Edci 411

INSTITUTION: LAIKIPIA UNIVERSITY
SCHOOL :SCHOOL OF EDUCATION

DEPARTMENT: CURRICULUM AND MANAGEMENT DEPARTMENT
COURSE TITLE: ENTREPRENEURSHIP EDUCATION
COURSE CODE: EDCI 411
SUBMITTED TO: DR. LELKALGITELE
SUBMITTED ON: 17/09/2024
NAMES. REG NO.

1.Shariff Abubakar. ED/SCI/2688/21
2. Mukile Walter. ED/SCI/1067/21
3. Stephen karibe. ED/SCI/2658/21
4. Esther wanyama. ED/SCI/1070/21
5. Martha kanai. L13/1/1993/020
6. Paul thiong'o. ED/SCI/2399/21
7. Josephat waithaka. ED/SCI/0983/21
8. Patrick maina. ED/SCI/1029/21
9. James kinyamal. ED/SCI/1099/21
TASK: Theories of Entrepreneurship

Theory is a well-substantiated explanation acquired through the scientific method and
repeatedly tested and confirmed through observation and experimentation.
Entrepreneurship is a multidisciplinary area governed by human factors, ever changing
society pursuing simultaneously, economic objectives, social objectives, psychological
objectives.Theory of Entrepreneurship ciological,cultural, psychological, political and
managerial fiber with them it forms an economic web.
1.The Economic Theory

Economic incentives are the main motivators. Economic incentives include; the
taxation policy,industrial policy,sources of finance and raw material,infrastructure
availability, investment and marketing opportunities - access to information about
market conditions and technology etc.
Associate person: Richard Cantillon,an Irish French Economist viewed entrepreneurs
as a risk taker.
2.The Sociological Theory
Associate person:Jean Baptiste
Entrepreneurship is likely to get a boost in a particular social culture. The
(entrepreneurial) behaviour of individuals in a society is influenced by society’s values,
Religious beliefs, Customs, Taboos, etc.The entrepreneur merely performs a role as per
the expectations of the society.As per Jean Baptiste say,an aristocratic Industrialist
Entrepreneur combines land of one, labour of another and the capital of yet another to
produce a product. By selling the product he pays interest on the capital, rent on land
and wages to labourers and what remains is profit. First time distinction between the
capitalist as the financer and the entrepreneur as the organiser.
3.Entrepreneurship innovation Theory
Associate person: Joseph Schumpeter.
This theory ignores earlier two abilities, which were till then considered key for an
entrepreneur is Organising Abilities & Risk-Taking Abilities. According to Joseph
Schumpeter, a 20thcentury Austrian Economist An entrepreneur is a person who is
willing and able to convert a new idea or invention into a successful innovation.
Entrepreneurship resulted in new industries, even though it entailed combining the
existing inputs in a new way.
4.Psychological Theory
Entrepreneurship gets boost when society has sufficient supply of individuals with
necessary psychological characteristics. These psychological characteristics include:
Need for Achievement, A vision foresight, Ability to face opposition. These
characteristics are formed during the individual’s upbringing by high standards of
excellence, self-reliance and low father dominance
5.Theory of Achievement
Associate person:David McClelland
As the basis of entrepreneurial personality, he emphasized the importance of
achievement motivation through which, entrepreneur fulfills Economic and Social
Development. The need for achievement was found highest among entrepreneurs
through an experiment.
The Kakinada Experiment conducted by McClelland in America, Mexico and India
(Kakinada). Young adults were selected and put through a 3 months training to induce
achievement motivation.In the course content:trainees asked to control their thinking
and be positive, trainees imagined themselves in need of challenges and success and to
set achievable goals & imitate their role models, positive impact on performance,
traditional beliefs do not inhibit.
McClelland identified two characteristics of entrepreneurship:
(i)Doing things in a new and better way
(ii) Decision making under uncertainty, that means people with High Achievement
Orientation (Need to Succeed) are more likely to become entrepreneurs. Merely, people
are not influenced by money or external incentives and profits are only a measure of
success and competency.
6.Status Withdrawal Theory
Associated person:E.Hagen
This theory provides that a class which lost its previous prestige or a minority group
tends to show aggressive entrepreneurial drive. If a group feels that their values and
status are not respected by society, they turn to innovation to get respect of society.
Entrepreneurship is a function of status withdrawal.
Four events which can produce status withdrawal, i.e.
(i) Displacement of a traditional elite group by physical force,
(ii) Denigration of values, symbols due to change in attitude of superior class,
(iii) Inconsistency of static symbol due to change in economic power,and
(iv)Non-acceptance of expected status on migration to a new society.
Entrepreneur as a creative problem shooter. Hagen visualized an innovative personality
i.e., Retreatist, Ritualist, Reformist, Innovator. And, innovation requires creativity and
such creative individuals cause economic growth.
7.Theory of social Change

Associated person:MaxWeber
Ethical value system protestant ethic and the spirit of capitalism,religion and its impact
on entrepreneurial culture.Weber opined thatspirit of rapid industrial growth depends
upon, rationalized technology acquisition of money, rational use of money for
productivity, multiplication of money. These elements depend upon specific value
orientation of individuals generated by ethical values.
8.Theory of Social Behaviour

Associated person:Kunkel
It presents a behavioral model.Supply of entrepreneurs is a function of social,political
and economic structure. Individuals perform various activities of which some are
accepted by society while others are not. Four structures in society i.e., limitation
structure, demand structure, opportunity structure, labour structure are often held
responsible for entrepreneurial growth.
9.Theory of Leadership
Associated person:Hoselitz
Entrepreneurship is a function of managerial skill and leadership means ability to lead
and manage. Social conditions should ensure the development of enterprise-oriented
personalities.Here,Hoselitz emphasized on the role of culturally marginal groups into
entrepreneurship growth.
10.Theory of Model Personality

Associated person:Cocharn
This is a sociological theory of entrepreneurial supply. Cocharn emphasises cultural
values, role expectation and social sanctions as the key element. Entrepreneur’s
performance is influenced by his attitude towards his occupation,role expectation held
by sanctioning groups, operational requirements of the job and society’s values, most
important for attitude and role expectation.
REFERENCES
Richard Cantillon- Economic Theory
Jean Baptiste- sociological theory
David McClelland- Theory of Achievement
Max weber - Theory of social Change

Edci 411

Uploaded by

Copyright:

Available Formats

Edci 411

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Edci 411

Uploaded by

Copyright:

Available Formats

INSTITUTION: LAIKIPIA UNIVERSITY

SCHOOL :SCHOOL OF EDUCATION

NAMES. REG NO.

TASK: Theories of Entrepreneurship

1.The Economic Theory

7.Theory of social Change

8.Theory of Social Behaviour

10.Theory of Model Personality

You might also like

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.