Entrepreneurs can manage dilution through several strategies: 1. Negotiating Terms: When raising funds, negotiate terms that minimize dilution, such as higher valuations or alternative financing methods like convertible notes. 2. Staggered Funding: Opt for staggered investment rounds, which can help in raising funds as needed without significant dilution at once. 3. Performance Milestones: Link equity issuance to performance milestones, ensuring that shares are only issued when certain targets are met. 4. Employee Stock Options: Use employee stock options judiciously, balancing the need to incentivize employees without causing excessive dilution.