ENTREPRENEURIAL MINDSET

COURSE MATERIAL 2
ENTREPRENEURIAL MINDSET AND OPPORTUNITY

LEARNING OBJECTIVES:
 Compare fixed and growth mindsets;
 Generalize characteristics and essentials of entrepreneurial mindset;
 Consider opportunity recognition using mindset;
 Integrate structured strategies of forming ideas;

For several decades now there has been a constant debate whether entrepreneurs are self- made or
they possess unique gifts. Sometimes, people have mistaken entrepreneurs as those born with
exceptional genes. Today, entrepreneurial mindset makes entrepreneurs move forward even during
difficult situations. Entrepreneurial mindset makes possible innovations and taking risks and the ability
to accept failures. Thus, entrepreneurial mindset is important for business.

MINDSET ITS CHARACTERISTICS AND ESSENTIALS

Mindset:

 Is a belief that qualities like intelligence and talent are fixed or changeable traits.
 The word mindset was coined by Carol Dweck in her book “Mindset”.
o It is based from her research about personalities of successful people.
o She found out that successful people have different mindsets which are fixed versus
growth mindset.
o In reality, there are numerous mindsets, but fixed and growth mindsets are her
important discoveries for people living in today’s fast changing and very complex.
o Other types of mindset – abundance vs scarcity

Fixed Mindset:

 People with fixed mindset perceive that their talents and abilities are set.
 They consider their brains and talents are sufficient to become successful and endure life by
becoming smart.
 They personally take positive criticisms of their capabilities.
 Sees the world in an either/or perspective.
 Success is based on luck or possibly from some sort of prejudicial advantage.
 They always want to avoid challenges, failure, and tell themselves they do not have expertise.
  Believe that these qualities are inborn, fixed, and unchangeable.

Growth Mindset:

 People with growth mindset trusts that traits can be changed, developed and strengthened by
working on them.
 These people are certain that their abilities could be developed by commitment, determination,
and obviously hard work.
 For them, brains and talent are simply the starting point of the lifelong success for everyone .
 See failure as an opportunity to enhance their performance and take mistakes as lessons.
 Instead of giving up, they proceed to what they wanted to do despite failures.

FIXED MINDSET GROWTH MINDSET

I’m either good at it, or I’m not I can learn anything I want to.
When I’m frustrated, I give up When I’m frustrated, I persevere.
I don’t like to be challenged I want to challenge myself.
When I fall, I’m no good When I fall, I learn.
Tell me I’m smart Tell me I try hard.
If you succeed, I feel threatened If you succeed, I’m inspired.
My abilities determine everything My effort and attitude determine everything.

CHARACTERISTICS OF AN ENTREPRENEURIAL MINDSET:

Entrepreneurship is a challenging and rewarding path.

Several characteristics often common to successful entrepreneurs.

1. Curiosity:
 Being curious is really shared among successful entrepreneurs.
 Curiosity leads to questions, and questions lead to answers.
 This trait strengthens the ability to understand things with a new standpoint.
 Nobody knows everything, and curious people are conscious of this. Being
humble and open minded lead to greater knowledge and greater knowledge
allows more detailed reflection.
2. Commitment:
 Continuing to keep going and persist amidst problems.
 Rejection and disappointments are essential elements of an entrepreneur’s life
which needs to be endured.
 Lessons must be taken from rejection and should not affect the confidence of the
entrepreneur.
 The focus should be on achievements, because it would motivate the entrepreneur
to persevere as he moves forward and continues to harvest good outcomes.
3. Optimism:
 Tough attitude towards challenges makes up successful entrepreneurs.
 Every time a situation happens, the entrepreneur should be hopeful in exploring it’s
many learning opportunities.
 4. Flexibility:
 Entrepreneurship is a challenging filed with its unpredicted demands and
continuous problems.
 It helps to supple to deal with a series of difficult situations, solve problems
easily and make progress from obstacles.
5. Ownership:
 Successful entrepreneurs always trust that their success comes form their own
ability.
 They have high internal focus of control.
 Whatever life throws at them, they will be able to make or break them through their
own actions, decisions, and responses.
6. Leadership:
 A successful entrepreneur always guides, ,motivates, and empowers his team.
 It is usual for him to share his vision with his team to inspire these people.
 Through convincing communication and involving his team, an effective
entrepreneur is able to attain his visions.
7. Connection:
 In entrepreneurship creating network is very important. Entrepreneurs must
choose those people that would form his collective links so that he could breed his
ideas.
 There should be emotional and financial bonds.
8. Self-respect:
 In business, it is also vital to take care of both the body, mind and spirit. Taking care
of oneself daily through rest, exercise and diet is essential.
 Always have ample rest and sleep for renewing ones energy.
 Take time to exercise and whatever one enjoys.

