COLLEGE ENTREPRENEURS

COLLEGE ENTREPRENEURS: 25 Business Ideas that Students Can Launch for $200 or LessNow is a good time for college bound students, or those already in college, to start a business.  In fact, I almost consider it a must.  Much more than college graduates of the past couple decades, current matriculants, and the next few classes after you, need to be prepared to find ways to supplement or replace income from a job.  Let’s face it: There is more competition, automation, constant changes within corporations; downsizing could happen at any time and there are fewer government safety nets.Some view this as a bad thing. Maybe, maybe not.  Shakespeare said: Nothing is either good or bad, only thinking makes it so.  Whatever you think of these realities, they’re here.  The key now is to accept the new economic reality — and prepare for it.  You can still achieve great career accomplishments and live comfortably; you just have to make the right strategic moves.Launching a business in college — or collaborating on one — sets you up for success.  I’ve come up with 25 business ideas you can start for $200 or less.  Use one of these or come up with your own.  Some of these may work better than others, or may not work at all, depending on where you go to college.   So choose wisely, and adjust quickly if the business you start isn’t growing.In addition to reviewing the 25 ideas, take note of my five quick tips for creating a college business success:1.    Innovation is good but it can also be overrated.  Don’t feel like you have to come up with the next Dell, Facebook, Microsoft or Google to launch.  You can start a simple business that generates a profit.  And that’s the main idea.
2.    Pick an idea that has an immediate and obvious customer base that needs or strongly wants what you plan to sell.
3.    After the initial $200, or whatever you spend for startup, don’t put any more outside money into the business.  That’s your test for whether you’re succeeding.  The business needs to pay for itself and pay you.  So, once you start, the business should generate enough for you to reinvest into the business and then begin to pay yourself.  If you see things dwindling figure out whether you need to adjust prices, offerings, or do more marketing and selling.  Pay attention to customer inquiries and demands. They will lead you in the right direction.
4.    Remember the business is a great experience but it’s not the main reason you are there.  You are there to get a great education.  So develop discipline and time management skills that will allow you to go to class, make good grades and still operate your business.
5.    Take advantage of every possible resource and opportunity you can access that will improve your business.  Visit local and on-campus government business assistance resources, tap into the expertise of professors, apply for scholarships and competitions that focus on college entrepreneurs, study abroad to get international experience and new ideas, connect with students who are from growing economic powers like China and South America, and keep a written or audio journal of your business experiences — these will all come in handy.
25 start-up ideas:1.    Delivery service – Are there established businesses in the area that could boost their business by being able to deliver? Become their delivery service.
2.    Transportation service – If you go to a rural or suburban school where students need transportation to do simple things and you have a car, start a transportation service.
3.    Tutoring service – If you’re attending college on scholarship and know a required subject very well start a tutoring service for local elementary or high school students who want to get into a good school like you. You can also record your tutorials and sell them as downloads online.
4.    Career counseling service – If you’re a good communicator think about going to the on campus career center and meeting some of the employers and recruiters who are there. Learn what they are looking for and then become a career coach and counselor to other students (but market to their parents).
5.    Staffing service specializing in internships – Start an on-campus staffing service where you help local or national businesses connect with the best students for internships and help students who want to do internships find the best opportunity.
6.    Personal training service – Are you athletic and into sports?  Think about starting a personal training service either at the on-campus facility or a local fitness facility.
7.    Late night food service and delivery – If you go to a college in an area where late night food establishments aren’t available or there is only one that doesn’t have a great variety (like the Huddle House, which was the only place open at night at the first college I attended).
8.    Party promotion – If you like to party, know how to promote and know how to get the right deejays and party people to your events then becoming a campus Diddy might be for you.
9.    Onboarding service for international students – Many students from other countries attend American colleges and universities.  For those who have not lived in America for awhile or for those who have lived in homogenous neighborhoods until attending college, the college experience may be overwhelming. If you enjoy meeting new people and are compassionate perhaps you can work with the office of student affairs at your school to create a welcoming service and hospitality program for international students.
10.  Graphic arts and design services for presentations and papers – If you enjoy graphic arts and presentation design and you’re good at it, think about offering these services to students (and perhaps, professors) who want to spiff up their research and reports.
11.  Résumé writing service – Are you good at finding the best angles to present information?Start a résumé writing service helping students put their experience in the best possible format and phrasing to attract interview and career opportunities.
12.  Image consulting – Have you always been considered a fly guy or fly girl? Help students improve their image in general or for professional interviews.
13.  Hair styling and grooming services – Provide hair cuts or hair styling as a mobile barber or stylist.
14.  Group travel service – Do you like traveling and have a knack for planning? Put together student travel packages for Spring Break, study abroad and other purposes for which students might want to travel.
15.  Website or smartphone app for rating professors – Some professors are amazing, some are more boring than paint drying on a wall.  Your college mates might want to know that and maybe you can start a website or smartphone app to allow group rating and comments so everyone will know what they’re getting into before they register for a class.
16.  Student awards program – Everyone is looking for a way to get ahead in today’s competitive job market.  Team up with student affairs or the Student Government Association to start an on-campus student awards program where students are rated and awarded in certain categories that are relevant to future career success. Charge an entry fee and look for sponsors. This is a cool way for students to get accolades they can add to the list of credentials that can be presented to possible employers.
17.  Performing arts troupe – Did you sing, dance and act in high school?  Put on plays or performances at your school or in the local community and charge for tickets. Or, start a local America’s Got Talent-type contest.
18.  Dog walking or pet care service – If you love animals starting a dog walking or pet care business could be fun.
19.  Bookkeeping service – If you’re an accounting major or just good with numbers offer to keep books for a few local businesses or find customers online.
20.  Organizing, de-cluttering service – Are you really organized? Help others get organized and get paid for it!
21.  Financial planning – Personal financial planning is a field that is expected to grow in the next few years. You can get an early start by beginning your financial planning business on campus. Work with students to help them save and manage their money. College is a time when people can really put a damper on post-college opportunities by ruining their credit or getting into debt. Help students avoid this and get paid for it.
22.  Photography and video services – If you have a great eye for composing scenes and images consider starting a photography and video service. You can offer headshots to students and faculty and help local businesses near your college produce and post videos online.
23.  Mobile boutique – Do you always get compliments on your style? Consider starting a mobile boutique selling to your classmates and be a walking billboard for your own business.
24.  eBay service – Place an ad in your college newspaper or a small local newspaper or put out flyers offering to sell people’s valuable but no longer used items on eBay in exchange for a fee. Busy people who don’t have time — or don’t want to take the time to do this — will jump on it. (I did.) You can also sign up for deal sites like Groupon and Living Social and visit local consignment shops to buy tangible items that are way below price then sell them on eBay at a profit (Hint: You can even sell some items with a photo and not even have it in inventory yet but make sure you can get your hands on the item when someone buys it, if you decide to do that.)
25.  T-shirt company – Really cool t-shirts just never get old and they’re the standard uniform for lots of college students. Come up with neat designs or funny sayings or create custom shirts for on-campus organizations and find someone to print the shirts for you and you’re in business!

