Transition from employee to entrepreneur

Abstract

This study addresses the issue which is faced by most of the Professional MBA graduates from Entrepreneurship & Innovation specialization. They have just finished their MBA program. On the one hand they dispose with all necessary theoretical knowledge to start their own business and become entrepreneurs but on the other hand they are still well paid employees (mostly managers) with their houses/flats, families, cars, mortgages and with their high standard of living. And furthermore they are used to getting their salary every month. This study is focused to compare successful managers (employees) with successful entrepreneurs and describes in depth the differences and issues with potential transition from employee to entrepreneur. Primary and secondary data were used within this study. The primary data are data collected by the interviews conducted within well paid managers and successful entrepreneurs. The secondary data are the data searched via internet and literature related to this topic. This study creates a guideline for aspiring entrepreneurs (who are still employees) to guide them within the transition process to become an entrepreneurs. Firstly it describes all essential steps which need to be realized within the transition, such as entrepreneurial mind set, personal development, idea generation, identification of opportunities, strategy, creation of business plan, and other related issues. These steps are described both, based on theoretical knowledge from secondary data and compared with practical knowledge based on primary data. Secondly it shows a practical example how the transition might be pursued. It includes usage of all upper mentioned essential steps in practice, taking into account information gathered from the real entrepreneurs too.