Saturday, 12 November 2016

The Principle Basic Entrepreneurship (Group Assignment)


1.0 Introduction
 

Entrepreneurs are individuals who manage the company. The entrepreneur also who is exercising initiative by organizing a venture to take benefit of an opportunity and make a decision like what, how, and how much of a good or service will be produced. The entrepreneur usually a sole proprietor, a partner, or the one who owns the majority of shares in an incorporated venture. The word of entrepreneur originates from the French word which is “entreprendre”. Entreprendre means take task and try. The word entrepreneur is already used by Richard Cantillon in 1775 years. That mean activity in business has long existed. 


2.0 Essential entrepreneurial characteristics needed by entrepreneurs.     

Successful entrepreneurs can be distinguished from other individuals. Entrepreneurs are said to have the characteristics and profile themselves as unique, powerful and has the ability and competence of entrepreneurship skills to perform entrepreneurial functions effectively. Experience and knowledge possessed by entrepreneurs allowing them to view, analyze and seize business opportunities that can not be seen by others. Entrepreneurs must have the characteristics of dynamic and optimistic. Up to now, there are many studies that have been carried out by economists and psychologists in researching and understanding the characteristics of an entrepreneur. Many studies have attributed the unique characteristics of entrepreneurs and entrepreneurial success.

1.   Internal locus of control
Internal locus of control is a step for someone to trust for your own ability without influence from external factor. Internal locus of control that higher is very important for entrepreneur because the entrepreneur need to handle their own business with full of confident and use their own ability with optimum to success. Entrepreneur that has this role usually confident on making their own decision that has been made with their own importance to entrepreneur and also to everyone. Entrepreneur that has internal locus of control is not easy to be influence by other external factor such as rumor, fake information and others thing that is detrimental to entrepreneurs.
  
2. Take a risk to bear it
The meaning of ‘take a risk to bear it’ is that the entrepreneur has to face the obstacle of the world of entrepreneur that might bring profit or loss to their own business. Entrepreneur need to evaluate and considerate when to take a risk. This is because, the risk that need to bear will ensure make a good profit for the business. If the entrepreneur didn’t make an evaluate and considerate on the risk, it might make the business to bear a loss on the business. To avoid the loss, the entrepreneur need to manage the risk that have been face with good so that the entrepreneur can get benefit from the risk that have been take. For example, Tan Sri Syed Mokhtar Al-Bukhari where he was involved in Islamic banking by acquiring a series of Bank Muamalat Malaysia Berhad. Financial and banking sector of the high risk and require that entrepreneurs can face these risks to avoid losses. However, he is very efficient because before he ventured into this field. He has already bearing risks faced by him until now Bank Muamalat Malaysia still standing strong.

3.    Initiative and responsibility
Initiative and responsibility means that the entrepreneurs have a passion or a habit to carry out its duties without having been ordered or forced. Attitude took the initiative and responsibility should be in every entrepreneur to demonstrate positive characteristics of entrepreneurs is in itself. An entrepreneur who has the initiative and responsibility will seek opportunities that exist and explore uncharted areas of business by entrepreneur’s apart cares about the community. For example, Tan Sri Loh Boon Liew, who have initiative and responsible attitude toward the controlling interest acquired Honda motorcycles.
   
4. Social entrepreneurship
Social entrepreneurship means the contribution of entrepreneurs to social organizations or nonprofit organizations to provide aid to underprivileged communities and social entrepreneurship to be a trend for entrepreneurs who want to succeed. This is because the act of helping the poor can indirectly cause the hearts of our customers and clients feel confident about the products manufactured by the entrepreneur. Thus, the entrepreneur will take the opportunity to carry out beneficial activities and add value to the objectives of the society. They exist in communities, sometimes known as the entrepreneur community. Such as, Syarikat Faizah that make a sponsorship through the program of Bersamamu that been organized by TV3. With the establishment of this program, it has make Syarikat Faizah as famous for its own product and always be the user’s choice.

5.  Creative and innovative
Creative means entrepreneurs who are able to produce new products to meet user needs and requirements while innovative means that entrepreneurs always want to progress and innovate something. Entrepreneur that are creative and innovative are entrepreneurs who can generate new ideas and concepts and be able to translate it into products that can be commercialized. Successful entrepreneurs need to have this feature to gain a competitive edge, particularly in the use of high technology and latest. If not, the entrepreneurs will be left behind and unable to compete in global market. For example, Michael Dell of entrepreneurs Dell Corporation is the first to introduce on-line computer purchase directly online using the internet to consumers. Until now, users can make purchases through the Internet to date considered to be more convenient and economical. 
 
