International Journal of Academic Research ISSN: 2348-7666 Vol.2, Issue-2(7), April-June, 2015

Role of Management Education in Entrepreneurship Development Prof. Jaladi Ravi, Department of Commerce and Management Studies Andhra University, Visakhapatnam Bhanotu Venkateswara Rao (JRF ) and P. Satya Vara Prasad, Research Scholars, Department of Commerce and Management Studies, Andhra University, Visakhapatnam

Introduction Entrepreneurship is the act of being an entrepreneur - a French word meaning one who undertakes an endeavor. Entrepreneurs assemble resources including innovations, finance and business acumen in an effort to transform innovations into economic goods. This may result in new organizations or may be part of evitalizing mature organizations in response to a perceived opportunity. The most obvious form of entrepreneurship is that of starting new businesses; however, in recent years, the term has been extended to include social and political forms of entrepreneurial activity. Entrepreneurial activities are substantially different depending on the

type of organization that is being started. Entrepreneurship ranges in scale from solo projects to major undertakings creating many job opportunities. Many "high value" entrepreneurial ventures seek venture capital or angel funding in order to raise capital to build the business. Angel investors generally seek returns of 20-30% and more extensive involvement in the business. Many kinds of organizations now exist to support would-be entrepreneurs, including specialized government agencies, business incubators, science parks, and some NGOs. An entrepreneur is a person who organizes and manages a business, assuming the risk for the sake of profit. Entrepreneurship is "the capacity for innovation, investment, and expansion in

International Journal of Academic Research ISSN: 2348-7666 Vol.2, Issue-2(7), April-June, 2015 new markets, products, and techniques"; thus entrepreneurs are persons who take risks and invest sources to make something new, design a new way of making something that already exists, or create new markets."In today’s world of work, it is increasingly being felt that, with jobs reaching a saturation point creating entrepreneurs would go a long way in the creation of jobs and also development of the economy. Though there are different schools of thought, where one school is of the view that it is in the genes and another school believes that entrepreneurs can be made. If we believe in the former than no effort will be made, with the assumption that it will come only automatically where we have no roles to play. Entrepreneurship plays such a vital role in the economic development of countries all over the world. Educating people who can start, innovate, build or buy businesses is crucial to the economic development of the world. It is essential that schools continue to invest heavily in entrepreneurship to enhance their region’s economic viability. The importance of encouraging the development of small and medium size enterprises in the promotion of economic growth is a familiar theme.

management one of the important aspects of the world.At its best, a business school shouldbe an "incubator of ideas"—a place where students have the resources and support to explore new ideas and learn how to lead a company into the future. To take an example, building on its fifty year history of research and teaching in the field of entrepreneurship, Harvard Business School enables students to test their business ideas in a risk-free environment. Students are free to follow their inspiration and imagination while benefiting from a deep collection of resources: faculty advisors, access to technology and a network of HBS alumni, and the diverse expertise of their classmates. The hugely popular Business Plan Contest—the twelfth annual in 2008—gives second-year students the chance to put their learning to the test and submit their business plans for evaluation in pursuit of prizes for the most promising ideas in either the Business Venture Track or the Social Venture Track. During the course of the year, student-organized sessions bring venture capitalists, attorneys, and entrepreneurs to campus to help students understand the dimensions of building a business.

Role of Management Education

Ancient texts of china, Arabia, India, European and American throw important light on the management and its importance. Management had its stronghold since ancient Harrapan period, and has been a continuous process and is still in its development stage. The fundamentals of management was observed in the ancient period, mauryan rule, guptarule , Delhi sultanate, Mughal period ,under British empire etc. The history of management studies in India is hardly Fifty years old. Jawaharlal Nehru,the first Indian Prime Minister wanted to establish institutes in India

Management the backbone of organization and administration is the basis of any country in today’s competitive world. Globalization has been a historical process and with the intermingling of cultures we find that every society is observing radical changes. During the pre- world war first (18701974) rapid exchange of economies in terms of trade, capital, and migration of people took place. Transport and communication and development in this field led toGlobalization and made

International Journal of Academic Research ISSN: 2348-7666 Vol.2, Issue-2(7), April-June, 2015 similar to that MIT of America and Harvard Institute for excellence in technology and management. India’s first B- School, Commercial School of PacchiappaCharties was set up in 1886 in Southern City of Chennai. Management study is in its glorious phase in India and due to arrival of Multinational companies many institutes has sprung up in India. Still there is much scope left to be done and achieved.

exclusively delivered in the form of training programs, offered by institutions under the aegis of State and Central Governments, and by financial institutions receiving support from the Government.

