Entrepreneurship

							Entrepreneurship Chapter 1
               Chapter 1
• What is the difference between an
  entrepreneur and an employee?
• An entrepreneur assumes risk.
  Employees work for someone else.
• There are four categories of businesses in
  which most entrepreneurs go into
  business:
                                  Chapter 1
   Manufacturing            Wholesaling                 Retailing               Service
Apparel / Textiles      Apparel                  Auto / home supplies    Appliance repair
Chemicals               Electrical goods         Building supplies       Auto repair
Electronics             Groceries                Clothing stores         Babysitting
Metal fabrication       Hardware, plumbing,      Florists                Bookkeeping
                        heating / air
Food                    Construction materials   Furniture stores        Consulting
Machinery / equipment   Equipment supplies       Gifts, souvenirs        Dance instruction
Printing / publishing   Vehicles / accessories   Hardware stores         Electrical services
Misc. small products    Paper products           Jewelry stores          Exterminators
Stone, clay, glass      Petroleum products       Retail bakeries         Flower decorating
                                                 Shoe stores             House cleaning
                                                 Sporting goods stores   Lawn care
                                                                         Painting
                                                                         Plumbing
                                                                         Translating
                                                                         Travel agency
                                                                         Tutoring
                Chapter 1
• Add two more categories to this list of four:
• (1) Agricultural
• (2) Mining
                 Chapter 1
• ENTREPRENEURS IN U.S. HISTORY
• During the colonial years, what category of
  entrepreneurship businesses flourished?
• Agriculture
• During the 1800’s, what categories of
  entrepreneurship flourished?
• ALL of the others began to flourish.
• Since then, it is entrepreneurs who change
  America, decade by decade. Let’s look at a few
  entrepreneurs who have changed the U.S.
                  Chapter 1
• Cyrus McCormick invented the what machine in
  1831 that changed the way crops were
  harvested?
• The REAPER
• McCormick had only $60 in his pocket when he
  went to Chicago. There, he set up a factory to
  manufacture the reaper.
• Today, the company still exists as the “Navistar
  International Transportation Company,” which
  manufactures what brand of truck?
• “International” Trucks
                 Chapter 1
• Madam C. J. Walker from Louisiana moved to
  St. Louis in 1897 after her husband died at age
  20.
• She began making and selling hair-care
  products in St. Louis.
• As the company grew, she named it the “Madam
  C. J. Walker Manufacturing Company.”
• The Guinness World Records names
  her as the first female millionaire who
  actually made her millions by her own
  efforts.
                  Chapter 1
• Lydia Moss Bradley (1816 – 1908), an
  entrepreneur from Peoria, Illinois, made millions
  of dollars in investments and real estate.
• She became a philanthropist, and eventually
  founded the Bradley Polytechnic Institute, which
  is now known as Bradley University, also in
  Peoria, Illinois.
• Interestingly, she is the first known woman to
  have a prenuptial agreement made to protect
  her assets from her husband.
                         Chapter 1
• Henry Ford (1863 – 1947) is known for creating the assembly line
  in efforts to increase efficiency so that he could make automobiles
  affordable to average Americans.

• Clarence Birdseye (1886 – 1956) from New York
  learned how to ice fish while in college on a field
  assignment in Canada.
• He noticed that when fishing in cold weather (-40F),
  the fish froze almost immediately. When thawed
  and cooked, he noticed they still tasted fresh. He
  compared those fish to frozen fish bought in New York when he
  returned home. The New York fish did not taste as good.
• Through experiments with freezing quickly, he
  developed a new conveyor-belt, quick freeze
  machine, and started the Birdseye Seafoods
  Company…the beginning of frozen foods as
  we know it.
• He sold the Birdseye Company to Goldman
  Sachs in 1929 for $22 million.