6. Level Workforce
In order to achieve success in business, entrepreneurs must always be willing to work hard and sacrifies time and energy to develop a business. Entrepreneurs need a high level of employment, especially at the beginning and pre-commencement of business. At the beginning of this, entrepreneurs need to do a lot of work and study analytically to achieve the goals and vision of his efforts. Therefore, entrepreneurs have to work hard, to sacrifice everything and work more than others for the success of the business. For example at age 19, Tan Sri Syed Mokhtar Al-Bukhari has used his teenage doing business with the purchase of cattle and buffalo. In addition, after-school Tan Sri Syed Mokhtar helped his pet shearing. He also studies business and sell vegetables and roti canai in the market. Tan Sri Syed Mokhtar also strives to ensure successful family business and always make sure that he gets the experience that can be used for the future.

7.  Leadership
Leadership qualities that are in themselves entrepreneurs should be consistent with the objectives and vision of the business. This is because of the nature of leadership is very important for the development of a business. Successful entrepreneurs must have a high perceived leadership qualities. Entrepreneurs themselves will determine the goals and direction to be achieved by the business. Up to now there are a lot of leadership qualities that are used by leaders including leadership, charismatic, transactional leadership, transformational leadership and visionary leadership. Entrepreneurs who possess strong leadership able to motivate its employees. Entrepreneurs also need to be smart design, control and administration of the business very well. For example, entrepreneurs who have leadership qualities, especially Muslim entrepreneurs is Muhammad s.a.w where he helped Siti Khadijah doing business in Mecca and so he gained the trust of Siti Khadijah own. 

8. Viable
Viable means entrepreneurs are always at the forefront in any circumstances whatsoever that hinder. A viable entrepreneurs will find new ideas and can integrate these ideas into the rational and creative solutions. In addition, they will also always find strategies more efficient than existing, and because of that they are always ahead of the other competitors. For example, the founder and leader of the airfare cost, Tan Sri Tony Fernandes. He is an entrepreneur with a viable and competitive in ensuring the success of Air Asia. This feature makes him a creative and dynamic in all actions they perform.

9.Can see and take opportunities
            The business chances exist because some people make a nonsense problem. As example, differentiation in technology, customers have changing taste, and the changes of life style. The entrepreneurs grab and implement the chance as a precondition to be a success. As entrepreneur, that can predict and analyses chance, they will never miss the important chance that can bring a great return to their organization easily. Entrepreneurs who have this characteristic can be said as unique because they can see the bright future better than others towards the chance that will be taken. As example, the nature that can find and get business chance that have big potential to give the best profit belonged to Tan Sri Syed Mokhtar, it cause he cannot only focus at one business only. Thus, he make a diversify in business sector followed the changes and current demand. Tan Sri Syed Mokhtar Al-Bukhari had involved himself in transport sector, rice trade, sugar and cloth to fulfill current demand. At the same time, Tan Sri Syed Mokhtar had taken the opportunities to involved in shipping sector. Tan Sri Syed Mokhtar also always analyses surrounding and current demand, thus get the chance on what happened.
 
1Optimistic
            Optimistic mean characteristic of entrepreneur that always think the future and always set positive thinking toward every action is taken. Entrepreneur like this can afford to face the challenges, difficulties and hardship. The optimistic entrepreneur though that every hardship is usually in business sector that will be face with others. Entrepreneur like this has bright opportunity to achieve goal in the future. As example, Tan Sri Lim Goh Tong is a project manager of Genting Highlands. Once upon a time, many people told that the project was in process are idiot, crazy and waste time. All of their assumption totally wrong, when the project succeed has complete, until he become famous as well as being among the ten richest people in Malaysia and Southeast Asia.

1Confident
            Confident in the abilities themselves, an entrepreneur needs to have confidence in the ability, capacity and capability to secure itself-founded business success. Confidence in the abilities themselves mean, entrepreneurs have a stand in making any decision despite stiff opposition from various quarters. Entrepreneurs must be bold and confident in all actions to achieve the goals and vision organization. For exam, Tan Sri The Hong Piow before setting up his own bank, he only served as a clerk at the Overseas Chinese Banking Corporation (OCBC) until promoted to officer. His knowledge, experience and confidence during his tenure at the Maybank manager and was subsequently promoted to general manager with confidence and determination, he finally founded Public Bank and was appointed Chief Executive Officer (CEO) of the bank. Now, Public Bank a bank that is rapidly developing under the auspices of Tan Sri The.