 

CHARACTERISTICS OF ENTREPRENEURSHIP

25 Common Characteristics of Successful EntrepreneursRegardless of your definition of success, there are, oddly enough, a great number of common characteristics that are shared by successful businesspeople. You can place a check beside each characteristic that you feel that you possess. This way, you can see how you stack up. Even if you don't have all of these characteristics, don't fret. Most can be learned with practice and by developing a winning attitude, especially if you set goals and apply yourself, through strategic planning, to reach those goals in incremental and measurable stages. 

The Home Business MustsLike any activity you pursue, there are certain musts that are required to be successful in a chosen activity. To legally operate a vehicle on public roadways, one must have a driver's license; to excel in sports, one must train and practice; to retire comfortably, one must become an informed investor and actively invest for retirement. If your goal is success in business, then the formula is no different. There are certain musts that have to be fully developed, implemented and managed for your business to succeed. There are many business musts, but this article contains I believe to be some of the more important musts that are required to start, operate and grow a profitable home business. 

1. Do what you enjoy.What you get out of your business in the form of personal satisfaction, financial gain, stability and enjoyment will be the sum of what you put into your business. So if you don't enjoy what you're doing, in all likelihood it's safe to assume that will be reflected in the success of your business--or subsequent lack of success. In fact, if you don't enjoy what you're doing, chances are you won't succeed. 

