new business module

DEFINING AND ASSESSING A BUSINESS IDEA 39
Session 2: Entrepreneurial
capabilities 8
This session describes and discusses the importance of entrepreneurial
capabilities. Participants are provided with a simple
tool to help them to assess their respective entrepreneurial
capabilities.
2.1 Capabilities needed to run a business
Not everyone has the skills and abilities to succeed at every
type of business. It is therefore important for entrepreneurs to
identify their trade according to their skills, abilities and interests,
the three factors that are usually of critical importance for
the success of a business endeavour.
Different studies have revealed that the entrepreneur’s qualities
are an important factor of business success. Some of the
capabilities that are generally considered to have a positive
impact on an entrepreneur’s business success are listed below. 9
• Moderate risk-taker: A business is an uncertain
endeavour. It does not necessarily work out as planned
and there is always the possibility of loss. Successful
entrepreneurs take moderate calculated risks in which
their skills and capabilities play a major role (e.g. an
entrepreneur will carefully judge his investment and not
put all his assets at risk).
• Self-confident: Successful entrepreneurs have
confidence in themselves and are confident about their
capabilities. If you do not believe in yourself, how can
others believe in you?
• Goal setter: Successful entrepreneurs plan their work.
They define where they want to go and how they want
to get there.
• Curious and analytical: Successful entrepreneurs are
open-minded, interested, and alert to any information
regarding their business field. Moreover, they have the
8 Based on BDS (2008, p. 4), ILO (2009a) and UNESCO (1999, pp. 82) [the UNDP
reference is not in the list of references].
9 See ILO (2009a) for a more detailed discussion of the qualities of successful
entrepreneurs.