Entrepreneur-:A person who sets up a business or businesses, taking on financial risks in the hope of profit.
A promoter in the entertainment industry.
An entrepreneur is a person who sets up a business with the aim to make a profit.
Entrepreneurship is the process of designing, launching and running a new business, which is often initially a small business. The people who create these businesses are called entrepreneurs.
An entrepreneur is the person who sees a problem in the world and immediately focuses on creating the solution. They’re the leaders that strike out on their own to improve society. Whether they’re creating jobs or a new product, they constantly take action to ensure world progress.
There are many skills required to start a business. The most popular entrepreneur skills are marketing, business development, customer service, leadership, execution, resilience, focus, determination, talent acquisition, continuous learner.
Importance of entrepreneurship to an individual-:
Lots of importance:
You are as a job giver; not the person in crowded job market.
You are contributing to economy as a business.
You are supporting others by offering solutions.
You are on your path to achieve your goals.
You are true leader to your team.
You credit for success to your team, but take all blame of failure on you as an individual.
You keep balance between your work and life.
You are important to banks and other finance institute, as they earn because of funding you.
You help other entrepreneur in business to develop your enterprise as Eco-system.
You pay all taxes, for the development of nation.
Entrepreneurship and Society-:
The meaning of entrepreneurship involves an entrepreneur who takes action to make a change in the world. Whether startup entrepreneurs solve a problem that many struggle with each day, bring people together in a way no one has before, or build something revolutionary that advances society, they all have one thing in common: action.
It’s not some idea that’s stuck in your head. Entrepreneurs take the idea and execute it. Entrepreneurship is about execution of ideas.
Society-:Society can be described as an aggregate of people living together in a community or basically a situation of being in the company of others. The persons that comprise a population associate for various engagements including business.
Entrepreneurship and Society-:
Entrepreneur provides goods and services needed by the society – An entrepreneur always sees money in people, places and products. One of the major attributes of an entrepreneur is that they have to have a keen eye for opportunities in the society. They will identify a gap and innovatively come up with products or services to cover that gap. Filling this gap enables the society to function.Society provides mentorship for young entrepreneurs – Other established entrepreneurs are part of the society. These have provide a source of mentorship for the entrepreneurs. Those who are experienced and have successfully managed to establish their business ventures can provide guidance and support to the new and aspiring entrepreneurs.
Why entrepreneurs are important in society.-:
Entrepreneurs create jobs: Without entrepreneurs, jobs wouldn’t exist. Entrepreneurs take on the risk to employ themselves. Their ambition to continue their business’ growth eventually leads to the creation of new jobs. As their business continues to grow, even more jobs are created. Thus, lowering unemployment rates while helping people feed their families.
Entrepreneurs innovate: Some of the greatest technologies in today’s society have come from businesses. The technological advances come out of a need to solve a problem, create efficiencies, or improve the world. Thus, in periods where there’s more advancement in technology, it’s usually due to the work of an entrepreneur.
Entrepreneurs create change: Entrepreneurs dream big so naturally some of their ideas will make worldwide change. They might create a new product that solves a burning problem or take on the challenge to explore something never explored before. Many believe in improving the world with their products, ideas or businesses.
Entrepreneurs give to society: While some have this notion of the rich being evil and greedy, they often do more for the greater good than the average person. They make more money and thus pay more in taxes which helps fund social services. Entrepreneurs are some of the biggest donors to charities and nonprofits for various causes. Some seek to invest their money in creating solutions to help poorer communities have access to things we take for granted like clean drinking water and good health care.
Entrepreneurs add to national income: Entrepreneurship generates new wealth in an economy. New ideas and improved products or services from entrepreneurs allow for the growth of new markets and new wealth to be created in an economy. Adding to that, increased level of employment and earnings add to the national income.
Entrepreneurship decreases poverty: In the spirit of sharing good news, more people are being pulled out of poverty today than ever before. This is likely due to globalization. Being able to connect to millions and billions of people on the internet allows new entrepreneurs to find customers around the world. So, those who want to make money online are able to do so to get out of poverty.
