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Entrepreneurship and Motivation. ‘ROCK_STAR’ Individuals and opportunities The entrepreneur is the central actor in the creation of a new venture Initially,

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Presentasi berjudul: "Entrepreneurship and Motivation. ‘ROCK_STAR’ Individuals and opportunities The entrepreneur is the central actor in the creation of a new venture Initially,"— Transcript presentasi:

1 Entrepreneurship and Motivation

2 ‘ROCK_STAR’

3 Individuals and opportunities The entrepreneur is the central actor in the creation of a new venture Initially, an opportunity is generally recognised by a single individual, who may decide to pursue it alone or with others Achievement oriented is the character of entrepreneur

4 Need for Achievement Definisi: Merupakan dorongan (untuk) Berprestasi (Need of Achievement (N-Ach)) berhubungan dengan tekad untuk bekerja dengan baik atau melampaui standar prestasi pada umumnya. Standar Prestasi tersebut berupa : Pencapaian masa lalu (Improvement); ukuran yang objektif (results orientation); melebihi orang lain (competitiveness); target menantang (Stretch); atau sesuatu yang belum dilakukan orang lain (innovation). Dorongan untuk bertindak secara lebih baik, efisien dan efektif.

5 Three Needs theory (McClelland, 1961) Need for Achievement (n-ACH) Need for Affiliation (n-AFF) Need for Power (n-POW) N-Ach N-Pow N-Aff

6 Distribution of Need Behaviors, Typical behaviors associated with motivational type (Adapted from Swenson, 2000 ) N_ach High Must win at any cost Must be on top and receive credit LOW Fears Failure Avoids Responsibility N-Aff HIGH Demands blind loyalty and harmony Does not tolerate disagreement LOW Remain aloof Maintain social distance N-Pow HIGH Desires control every one and everything Exaggerates own position and resources LOW Dependent/Subordinate Minimizes own position and resources

7 Achievement Motivation (n-Ach) Motivation can be defined as the driving force behind all the actions of an individual. All of our behaviors, actions, thoughts, and beliefs are influenced by our inner drive to succeed. Always create the creative solution

8 Motive Affiliation (n-Aff) Motif yang mendorong seseorang untuk menikmati kebersamaan, bergaul dengan orang lain, dan bekerjasama. Sangat membutuhkan saling pengertian dan kepercayaan Tingginya n-Aff sering mengarah pada aktifitas yang kurang/tidak produktif

9 Motif Berkuasa (n-Pow) Motif yang mendorong seseorang ingin mempunyai pengaruh atas orang lain. Usaha mempengaruhi, membujuk, diskusi dengan orang lain yang bertujuan agar orang lain terkesan Mc-Clelland memberikan perhatian khusus pada n-Pow menjadi 2 yaitu Positif dan Negatif

10 The characteristics of an entrepreneur: a behaviourist approach Only 3 of the endless list of entrepreneurial personality have shown a high level of validity: – the need for achievement – the internal locus of control (confident, proactive) – the risk-taking tendency

11 The risks of a career in entrepreneurship There are 4 types of risks to consider before embracing a career in entrepreneurship: – financial risks – career risks – social risks – health risks

12 Financial risks Large amounts of own money have to be invested Borrowing funds from bankers, venture capitalists, or partners can reduce financial risks Legal structures can help to minimise financial risks

13 Career risks Questions about (re-)employment after an eventual failure must be considered This risk is particularly acute for well-paid specialists and people close to retirement Risks can be minimised by launching a business on a part-time basis

14 Social risks Starting a business venture requires much of the entrepreneur’s energy and time The decision to set up a venture should therefore involve the family to reduce conflict potential Another risk is linked to the (negative) image of failed entrepreneurs like in Singapore — hence the kia siu attitude — ‘afraid to lose’

15 Health risks There is evidence that entrepreneurs experience higher job stress and psychosomatic health problems than other people Would-be entrepreneurs should make sure that their health can survive with the demands and challenges of starting and running a business

16 Relevant performance measures There are many motives for starting a business, such as achieving social status or having a new lifestyle However, a business must generate a profit to stay in the market place

17 Relevant performance measures Just to break even, profits must cover – compensation for bypassed alternatives (opportunity cost) – the cash, effort and time invested in the venture (liquidity premium) – a premium for risk – a premium for uncertainty

18 Relevant performance measures for entrepreneurs Figure 2.3 Source: Adapted from S. Venkataraman, ‘The distinctive domain of entrepreneurship research’, in J. Katz (ed.), Advances in Entrepreneurship, Firm Emergence and Growth, vol. 3, Jai Press, Greenwich, Conn., 1997, p. 134.

19 Triggers and barriers to start-ups Triggers Material rewards: – make more money; keep the proceeds of the business; reward according to effort Creativity: – use my own talents; a desire to create something; control from begin to end; passion about what I am doing Desire for autonomy: – be my own boss; work my own hours; work with people I like, at a location of my choice

20 Triggers and barriers to start-ups Barriers Lack of resources: – weak management and marketing skills; lack of information on start-ups; lack of finance Compliance costs: – high taxes and costs associated with compliance to government legislation Hard reality: – setting up a venture is harder than initially expected; uncertainty; fear of failure

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