“Develop success from failures. Discouragement and failure are two of the surest stepping stones to success.”
Entrepreneurship development
UNIT-1
ENTREPRENEURSHIP
Definition: It can be described as a creative and innovative response to the environment.
“Doing new things or doing things that are already being done in a new way is therefore, called it.
It can involve innovativeness, an urge to take risk in the fear of uncertainties, and an institution of seeing things in a way which afterwards proves to be true.
Types of Entrepreneurs
1. Based on Innovation
2. Based on Business Type
3. Based on Motivation
4. Based on Growth & Scale
5. Based on Ownership & Risk
Responsibilities of an entrepreneur:
1. He initiates and establishes an economic activity or enterprise for the development of wealth in the society.
2. Once he starts his enterprise, to be successful, he would have a high need for influencing others a low need to establish emotional relationship and a high capacity to discipline one’s own-self.
3. He studies the market situation, explores, profitability in alternative line of business, product, machinery, technology and processes, financiers and compares before making his final decision.
4. A successful entrepreneur continuously modifies his goals on the basis of the feedback he receives from his environment.
5. They are inclined to approach their tasks with a hope of success and tend to believe in their own capacity to influence the environment.
6. They set high goals for themselves as well as their workers and drive them hard to achieve the same.
Characteristic of entrepreneur:
1. Self-confidence
a. Confidence
b. Independence, individuality
c. Optimism
2. Task-result oriented
a. Need for achievement
b. Profit-oriented
c. Persistence, preservation, determination
d. Hard-work, drive, energy
e. Initiative
3. Risk-taker
a. Risk-taking ability
b. Likes challenges
4. Leadership
a. Leadership
b. Gets along well with others.
c. Responsive to suggestive, criticism.
5. Originality
a. Innovative, creative
b. Flexible
c. Resourceful
d. Versatile, knowledgeable
6. Future-oriented
a. Foresight
b. Perceptive
Entrepreneurial Spirit
The entrepreneurial spirit is the mindset and qualities that drive individuals to create, innovate, and take risks in business.
Significance of Entrepreneurs in Economic Development
Entrepreneurs are often called the engines of growth because they:
Economic Significance
Social Significance
Psychological Significance
Economic, Social & Psychological Need for Entrepreneurship
INTRODUCTION TO ECONOMIC
Economics is the study of those activities which involves money and exchange transactions among people.
Economics is the study of how mankind goes about the business organizing its consumption and production activities.
Economic: economic is the study of those activities involves mainly and change transactions among people.
Aim of economic:
1. Full employment: to provide the suitable employment of everybody.
2. Improving standard of living of means:-
a. Better housing.
b. Better and varied diet’s health.
3. Better working conditions
a. No. of hours of actual work should be small.
b. Clean health and cheerful working condition.
c. Insurance against unemployment and sickness etc.
d. Compensation for accidents during employment.
e. Pension to widows, old people blind and physically handicapped persons social security.
Identifying & Evaluating Business Opportunities
Entrepreneurship begins with spotting gaps in the market and testing their feasibility.
Steps to Identify Opportunities
Evaluating Opportunities
New Generation Entrepreneurship
Modern entrepreneurship has evolved beyond traditional models:
Essentials of Print Entrepreneurship
For printing, publishing, packaging, and customized printing, entrepreneurs must master both creative and technical aspects.
a) Printing
b) Publishing
c) Packaging
d) Customized Printing
UNIT-2
Quick Start Methods to Start & Expand a Business
a) Methods & Procedures
1. Idea Selection & Market Research – Identify customer need, target audience, competition, and feasibility.
2. Business Plan Preparation – Vision, goals, financials, operations, marketing strategy.
3. Legal Formalities – Business registration, licenses, GST, trademarks, IP rights.
4. Infrastructure & Resources – Machinery, raw material suppliers, manpower, distribution channels.
5. Marketing & Sales Setup – Branding, website/social media, distribution networks.
6. Scaling & Expansion – Product diversification, new markets, partnerships, digital presence.
Business Models
a) Franchises
b) Creating Your Own Franchise
c) Multilevel Marketing (MLM) Schemes
d) Buying an Existing Business
Funding Agencies & Sources
Government & Institutional Funding
Private & Alternative Funding
Essentials for Starting Print Entrepreneurship in Packaging
a) Flexible Packaging (plastic films, pouches, labels)
b) Rigid Packaging (cartons, corrugated boxes, rigid containers)
UNIT-3
Small scale industries: the industries which are run with the help of hired labor and which also use some simple machine and power.