Entrepreneurship and Economy-:
Entrepreneurship plays an influential role in the economic growth and standard of living of the country. As a startup founder or small business owner, you may think that you are simply working hard to build your own business and provide for yourself and your family. But you are actually doing a whole lot more for your local community, state, region, and the country as a whole.
1. Wealth Creation and Sharing: By establishing the business entity, entrepreneurs invest their own resources and attract capital (in the form of debt, equity, etc.) from investors, lenders and the public. This mobilizes public wealth and allows people to benefit from the success of entrepreneurs and growing businesses. This kind of pooled capital that results in wealth creation and distribution is one of the basic imperatives and goals of economic
2. Contribution to the GDP-:GDP refers to the monetary value of all final goods and services produced in an economy during a specified period of time- usually a year. These goods and services are provided by the entrepreneurs of that particular economy.
3. Foreign Exchange Earnings-:Industries like the handloom and many other industries produce goods not only to meet the domestic requirements but also export these goods and earn valuable foreign exchange for the country. This adds to the economic growth of the country.
4. Standard of Living: Increase in the standard of living of people in a community is yet another key goal of economic development. Entrepreneurs again play a key role in increasing the standard of living in a community. They do this not just by creating jobs, but also by developing and adopting innovations that lead to improvements in the quality of life of their employees, customers, and other stakeholders in the community. For example, automation that reduces production costs and enables faster production will make a business unit more productive, while also providing its customers with the same goods at lower prices.
5. Exports: Any growing business will eventually want to get started with exports to expand their business to foreign markets. This is an important ingredient of economic development since it provides access to bigger markets, and leads to currency inflows and access to the latest cutting-edge technologies and processes being used in more developed foreign markets. Another key benefit is that this expansion that leads to more stable business revenue during economic downturns in the local economy.
6. Community Development: Economic development doesn’t always translate into community development. Community development requires infrastructure for education and training, healthcare, and other public services. For example, you need highly educated and skilled workers in a community to attract new businesses. If there are educational institutions, technical training schools and internship opportunities, that will help build the pool of educated and skilled workers.
Why Do People Become Entrepreneurs-:
Every entrepreneur has their own ‘why’ that drove them to dive into being their own boss. Whether entrepreneurs need more freedom or to make the world a better place, they all take control of their life by living life on their own terms. Here are a few of the reasons why people become entrepreneurs:
To change the world: Many entrepreneurs strive to make the world better. Whether entrepreneurs believe in space exploration, eliminating poverty or creating a practical but game-changing product, they ultimately build a brand in service of others. Some entrepreneurs use their business as a way to raise capital quickly to funnel into their noble causes. To social entrepreneurs, building an empire is about creating a better world for everyone.
They don’t want a boss: Entrepreneurs often struggle with having a boss. They often feel suffocated, restricted and held back. Some entrepreneurs may feel that they have a more effective way of doing things. Others may dislike the lack of creative freedom. Ultimately, they become attracted to entrepreneurship to succeed on their own terms. Being the boss can be more fulfilling than having one.
They want flexible hours: Entrepreneurship is often popular around those who need flexible hours. Many people with disabilities often enjoy entrepreneurship as it allows them to work when they’re able to. Parents with young children might also prefer entrepreneurship as it allows them to raise young children at home or pick them up from school without having to feel guilty about it. Students may also like the flexibility of entrepreneurship as their course workload might not allow them to work standard office hours.
They want to work from anywhere: Along with flexibility in working hours, entrepreneurship is popular among those who don’t want to be tied down to a specific location. Entrepreneurs might not want to work from the same place every single day, as it might get boring for them. So, if you’re looking for the freedom to work from anywhere in the world, maybe the entrepreneur lifestyle is the right one for you.
They can’t get a job: Many stumble into entrepreneurship when they can’t get a job. Getting fired, a lack of experience or a criminal record can prevent the average person from getting a job when they’re desperate. Instead of being defeated by their situation, they create new opportunities for themselves. A new graduate might start an online store the summer after graduation to build up their resume. A parent who is seasonally laid off each winter might start a business to ensure they can continue feeding their family while keeping a roof over their heads.