2. Take what you do seriously.You cannot expect to be effective and successful in business unless you truly believe in your business and in the goods and services that you sell. Far too many home business owners fail to take their own businesses seriously enough, getting easily sidetracked and not staying motivated and keeping their noses to the grindstone. They also fall prey to naysayers who don't take them seriously because they don't work from an office building, office park, storefront, or factory. Little do these skeptics, who rain on the home business owner's parade, know is that the number of people working from home, and making very good annual incomes, has grown by leaps and bounds in recent years. 

3. Plan everything.Planning every aspect of your home business is not only a must, but also builds habits that every home business owner should develop, implement, and maintain. The act of business planning is so important because it requires you to analyze each business situation, research and compile data, and make conclusions based mainly on the facts as revealed through the research. A business plan also serves a second function, which is having your goals and how you will achieve them, on paper. You can use the plan that you create both as map to take you from point A to Z and as a yardstick to measure the success of each individual plan or segment within the plan. 

4. Manage money wisely.The lifeblood of any business enterprise is cash flow. You need it to buy inventory, pay for services, promote and market your business, repair and replace tools and equipment, and pay yourself so that you can continue to work. Therefore, all home business owners must become wise money managers to ensure that the cash keeps flowing and the bills get paid. There are two aspects to wise money management.

1. The money you receive from clients in exchange for your goods and services you provide (income)

1. The money you spend on inventory, supplies, wages and other items required to keep your business operating. (expenses)

5. Ask for the sale.A home business entrepreneur must always remember that marketing, advertising, or promotional activities are completely worthless, regardless of how clever, expensive, or perfectly targeted they are, unless one simple thing is accomplished--ask for the sale. This is not to say that being a great salesperson, advertising copywriting whiz or a public relations specialist isn't a tremendous asset to your business. However, all of these skills will be for naught if you do not actively ask people to buy what you are selling. 

6. Remember it's all about the customer.Your home business is not about the products or services that you sell. Your home business is not about the prices that you charge for your goods and services. Your home business is not about your competition and how to beat them. Your business is all about your customers, or clients, period. After all, your customers are the people that will ultimately decide if your business goes boom or bust. Everything you do in business must be customer focused, including your policies, warranties, payment options, operating hours, presentations, advertising and promotional campaigns and website. In addition, you must know who your customers are inside out and upside down. 

7. Become a shameless self-promoter (without becoming obnoxious).One of the greatest myths about personal or business success is that eventually your business, personal abilities, products or services will get discovered and be embraced by the masses that will beat a path to your door to buy what you are selling. But how can this happen if no one knows who you are, what you sell and why they should be buying?Self-promotion is one of the most beneficial, yet most underutilized, marketing tools that the majority of home business owners have at their immediate disposal. 

8. Project a positive business image.You have but a passing moment to make a positive and memorable impression on people with whom you intend to do business. Home business owners must go out of their way and make a conscious effort to always project the most professional business image possible. The majority of home business owners do not have the advantage of elaborate offices or elegant storefronts and showrooms to wow prospects and impress customers. Instead, they must rely on imagination, creativity and attention to the smallest detail when creating and maintaining a professional image for their home business. 

9. Get to know your customers.One of the biggest features and often the most significant competitive edge the home based entrepreneur has over the larger competitors is the he can offer personalized attention. Call it high-tech backlash if you will, but customers are sick and tired of hearing that their information is somewhere in the computer and must be retrieved, or told to push a dozen digits to finally get to the right department only to end up with voice mail--from which they never receive a return phone call.The home business owner can actually answer phone calls, get to know customers, provide personal attention and win over repeat business by doing so. It's a researched fact that most business (80 percent) will come from repeat customers rather than new customers. Therefore, along with trying to draw newcomers, the more you can do to woo your regular customers, the better off you will be in the long run and personalized attention is very much appreciated and remembered in the modern high tech world. 

10. Level the playing field with technology.You should avoid getting overly caught up in the high-tech world, but you should also know how to take advantage of using it. One of the most amazing aspects of the internet is that a one or two person business operating from a basement can have a superior website to a $50 million company, and nobody knows the difference. Make sure you're keeping up with the high-tech world as it suits your needs.. The best technology is that which helps you, not that which impresses your neighbors. 

