- Step 1: deciding to become an entrepreneur
- Step 2 : developing successful business ideas
- Step 3 : moving from an idea to an entrepreneurial firm
- Step 4 : managing and growing the entrepreneurial firm
Step 1: deciding to become an entrepreneur
people become entrepreneurs to be their own bosses, to pursue their own ideas, and to realize financial rewards. Usually, a triggering event prompts an individual to become an entrepreneur. For example, an individual may quit his/her job to start his/her business. Lifestyle issues may also trigger entrepreneurial careers. For example: a woman may wait until her youngest child is in school before she decides to launch her own entrepreneurial venture.
Step 2: developing successful business idea
many new businesses fall not because the entrepreneur didn’t work hard but because there was no real opportunity to begin with. Developing a successful business idea includes opportunity recognition, feasibility analysis, writing a business plan, industry analysis, and the development of an effective business model. A business plan is a written document that describes all the aspects of a business venture in a concise manner. It is usually necessary to have a written business plan to raise money and attract high-quality business partners. The more time a businessman gives to his business plan, the better he knows about the aspects of his business. Being impatient in making the business plan would be a big mistake that an entrepreneur cannot afford to make.
Moving from an idea to an entrepreneurial firm
the first step in turning an idea into reality is to prepare a proper ethical and legal foundation for a firm, including selecting an appropriate form of business ownership.
Managing and growing an entrepreneurial firm
given today’s competitive environment, all firms must be managed and grown properly to ensure their ongoing success. This is the final stage of the entrepreneurial process.