They don’t fit into the corporate environment: Entrepreneurs don’t often thrive in corporate environments. It’s often very restricting for their growth. They may dislike the lack of control they have in their role or the office politics. In general, you can spot an entrepreneur in a corporate environment as they’re usually trying to gain more control in their role and learning their coworkers responsibilities to better understand how everything fits together.
They’re curious: Entrepreneurs love finding out the answer to the question, ‘what will happen if…’ They’re experimental. Entrepreneurs love learning. They regularly read business books to advance their knowledge. So naturally, entrepreneurship appeals to them because doing allows them to learn the most in the shortest amount of time. Their curiosity allows their continued growth.
They’re ambitious: Those who love reaching difficult goals and milestones are made to be entrepreneurs. There’s no limit to how much an entrepreneur can make and so they can always work to achieve higher levels of greatness. Since there’s no limit to what they can achieve, entrepreneurs constantly find themselves growing and achieving more than they ever imagined. When obstacles get presented in front of them, they find the workaround to their goal. Entrepreneurs are unstoppable.
A startup entrepreneur can build almost any type of business. Here are a few business ideas to get you started:
Ecommerce store owner
Freelancer (write a blog, accountant, designer)
Teaching (online courses, author)
App creator (chatbots, social media apps)
Service based business (food delivery, cleaning, dog walking)
Consultant based business (wedding planner, life coach)
Marketing businesses (PR firms, influencers, SEO brands)
Affiliate marketing (Amazon, Clickbank, etc)
Blogger (Product reviews, niche blog, magazine)
Vlogger (Start a YouTube channel, Twitch)
Flipper (domain name, website, house)
Gig Economy (driver, Fiverr)
Real estate agent (condos, houses, commercial)
Photographer (product photography, sell photos)
Stock Broker (buying and selling stocks)
Qualities of a successful entrepreneur-:
1. Disciplined-: These individuals are focused on making their businesses work, and eliminate any hindrances or distractions to their goals. They have overarching strategies and outline the tactics to accomplish them. Successful entrepreneurs are disciplined enough to take steps every day toward the achievement of their objectives.
2. Confidence-:The entrepreneur does not ask questions about whether they can succeed or whether they are worthy of success. They are confident with the knowledge that they will make their businesses succeed. They exude that confidence in everything they do.
3. Open Minded-:Entrepreneurs realize that every event and situation is a business opportunity. Ideas are constantly being generated about workflows and efficiency, people skills and potential new businesses. They have the ability to look at everything around them and focus it toward their goals.
4. Self Starter-:Entrepreneurs know that if something needs to be done, they should start it themselves. They set the parameters and make sure that projects follow that path. They are proactive, not waiting for someone to give them permission.
5. Competitive-:Many companies are formed because an entrepreneur knows that they can do a job better than another. They need to win at the sports they play and need to win at the businesses that they create. An entrepreneur will highlight their own company’s track record of success.
6. Creativity-:One facet of creativity is being able to make connections between seemingly unrelated events or situations. Entrepreneurs often come up with solutions which are the synthesis of other items. They will repurpose products to market them to new industries.
7. Determination-:Entrepreneurs are not thwarted by their defeats. They look at defeat as an opportunity for success. They are determined to make all of their endeavors succeed, so will try and try again until it does. Successful entrepreneurs do not believe that something cannot be done.
8. Strong people skills-:The entrepreneur has strong communication skills to sell the product and motivate employees. Most successful entrepreneurs know how to motivate their employees so the business grows overall. They are very good at highlighting the benefits of any situation and coaching others to their success.
9. Strong work ethic-:The successful entrepreneur will often be the first person to arrive at the office and the last one to leave. They will come in on their days off to make sure that an outcome meets their expectations. Their mind is constantly on their work, whether they are in or out of the workplace.
10. Passion-:Passion is the most important trait of the successful entrepreneur. They genuinely love their work. They are willing to put in those extra hours to make the business succeed because there is a joy their business gives which goes beyond the money. The successful entrepreneur will always be reading and researching ways to make the business better.