11. Build a top-notch business team.No one person can build a successful business alone. It's a task that requires a team that is as committed as you to the business and its success. Your business team may include family members, friends, suppliers, business alliances, employees, sub-contractors, industry and business associations, local government and the community. Of course the most important team members will be your customers or clients. Any or all may have a say in how your business will function and a stake in your business future. 

12. Become known as an expert.When you have a problem that needs to be solved, do you seek just anyone's advice or do you seek an expert in the field to help solve your particular problem? Obviously, you want the most accurate information and assistance that you can get. You naturally seek an expert to help solve your problem. You call a plumber when the hot water tank leaks, a real estate agent when it's time to sell your home or a dentist when you have a toothache. Therefore, it only stands to reason that the more you become known for your expertise in your business, the more people will seek you out to tap into your expertise, creating more selling and referral opportunities. In effect, becoming known as an expert is another style of prospecting for new business, just in reverse. Instead of finding new and qualified people to sell to, these people seek you out for your expertise. 

13. Create a competitive advantage.A home business must have a clearly defined unique selling proposition. This is nothing more than a fancy way of asking the vital question, "Why will people choose to do business with you or purchase your product or service instead of doing business with a competitor and buying his product or service?" In other words, what one aspect or combination of aspects is going to separate your business from your competition? Will it be better service, a longer warranty, better selection, longer business hours, more flexible payment options, lowest price, personalized service, better customer service, better return and exchange policies or a combination of several of these? 

14. Invest in yourself.Top entrepreneurs buy and read business and marketing books, magazines, reports, journals, newsletters, websites and industry publications, knowing that these resources will improve their understanding of business and marketing functions and skills. They join business associations and clubs, and they network with other skilled business people to learn their secrets of success and help define their own goals and objectives. Top entrepreneurs attend business and marketing seminars, workshops and training courses, even if they have already mastered the subject matter of the event. They do this because they know that education is an ongoing process. There are usually ways to do things better, in less time, with less effort. In short, top entrepreneurs never stop investing in the most powerful, effective and best business and marketing tool at their immediate disposal--themselves. 

15. Be accessible.We're living in a time when we all expect our fast food lunch at the drive-thru window to be ready in mere minutes, our dry cleaning to be ready for pick-up on the same day, our money to be available at the cash machine and our pizza delivered in 30 minutes or it's free. You see the pattern developing--you must make it as easy as you can for people to do business with you, regardless of the home business you operate.You must remain cognizant of the fact that few people will work hard, go out of their way, or be inconvenienced just for the privilege of giving you their hard-earned money. The shoe is always on the other foot. Making it easy for people to do business with you means that you must be accessible and knowledgeable about your products and services. You must be able to provide customers with what they want, when they want it. 

16. Build a rock-solid reputation.A good reputation is unquestionably one of the home business owner's most tangible and marketable assets. You can't simply buy a good reputation; it's something that you earn by honoring your promises. If you promise to have the merchandise in the customer's hands by Wednesday, you have no excuse not to have it there. If you offer to repair something, you need to make good on your offer. Consistency in what you offer is the other key factor. If you cannot come through with the same level of service (and products) for clients on a regular basis, they have no reason to trust you . . . and without trust, you won't have a good reputation. 

17. Sell benefits.Pushing product features is for inexperienced or wannabe entrepreneurs. Selling the benefits associated with owning and using the products and services you carry is what sales professionals worldwide focus on to create buying excitement and to sell, sell more, and sell more frequently to their customers. Your advertising, sales presentations, printed marketing materials, product packaging, website, newsletters, trade show exhibit and signage are vital. Every time and every medium used to communicate with your target audience must always be selling the benefits associated with owning your product or using your service. 

18. Get involved.Always go out of your way to get involved in the community that supports your business. You can do this in many ways, such as pitching in to help local charities or the food bank, becoming involved in organizing community events, and getting involved in local politics. You can join associations and clubs that concentrate on programs and policies designed to improve the local community. It's a fact that people like to do business with people they know, like and respect, and with people who do things to help them as members of the community. 