Advantage:
1. Help to solve problem of unemployment as more jobs are created for the capital investment.
2. Gestation period is less and hence less problem of inflation.
3. Help In balanced growth of economy of different regions.
4. Less polluting
5. Industrial disputes are absent.
6. Use less capital and local resources.
7. Can bring large foreign exchange develop in modern technology and management.
Characteristic of small entrepreneurs:
1. Young
2. Energetic
3. Self-confident
4. Flexible
5. Turnover is small
6. Employ a few people
7. Planned approach
8. Systematic
9. Pleasant mannered
10. Minimum basic education
Factors influencing product:
1. Factory building
2. Nature of product
3. Production process
4. Type of machinery
5. Repair & maintenance
6. Human needs
7. Plant environment
Tiny unit: units having investment in plant and machinery upto @25 lakhs.
Small scale industrial undertaking; industrial undertakings in which the investment in fixed assets in plant and machinery weather he is owner, or by lease or by hire-purchase does not exceed @1 crore.
Ancillary industrial undertaking: industrial under an investment in fixed assets in plant an machinery does not exceed @1 crore and engaged or is proposed to be engaged in manufacture or production of parts, component, sub-assemblies, tooling or intermediates etc.
1. Quality of the product.
2. Availability of raw material and other inputs.
3. Pre-ownership experience.
4. Educational & technical specification, training.
5. Reasonable profit margin of 20 to 40%.
6. Sustainable market demand for the product.
Preparation of the project report:
1. Technical feasiblilty: description of the product, raw material availability, quality control measures, power supply, availability of water transport facilities and communication network.
2. Economic viability: it involve complaition of demand for domestic and export markets, capital assets, revenue expected, suitable price structure.
3. Financial implications: it includes non-recurring expenses such as land and building: plant and machinery, raw material needs, wages for personnel etc.
The probable cost of production over a period a five years is to be assessed and expenses such as fixed and variable expenses and break-even analysis should be presented.
4. Managerial competence: the new entrepreneur the small scale sector should devote his full attention to the new venture and should consider the product line chosen as a “major economic activity”.
He should develop keen desire to adopt modern management practices for ensuring its successful growth.
He should maintain up to date records certaining to actual production, sales effected every months, new market segments changes in fashion, usage, design, style etc.
Financial support system: working capital is required for:
1. Purchase of raw materials.
2. Consumable stores/spares.
3. Stock-in-progress.
4. Payment of wages.
5. Other manufacturing /administrative expenses.
To obtain working capital, entrepreneurs should approach one of the commercial banks (SBI, other nationalized bank, private sector banks etc.)
Banks provide credit facilities to meet working capital requirements to facilitate production as per the manufacturing needs of the industrial unit.
Business Planning Process
a) Requirement of a Good Business Plan
A good business plan should be:
b) Major Benefits of a Business Plan
c) Sub-Plans within a Business Plan
d) Business Plan – Blueprint to Success & Financing
e) Small Manufacturer’s Business Plan
For small-scale print/packaging units (e.g., customized T-shirts, corrugated box plant):
