

Careers in
Entrepreneurship
“When you love what you do, it’s as if you are not working.”

Most Common Small Businesses in

the Philippines
1. Sari- Sari Store 11. Hair styling and makeup business
2. Rice retailing 12. Spa, gym, nail care business
3. Food cart business 13. Video and photography business
4. Printing business 14. Tutorial business
5. Buy-and-sell business 15. Baking business
6. Street food business 16. Website development and design/blogging
7. Flea market business or “tiangge” 17. Direct selling business
8. Online selling business 18. Car wash and car care business
9. Cellphone loading business 19. Bar, café, and restaurant
10. Laundry and dry cleaning business 20. Water station and LPG station

Franchise or Startup Businesses

 Bakeries, bakeshop, and bread products  Food and snack carts
 Bars, café, and coffee shops  Gas station/Petroleum products
 Beverage and confectionary  General Merchandise and Retail
 Car Café  Health and wellness (salon, massage, spa
 Clothing and accessories and gym)
 Convenience stores  Schools
 Drug stores and Pharmacies  Services (personal and business)
 Fast food establishments and restaurants  Water Stations

Other Business Opportunities

 Dealerships
 Direct Selling
 Distributorship

GENERAL INSTRUCTION:
Make sure to read the entire module. Do what is asked. Perform tasks accordingly. FOLLOW DIRECTIONS.
Any form of copying is strictly prohibited. IF DO SO, ANSWERS WILL NOT BE SCORED.
PLEASE WATCH THE SUPPLEMENTAL VIDEO! Seek communication to your teacher when confused. 4
 WHAT I KNOW

Direction: Answer the following questions based on your own understanding.

1. What is an entrepreneur?
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
2. Do you have what it takes to be an entrepreneur? (Expand your answer)
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
3. What are the advantages and disadvantages of being an entrepreneur?

ADVANTAGES DISADVANTAGES
1. 1.
2. 2.
3. 3.
4. 4.
5. 5.

4. What are your experiences related to business? (Expand your answer)

_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________

WHAT’S MORE
My Business
Plan

BUSINESS IDEA: ___________________

 Is it a business or a service? __________________________
 What makes your idea different? _______________________
 How will your products/services stand out from the competition?
__________________________________________________________________

 Why will people want to buy? __________________________________________

BUSINESS NAME: ___________________________

What does your name say about your business? Is it unique? Memorable and easy to pronounce?
______________________________________________________________________________________
TARGET MARKET & DEMOGRAPHICS:
 Who will be your customers? (Kids, teenagers, Men, Women)_______________________________________
 Location of the business and why? : _________________________________________________________________
MARKETING:
 How will you endorse your business? _____________________________________________
PRICING:
 How much do you think you need to start your own business? ____________________________
 How much will be the price of your product (How did you come up with that idea) : _____________________________
_______________________________________________________________________________________________

PROFIT:
 How much will you make on each sale after you subtract your expenses? (Profit + Income – Expenses)
 Sale Price of Item: __________________
 Cost of Item: ____________________

GENERAL INSTRUCTION:
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 Profit: __________________
 What will you do with the money you make? (Reinvest a business/Save for College/Donate?) ____________________

ASSESSMENT

TEST A. Direction: Identify whether the following is Entrepreneur or Employee.

1. He prepares policies, procedures, and memoranda for the business.

2. Income is generated whether the business is successful or unsuccessful.
3. She can disengage non performing employees, applying the due process policy of disengaging
personnel.
4. Has a 8-10 working hours per day.
5. She is taxed in the gross income.
6. Has the goal of satisfying the customers.
7. Requires internal motivation.
8. Most likely to be a preemptive type of person with regard to managing his/her money.
9. He/ She thinks outside the box.
10. Income generated actively.

TEST B: Direction: Write TRUE if the statement is true and write FALSE if it is not.

1. An entrepreneur to be decisive should know how to assess the net cause and effect of an opportunity and
decide intelligently if a venture should be considered or not.
2. The five levels of entrepreneurial activity include the self-employed, the manager, the leader, the investors,
and the true entrepreneur.
3. Entrepreneurship disperses the economic power and creates equality.
4. Entrepreneurship produces more jobs that equate to an increase in National income.
5. As leaders. Entrepreneurs enjoy being in action instead of being behind the scenes.
6. To show leadership, entrepreneurs need to scold their employees if he/she repeatedly made mistakes for
him/her to be aware of what to do and not to do.
7. Leadership is the core of every entrepreneur.
8. Franchising is a business arrangement wherein the franchisee which is the owner of the distribution centers,
gave the right to use the firm’s business model and brand for period of time to a franchisor.
9. Being a communicator is one of the core competencies of an entrepreneur.
10. Entrepreneurs must take all the risks all the time to become successful.

TEST C: ESSAY

Give your own thoughts about the saying “When you love what you do, it’s as if you are not working.”

ADDITIONAL ACTIVITY

Direction: Make a video of yourself advertising the product you are selling. You will
be rated based on your performance. (The answer sheets will not be accepted without the
video)

MODULE 1-2
IN
GENERAL INSTRUCTION:
Make sure to read the entire module. Do what is asked. Perform tasks accordingly. FOLLOW DIRECTIONS.
Any form of copying is strictly prohibited. IF DO SO, ANSWERS WILL NOT BE SCORED.

ENTREPRENEURSHIP
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NAME: _______________________________________________

STRAND & SECTION: _____________________________________________

DATE SUBMITTED: _______________________________________________

TEACHER: ______________________________________________________

SCORE: ______________________________

GENERAL INSTRUCTION:
Make sure to read the entire module. Do what is asked. Perform tasks accordingly. FOLLOW DIRECTIONS.
Any form of copying is strictly prohibited. IF DO SO, ANSWERS WILL NOT BE SCORED.
PLEASE WATCH THE SUPPLEMENTAL VIDEO! Seek communication to your teacher when confused. 7