ENTREPRENEURIAL

MANAGEMENT(ECEM)

Unit 2- The Entrepreneurial

Mind-set

GROUP 2
Leader: Nicole Mecca Macavinta
Members:
- Sarrah Fermino
- Janice Carpio
- Reinna Mharie Lauderes
- Ariana Anne Naral
- Josh Laurence Delgado
- Mecca Ela Pastrana
- Julin Tamboon
 THE ENTREPRENURIAL MIND-SET

a. Cognition (metacognition perspective)

ENTREPRENEURIAL COGNITION
- Cognition refers to mental processes. This process include
attention, remembering, producing and understanding languages,
solving problems and making decisions.
- The terms come from the Latin “cognoscene” which means “to know”,
“to conceptualize” or “to recognize” and refers to a faculty for
the processing of information, applying knowledge and changing
preferences.

ENTREPRENEURIAL COGNITES
*COGNITION
- The mental functions, process(thoughts) and states of intelligent
humans-attention, remembering, producing and understanding
language, solving problems, making decisions.

*SOCIAL COGNITION THEORIES

- Posits that knowledge structures (mental models of cognition) can

be ordered to optimize personal effectiveness within given
situations.

*ENTREPRENEURIAL COGNITION
- The knowledge, structures that people use to make assessments,
judgements or decisions involving opportunity evaluation, venture
creation and growth.

META COGNITION
- Metacognition refers to higher order thinking that involve active
control over the thinking processes involved in learning.
- It plays a critical role in successful learning and it is
important for the both students and teachers.
- Metacognition is often referred to as "thinking about thinking"
and can be used to help students " learn how to learn".

b. Characteristics Associated with Entrepreneurial Mind-

set

- Unlike the traditional path you might take at an organization or

in your career, there is no blueprint for entrepreneurs to
 follow. That’s because entrepreneurship is a lifestyle choice,
not a career.
This so-called entrepreneurial spirit is what experts refer to as the
“entrepreneurial mindset.”

9 Characteristics of being a successful entrepreneur:

1. DETERMINATION
- The refusal to fear failure keeps entrepreneurs going. As
setbacks happen, entrepreneurs seek solutions instead of focusing
on the negative.
2. FOCUS
- Entrepreneurs rarely allow distractions to take their minds off
matters at hand. As busy entrepreneurs, most are required to
balance the responsibilities of work and family.
3. DRIVE
- Entrepreneurs are driven to make their ideas work, so much so
that they develop daily habits in order to remain on track.
4. DECISIVENESS
- When you’re the head of an entrepreneurial venture, everything
falls on you. Time is money, so the ability to make rational
decisions quickly can help an entrepreneur avoid wasteful
thoughts and actions.
5. INDEPENDENCE
- Though networking plays a big part in sharing ideas and gaining
perspective, entrepreneurs are very comfortable taking matters
into their own hands. The need for independence is one of the
reasons why a person who has already enjoyed a long career in
business may break from their company to strike out on their own.
6. AUTHENTICITY
- There is a genuineness to entrepreneurs; they’re not phonies.
Even if people don’t always believe in their ideas, you cannot
question their passion for what they are hoping to create.
7. FLEXIBILITY
- 9-to-5 is not really an option for entrepreneurs. They’re
thinking about their ideas 24/7, and have no qualms about getting
down to work at any time of the day or night.
8. A THIRST FOR KNOWLEDGE
- Entrepreneurs have a natural desire to learn, and this is what
often drives them to earn their degrees. They have ideas, but
they recognize that much more information is needed to bring
those ideas to life.
9. CREATIVITY
- The ability to think outside the box and improvise when necessary
is an essential element of the entrepreneurial mindset.
Entrepreneurs can see how something is done and imagine how it
can be done better.
 c. ENTREPRENEURIAL PROCESS

- It is a step-by-step method taken in order to build businesses or

new enterprises.

5 main steps to build new enterprises:

a. Preliminary steps
- This is the initial steps to follow in establishing a firm and
building a business. At this stage, an entrepreneur should be
able to make decisions that is going to affect the company.

2. DECISION-MAKING STEPS
- At this stage, entrepreneurs should know how to make decisions
efficiently. They can consult with DIC (District Industrial
Center) and MSME (Medium Small and Micro Enterprise).

