Unit 4: Entrepreneurial Skills-I Notes Class 9th Employability skill Notes
Class 9th AI Notes – Unit 4: Entrepreneurial Skills-I
Complete Study Guide with Real-Life Examples
1. Definition of Business
What is Business?
Business is any activity that involves buying, selling, or producing goods and services to earn profit.
Key Points:
- Regular activity (not one-time)
- Aim is to make profit
- Involves risk
- Provides value to customers
Real-Life Examples:
- 🏪 Your local grocery store (buying from wholesalers, selling to customers)
- 📱 Mobile repair shop (providing service)
- 🍕 Pizza delivery (product + service)
- 👕 Online clothing store (e-commerce business)
2. What is Entrepreneurship?
Definition:
Entrepreneurship is the process of starting and running a new business, taking financial risks in hope of profit.
Simple Understanding:
It’s like planting a seed (idea) and growing it into a tree (successful business).
Real-Life Examples:
- Ritesh Agarwal – Started OYO Rooms at age 19 with one hotel
- Falguni Nayar – Started Nykaa at age 50, now a billion-dollar company
- Local Example: Your neighborhood person who started a tiffin service during COVID
3. Entrepreneurship Development
What it means:
The process of improving skills and knowledge to become a successful entrepreneur.
How it happens:
- Education – Learning business basics
- Training – Practical skills development
- Experience – Learning from doing
- Mentorship – Guidance from experts
Real Example:
- Government’s Startup India program provides training
- School entrepreneurship clubs
- YouTube channels teaching business skills
4. Qualities of an Entrepreneur
Essential Qualities with Examples:
- Risk-Taking
- Example: Vijay Shekhar Sharma invested his last money in Paytm
- Creative Thinking
- Example: Uber founders thought “Why not use personal cars as taxis?”
- Leadership
- Example: Ratan Tata leading 100+ companies
- Hard Working
- Example: Most entrepreneurs work 12-14 hours daily initially
- Problem-Solving
- Example: Ola solved the problem of finding taxis easily
- Persistence
- Example: KFC founder was rejected 1,009 times before success
5. Difference between Businessman and Entrepreneur
| Aspect | Businessman | Entrepreneur |
|---|---|---|
| Idea | Uses existing ideas | Creates new ideas |
| Risk | Low to moderate | High risk |
| Competition | High (many doing same) | Low (unique idea) |
| Example | Opening another medical store | Creating online medicine delivery app |
| Focus | Profit from known methods | Innovation and problem-solving |
Real Example:
- Businessman: Someone opening another photocopy shop near college
- Entrepreneur: Someone creating an app for online document printing
6. Types of Business Activities
A. Manufacturing
What: Making products from raw materials
Examples:
- Amul (milk products)
- Parle-G (biscuits)
- Local bakery
B. Trading
What: Buying and selling without changing product
Examples:
- Amazon (online marketplace)
- Your local kirana store
- Car dealerships
C. Service
What: Providing help or expertise
Examples:
- Doctors, teachers
- Swiggy/Zomato (food delivery)
- Hair salons
D. Hybrid
What: Combination of above
Examples:
- McDonald’s (makes food + provides service)
- Apple (makes phones + provides apps/services)
7. Important Terms in Entrepreneurship
1. Startup
New business in early stages
Example: A new app being developed by college students
2. Capital
Money needed to start/run business
Example: ₹50,000 to start a small café
3. Profit
Money left after paying all expenses
Example: Earning ₹1000 after spending ₹700 = ₹300 profit
4. Loss
When expenses are more than earnings
Example: Spent ₹1000 but earned only ₹700 = ₹300 loss
5. Market
Place/platform where buying-selling happens
Example: Physical market, online platforms like Amazon
6. Customer
Person who buys your product/service
Example: Students buying from school canteen
8. Steps for Starting a Business
Step-by-Step Guide:
1. Find a Problem to Solve
- Example: No good tea/coffee near office area
2. Research the Market
- Check: How many people need this?
- Competition exists?
3. Make a Business Plan
- What to sell?
- How much to invest?
- Expected profit?
4. Arrange Money (Capital)
- Own savings
- Family/friends
- Bank loan
5. Legal Requirements
- Register business
- Get licenses
- GST registration
6. Start Small
- Test with few customers
- Learn and improve
7. Market Your Business
- Social media
- Word of mouth
- Local advertising
Real Example:
Starting a home tutoring business:
- Problem: Students need extra help
- Research: Check how many students nearby
- Plan: Subjects, fees, timing
- Capital: Minimal (books, whiteboard)
- Legal: Not needed initially
- Start: Begin with 2-3 students
- Market: WhatsApp groups, notice boards
9. Role of Entrepreneurship
In Economy:
- Creates Jobs
- Example: Flipkart employs thousands
- Brings Innovation
- Example: Paytm changed how we pay
- Increases Competition
- Better products, lower prices
- Economic Growth
- More businesses = stronger economy
In Society:
- Solves Problems
- Example: Uber/Ola solved transport issues
- Improves Living Standards
- Better products and services available
- Inspires Others
- Success stories motivate youth
10. Who is an Entrepreneur?
Definition:
Person who starts a business, taking financial risks to make profit while solving problems.
They are:
- Innovators (create new things)
- Risk-takers (invest money/time)
- Leaders (guide others)
- Problem-solvers (find solutions)
Famous Examples:
Indian Entrepreneurs:
- Mukesh Ambani (Reliance Jio)
- Bhavish Aggarwal (Ola)
- Deepinder Goyal (Zomato)
- Byju Raveendran (BYJU’S)
Global Entrepreneurs:
- Elon Musk (Tesla, SpaceX)
- Mark Zuckerberg (Facebook)
- Jeff Bezos (Amazon)
11. Characteristics of an Entrepreneur
Detailed Characteristics:
1. Vision
- Can see future possibilities
- Example: Ratan Tata saw potential in Nano car for middle class
2. Self-Confidence
- Believes in their abilities
- Example: Kiran Mazumdar-Shaw started Biocon from garage
3. Adaptability
- Changes according to situation
- Example: Restaurants starting cloud kitchens during COVID
4. Decision Making
- Takes quick, informed decisions
- Example: Flipkart’s decision to go app-only
5. Networking
- Builds useful connections
- Example: Using LinkedIn for business contacts
6. Financial Management
- Handles money wisely
- Example: Starting small, reinvesting profits
7. Customer Focus
- Puts customer needs first
- Example: Amazon’s customer service
8. Continuous Learning
- Always updating knowledge
- Example: Learning digital marketing for online presence
Quick Revision Tips:
- Remember with Stories: Connect each concept with real entrepreneur stories
- Local Examples: Notice small businesses around you
- Practice Questions:
- What business would you start?
- What problem would it solve?
- Who are your customers?
Important Points to Remember:
✅ Entrepreneurship = Innovation + Risk + Profit Motive
✅ Not every business owner is an entrepreneur
✅ Failure is part of the journey
✅ Start small, think big
✅ Focus on solving real problems
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