19. Grab attention.Small-business owners cannot waste time, money and energy on promotional activities aimed at building awareness solely through long-term, repeated exposure. If you do, chances are you will go broke long before this goal is accomplished. Instead, every promotional activity you engage in, must put money back in your pocket so that you can continue to grab more attention and grow your business. 

20. Master the art of negotiations.The ability to negotiate effectively is unquestionably a skill that every home business owner must make every effort to master. It's perhaps second in importance only to asking for the sale in terms of home business musts. In business, negotiation skills are used daily. Always remember that mastering the art of negotiation means that your skills are so finely tuned that you can always orchestrate a win-win situation. These win-win arrangements mean that everyone involved feels they have won, which is really the basis for building long-term and profitable business relationships. 

21. Design Your workspace for success.Carefully plan and design your home office workspace to ensure maximum personal performance and productivity and, if necessary, to project professionalism for visiting clients. If at all possible, resist the temptation to turn a corner of the living room or your bedroom into your office. Ideally, you'll want a separate room with a door that closes to keep business activities in and family members out, at least during prime business and revenue generating hours of the day. A den, spare bedroom, basement or converted garage are all ideal candidates for your new home office. If this is not possible, you'll have to find a means of converting a room with a partition or simply find hours to do the bulk of your work when nobody else is home. 

22. Get and stay organized.The key to staying organized is not about which type of file you have or whether you keep a stack or two of papers on your desk, but it's about managing your business. It's about having systems in place to do things. Therefore, you wan to establish a routine by which you can accomplish as much as possible in a given workday, whether that's three hours for a part-time business or seven or nine hours as a full-timer. In fact, you should develop systems and routines for just about every single business activity. Small things such as creating a to-do list at the end of each business day, or for the week, will help keep you on top of important tasks to tackle. Creating a single calendar to work from, not multiple sets for individual tasks or jobs, will also ensure that jobs are completed on schedule and appointments kept. Incorporating family and personal activities into your work calendar is also critical so that you work and plan from a single calendar. 

23. Take time off.The temptation to work around the clock is very real for some home business owners. After all, you don't have a manager telling you it's time to go home because they can't afford the overtime pay. Every person working from home must take time to establish a regular work schedule that includes time to stretch your legs and take lunch breaks, plus some days off and scheduled vacations. Create the schedule as soon as you have made the commitment to start a home business. Of course, your schedule will have to be flexible. You should, therefore, not fill every possible hour in the day. Give yourself a backup hour or two. All work and no play makes you burn out very fast and grumpy customer service is not what people want. 

24. Limit the number of hats you wear.It's difficult for most business owners not to take a hands-on approach. They try to do as much as possible and tackle as many tasks as possible in their business. The ability to multitask, in fact, is a common trait shared by successful entrepreneurs. However, once in a while you have to stand back and look beyond today to determine what's in the best interest of your business and yourself over the long run. Most highly successful entrepreneurs will tell you that from the time they started out, they knew what they were good at and what tasks to delegate to others. 

25. Follow-up constantly.Constant contact, follow-up, and follow-through with customers, prospects, and business alliances should be the mantra of every home business owner, new or established. Constant and consistent follow-up enables you to turn prospects into customers, increase the value of each sale and buying frequency from existing customers, and build stronger business relationships with suppliers and your core business team. Follow-up is especially important with your existing customer base, as the real work begins after the sale. It's easy to sell one product or service, but it takes work to retain customers and keep them coming back.

 

THEORY OF ENTREPRENEURSHIP

What is Entrepreneurship? A Look at TheoryPeople use the terms "entrepreneur" and "entrepreneurship" interchangeably. The entrepreneur is the person who starts his own business. The exact definition of "entrepreneurship" still remains a vague concept, though various entrepreneurship theories have defined the concept.

·         Early Theories of Entrepreneurship
Richard Cantillon (1680-1734) was the first of the major economic thinkers to define the entrepreneur as an agent who buys means of production at certain prices to combine them into a new product. He classified economic agents into landowners, hirelings, and entrepreneurs, and considered the entrepreneur as the most active among these three agents, connecting the producers with customers.Jean Baptise Say (1767-1832) improved Cantillion’s definition by adding that the entrepreneur brings people together to build a productive item. 

