Five Principles To Become An Entrepreneur

2. By Budi Darmawan Five Principles To BecomeAn Entrepreneur Success

3. What Is Entrepreneur ? • 1725, Richard Cantillon : An entrepreneur is a person who pays a certain price for a product to resell it at an uncertain price, thereby making decisions about obtaining and using the resources while consequently admitting the risk of enterprise • 1803, J.B. Say : an area of higher productivity and greater yield. An entrepreneur is an economic agent who unites all means of production - land of one, the labour of another and the capital of yet another and thus produces a product. By selling the product in the market he pays rent of land, wages to labour, interest on capital and what remains is his profit. He shifts economic resources out of an area of lower and into • 1964, Peter Drucker : An entrepreneur searches for change, responds to it and exploits opportunities. Innovation is a specific tool of an entrepreneur hence an effective entrepreneur converts a source into a resource • 1975, Albert Shapero : Entrepreneurs take initiative, accept risk of failure and have an internal locus of control

4. What Is Entrepreneur ? 2012, Budi Darmawan : A person who act with his own risk to get beneficial effect of his act Entrepreneurship is about : • Drawing The Vision • Creating Values • Taking The Risk • Orientation To Business • Building Commitment

5. Draw The Vision “Draw The Vision Specifically And Descriptively” Having a clear vision will : • Guide you where to go • Tell you what to do • Lead you to act • Guard you to focus on

6. Creating Value

7. Taking The Risk • Risk is not a lost until it goes to happen • Every step we make, compel into a risk • Comprehensive assessment on “Pro – Cons” factors • Understand well what will be the implication – prepare the alternative scenarios

8. Orientation To Business :Making money - Maximizing Profit Innovation is a specific tool of an entrepreneur hence an effective entrepreneur converts a source into a resource (Peter Drucker)

9. Building Commitment • Ownership • We can run our own business, or • Act as the business owner if we are an employee • Passionate : Enjoying What We Do ! • Commit to excellent

10. Being A Coke Salesman (1994 – 1995) Sharing Experience Vision : Become a sales manager within the next 3 years Creating Value : • Brand exposure • An attractive profit sharing scheme Taking Risk : • Business Financial • Reputation Business Orientation / Commitment : • A self funding sales promotion activity

11. Rescuing Customer’s Business Against The Bankruptcy (1998 – 1999) Sharing Experience Vision : To be the best account manager Creating Value : • Space management – Beverage Zone • Consignment scheme Taking Risk : • Personal risk = future career • Financial risk > write off bad stock Business Orientation : • Low cost promotion • Gaining space for free of charge Commitment : • Stronger business relationship • Preferred supplier Illustration

12. Drive EBIT Growth (2007) Sharing Experience Vision : The most profitable operation in Indonesia Creating Value : • Package conversion strategy to optimize the margin Taking Risk : • Personal risk > future career • Business risk > volume lost – downsizing the business Business Orientation : • Deliver the EBIT 34 % above the budget Commitment : • Establish a profitable business

13. Develop Own Business Sharing Experience Vision : To be a real entrepreneur Creating Value : • Deportico cafe and Resto in Makassar – 2007 - 2010 • Do-Be-Do clothing in Surabaya – 2010 • Daun Salam Resto & Catering Service In Jakarta – 2011 Taking Risk : • Financial • Career opportunity Business Orientation : • Increasing value of business • Expanding market coverage Commitment : • PT. Daun Salam Indonesia to support long term business vision