3. PLANNING STEPS
- Planning is a prediction point of the possible outcome of the
business. It provides space to review the best strategy to run
the business by cutting expenses and maximizing profit.

4. IMPLEMENTATION STEPS
- It the execution of plan, it provides actions taken to implement
the plan so that something actual will happen. It is the most
important yet difficult steps in building enterprises because
during implementation the actuals come to figure and something of
real value is generated.

5. MANAGERIAL STEPS
- It plays a significant role for every entrepreneurs as well as
the organizations. It the stage that combines all of the main
steps to achieve its goals.

d. DEALING WITH FAILURE

- Entrepreneurship can be a challenging and risky endeavor, and it

is not uncommon for entrepreneurs to experience fear of failure.
This fear can stem from a variety of sources, such as the
uncertainty of starting a new business, the pressure of financial
obligations, or the fear of not being able to live up to
expectations. However, it is important for entrepreneurs to
 understand that fear of failure is a normal part of the process
and that there are ways to overcome it.

5 Things That Stress Out Entrepreneurs More Than Anything

1. ACCESS TO CAPITAL
- Even if the business is profitable on paper, you still need
enough cash flow to pay your workers and pay your bills. Staying
on top of this cash flow and getting capital from loans, lines of
credit or investors is one of the top concerns-and top stresses
of being an entrepreneur.
2. PENDING PROMISES
- Entrepreneurs serve as the face of their respective companies. If
they lie, cheat or steal, the reputation of the entire company
can be compromised. Even minor offenses, like unintentionally
broken promises, can cause damage to the brand. Whenever an
entrepreneur makes a promise whether it's to meet a deadline or
achieve certain success metrics for a client or make a new hire
for an overworked employee that promise becomes a source of
stress until it's fulfilled.
3. MAKING DECISIONS
- Over time, entrepreneurs get better about making decisions
confidently. However, decision fatigue is a real phenomenon and
can negatively interfere with your mental health. If sustained,
even small decisions can fill you with stress -- even if you make
them quickly and logically.
4. NAILING A PRESENTATION
- Presentations hold many opportunities. You'll be speaking at an
event, so you'll get name and brand exposure, and your
presentation itself could impress dozens of important people,
potentially bringing tons of new business to your company.
Because you face the risk of failure threatening to compromise
your reputation instead of improving it, upcoming presentations
are a major stress for entrepreneurs.
5. STAYING STRONG AS A LEADER
- As the leader of your organization, it's your job to remain calm,
positive and contained, even when your company is in crisis mode.
Otherwise, others will get stressed and may perform less than
optimally. Keeping up your "leader" persona is hard and stressful
work, but must be done to protect the interests of the group.

Some ways to deal with failure:

a. KNOW THAT IT'S OK, AND YOU'LL BE OK
- This may be the first time you’ve encountered a setback, the
operative word being setback. Every single successful
entrepreneur has dealt with failure and setbacks. However, it’s
 not that failure doesn’t happen, it’s about what the person does
in response.
b. PROCESSING FAILURE THROUGH SELF-CARE
- Self-care is an important part of being an entrepreneur as you’re
running a marathon and not a sprint. Sleeping enough, working
out, and eating healthy are all part of managing your mental
state when you’re going through the challenging process of
building a business.
c. GIVE THINGS TIME AND SPACE
- There is some truth to the “idea that time heals all wounds”;
that what may seem intense and cause severe discomfort when it
occurs will eventually fade. This is difficult as we often want
these feelings to go away immediately or to occupy our time with
something that masks those feelings. But time is necessary to
process and make sense of what happened, as well as learn any
lessons
d. LOOK FOR THE MEANING AND THE LESSONS
- Philosophers such as the Stoics prepared for the worst, and there
are so many lessons to be learned from their experiences in
ancient Greece and Rome. Throughout history, people have been
able to overcome what seemed like life-ending failures, and they
were able to use these setbacks as rocket fuel to propel them to
greatness. Find the beauty in everything.
e. FIND A COMMUNITY
- There can be no two ways about this. You will struggle with
setbacks, and failures if you want to build something great. It
is a lonely journey, especially if you’re an entrepreneur without
a co-founder. A partner or co-founder can row the boat along with
you when you feel you’re lost at sea. There are, of course,
downsides in having a partner as well. But a community of people
who help you and listen when you struggle is important.
- Entrepreneurs can overcome the fear of failure by setting
realistic goals, seeking support, focusing on self-care, learning
from others' mistakes, taking calculated risks, developing a
growth mindset, embracing uncertainty, managing stress levels,
and viewing failure as a learning opportunity. The key is to keep
moving forward and not let fear hold you back from pursuing your
dreams.