3.0      How successful entrepreneur in Malaysia using the entrepreneurial characteristics to achieve success in his/her business

For selecting a successful entrepreneur figure based on examples of leaders who have been studied, Tan Sri Syed Mokhtar Al-Bukhary is that researchers select the human on the basis of his success in becoming one of the richest Bumiputera entrepreneurs in Malaysia. Name Tan Sri Syed Mokhtar Al-Bukhary, is very known and respected among Malaysians, especially the Malays because he was a figure of Malay entrepreneurs who have a love of wealth and welfare matters. Born in Alor Setar, Kedah was born in 1951. He was the third child of seven siblings, actually he came from a disadvantaged background. The difficulties faced by his cause, he intended to change the pattern of family life by going into business.
In the early stages of education, he started school in Alor Setar and then on reaching the age of 9 years old, he was educated in Johor Baharu after being sent him to live with his uncle Syed Omar, so that he entered two levels. After that, he returned to Alor Star and then continue his studies up to form five at Saint Michael's College (Rosli Mahmood et al., 2010). The inability of his life, causing his desire to continue their studies at a higher level had been forgotten.
By the 1970s, his father's livestock business has been in decline due to the outbreak of foot and mouth disease that has spread throughout southern Thailand, Kedah and Perlis. This resulted in all animals died from the outbreak. Since then, Tan Sri Syed Mokhtar has taken over his father's business and he decided to no longer engage in farming, but instead sell frozen meat on a small scale (Rosli Mahmood et al., 2010). At this point, he began to engage in business as an entrepreneur on a small scale to large scale such as the present. Among the six characteristics that should be emulated by entrepreneurs, who are on the inside of Tan Sri Syed Mokhtar Al-Bukhary is daring to take risks, a network of entrepreneurs, proactive, failure on their own choice and have a vision of its own.


1 Dare to take risks
Risk refers to the uncertainly in decision-making and the impact borne by the decision maker is Rosli Mahmood et al (2010) stated that in theory, the higher the risks and the higher the returns will be accepted. He was a bold first move in the commodity business with only rice and then expand its business into other commodities, namely sugar through Bukhari Sdn. Bhd. even do not have a lot of knowledge about it. Later, he went on to establish Bukhary (KL) Sdn. Bhd. for the contract to supply rice, tea, ghee, powdered milk and chocolate from the government. Certain extent through his courageous efforts in taking the risk of going into business has paid off so much that he can diversify his business selling without a need to rely on a business revenues only (Ashadi Zain, 2005).

2 Web entrepreneurs
According to Mohd Salleh Din et al. (2005), a network of entrepreneurs brings meaning to the relationship that occurs and is maintained by an entrepreneur with the surrounding community in order to achieve mutual benefit. In 1979, after obtaining the supply contract from the government, he founded Susu Mas Sdn. Bhd. which is a joint venture with New Zealand Milk Products and markets its products under the brand Anchor and Fernleaf. In this feature to create a network of entrepreneurs, too, can be seen when Tan Sri Syed Mokhtar began to implement the barter system by converting the output of cocoa and tea from China. The purpose of this is to create a business network to expand the market for its products around the world (Rosli Mahmood et al., 2010).
  
3 Proactive
Proactive generally intends to take action before it's time to act (Sudin Haron, 1990). In fact, this feature also involves the positive attitude of an individual or institution in planning or performing an action, which will be considered criticality in advance again. This is to prevent the occurrence of something that absolutely requires the act in question. The action will not be done by the entrepreneur only after something has happened. These features prove that Tan Sri Syed Mokhtar Al-Bukhari wise approach to ensure the success of a business project that has been designed by him. As an example, he ventured into the manufacture of military uniforms for the Ministry of defense. There is 120,000 pairs of shoes and 330,000 pairs of uniforms. It has made their mark in the field of garment manufacturing. Eventually he formed Amtek Division to manufacture shoes and Oriental Garment Uniform clothing (Rosli Mahmood et al, 2010). Wisdom possessed by him in taking the opportunity given, cause he has also managed to remove shoes and military clothing designer Louis and Lee Cooper.

