Use of Creativity in Solving Prctical Problems Faced by Entrepreneurs

Problems Faced by Entrepreneurs:

A business enterprise, be it big or small, is confronted with problems in varying degrees. While some take these problems negatively, others take it as a challenge to be faced in order to improve the business. While problems may require short or long-term solutions, it is always good to address
the problems promptly to prevent business failure.

The following are some of these problems:

1. Managerial problems- lack of managerial knowledge and skills on the part of the entrepreneur and his/her staff give rise to problems in all aspects of the business.
2. Financial problems- inadequate capital is one of the main problems common to business enterprises.
3. Marketing problems- the problem of competition, taxes to pay, and advertising cost to sell the product are always present.
4. Over-regulation and taxes- corporate income taxes reduce the amount of income and reinvestment.
5. Problems relating to facilities- problems of power supply, transportation, and communication can slow down production and sales.

How the manager or entrepreneur tackles the problems maybe the key to the success or failure of the enterprise. It is also the test to the ability and skill of the entrepreneur to run a business.

Creativity or innovativeness is the ability to think of new ideas and new ways of doing things. In entrepreneurship, creativity is much needed. New ways of advertising are needed to sell the products and new ways to packaging a product attract customers.

A creative entrepreneur continuously seeks unique opportunities and ideas to respond to the needs of consumers.

Creativity requires imagination and critical thinking. A creative mind sees problems as opportunities and challenges to think, invent, and try out new ideas.

For better understanding of creativity as a requirement in entrepreneurship, it is good to know the value of creativity to the success of entrepreneurial activities.

Assessing Oneself as an Entrepreneur

Many people want to get into business, but the right opportunity is the problem. Many are occupied with their jobs that they seem not to have time for other means of livelihood. Majority are hesitant to plunge directly into it for fear that they may not possess the essential qualities of an entrepreneur.

There are people who are naturally inclined to business and there are also who are not. People who have interest in business need not be motivated because they themselves will seek the opportunity.

However, whether or not one has the inclination to be an entrepreneur, it is best that an individual determines for himself whether he/she has the capability to face the challenges of handling a business. Who knows, one might be forced into it by circumstances or a person my develop the interest because of strong motivation to improve his/her standard of living. Getting tired in one's employment or disenchantment with superiors are also valid reasons for getting into entrepreneurship.

The period between the mid-twenties and mid-thirties is the best time to engage in business. At this point, one has already acquired enough experience and has already developed competence and self-confidence to be on his own. It is the best time to try entrepreneurship.

Strengths and Weaknesses of a Business Enterprise

In business there is always a possibility of failure. All entrepreneurs must aim to reduce or lessen this possibility. To realize this, every would-be entrepreneur must periodically study the strengths and weaknesses as well as the opportunities and threats which the enterprise will be exposed to.

The strength of the business may be on the patience and determination of the entrepreneur to pursue his/her objectives to keep the business going no matter how small the profit could be at the start of the enterprise. Belief in working on the strong points of the business will definitely help to further improve the performance of the enterprise.

The entrepreneur may use the following points to evaluate the enterprise in gauging its strengths:

• Are needed materials available and cheap enough for the company to profit from the operation?
• Is there enough working capital to keep the business going?
• Is there available expertise to maintain the quality of the products/services?
• Is there a strong demand for the products or services?
• Is the company easy to manage?
• are the operating expenses within the means of the business enterprise?
• Is the working capital adequate enough in order that the company will not be drained of resources?

The entrepreneur must also assess the business enterprise for possible weaknesses? He/she has to take time to identify the problems causing the failures and try to figure out solutions of each problems.

The following questions should be persistently answered to identify business problems:

• Is the business properly managed?
• Are the marketing strategies effective?
• Is the production low when the demand is high?
• I the packaging attractive and provide convenience to the consumers?
• Is there proper management of capital?
• Is the design attractive?
• Is the size of the product appropriate?
• Is the product or service at reasonable coat?
• Is there expertise and technical know-how?
• Is there understanding of consumer demands and acceptance?

A would be entrepreneur should always have an eye for opportunities. He/she must be sensitive to his/her environment through collecting information from various sources and by reading newspapers to be aware of the climate of the business sector.

The following opportunities are what an entrepreneur should take advantage of:

• Products not yet in the market
• Increased consumer demand of product
• Observe product in the locality
• Presence of government support
• continuous product development

To ensure the success of the operation, an entrepreneur must be aware of the factors that may hinder the product or service to be patronized and these are the following:

• Increased cost of operation
• Shortage of raw materials
• Too many competitors
• Unfavorable government control
  

Strengths and Weaknesses of Filipino Entrepreneurs

In an era of global exchange of goods and services, of accelerated means of transportation and communication, and of advance information technology, entrepreneurs are subjected to diversed forms of risks and challenges. The complexity of the scenario requires business enterprises to efficiently and economically run so as to survive competition. This condition creates a real demand for managers and entrepreneurs who will sustain the profitability and viability of the enterprise. Who then are these entrepreneurs/managers who survive in business and who are those who do not?

In real life, not everyone goes through the same set of life experiences. All of us differ from one another in our abilities and potential to succeed in any vocation or career. An entrepreneur who is likely to succeed in business possesses strengths as well as weaknesses which spell the difference for the success or failure of the business.

Qualities which are considered as strength and weaknesses for an enterpreneur are the following:

Strengths:

• Always sets his/her own realistic goals
• Self-reliant
• Focuses on positive objectives
  
• Periodically reviews performances
• Learns from own mistakes
• Accepts changes and uses them when to motivate self
• Takes care of himself/herself physically
• Sticks to schedule
• Is self-motivated
• Is action oriented
• Manages backtracking
• Finishes work once started
• Reflects on time management regularly
  
• Associates with other entrepreneurs; patterns, lifestyles, values and habits after successful entrepreneurs

Weaknesses:

• Sets unrealistic goals
• Depends on other people for attainment of goals
• Focuses on goals which call to stop or avoid doing things
• Does not keep track of progress
• Does not improve on areas where she/he failed
• Is afraid of changes
• Is unmindful of physical appearance
• Depends outside forces to be motivated
• keeps on going back and forth on the same path
• Does not complete most often any given task
• Is not conscious of time wasted
• Does not develop the habit of working well with people