CHSE Odisha Fundamentals of Entrepreneurship key terms

The process of identifying an opportunity, mobilising land, labour, capital and technology, and bearing the risk of creating a new venture that delivers value to customers and society.

A person who perceives an unmet need, assembles resources, and takes personal and financial risk to convert an idea into a running enterprise, often combining innovation with day-to-day management.

An employee inside an established organisation who champions a new product, service or process, using the firm's resources while accepting limited personal financial risk for the innovation.

Accepting the possibility of loss of money, time and reputation when outcomes are uncertain; a defining function of the entrepreneur, distinct from the salaried manager who shifts risk to the owner.

Introducing a new or significantly improved product, process, market, input source or organisational method; it need not be a scientific invention, only something new in the firm's context.

An inner drive to set challenging standards, take personal responsibility for results, and seek feedback on performance; associated with entrepreneurs who prefer moderate, calculable risk over extreme odds.

A psychological motive, often abbreviated n-Ach, describing the desire to excel against a self-chosen standard of excellence; high levels are linked with initiative and persistence in venture creation.

A belief about whether outcomes depend mainly on one's own actions (internal) or on luck, fate and powerful others (external); internal orientation is generally associated with proactive venture behaviour.

A person's confidence in their own capability to organise and execute the actions needed to reach a goal; entrepreneurial self-efficacy predicts whether someone attempts and persists in a start-up.

A person's willingness to commit resources to uncertain outcomes; entrepreneurs tend to prefer calculated, moderate risks where skill and information can influence the result.

A cluster of knowledge, skills and attitudes such as opportunity seeking, information seeking, persistence, commitment and persuasion that enables effective performance of entrepreneurial tasks.

A situation where an unmet or underserved need can be served profitably with available resources, at an acceptable level of risk, and within a feasible time frame.

The creative stage of collecting and producing raw venture concepts through techniques such as brainstorming, observation, customer interviews, market surveys and scanning of government schemes.

A group creativity technique in which participants freely suggest ideas without criticism, building on each other's contributions; evaluation is deferred to a later screening stage.

A shortfall between what customers need and what existing suppliers offer, in terms of product features, price, quality, location or service, which a new entrant can fill.

A structured assessment of whether a proposed venture is technically possible, commercially viable, financially sound and legally permissible before substantial resources are committed.

A written document describing the venture's concept, target market, marketing and operations strategy, management team, risks and financial projections, used to guide action and raise finance.

A detailed statement of a proposed project covering objectives, location, plant and machinery, raw material needs, manpower, cost of the project, means of finance and profitability estimates.

The total funds required before commercial production begins, covering fixed assets, technical know-how, preliminary expenses and margin money for working capital.

Funds needed to finance day-to-day operations such as raw material, wages, power and receivables, calculated as the gap between current assets and current liabilities.

The planned mix of owner's equity, retained earnings, term loans, working capital limits and subsidies that together cover the total project cost.

A calculation of the sales volume at which total revenue equals total cost, found by dividing fixed costs by contribution per unit, showing the margin of safety.

The actual movement of money into and out of the business over a period; positive cash flow keeps the firm solvent even when accounting profit exists on paper.

Systematic collection and analysis of data about customer needs, buying habits, competitors, pricing and demand in a defined area, forming the base for demand estimation.

Dividing a heterogeneous market into smaller groups of buyers with similar needs or characteristics, so that products, pricing and promotion can be tailored to chosen target segments.

The coordinated set of product, price, place and promotion decisions, extended in services to people, process and physical evidence, through which a firm reaches its target market.

The chain of intermediaries such as wholesalers, retailers and logistics providers through which goods move from producer to final consumer, affecting cost, reach and control.

A manufacturing unit whose investment in plant and machinery falls within the ceiling notified by government for that category, enjoying concessions in credit, taxation and marketing support.

Micro, Small and Medium Enterprises, classified in India by combined investment and annual turnover thresholds; the category determines eligibility for subsidies, credit and delayed-payment protection.

The online, paperless registration of a micro, small or medium enterprise on the government portal, which issues a certificate used to claim scheme benefits and priority lending.

A structured training intervention combining achievement motivation, business knowledge and managerial skills to help potential or existing entrepreneurs start and run viable enterprises.

An organisation offering early-stage ventures shared workspace, mentoring, seed support and professional services for a limited period, aiming to help them survive and graduate.

Equity or quasi-equity finance provided to high-growth, high-risk start-ups in exchange for ownership and often board participation, with returns expected through eventual exit.

The interacting set of actors and conditions supporting new ventures, including finance, talent, markets, universities, government policy, infrastructure and cultural attitudes to failure.

A national initiative offering recognition, tax benefits, self-certification and easier compliance to eligible new ventures, along with funding support through a government-backed fund of funds.

A company's voluntary commitment, and in India a statutory obligation for larger firms, to contribute to social and environmental welfare beyond profit for shareholders.

The application of moral principles such as honesty, fairness and transparency to commercial decisions, covering dealings with customers, employees, suppliers, competitors and government.

A sustainability framework judging performance on three dimensions, profit, people and planet, so that economic results are weighed alongside social and environmental outcomes.

A venture that meets present needs while conserving resources and reducing harm, designing products, supply chains and waste practices so that operations can continue over the long term.

Actions taken to reduce the likelihood or impact of loss, such as pilot testing, phased investment, insurance, diversification of customers and written contracts with suppliers.