Role / Functions of an Entrepreneur-:
The following points highlight the top five functions of an entrepreneur. The functions are:
1. Decision Making
2. Management Control
3. Division of Income
4. Risk-Taking and Uncertainty-Bearing
1. Decision Making:The primary task of an entrepreneur is to decide the policy of production. An entrepreneur is to determine what to produce, how much to produce, how to produce, where to produce, how to sell and’ so forth. Moreover, he is to decide the scale of production and the proportion in which he combines the different factors he employs. In brief, he is to make vital business decisions relating to the purchase of productive factors and to the sale of the finished goods or services.
2. Management Control:Earlier writers used to consider the management control one of the chief functions of the entrepreneur. Management and control of the business are conducted by the entrepreneur himself. So, the latter must possess a high degree of management ability to select the right type of persons to work with him. But, the importance of this function has declined, as business nowadays is managed more and more by paid managers.
3. Division of Income:The next major function of the entrepreneur is to make necessary arrangement for the division of total income among the different factors of production employed by him. Even if there is a loss in the business, he is to pay rent, interest, wages and other contractual incomes out of the realised sale proceeds.
4. Risk-Taking and Uncertainty-Bearing:Risk-taking is perhaps the most important function of an entrepreneur. Modern production is very risky as an entrepreneur is required to produce goods or services in anticipation of their future demand.Broadly, there are two kinds of risk which he has to face. Firstly, there are some risks, such as risks of fire, loss of goods in transit, theft, etc., which can be insured against. These are known as measurable and insurable risks. Secondly, some risks, however, cannot be insured against because their probability cannot be calculated accurately. These constitute what is called uncertainty (e.g., competitive risk, technical risk, etc.). The entrepreneur undertakes both these risks in production.
5. Innovation:Another distinguishing function of the entrepreneur, as emphasised by Schumpeter, is to make frequent inventions — invention of new products, new techniques and discovering new markets — to improve his competitive position, and to increase earnings.
Myths About Entrepreneurs-:
1. Entrepreneurs don’t have a personal life-: Lots of people think that entrepreneurs work 24 hours a day, 365 days a year. Working nonstop means that you won’t have time for your family, friends, and leisure activities.While it’s true that entrepreneurship can take grueling hours and commitment, it’s not true that you can’t have a personal life.
2.Entrepreneurs Are High Risk Takers-: Entrepreneurs, Rye states, are often thought of in terms of the risk they assume. Even the dictionary describes an entrepreneur as one who assumes business risks. However, like all prudent business people, entrepreneurs know that taking high risks is a gamble. Entrepreneurs are neither high nor low risk takers. They prefer situations in which they can influence the outcome, and they like challenges if they believe the odds are in their favor.
3.Entrepreneurs are born, not made-:This is the same as saying that you can't teach entrepreneurship. According to management guru Peter Drucker, entrepreneurship is a discipline that can be learned. Passion and persistence may be in your genes, but it takes work to develop the skills that entrepreneurs have.
4.You need a business plan to succeed-:Sure, investors and lenders want to see a business plan before handing you a wad of cash, but if you don't need these resources at start up, you may be able to launch your business based on the results of a feasibility analysis and then get some traction with customers.
5. Entrepreneurs are in it for the money-:some entrepreneurs do think that making money is what it's all about, but the #1 reason that most entrepreneurs start businesses is independence -- the ability to create something they can call their own instead of working for someone else. Entrepreneurs want to control their destiny.
Entrepreneurship as a Career Option-:
A career in Entrepreneurship isn’t for just anyone. This demanding and exciting field requires passion, focus and the willingness to take risks. Entrepreneurs take problems or inconveniences in life and see them as an opportunity to create a product or service. Though salaries vary, working for a successful start-up can also end up being incredibly lucrative, not to mention an exciting experience. Enjoying what you do and feeling passionate about your work will make you a happier person in the long term. These days, entrepreneurs are not just seen starting companies, but they are also playing constructive roles in various fields including education, in government sector and in the social sector.