Entrepreneurship MBA is a unique and valuable qualification designed for those with an interest in business and a strong entrepreneurial drive. This is an excellent qualification for those interested in their own venture, enabling them to learn skills and gain valuable knowledge to help them make their venture a success. However, having an Entrepreneurship MBA qualification is also a great way to enjoy an increased chance of getting into a business environment as an employees and enjoying great prospects in your career. India has a pioneering status among developing countries for its early start on a variety of entrepreneurshipeducation programs. For the most part, entrepreneurship education in postindependence India has been focused on measures designed to encourage selfemployment and founding of Small and MediumEnterprises (SMEs). The Industrial Policy Resolution of 1956 has, for instance, a very strong emphasis on the SME sector.

2. Training and counselling institutions (NISIET, SISI, TCOs, EDI)

As the economy transitioned from being primarilyagrarian into one that has significant contribution from other sectors, it was felt that the most pressing requirement was education that would enable need-based entrepreneurs to make forays into these emerging sectors. Consequently,in the 1960s and 70s, entrepreneurship education was almost

Some of the institutions delivering such programs were: 1. Industrial estates and in common service facilities(like tool rooms)

3. Financial institutions like SBI, IDBI, TDICI, RCTC, etc. 4. Development boards (STEPs, EDCs, TBIs,) Benefits programs

of

entrepreneurship

The potential benefits from entrepreneurial education include the following: Increased entrepreneurial activity – By encouraging youth and adults to consider entrepreneurship as a viable career path, entrepreneurship education could “not only expand the pool of potential entrepreneurs but also help trigger wider interest in and support for those seeking to start and grow new companies (Hart, 2003). Greater diversity in entrepreneurship – Entrepreneurship education allows a wider diversity of groups to learn the skills and develop the networks to successfully engage in entrepreneurial activities. Such diversity among potential entrepreneurs means a broader source of ideas and perspectives in

International Journal of Academic Research ISSN: 2348-7666 Vol.2, Issue-2(7), April-June, 2015 opportunity recognition solution development.

and

More entrepreneurial successes Ronstadt (1985) argues that if entrepreneurship is taught effectively, it may generate more and better entrepreneurs and increase entrepreneurial success rates. Better motivation for at-risk groups to complete formal education – Entrepreneurship education may serve as an effective means to engage youth while training them to contribute to economic development and sustainable communities (Aspen Institute, 2008). In some cases, entrepreneurship education programs may be especially appealing to at-risk youth and may help stem the tide of school dropouts. More business-savvy population – Entrepreneurship education teaches lifelong learning and 21stcentury skills (Fiet, 2001 and Gibb, 2002) as well as the practical application of business management competencies (Young, 1997). The more available those programs are, the more opportunities there are for the youth and adults to acquire those competencies and live more productive lives. Improved creative and critical thinking – Entrepreneurship education puts great emphasis on improving the cognitive abilities of the students in creativity, opportunity recognition, and critical thinking. Students who choose to learn through entrepreneurship programs may

have heightened creativity and critical thinking abilities. Conclusion For management education to successfully contribute to entrepreneurship development there are several factors which should be kept in mind. While selecting students majority of the students should be selected who have the ability to take risks and the initiative to be on their own. Secondly, there should be a blend of experienced academic faculty members for theoretical base as well as entrepreneurs on board in order to have practical exposure. Apart from classroom education, their attitudinal training, in entrepreneurship should go hand in hand especially bringing out that confidence to engage. They should exposed to enough of real life situations by participating in business plan competitions on a regular basis, handling live industry projects more often and the like. Successful entrepreneurs should be roped in, to share their experiences with the students – things like challenges faced by them, opportunities in the market, knowledge about financial assistance. More and more interaction with entrepreneurs through guest lectures and seminars/conferences and close association with senior managers in high growth, innovative companies would go a long way in enlightening the future entrepreneurs. By being associated with entrepreneurs the desire to start a new venture becomes more intense. Last but not the least, both government as well as private entities should take active interest in nurturing the entrepreneurial venture. References

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