ESSENTIALS OF THE ENTREPRENEURIAL MINSET:

Although living with entrepreneurial mindsets, is really transformative, knowing them is amazing.
Entrepreneurial mindsets appears to be like common sense yet they are common practice.

Essential things in order to really employ and initiate successful mindsets.

1. Passion First:
 Real entrepreneurs look for:
 What really are important to them;
 What they truly wanted to;
 And bring together their business around those things,
 Most of the times a company has so many problems. The best way to be involved and
continue doing business during difficult times is to have a sense of meaning and
purpose.
 2. Everything is possible:
 The mindset is about believing that entrepreneurs are capable of accomplishing
unexpected results.
 They trust that an idea could be possible to turn into reality.
3. 100% accountable:
 Entrepreneur always believe that they have the power to choose their responses to any
circumstances because they have this 100% accountable mindset.
4. We are Connected:
 Entrepreneurs believe they can achieve their dreams not by being alone though they
love to be independent.
 They wanted to lead by helping other people to do their tasks and fulfill their
dreams without seeking anything in return.
5. Live Life to give:
 Most people especially business people wanted to offer their time and resources for a
valuable cause.
 As people in business profit more, they tend to give more. Know today, as CORPORATE
SOCIAL RESPONSIBILITY.
6. Attitude of Gratefulness:
 People focus much of their thoughts on what they do not possess.
 Seldom do people give their attention to their accomplishments and their present
experiences except for entrepreneurs.
7. The Time is Now:
 This mindset for entrepreneurs refers to recognizing that all their powers exist in the
moment.
 Entrepreneurs believe that they cannot change history and the future is uncertain. The
important thing is to take action now.

OPPORTUNITY RECOGNITION USING MINDSET:

Opportunity:

 It is a means to generate profits by creating unique, innovative and desirable products or

services which are not being found in the market yet.
o In order for the opportunity to be feasible, the idea should be able to create value.
 The most common form of value is economic or the ability to make profit.
 However, it is also vital to consider:
 Social value:
o It addresses social need or provide benefits to the society.
 Environmental Value:
o Is the opportunity to preserve the natural surroundings.
Opportunity Recognition:

 It is a process by which individuals and businesses makes use their entrepreneurial mindset in
order to establish new business or ideas.
o This is done using continuous brainstorming to find new and innovative ways of solving
problems.

HOW TO START WITH IDEAS:

Some Structured strategies of forming ideas;;

1. Analytical:
 This is about breaking a problem into details or looking at a problem in a common way
to produce ideas on improving or innovating products or services.
 Only when thought analytically that correlation of problem is seen.
2. Search:
 Involves linking personal experiences that are significant to the existing problem.
 This illustrates the ability to be resourceful in looking for connections between
objects that appears to have no obvious relationship at first.
3. Imagination based:
 This is interrupting doubts and dropping restrictions to produce fantasies or make
believe situations.
 Entrepreneurs need to be playful in their minds so that they can think of ways
that are impossible.
4. Habit- Breaking:
 The human mind need to depart from usual patterns to stimulate creative insights,
 In order to explore a new perspective, entrepreneurs should think of the
opposite of something. The ideas of a person not part of a situation could also
be taken particularly those admirable personalities.
5. Relationship Seeking:
 Establishing a link between concepts that are not usually connected.
 The intention is to fuel the mind into making connectivity that seems to be
unnoticed.
6. Development:
 Employs the modification of existing concepts to make improved choices and new
potentials. Example brainstorming
7. Interpersonal:
 Needs interaction with a group to generate ideas.
 Brainstorming is a commonly used to highlight creativity towards new opportunities.