f) Feasibility Report
g) Project Report
h) Business Succession Plan
i) Planning for Establishing Printing & Packaging Organizations
1. Choose the segment – publishing print, flexible packaging, rigid packaging, or customized printing.
2. Conduct feasibility study – demand, technology, capital needs.
3. Select technology & suppliers – offset/digital presses, corrugators, flexo/gravure.
4. Prepare financials – CAPEX, OPEX, working capital.
5. Identify funding sources – MSME loans, SIDBI, EXIM, angel investors.
6. Set up operations – location, plant layout, workforce.
7. Marketing strategy – catalogues, trade shows, digital platforms, B2B tie-ups.
Case Studies – 5 Successful Print/Packaging Entrepreneurs
1. Ramu Ramanathan (India – PrintWeek)
2. HP Indigo Success Story (Israel/Global)
3. Ramesh Kejriwal – Parksons Packaging (India)
4. Alexej Dimitriev – Mondi Group (Austria/Global)
5. Naresh Khanna – IPP Group (India)
UNIT-4
Forms of business organization:
1. Proprietory: (owner) self-owner capital (in term of money/ who output their money by own-self and able to bear all the profit ad also losses, to run the business.
The organization which run by a single person. The person who is running the organization had to manage all the fund. It is also called single ownership organization.
a. Take decision own self freely.
b. Total earn profit.
c. Do hard work.
d. No more than troubles.
e. Active.
f. Take serious.
Disadvantage:
a. He wears also for any losses.
b. Lack of decision/ option.
c. All the expenses or over expenses also paid to proprietor.
Single ownership: one person contributes the organization assets start the business, maintains and control business operations, full benefits of terms of profit and is fully liable for all department associated with the business.
a. The owner is liable for all obligations and department of the business.
b. The business may not be successful, if the owner has limited money, lack ability and necessary experience to run the business.
c. Generally single ownership has limited life applications.
2. Partnership: the persons who have agreed to share the profit of the business carried on by all as any of them acting for all. Individual with common purpose joint as partner and but they together their properly, ability, skill, knowledge etc. for the purpose of making profits.
(partnership is an associated of two or more (upto) persons in carry an as co-ordinate where of a business
Less than 2 owner and more than 1 owner.
Partnership may be defined as the relation between person who have agreed to share the profit of a business carried a by all as any of them acting for all. Individual with common purpose joint as partner and they put together their properly ability, skills, knowledge etc. for the purpose of making profits.
Kinds of partner:
a. Active partner: who have active part in the management of the business enterprises.
b. Sleep partner: who don’t take any active part in the conduct of the business.
Types of partnership:
a. General partnership: each partner has full (agency) powers and may blind the partnership by any act.).
b. Limited partnership: limited partnership is an association of one or more general partners who manager the nosiness and one or more limited partners whose liability is limited to the capital they have invested in the business. Limited partner share the profit but they don’t participate interfere with the control or management.
a. Large capital is available to the firm.
b. The firm possess must better talents, judgement and skills.
c. Single person can’t take decision.
d. Arrangement of funds.
a. All partner suffers because of the wrong steps taken by one partner.
b. Authority being divided amount of the partners.
c. Danger of dis-agreement and distrust among the partners.
d. Disputes can happen misunderstanding can happen. If we don’t trust others, we should not go for the partnership types of organization.
3. Joint stock company: a joint stock company is an association of individuals, called shareholders, who joint together for profit and agree to supply capital divided into share that are transferable for carrying on a specific business.
A joint stock company consists of more than twenty persons for carrying any business other than the banking business.
Where more than 20 peoples are involved for setting up an organization.
Types of joint stock organization:
a. Private organization: public fund is less. The company is collected from the private partners some of them may be active while other being sleeping. (2 to 50 including employees).
Private organization must have 51% share.
b. Limited organization: public fund is more. The capital is collected from the public by is going share having small face value (@. 50, 2010).
The no. of share-holders should not be less than seven but there no limited to their maximum numbers.
It can start only often receiving the certificate to commercial business. It has to all share which in 180 days from the date of prospectus. It has to hold a general meeting every year.
a. Share are transferable.
b. Company’s like is not affected by the life (death) of shareholders.
c. Risk of loss is divided among many shareholders.
a. Company is managed by bid shareholder only.
b. People can commit frauds with company.
c. It is difficult to maintain secrecy as in partnership.
d. Divided responsibility.
e. In the partners work with team spirit is lack in joint-stock company.