·         Frank Knight's Risk Bearing Theory
Frank Knight (1885-1972) first introduced the dimension of risk-taking as a central characteristic of entrepreneurship. He adopts the theory of early economists such as Richard Cantillon and J B Say, and adds the dimension of risk-taking.This theory considers uncertanity as a factor of production, and holds the main function of the entrepreneur as acting in anticipation of future events. The entrepreneur earns profit as a reward for taking such risks. 

·         Alfred Marshall’s Theory of Entrepreneurship
Alfred Marshall in his Principles of Economics (1890) held land, labor, capital, and organization as the four factors of production, and considered entrepreneurship as the driving factor that brings these four factors together.The characteristics of a successful entrepreneur include:·         thorough understanding of the industry
·         good leadership skills
·         foresight on demand and supply changes and the willingness to act on such risky foresights
Success of an entrepreneur however depends not on possession of these skills, but on the economic situations in which they attempt their endeavors.Many economists have modified Marshall’s theory to consider the entrepreneur as the fourth factor itself instead of organization, and which coordinates the other three factors. 

·         Max Weber’s Sociological Theory
The sociological theory entrepreneurship holds social cultures as the driving force of entrepreneurship. The entrepreneur becomes a role performer in conformity with the role expectations of the society, and such role expectations base on religious beliefs, taboos, and customs.Max Weber (1864-1920) held religion as the major driver of entrepreneurship, and stressed on the spirit of capitalism, which highlights economic freedom and private enterprise. Capitalism thrives under the protestant work ethic that harps on these values. The right combination of discipline and an adventurous free-spirit define the successful entrepreneur.·         Mark Casson's Economic Theory
Mark Casson (1945-) holds that entrepreneurship is a result of conducive economic conditions.In his book "Entrepreneurship, an Economic theory" he states the demand for entrepreneurship arising from the demand for change.Economic factors that encourage or discourage entrepreneurship include:·         taxation policy
·         industrial policy
·         easy availability of raw materials
·         easy access to finance on favorable terms
·         access to information about market conditions
·         availability of technology and infrastructure
·         marketing opportunities 

·         Joseph Schumpeter’s Innovation Theory
Joseph Schumpeter’s innovation theory of entrepreneurship (1949) holds an entrepreneur as one having three major characteristics: innovation, foresight, and creativity. Entrepreneurship takes place when the entrepreneur·         creates a new product
·         introduces a new way to make a product
·         discovers a new market for a product
·         finds a new source of raw material
·         finds new way of making things or organization
Schumpeter’s innovation theory however ignores the entrepreneur’s risk taking ability and organizational skills, and place undue importance on innovation. This theory applies to large-scale businesses, but economic conditions force small entrepreneurs to imitate rather than innovate.Other economists have added a dimension to imitating and adapting to innovation. This entails successful imitation by adapting a product to a niche in a better way than the original product innovators innovation 

·         Israel Kirtzner’s Theory of Entrepreneurship
Israel Kirzner (1935-) hold spontaneous learning and alertness two major characteristics of entrepreneurship, and entrepreneurship is the transformation of spontaneous learning to conscious knowledge, motivated by the prospects of some gain.Kirzner considers the alertness to recognize opportunity more characteristic than innovation in defining entrepreneurship. The entrepreneur either remedies ignorance or corrects errors of the customers.His entrepreneurship model holds:1.    The entrepreneur subconsciously discovering an opportunity to earn money by buying resources or producing a good, and selling it
2.    Entrepreneur Financing the venture by borrowing money from a capitalist.
3.    Entrepreneur using the funds for his entrepreneurial venture
4.    Entrepreneur paying back the capitalist, including interest, and retaining the "pure entrepreneurial profit.”
·         Leibenstein’s Theory of Entrepreneurship
Harvey Leibenstein (1922-1994) consider entrepreneur as gap-fillers. The three traits of entrepreneurship include:0.    recognizing market trends
1.    develop new goods or processes in demands but not in supply
2.    determining profitable activities
Entrepreneurs have the special ability to connect different markets and make up for market failures and deficiencies. 