Entrepreneurship as a profession also offers a great sense of independence and a tremendous amount of job satisfaction.
Entrepreneurship is important for two reasons. One, it furthers innovation to find new solutions to existing and emerging demands. Two, it offers far greater opportunities for wealth creation for self and the society than anything else. Entrepreneurship has its challenges. It is about 20 per cent luck and 80 per cent effort, clarity, courage, confidence, passion and above all smartness.There is no age bar to entrepreneurship. But youth is certainly more suited to take up an entrepreneurial venture because they are technologically precocious, do not fear from change and challenge, and have greater ability to see things differently.
Benefits / Career option of being an entrepreneur-:
1. You set your own schedule-:Though entrepreneurship can often require long hours, the benefit of building a business is that you are in charge of deciding when you want to work. Instead of the monotonous 9-5 set-up, you’re able to have more independence and freedom. It’s not that you are doing less work, but rather that you’re able to choose when you want to work in order to accommodate other activities in your life.
2. You believe in what you do-:Working in entrepreneurship is inspiring. Instead of being a cog in the wheel for a giant, hierarchical corporation, you are able to see your ideas make a difference and contribute to the construction of a brand new business.
3. Your workplace can vary-:Don’t expect to always be working from inside an office while working for or creating your own start-up. Entrepreneurs and other start-up founders often work from home or while traveling, instead of within an office. The ability to opt out of working constantly in an office is a great way to be able to experience a change in scenery and break up the monotony of always working in the same space.
4. You’re the boss-:You have a large degree of agency and control in what’s happening when you’re starting your own company. You get to build a team, decide where the company is going, and call the shots.
5. You get to see your work change lives-:Part of what an entrepreneur does is solve problems. They make something more efficient, provide a better service or build a new product that helps people in their everyday lives. Whatever it is that entrepreneurs are trying to sell, it’s meant to change and improve lives (and turn a profit).
6. You become a business leader-:Being able to see how your business has contributed to the local economy and provided jobs is incredibly rewarding. Your role as a business leader in your community is important and respectable.
7. Excitement-:Part of what makes entrepreneurship so alluring is that it’s both dynamic and exciting. The company is growing and adapting constantly, keeping everyone on their toes.
The pros and cons of being an entrepreneur-:
Freedom-:There’s no denying that one of the best parts of being an entrepreneur is the complete freedom you have to do your own thing. No more bosses to report to, or managers peering over your shoulder – now you’ve gone from the bottom all the way to the top. You are the boss.
Flexibility-: Many people are excited to work for themselves because it means they can work when they want and where they want. Your commute could be as simple as walking to the couch or taking a stroll to the local coffee shop.
Control-:Many budding entrepreneurs value control. Getting your own venture off the ground requires heavy lifting but at the end of the day, it’s your dream and you are in control of making it happen. Having influence over the direction of the company is one of the most exciting parts of being an entrepreneur.
Profits-:Instead of making others richer, now your profits can slide right into your own pocket. This means each business success becomes your success, and as your business grows, so does your potential income. This can be incredibly motivating for many new entrepreneurs on the path to success.
Responsibility-:Not only is the future of your business in your hands but so is your next paycheck. Moving away from a salaried job to an unstable income is hard. There is great sacrifice that comes from starting your own business, and while the pay-off may be worth it, carrying the weight of responsibility can be difficult at first.
Risk-:As the business owner, you will take on much of the risk associated with starting a new venture. This means, instead of your employer taking the fall, you’re often risking your savings, time and effort to get your business off the ground.
Workload-:It takes serious hustle to get a new business up and running, and for the most part, you’ll be doing all the grunt work – especially in the early stages. All the heavy lifting can be hard for one person to manage. While it can be an exciting time, full of possibility, it can also be exhausting.
Limitations-:The idea of running your own business can be very different to the reality. From late nights to lonely weekends, being an entrepreneur is not without its challenges. You can also find it quite limiting in the early stages, without the funding of a big name or well-established business behind you.
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