Entrepreneurship
Entrepreneurship
Entrepreneurship
1) Creativity.
2) Professionalism.
3) Risk-taking.
4) Passion.
5) Planning.
6) Knowledge.
7) Social Skills.
8) Open-mindedness towards learning, people, and even failure.
Concept of Entrepreneurship
Entrepreneurship is the ability and readiness to develop, organize and run a business enterprise, along with any of its uncertainties in
order to make a pro t. The most prominent example of entrepreneurship is the starting of new businesses.
What Is Entrepreneurship
In economics, entrepreneurship connected with land, labour, natural resources and capital can generate a pro t. The entrepreneurial
vision is de ned by discovery and risk-taking and is an indispensable part of a nation’s capacity to succeed in an ever-changing and
more competitive global marketplace.
Meaning of Entrepreneur
The entrepreneur is de ned as someone who has the ability and desire to establish, administer and succeed in a startup venture along
with risk entitled to it, to make pro ts. The best example of entrepreneurship is the starting of a new business venture. The
entrepreneurs are often known as a source of new ideas or innovators, and bring new ideas in the market by replacing old with a new
invention.
It can be classi ed into small or home business to multinational companies. In economics, the pro ts that an entrepreneur makes is
with a combination of land, natural resources, labour and capital.
In a nutshell, anyone who has the will and determination to start a new company and deals with all the risks that go with it can become
an Entrepreneur.
This start-up entrepreneur starts a business knowing that their vision can change the world. They attract investors who think and
encourage people who think out of the box. The research focuses on a scalable business and experimental models, so, they hire the
best and the brightest employees. They require more venture capital to fuel and back their project or business.
These huge companies have de ned life-cycle. Most of these companies grow and sustain by o ering new and innovative products
that revolve around their main products. The change in technology, customer preferences, new competition, etc., build pressure for
large companies to create an innovative product and sell it to the new set of customers in the new market. To cope with the rapid
technological changes, the existing organisations either buy innovation enterprises or attempt to construct the product internally.
Social Entrepreneurship-
This type of entrepreneurship focuses on producing product and services that resolve social needs and problems. Their only motto
and goal is to work for society and not make any pro ts.
Characteristics of Entrepreneurship:
Not all entrepreneurs are successful; there are de nite characteristics that make entrepreneurship successful. A few of them are
mentioned below:
Ability to take a risk- Starting any new venture involves a considerable amount of failure risk. Therefore, an entrepreneur needs to be
courageous and able to evaluate and take risks, which is an essential part of being an entrepreneur.
Innovation- It should be highly innovative to generate new ideas, start a company and earn pro ts out of it. Change can be the
launching of a new product that is new to the market or a process that does the same thing but in a more e cient and economical
way.
Visionary and Leadership quality- To be successful, the entrepreneur should have a clear vision of his new venture. However, to turn
the idea into reality, a lot of resources and employees are required. Here, leadership quality is paramount because leaders impart and
guide their employees towards the right path of success.
Open-Minded- In a business, every circumstance can be an opportunity and used for the bene t of a company. For example, Paytm
recognised the gravity of demonetization and acknowledged the need for online transactions would be more, so it utilised the situation
and expanded massively during this time.
Flexible- An entrepreneur should be exible and open to change according to the situation. To be on the top, a businessperson should
be equipped to embrace change in a product and service, as and when needed.
Know your Product-A company owner should know the product o erings and also be aware of the latest trend in the market. It is
essential to know if the available product or service meets the demands of the current market, or whether it is time to tweak it a little.
Being able to be accountable and then alter as needed is a vital part of entrepreneurship.
Importance of Entrepreneurship:
Creation of Employment- Entrepreneurship generates employment. It provides an entry-level job, required for gaining experience and
training for unskilled workers.
Innovation- It is the hub of innovation that provides new product ventures, market, technology and quality of goods, etc., and increase
the standard of living of people.
Impact on Society and Community Development- A society becomes greater if the employment base is large and diversi ed. It brings
about changes in society and promotes facilities like higher expenditure on education, better sanitation, fewer slums, a higher level of
homeownership. Therefore, entrepreneurship assists the organisation towards a more stable and high quality of community life.
Increase Standard of Living- Entrepreneurship helps to improve the standard of living of a person by increasing the income. The
standard of living means, increase in the consumption of various goods and services by a household for a particular period.
Supports research and development- New products and services need to be researched and tested before launching in the market.
Therefore, an entrepreneur also dispenses nance for research and development with research institutions and universities. This
promotes research, general construction, and development in the economy.
Importance of Entrepreneurship:
Creation of Employment- Entrepreneurship generates employment. It provides an entry-level job, required for gaining experience and
training for unskilled workers.
Innovation- It is the hub of innovation that provides new product ventures, market, technology and quality of goods, etc., and increase
the standard of living of people.
Impact on Society and Community Development- A society becomes greater if the employment base is large and diversi ed. It brings
about changes in society and promotes facilities like higher expenditure on education, better sanitation, fewer slums, a higher level of
homeownership. Therefore, entrepreneurship assists the organisation towards a more stable and high quality of community life.
Increase Standard of Living- Entrepreneurship helps to improve the standard of living of a person by increasing the income. The
standard of living means, increase in the consumption of various goods and services by a household for a particular period.
Supports research and development- New products and services need to be researched and tested before launching in the market.
Therefore, an entrepreneur also dispenses nance for research and development with research institutions and universities.
In the future, an entrepreneur can become a businessman. However, between businessman and entrepreneur, there is a thin line
di erence businessman is a market player, whereas, the entrepreneur is a market leader. In the below article, we will help you
understand the di erences between businessman and entrepreneur.
Who is a Businessman?
A businessman is an individual who operates or starts a business with the same old business idea. The businessman chooses to do
business that is high in demand or give him maximum pro ts in return. The rm faces sti competition because many companies
already exist in the market having the same business ideas. However, the risk factor is very less as the concept has been tried and
tested by other existing companies, so the chance of failure is low.
Who is an Entrepreneur?
An entrepreneur is an individual who has an exclusive idea to initiate and establish a new venture and bring a change in the world. An
entrepreneur is highly creative and innovative, takes a risk and endures the unpredictability of business. The business started by
entrepreneurs with a new concept for the rst time is known as Start-up. The entrepreneur is an integral part of the operation, who
builds and deploys the other functions of the operations i.e. labour, land, and capital. Later in the future, the entrepreneur becomes a
businessman.