e. DIFFERENT TYPES OF RISK

- Taking risks is a part of daily life — driving a car, going on a

trip abroad, opting for the gas-station sushi on that one road
trip years ago (no judgment, we’ve all been there).
- An entrepreneur's life, however, is not for the faint of heart.
Building a business from the ground up takes guts. Whether you’re
years into scaling your startup or dabbling with the idea of
 being your own boss, use this guide to ensure you’re prepared to
navigate the risks of entrepreneurship.

What is risk-taking in entrepreneurship?

- Risk-taking in entrepreneurship is the process of identifying,
evaluating, mitigating, and trying out potential opportunities
and strategies that may help you build or grow your business but
could also lead to personal or professional loss.

Different types of risk in entrepreneurship;

- According to the Harvard Business Review, business risks are
bucketed into three categories: preventable risks, strategy
risks, and external risks.
1. PREVENTABLE RISKS
- Stem from within an organization (whether a team of one or 1k),
are entirely controllable, and should be avoided at all costs.
Examples of preventable risks include lying to potential
investors, ignoring environmental regulations, or engaging in
illegal business activity.
2. STRATEGY RISKS
- Beneficial and necessary in entrepreneurship. These risks arise
from strategic opportunities that show potential for return on
investment. Some examples include launching a new product line,
expanding into another country, or bringing on a new investor.

3. EXTERNAL RISKS
- As the name suggests, these risks come from beyond your business
operations and are outside of your control. For example, you’ll
likely have little to no influence over current economic
conditions or states of emergency, but they may impact the
success of your ventures.

f. ENTREPRENEURIAL ETHICS AND LEADERSHIP

- In a business, an entrepreneur’s social norms, morality, social

responsibility initiatives, and norms of conduct are said to be a
matter of business ethics. Business ethics & culture are closely
related and deeply influence each business enterprise.
- Entrepreneurial ethics are the moral principles and values that
guide the behavior of entrepreneurs in their businesses. These
ethics help entrepreneurs make ethical decisions and build a
reputation of trustworthiness and responsibility in the business
world.

What is business ethics? Why is it important to an entrepreneur?

 - Business ethics enhances the law by outlining acceptable
behaviors beyond government control. Corporations establish
business ethics to promote integrity among their employees and
gain trust from key stakeholders, such as investors and
consumers.
- Entrepreneurial ethics, put simply, is about conducting business
in a morally upright manner. It involves making choices and
taking steps that take into consideration how our decisions and
actions may affect others and the environment.
- Entrepreneurial leadership involves organizing and motivating a
group of people to achieve a common objective through innovation,
risk optimization, taking advantage of opportunities, and
managing the dynamic organizational environment. It also implies
the ability to innovate at the enterprise level and adapt quickly
to complex and changing environments, so that the business
emerges stronger.

THE MAIN CHARACTERISTICS OF THE ENTREPRENEURIAL LEADER:

1. Ability to define clear goals

- A good leader must have clear ideas for the future. He must be
able to set measurable, realistic and achievable objectives that
set the course of the company.
2. Communicative skills
- Entrepreneurial leaders are characterized by their excellent
communication skills, which allow them to convey their vision to
the team and explain the way to achieve it.
3. Social skills
- Good leaders are assertive. Not only do they practice active
listening, but they assume a conciliatory, kind and empathetic
attitude that allows them to put themselves in the place of
others.
4. Ability to solve problems
- Problem solving skills are critical to running a business. An
entrepreneurial leader must face difficulties and obstacles
without losing calm, resorting to reflection and rationality.
They must look for creative and strategic solutions that allow
him to move forward with his project and learn from his mistakes.