Application of joint stock company:
a. Steel mills.
b. Fertilizer factories.
c. Engineering concerns.
4. Co-operative societies: it works on the no profit, no loss.
The group of people come together, they don’t invest. The elections are conducts for these societies for management. Ex: president, vice-president etc.
All the people are selected by the shareholders. They are not paid but on the no profit, no loss theory, they have to work.
Its form of private ownership which contains features of large partnership as well as soon features of the corporation.
It works on the no profit, no loss.
Forms of co-operative enterprises:
1. Consumer co-operative
2. Producer co-operative
3. Co-operative farming
4. Co-operative housing
5. Co-operative credit society.
a. Daily necessaries of life can be made available at lower rates.
b. It’s the democratic form of ownership.
c. No one person can make huge profits.
a. Since the members of co-operative manage the whole show.
b. Finance bring limited, specialists, service cannot be taken.
4. Semi-government/government undertaking: certain organization are run by the start & central govt.
The organization which is funded by the government and run by other people are called semi-government organization.
State enterprises in India:
Public sector: a public enterprise is one that is owned by the state, managed by the state, or owned and managed by the state.
a. The sector of public enterprises is popularly known as public sector.
b. Public enterprises are controlled and operated by the government either solely or in association with private enterprises.
c. Public sector prevent concentration and unbalanced growth of industries.
d. Public sectors are accountable in terms of their result to parliament and state legislature.
Object public sector:
a. To provide basic infrastructure facilities for the growth of economy.
b. To promote rapid economic development.
c. To avoid concentration of economic power in a few hands.
d. To create employment opportunities on an increasing scale.
Merits:
a. Public sector helps in growth industries.
b. Which cannot flourish under the private sector.
c. Public sector helps in the implementation of the economic plans.
d. The consumers are benefitted by greater, better and cheaper product.
e. Capital, raw material fuel, power and transport are easily made available to them.
Demerits:
a. Delay in decision is a very common phenomena in public enterprises.
b. Incompetent persons may occupy high levels.
c. Workers (unlike in private concerns) shirk work.
d. Due to heavy administrative expenses.
e. Public sector can be rarely attain the efficiency of a private enterprise.
Delegation of authority: The process by which a manager shares some of his work and authority with his sub-ordinate is called delegation of authority.
It involves the assignment of tasks or functions, entrustment of authority.
Any sub-ordinate should be done in a perfect manner a proper communication should be made to distribute responsibility among sub-ordinate.
Process of delication: Who can delicate, whom can be delicated.
1. It is a communication between the boss and the immediate sub-sub-ordinate.
2. Main things for delication.
3. Trust
4. Communication
5. Willingness.
MANAGEMENT
Definition: management is the effective utilization of all resources through the process of planning, organizing, directing, and controlling in order to obtain stated objective.
Implement the policies made by administration is management.
The procedure of implementing the policies which is suggested by administration.
Administration: administration is top level function which includes determination of objectives and policies and overall controlled of business operations.
To from, to make the policies of the company.
Administration is concerned with laying down objectives of the enterprises, formulating its policies, determining the broad organization structure and overall control of the undertaking. Administration is a top level function which includes determination of objectives and policies and overall control of business operation.
Scientific management: the science which we apply in management is called scientific management. Input material, data, right man at right job.
The early decades of this century witnessed the emergency of scientific management. This school of through attempted to introduce a rational, systematic approach to work and to the management of work.
In his early writings F.W taylor referred to is idea of task management. In 1910 lowis brandeis coined the word scientific management.
F.W taylor got recognition as the father of scientific management. He wrote a book on the principles of management in the year 1911.
The primary emphasis of scientific management was on planning, standardizing, improve human effort and the operative level in order to maximum output and minimum input.
Taylor believed that management based on objective assessment of facts, on measurement and not on guest work.
Scientific management is applying scientific knowledge scientific method to the various aspect of management and the problems that arise from them.
Taylor through that by maximum the productive efficiency of each worker scientific management would also maximize the earning of the employees and employers.
Scientific management removed the workman discretion in planning, organizing and controlling of his own task performance.