·         McClelland’s Theory of Achievement Motivation
McClellands Theory of Achievement Motivation hold that people have three motives for accomplishing things: the need for achievement, need for affiliation, and need for power. Need for achievement and need for power drive entrepreneurship.David McClelland (1917-1988) considers entrepreneurs as people who do things in a better way and makes decisions in times of uncertainty. The dream to achieve big things overpowers monetary or other external incentives.McClelland’s experiment reveled that traditional beliefs do not inhibit an entrepreneur, and that it is possible to internalize the motivation required for achievement orientation through training. 

What theories do you think explain entrepreneurial drive?An analysis of various entrepreneurship theories reveal while what economists differ on the force that drivesentrepreneurs or the central characteristics of entrepreneurship, they remain unanimous that entrepreneurship is a distinct concept and a central factor of the economic activity.

ONLINE BUSINESS

Starting an online business
Consumer habits have changed dramatically. By 2020, some experts predict that 90% of transactions will take place online or be internet-influenced.
Many businesses have long used their websites to generate additional revenue, yet in recent years there has also been significant growth in businesses that start up exclusively online, which can involve less risk, cost and effort.

Creating an online business
As with any small business, the first steps to starting to trade online involves conducting market research to identify your target market, assess demand, competition and reaction to your prices from potential punters. You also need to produce a business plan.
If sales are likely to exceed the annual threshold (81,000 in 2014/15), you must become VAT-registered. You’ll also need to pay tax, in accordance with your status as a sole trader, limited company, etc. Online traders must also observe data protection legislation, of course, when storing important information about customers.
Marketing will largely determine your business website’s success and search engine optimisation (SEO) is crucial to this. Basically, it means using words on your website that ensure high placing in lists on search engine (eg Google) results pages. You could also use paid-for advertising services such as Google Adwords, for which you’re charged on a pay-per-click basis.

Getting your site up and running
You must decide whether to create your own business website or get someone else to do it for you. Doing it yourself can save money, but the results might not be great.
There are many ready-made online solutions that allow people with little experience to create their own website. However, these are only likely to provide you with a couple of formulaic template pages with stock text and photos. With this in mind, you might prefer to pay a professional website designer. This should give better results, and will cost around RM100-RM200 per day. For around RM100 you should get a service which includes design, domain name registration and arranging hosting of your site by an internet service provider. Setting a budget and a clear brief can help you minimise the costs. Read more about creating a business website.

Website information you must include
Your business website must include your address and contact details, privacy policy, terms and conditions, exchange and refund policy, quality commitment and information about delivery and payment. Stock availability and pricing should be kept up to date and you must state how much VAT and post and packaging is payable per item.
To collect payments you need to include a shopping cart function, as well as a secure means by which customers can enter their card details when paying. Most website designers provide a shopping cart function and payment facility as part of their service. Online website-building packages do, too.
You also need a merchant account to collect payments. Providers such as PayPal are popular, but you should also enquire at your bank. You pay a service charge on each transaction, a set-up and monthly service fee.

Test and protect your website
Be sure to test your website site thoroughly before you launch. Ask potential customers what they think, too, and act on their feedback if valid.
And remember – running an online business isn’t without risk. Serious technical or security issues can have a disastrous consequence, so make sure you protect your website from online threats and back up important data.

WHAT IS ENTREPRENEURSHIP?

DEFINITION OF ENTREPRENEURSHIP
Entrepreneurship is the process of starting a business or other organization. The entrepreneur develops a business model, acquires the human and other required resources, and is fully responsible for its success or failure.

