Entrepreneurs and Entrepreneurship

In the literature that describes business process, one can find several definitions of the word entrepreneurship. In the early eighteenth century, ent...

In the literature that describes business process, one can find several definitions of the word entrepreneurship. In the early eighteenth century, entrepreneurship was described as the process of taking the risk of buying at specific prices and selling at uncertain prices. Entrepreneurs are people who have talent for identifying the opportunities, and convert them into the profit making business. In wider perspective, the entrepreneur is a person who manages, organizes, and takes risk of enterprise or a business.

Joseph Schumpeter, an Austrian economist defines entrepreneurship which has emphasis on innovation such as new product methods, new markets, new products or new forms of organization. These innovations result in more demands and hence creation of wealth. The entrepreneur combines several factors in order to generate value for the customers, and the value exceeds the cost of input factors. This results in generation of higher returns and hence creation of wealth.

Instead of analyzing, watching or describing, it is a way to find the personal energy by taking the initiative and building the organization or enterprise. Entrepreneurship requires total commitment, energy, clear focus, and single mindedness. Imitative or adoptive entrepreneur adopts best practices, and is revolutionary. Drone entrepreneurs function against any change in the production method, even if they incur losses.

The entrepreneurs can be classified based on the type of technology, type of business, growth, motivation, stages in development, and others. To be a successful entrepreneur, the person needs to perceive the opportunities, manage human relations within the firms, gain command over scarce resource, manage finances, deal with bureaucracy, take risk, introduce new products and production techniques, manage customer and supplier relations, upgrade the product and process quality, respond to competition, market the products, and manage and organize. Entrepreneurship is the art of coming up with profitable solutions, and each successful entrepreneur has been a person who could identify a problem, and offer a solution before anybody else. To be a successful entrepreneur, the person has to be rational, and a good manager.

Entrepreneurs have to face many legal issues while setting up and running the business, bringing the product to the market, financing the venture or establishing the non profit organization. If you want to become and entrepreneur, you will have to be prepared to change the way you think and work, and surround yourself with the people who are supportive. In any entrepreneurial venture, it is essential to always be ready to pitch your business, state your goals in concise and clear manner, and keep in mind that less is always more.

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