Rather scientific man required that, management should plan, organize and control task performance.
Management should standardize methods.
1. The right person should be available at right position.
2. Training and update research of staff (proper training and development of the staff).
3. To calculate the worker’s performance should be evaluated time to time, & find out why this person not fit in your organization and how can we improve it.
4. What the wrong things are going in organization and how we can justify it.
5. We have to put responsibilities on each and every people give them a target in time.
6. Targets should not be given randomly.
7. The workers are recruited at parameters or not.
Function of element of management:
1. Planning: planning is one of the most important function in the management, without planning we can’t even take a step own-self.
Everyone do own plan, when, what, why, where to do what to do, where to do-why to do in future.
Market survey:
Short run job long run job
In view of printing industries----various material likes ink, substrate, machine, from where, these are to but, like these, various thing is done.
All datas are collected from different-different market for the particular things.
It is the first basic function of management. It determines the objectives to be achieved and the course of action to be followed to achieve them. It involves deciding in advance what to do, when to do it, where to do it, who is to do it and result are be evaluated.
Certain inputs are required are be to make a plan.
Who will be our client?
Supply?
Demand?
First step of planning?
Market survey?
a. Fore-casting: forecasting is a necessary preliminary to planning.
Forecasting estimates the future work or what should be done in future. On the basis of market survey available, we fore-caste it. Ex-location.
On the basis of market survey available, we forecast it ex-location.
2. Organizing: organization involves identification and grouping the activities to be performed and diving them among the individuals and creating authority and responsibility relationship among them for the accomplishment of organizational objectives.
We have “to organize” for starting any organization, we organize various things, money, man-power, machine sequence & raw materials.
If we have to organize money, we can organize it from ourselves, banks & we can borrow money.
Organizing various things to run an organization is the second step in the management through which we can proceed further in other business activities.
a. Identification of activities required for the achievement objectives and implementation of plan.
b. Assignment of jobs to employees.
3. Directing: directing involves communicating and providing leadership to the subordinates and motivation them for the achievement of organizational objectives.
How the things can be reached. Both the parties and agreed i.e., they understand each other.
You will be performing your duty unless you are directed in a right way in which a manager influences the actions of sub-ordinates.
We must aware to do your work in a systematic manner.
Whatever you are given instruction he must catch your instructions.
Directions are only successful only, when If other person is ready it hear it, must be followed.
a. Supervision: it means overseeing the functioning of the sub-ordinates.
b. Communication: it is the process of sharing informations and understanding with other.
c. Leadership
d. Motivation.
4. Motivation: it means inspiring the sub-ordinates with real to work for the accomplishment of organizational objectives successful manager to make use of different motivations techniques to another the workers. Financial incentives are a good tool of motivation. Non-financial incentives such a precise, recognitions freedom to week etc.
It is a tool of management, we can increase capability of workers, output but we require to motivate the work force to do our work.
a. We can give them incentives.
b. We can sharing our bones with them.
c. We can give them promotion
They give target & they will get some amount of commission.
5. Co-ordination: Without co-ordination, we can’t move a single step.
Inter-department co-ordination: all printing department should have a smooth co-ordination among themselves.
Co-ordination is necessary among managers & workers, machine & labour etc.
6. Controlling: controlling means checking the performance of sub-ordinates. A superior must see how far his sub-ordinates have performed their duties. It the performance is unsatisfactory, reason have to found out for remedial measures. It is an integral part of the process of management.
How to maintain a discipling. All the work should be in a controlled manner, their can be disturbances in the production.
It is very important for maintain the quality it is a monitoring process.
Organization: Structure of organization: once plans are formulates the next step is that of organization is the process of establishing harmous authority & responsibility relationship among the member of the enterprises.
It is the function of creating & structure of duties and responsibility relationship is known is organization structure.
According to fayol “to organize a business is to provide it with everything useful to its functioning raw material, tools, capital and personnel.
These are three main parts of organization are:
1. Sales and marketing: total production depends upon sales department. It is the main part of any production department.