4 Failure of choice
Each individual's success need not be obtained without fail. When businesses that have failed, it depends on the individual's choice to continue to let failure because difficulty for success or as a catalyst for a person to rise from the previous and subsequent failure to motivate the success of any matter undertaken (Drucker, 1985). This feature also proved in his success, he never failed before achieving success at the present time. Some examples of failure experienced by him is when he established the shipping company Shipping Bukhari's role as a broker of vessels under the cabotage policy. A German-made ship was purchased by him in US1 million dollars, for the transport of rice from Thailand to Sabah and Sarawak. However, losses have been suffered by him forced him to sell the vessel at a price of USD600, 000 dollars. So, she was seen as a huge mistake in choosing to venture into this shipping, so bring a large number of losses (Ashadi Zain, 2005). But, failure faced by him, was taken as a positive lesson so much that can further its business in various fields of lucrative income.

5 Vision
In short, the vision is an ambitious goal and foresight to be achieved at certain times (Mohd Salleh Din et al., 2005). When we mention the name of Tan Sri Syed Mokhtar Al-Bukhari, of course, his name will be followed by the title "Billionaire Philanthropist". He was not only a visionary in the field of business, but he is a very loving entrepreneur welfare. This is so because, he believes that the sustenance comes from God is not for him alone but for the public as well. This is one of the handles or the vision of his life. In addition, he also believes that the good things we are doing on this earth will remain and be taken to the next. Therefore, he has set up Yayasan al-Bukhary in March 1996 to help the poor and support the development of art and culture in the Muslim community (Ashadi Zain, 2005).

6 Result oriented
As can be appreciated, the success of Tan Sri Syed Mokhtar Al Bukhary is based on the characteristics of entrepreneurship that exists on his own. Among these are results-oriented. He said to create success in this aspect is because he makes money as a result of an SBA loan of RM110, 000 to purchase two trucks to transport rice Mercedes 911LS under his own company, namely the Transport Company Limited. As the business grew, he had purchased several lorries to facilitate the transportation of goods and more than 40 trucks have until now. He is wisely generating opportunities and develop other business to business results-oriented way before. For example, he established the company to apply for licenses Shah and trading of rice from the National Rice Board, which is now known as Bernas and managed to get a contract for the supply of rice to the FELDA, MARA namesake, Pernas Edar and Sergam Sdn. Bhd., A subsidiary of the Johor State Economic Development Corporation. After success with the Company Shah, he set up a joint venture with two Chinese businessmen, namely Ghiak Gee Ng and Chua Chong Tan. Ghiak Gee was Chong Tan rice traders while the rice millers. Of rice, he later expanded its business to other commodities, such as sugar.

7 Integrity
Tan Sri Syed Mokhtar Al-Bukhary is a familiar figure in Malaysia. He is a prominent businessman of integrity and an example to other entrepreneurs. It is thus seen when he managed to get rice trading license from the National Rice Board or Bernas. He has become one of our suppliers of rice to countries with a share-holding of 52% in the joint venture company between NG Ghiak Gee and Chua ChongTan to supply rice. This shows that he definitely trusted by others so that he was able to open his own company, namely Bukhary Sdn Bhd. He also gained the trust of other stakeholders such as the Chinese nation to go into business with him. It is well known that large-scale business requires a lot of investment and also have a high risk. However, Tan Sri Syed Mokhtar Al-Bukhary is a respected entrepreneur and disanjumgi by other business partners as he ventured into various businesses in the packaging industry, manufacturing, food, transportation and so on and successfully manage its business wisely. This made him an icon of integrity of business prospects. Not only had he managed to expand its market to overseas and gain the confidence of consumers overseas. In fact, he also recognized with numerous awards and gained recognition from magazines and famous people. Among them are the Panglima Setia Mahkota (PSM) by His Majesty Seri Paduka Baginda Yang di-Pertuan Agong which carries the title Tan Sri and the Dato 'Setia Mahkota Kedah (DSDK) by HRH the Sultan of Kedah which carries the title Dato' Award of Distinction (2009), he was also selected as Maal Hijrah 1429H, Malaysia's Award Chosen One 'and Time Magazine (2002) and many others.
  
