BANAGEN, PHILIP B.
18-6650-963
BSN 1- S2
GROUP 1: Developing Corporate GROUP 2: Entrepreneurial Finance
Entrepreneurship Source
- Corporate Entrepreneurship is the term used to I. Internal Sources:
describe entrepreneurial behaviour is an o It comes from within the business
established, larger organization - Come from trading of business
- Define as “The development of new business ideas - Day to day cash from sales to
and opportunities within large and established costumers
corporations.” - Money loaned from trade suppliers
through extended credit
Within the company, Corporate Entrepreneurial - Reductions in amount of stock held by
Leaders (CEO) must encouraged their employees to business
have qualities like… - Disposal (sale) of any surplus assets
- Insight for what the future will be no longer needed.
- Initiative for taking required ownership o Example:
- Innovation for creating differently 1. Personal Savings
- Integrity for following through correctly 2. Retained profits
- Individuality for accepting ownership 3. Working Capital
4. Sale of fixed assets
5 Easy Steps to Unlock Rapid Corporate
Entrepreneurship and Innovation… II. External Sources:
1. Collect and Validate Ideas From Corporate o It is obtained from out with the business.
Stakeholders - Comes from individuals or
2. Establish Clear Corporate Innovation Goals and organizations who do not trade
Objectives directly with business
3. Build Corporate Entrepreneurship and - E.g banks, investors, government
Innovation Teams a) Ownership capital:
4. Execute Corporate Innovation Strategy 1. Preference Shares
5. Join a Corporate Innovation Program 2. Ordinary Shares
b) Non-Ownership Capital:
organizational strategy - an organization's long term 1. Loan
course of action designed to deliver a unique 2. Lease
customer experience while achieving its goals. --> 3. Grant
helps focus and direct their goals 4. Debenture
III. Short Term Finance
- Needed to cover day to day running of
business
- Paid back in a short period of time, so less
risky for lenders
1. Bank overdraft
2. Trade credit
3. Credit card
4. Short term bank loans
IV. Long Term Finance
- Tends to be spent on large projects which
will pat back over a longer period of time.
- More risky so lenders tend to ask for
some form for insurance or security if
company is unable to repay loan.
- A mortgage is an example of secured
long-term finance
1. Share
2. Debenture
3. Ventured capital
4. Bank loan mortgage
5. Owner capital
6. Internal accrual
7. Retained profit
8. Asset sales
GROUP 3. Business Strategies presenting product values and benefits to
address those needs
– It can be defined as combination of all the decisions
taken and actions performed by the business to the discussion of commercial terms, such as
accomplish the business goals and to secure a pricing and delivery terms (Kotler et al. 2007,
competitive position in the market. Function:
Marketing – Marketing refers to activities undertaken Selling
by a company to promote the buying or selling of a
product or service. Marketing includes advertising, an essential role in the company’s knowledge of
selling, and delivering products to consumers or other its customers and their needs
businesses.
builds the interface between customer and the
PRODUCT - Describe the product or service company
offered to the customer by your home business,
The sales force gathers market intelligence
PRICE - Outline your pricing strategies that will information so that the company can react
help you reach your target profit margin. How quickly on new developments in the market
you will price your product or service so that environment.
the price remains competitive while still
Responsible for targeting customers where the
allowing you to make a good profit?
decision is made on how to allocate the time
PLACE - Indicate where your business will sell its among prospects and customers.
products or services, and how it will get those
Marketing and sales have the overall common goal to
products or services to consumers.
understand customer needs and solve customers’
PROMOTION - What methods of promotion you problems better than the competition by offering
will use to communicate the features and superior value to customers.
benefits of your products or services to
Marketing is more long-term, strategic and product-
your target customers?
oriented, whereas sales is more focused on short-term
PEOPLE - Decide your sales strategy and the tasks and on customer needs (Ernst et al. 2010, 82).
people who will provide sales and service that
CUSTOMER RELATIONS
will be used in marketing your products or
services to the customer. is the process and manner by which a business
develops, establishes, and maintains
HOLISTIC MARKETING INTO FOUR SUB-ISSUES:
relationships with its customers. Businesses rise
Internal marketing is about ensuring that everyone in and fall through the support of their customer
the company, particularly senior management, supports bases.
and works according to the relevant marketing
Customer relations is effectively communicating
principles
with your customers and promptly addressing
Socially responsible marketing incorporates social and complaints and treating them as opportunities
ethical considerations in the holistic marketing concept for improvement. In other words, listen to your
customers!
Relationship marketing, which is defined as “having rich,
multi-faceted relationships with customers, channel Types of Customer Relationships
members and other marketing partners
Transactional - no real relationship between the
Integrated marketing as part of the holistic marketing company and the customer
concept focuses on marketing tools and activities with
Long-term - long-term and maybe even deep
the objective to assure that all tools and activities are
relationship is established between the
aligned and bring optimal value to the customer
company and the customer.
Sales - “any of a number of activities designed to
Personal assistance - This relationship is based
promote customer purchase of a product or service
on human interaction. The customer can
[which] can be done in person or over the phone,
communicate with a real customer
through e-mail or other communication media”
representative
(American Marketing Organization 1995).
Dedicated personal assistance - involves
The sales process generally includes
dedicating a customer representative
assessing customer needs specifically to an individual client.
Self-service - no direct relationship with
customers. It provides all the necessary means
for customers to help themselves
Communities - utilizing user communities to
become more involved with
customers/prospects and to facilitate
connections between community members.
Co-creation - Some companies engage
customers to assist with the design of new and
innovative products.
Automated services - recognize individual
customers and their characteristics, and offer
information related to orders or transactions
Switching costs - indicate how easy or how
difficult it is for a customer to switch to a
different alternative.
Customers - responsible for the actually profit for the
organization; Customer is the one who uses the
products and services and judges the quality of those
products and services.
DIFFERENT TYPES OF CUSTOMERS
Loyal Customers- These types of customers are
less in numbers but promote more sales and
profit as compared to other customers as these
are the ones which are completely satisfied.
Wandering Customers- These are the least
profitable customers as sometimes they
themselves are not sure what to buy. These
customers are normally new in industry
Discount Customers- Discount customers are
also frequent visitors but they are only a part of
business when offered with discounts on
regular products
Impulsive Customers- These customers are
difficult to convince as they want to do the
business in urge or caprice. They don’t have any
specific item into their product list but urge to
buy what they find good and productive
Need Based Customers- These customers are
product specific and only tend to buy items only
to which they are habitual or have a specific
need for them.