To get the production work from market so that production work takes place. It deals with all kinds of work which relates to the starting of any production and benefits the owner.
There is a higher risk factor in sales & marketing, it is a mind-full department.
Responsibilities of sales and marketing: it is responsible for all orders, sales, communicating to consumers. To tell the consumers, to educate the consumers, to compel the consumer.
2. Production: it is the heart of any organization.
It must run as per the requirement of client, quality, getting and instant.
It is also the change or covert the raw material into finished product.
Responsibilities of production: as the name indicates, “To product” depending upon the demand demanding upon sales and marketing department. It is actually executing of the job.
Every product have to be delivered at certain period or interval. We can’t compromise with the time.
Quality must be maintained. There should be any compromise with the quality.
To give maximum output with minimum input.
3. Administration: to make policies of the organization.
Sales and administration, production both reports to administration.
It has got the control, charge of human resources (H.R) & finance department.
Administrative approvals are required to run the organization.
By combining sales & marketing, production & administration, the organization is made.
Responsibilities of administration: it gives the target, give instruction to the sales and marketing what must be the target such that the organization is benefitted, is must maintain a target which is limited so that they could be able to achieve it.
Target should be according to target infrastructure available etc.
Finance department is directly under the control of administration.
It is the duty of administration that the workers are getting a good & healthy environment to work.
HR department looks after the workers comfort their salaries, their working environment etc.
Departmental management: Management is characterized by the presence of a chain of command, the chain of supervisors and sub-ordinate from the highest level of organization of the lowest. It is level of management.
They transmit orders, suggestions and decisions downwards and carry the problems and suggesting upwards.
Leadership: It is the ability to shape the attitude and behaviors of others whether in formal or informal way”.
It is a process of influencing the people and leadership transforms potential into reality.
Important of leadership:
1. It helps in persuading employees to work with determination towards common goals.
2. Leaders develop and maintain an environment which leads to maximum work efforts.
3. He fills confidence in his sub-ordinates.
4. He identifies the group goals and helps the group to obtain them.
5. He administrates the company by arranging, planning, organizing, directing, co-ordinating, and controlling the company is activities.
6. He takes a decision and finds out alternative methods of actions.
7. He initiates all the measures that are necessary for the health and progress of the company.
Qualities of a good leaders:
1. Intelligence: it should be intelligent enough to examine problems in the rigid perspective.
2. Communicative skills: he must be able to communicate clearly, precisely and effectively.
3. Objectively: he should be objective in his outlook.
4. Knowledge of work: he should have full knowledge of the tasks handled by him.
5. Self-confidence and will power: he must have confidence on his ability to meet the expectations of sub-ordinates as well as demands of day to day situations.
6. Human relation: he must be able to get along with people in a smooth and friendly manner.
7. Empathy: he should have the ability to look at things from others point of view.
8. A sense of mission.
9. Education.
10. Acceptability
11. Vision
12. Verbal ability and communication
13. Approachability
14. Maturity
15. Dependability
16. Administration
17. Cheerfulness and socialness
18. Group spirit.
19. Flexibility
20. Energy
21. Constructive, creative and independent thinking.
Role of Government and Promotional Agencies in Entrepreneurship Development
a) Role of Government
b) Role of Promotional Agencies
Agencies (Govt. & Non-Govt.) for Funding in Printing & Packaging
A) Government Agencies
1. MSME Ministry (Micro, Small & Medium Enterprises)
2. SIDBI (Small Industries Development Bank of India)
3. NSIC (National Small Industries Corporation)
4. NABARD (National Bank for Agriculture and Rural Development)
5. State Financial Corporations (SFCs)
6. DICs (District Industries Centres)
7. Technology Upgradation Fund Scheme (TUFS)
8. EXIM Bank (Export-Import Bank of India)
B) Non-Government / Private Funding Agencies
1. Angel Investors & Venture Capitalists
2. Private Equity Firms
3. Crowdfunding Platforms (e.g., Kickstarter, Milaap, Wishberry in India)
4. Industry Associations
5. International Agencies