8 Firm
Tan Sri Syed Mokhtar AlBukhary an indigenous richest individuals in Malaysia. Estimated wealth amounted to RM10.6 billion. The secret of success and wealth Tan Sri Syed Mokhtar AlBukhary due to his entrepreneurial savvy to practice. He also adhered to the principle that we all need to be strong and successful so that we have the ability to help others. The nature of his intelligence could be proved by any new business strategy will be conducted, he will appoint several people as a business partner to run his business and as the largest shareholder in the company. He also decided to save the MMC and Pernas who are experiencing severe losses and management disarray. In addition, every day, he would call 100 people composed of leading-leading businesses to get the latest input business development respectively. He also advised not to engage in business in the form of Ali-Baba. They take equity allocated to them and then sell to the Chinese people with a higher price. Malays were only involved in business in name only, the reality of doing business that is Chinese. Examples of such tax permits and licenses, and IPOs. According to Tan Sri Syed Mokhtar AlBukhary, as a trader, it is important to not just be an errand boy alone. There needs to be innovative and constantly improve themselves and the business. For example, from suppliers to manufacturers. Tan Sri Syed Mokhtar AlBukhary also reminded never to do something outside of your financial capabilities, create first, talk later and wealth must be distributed.

9 Initiative
As a successful entrepreneur, Tan Sri Syed Mokhtar has the characteristics of entrepreneurs who took the initiative. This is so because, the foundation built by him, namely al-Bukhary Foundation has conducted mega projects, namely the construction of a business complex (Souq) al-Bukhary in Alor Setar worth RM400 million which have been completed. Complex al-Bukhary, who was later named Centre of Excellence Sharifah Rokiah include Dialysis and Hospital Albukhary, Hostel Albukhary, Masjid Al-Bukhary, the Public Education Center 'cottage' Modern Home Orphanage Albukhary Center Special Children and Elderly Care Center. The Foundation is also developing the Islamic Arts Museum Malaysia in Kuala Lumpur worth RM100 million. Four-storey building is the first museum in the Asia Pacific region which displays the result of Islamic art. In fact, 12 mosques were built by the Foundation around the world. This clearly shows that he took the initiative to build a large complex in addition to doing charitable funds to establish care centres, provision of education and more.

10 Ability to learn from mistake
He never knew about failure in his life and he always learn from mistakes. He always be careful in his business. He responsible on what he was doing. He always think that wealth hat we get come from responsible. He said, he must do kindness although it small but it bless. He also didn’t selfish. Success and wealth is belongs to Allah and use it in the right way. He never give up, strong to wake up from mistakes.  Don’t make religion is the place to us to rely when we in trouble. I act according to the needs of affected but continue to strive to make every problem resolved as soon as possible. When he has a problem, he can solve the problem with wise and calm.  He did not give up under any circumstances. He said, to develop a strong business need to be patient and work. He also advise young entrepreneurs do not want to succeed quickly. Every effort is absolutely necessary through a phase of adversity, challenges and so on. He took off his own example that starts from the bottom with the help of his father sold the cattle and buffalo in the village before reaching the stage now. If we go through the hard way, then we will find a way to appreciate and love. Usually when a breakthrough short, too easy for the business we do it crashed. "If we go through the hard way, then we will find a way to appreciate and love," he explained briefly.
  
11 Perceptiveness
He built his business at Kuala Lumpur to grab the opportunity to get the job from the government and him success to start commodity business such as sugar and rice. He is always looking for other business opportunities that can help others develop youth themselves and not just for himself alone. He is very happy to help others people. Tan Sri Syed Mokhtar Shah bin Syed Al-Bukhary started his business as an entrepreneur meat in 1970.  He is also the owner of Yayasan Al-Bukhary and is involved with the business based on farming, construction, engineering, infrastructure and ports. But in the 80s he wisely the money by switching to a transport plane that had brought him success and made it the richest Bumiputera corporate figure in Malaysia. He wisely took a chance and use the opportunity to forge greater success. This is because, not everyone will see it as an opportunity.

4.0 Conclusion
      In summary, the combination of the six characteristics of entrepreneurs on the inside of Tan Sri Syed Mokhtar Al-Bukhari, it has been proven that he is an entrepreneur who should be emulated by the public. Therefore, efforts towards a better must be continued and put into practice because there is no simple and easy way to become a successful entrepreneur. In fact, even if someone is coming from a poor family that is no reason to deprive a person of success in this world and the hereafter as practiced by Tan Sri Syed Mokhtar Al-Bukhary.


References 
Aini Hayati Mohamed, 2015. Pengajian Perniagaan. Petaling jaya, Selangor : Penerbitan Sasbadi Sdn. Bhd
Ong Chai Lin, 2010. Prinsip-prinsip Keusahawanan. Malaysia : Penerbitan Cengage Learning Asia Pte Ltd
Google (2016). The Characteristic of Entrepreneur – 2.1 Retrieved november 8, 2016 from   https://www.academia.edu 
Google (2016). 10 Characteristics of successful entrepreneur – 2.1 Retrieved november 9, 2016 from http://www.investopedia.com

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