Module 3
EDP
Contents
Meaning of EDP
Misconceptions about EDP
Objectives
Entrepreneurship Cycle
Entrepreneurial Discipline
Entrepreneurial environment and its analysis
Locational Mobility of Entrepreneurs
EDP
(Entrepreneurship Development
Programme)
EDP is a program designed to
help a person in strengthening
his entrepreneurial motive
and in acquiring skills and
capabilities necessary for
playing his entrepreneurial
role effectively
Misconceptions about EDP
1. Join an EDP, all your problems
are solved
2. EDP means only training
3. Higher the number, better the
EDP
4. EDP success is the sole
responsibility of TrainersMotivators
Objectives
Develop and Strengthen entrepreneurial quality and
motivation
Analyse environment of small businesses
Select product/project
Formulate projects
Procedure of setting up an enterprise
Basic management skills
Pros and Cons of entrepreneurship
Appreciate social responsibility and entrepreneurial
discipline
ENTREPRENEURIAL DEVELOPMENT CYCLE
ENTREPRENEURIAL DEVELOPMENT CYCLE
SIMULATORY
1. Entrepreneurial
Education
2. Planned publicity for
entrepreneurial
opportunities
3. Identification of
potential
entrepreneurs through
scientific methods
4. Motivational training
to new entrepreneurs
5. Help and guidance in
6. Making available
techno- economic
information and product
profits
7. Evolving locally
suitable new products
and processes
8. Availability of local
agencies with trained
personnel for
entrepreneurial
counseling and
promotions
4
SUPPORT
[Link] of unit
[Link] finance
[Link] land, shed, power, water etc.
[Link] for selecting and obtaining
machinery
[Link] of scarce raw materials
[Link] license/ import licenses
[Link] common facilities
[Link] tax relief or other subsidies
[Link] management consultancy
[Link] marketing products
[Link] information
SUSTAINING
[Link] modernization
[Link] diversification/ expansion/ substitute
production
[Link] financing for full capacity utilization
[Link] repayment/ interest
[Link] industrial extension/ consultancy
source
[Link] units legislation/ policy change
[Link] reservation/ creating new avenues for
marketing
[Link] testing and improvident services, and,
[Link]- based common facilities center
ENTREPRENEURIAL DISCIPLINE
[Link] behavior- financial management
[Link] to tax and statutory requirementlaw and compliances
[Link] outlook towards labor- labor
management
[Link] for ecology and environmentenvironment management
Issues of EDP
Structure and Composition of EDPs-who
should conduct an EDP? Regional
variations need to be streamlined
Areas of Operation-geographical areas to
be identified without bias-neglect of NER
Fixing priorities-efficiency and social need
criteria, proper balance to each strata
Lack of Specialists Support-different
disciplines
Issues of EDP
Inherent Inability
Diverse Opinions
Lack of proper strategy
Low institutional
commitment
Ill-planned training
methodology
Inconsistent
programme design
Perpetual ambiguity
No local support
No clear-cut objective
Non-availability of inputs
Poor follow-up
Lack of clarity in
approach
Inadequate research
facilities
Lack of creativity and
commitment
Environmental Factors
The environment influences
both opportunities for
entrepreneurial activities and
accessing resources in order to
participate in the process of
entrepreneurship.
Environmental
Characteristics
Environment Sum total of external factors
within which an enterprise operates.
Characteristics of Environment:
Dynamic
Uncontrollable and External
Affect the business in varying degrees
Poses threats and offers opportunities
Factors Affecting
Entrepreneurship
Economic Factors
Social Factors
Psychological Factors
Facilitating Factors
Competitive Factors
Economic Factors
Financial Assistance from Institutional Sources
Accommodation in Industrial Estate
Attitude of the Government
Encouragement from Large Business
Machinery on Hire-Purchase
Labour Conditions
Raw Materials
Size and Composition of Market
Social factors
Social Status
Religion Social
Mobility
Social Marginality
Psychological Factors
Need Achievement
Withdrawal of Status Respect
Competitive Factors
Facilitating Factors
Experience and Training
Arrangement of Finance
Occupational and
Geographical Mobility
Locational Mobility of
Entrepreneurs
the drive and initiative to move to other
places
Key factors influencing:
1.
Resources
2.
Experience
3.
Education
4.
Language
5.
Culture
6.
Nature of Enterprise