ENTREPRENEURSHIP THEORY
1) Economic Theories
Economic entrepreneurship theories date back to the first half of the 1700s with the work of Richard Cantillon, who introduced the idea of entrepreneurs as risk takers. The classic, neoclassical and Austrian Market process schools of thought all pose explanations for entrepreneurship that focus, for the most part, on economic conditions and the opportunities they create. Economic theories of entrepreneurship tend to receive significant criticism for failing to recognize the dynamic, open nature of market systems, ignoring the unique nature of entrepreneurial activity and downplaying the diverse contexts in which entrepreneurship occurs.
2) Resource-Based Theories
Resource-based theories focus on the way individuals leverage different types of resources to get entrepreneurial efforts off the ground. Access to capital improves the chances of getting a new venture off the ground, but entrepreneurs often start ventures with little ready capital. Other types of resources entrepreneurs might leverage include social networks and the information they provide, as well as human resources, such as education. In some cases, the intangible elements of leadership the entrepreneur adds to the mix operate as resource that a business cannot replace.
3) Psychological Theories
Psychological theories of entrepreneurship focus on the individual and the mental or emotional elements that drive entrepreneurial individuals. A theory put forward by psychologist David McCLelland, a Harvard emeritus professor, offers that entrepreneurs possess a need for achievement that drives their activity. Julian Rotter, professor emeritus at the University of Connecticut, put forward a locus of control theory. Rotter’s theory holds that people with a strong internal locus of control believe their actions can influence the external world and research suggests most entrepreneurs possess trait. A final approach, though unsupported by research, suggests personality traits ranging from creativity and resilience to optimism drive entrepreneurial behavior.
4) Sociological/Anthropological Theories
The sociological theory centers its explanation for entrepreneurship on the various social contexts that enable the opportunities entrepreneurs leverage. Paul D. Reynolds, a George Washington University research professor, singles out four such contexts: social networks, a desire for a meaningful life, ethnic identification and social-political environment factors. The anthropological model approaches the question of entrepreneurship by placing it within the context of culture and examining how cultural forces, such as social attitudes, shape both the perception of entrepreneurship and the behaviors of entrepreneurs.
5) Opportunity-Based Theory
Prolific business management author, professor and corporate consultant, Peter Drucker put forward an opportunity-based theory. Drucker contends that entrepreneurs excel at seeing and taking advantage of possibilities created by social, technological and cultural changes. For example, where a business that caters to senior citizens might view a sudden influx of younger residents to a neighborhood as a potential death stroke, an entrepreneur might see it as a chance to open a new club.

CHARACTERISTICS OF ENTREPRENEUR
1) Passion
A startup founder is often driven by the quest for deeper purpose beyond the sheer mechanics of operating a business. My mission for my startup, Yes Man Watches, is to empower people to consider the most valuable asset in their lives: time. I rise early every morning because I don’t want to waste my day. If you have passion for your startup, this will drive you to turn your idea into a reality. Without that missing spark, you'll lack the necessary motivation to put in all the early mornings and late nights to get your business off the ground.
2) Perseverance
Entrepreneurs need to be able to deal with obstacles. A business does not get built overnight, and turning your idea into a reality will take time. You'll have to become accustomed to people saying no to you. What makes entrepreneurs great is having the perseverance to grow regardless of how many times they are shut down. When creating the supply chain for my startup, we screened two dozen watch manufacturers. After approaching through about 10, I became quite frustrated at hearing that my company's patent-pending buckle couldn’t be made. Without perseverance, I would have given up.
3) Resourcefulness
A vital ability for an entrepreneur is knowing how to make the most of what you have. Your assets as an entrepreneur will be limited, so use them to the fullest. Tapping into a network is key. When looking for a photographer, I reached out to the photography department at my university and the staff sent an email blast to students looking to build their portfolio. Within a week, I had professional-looking photos.
4) Open-Mindedness
As an entrepreneur, you may think you've zeroed in on a business plan, but you'll need to learn to take in the opinions of others. Then if it appears that your plan won’t work, then adjust. As Mark Cuban once said, “Follow the green, not the dream.” If your dream startup won’t make you any money, you may need to change your focus. When my friend Morgan Schwanke started OnMyBlock, he originally wanted to focus solely on a social platform for college students to find off-campus housing. He now concentrates his startup on every aspect of renting an off-campus space; it provides tenant listings to landlords and facilitates the making of rent payments.
5) Spongelike nature
Being an entrepreneur involves a learning process. If you’re not willing to learn, think about leaving the startup world. You need to be able to soak in everything and anything you can, just like a sponge. The more you learn, the better. A saying I'm fond of is “One who knows all the answers has not been asked all the questions.” When starting Yes Man Watches, I honestly didn’t know anything about watchmaking. I looked up everything I could and soaked in all the information. Now I know quite a bit about watches, from the types of stainless steel used to make the watch case and the variety of battery powering the watch movements.