What is Entrepreneurship?
The world of entrepreneurship is constantly changing as well as its definition. But its core definition is still there.
Entrepreneurship is the process conducted by an entrepreneur of launching a new business and running it properly to make it effectual. It may be a small business that started in-home or could be a big enterprise also.
Entrepreneurship has stated as the ability and intention to begin, manage and build a new venture based on the business opportunity to make a profit.
From afar, entrepreneurship looks very fascinating but in reality, it takes a lot of hard work, sacrifices, and patience.
In entrepreneurship there is a significant amount of risk; and it’s because of not having enough funding to grow the business, lack of customer demand, bad planning and execution, lack of support and many more.
According to research, 96% of businesses shut down in the first five years of their existence. But the good thing about it is that, with a high amount of risk it also brings a magnificent amount of reward.
Who is an Entrepreneur? Definition of Entrepreneur.
An Entrepreneur is someone who takes the initiative by bearing all the risk involves in starting a new venture, running it and make it a successful business.
In other words, an entrepreneur is a problem-solving person. The common trait of every successful business is that it starts with a problem faced by a group of people. And when a person solves that problem by providing problem-solving product or services, he/she become an Entrepreneur.
Entrepreneur’s innovation and invention transform that product or service into a big business. They are creative and able to plan and organize resources, capital and people to turn their innovation into an authorized organization.
An entrepreneur has a huge contribution to the country’s economic development. To function their business, they have to hire manpower which increases employment; by selling their products or services in other countries they enhance economic growth.
Meaning of Entrepreneurship
Definition entrepreneurship is all about solving the problems most people stuck with, doing the things most people not willing to do, taking the risk most people can’t think of and sacrificing the things most people can’t afford.
Entrepreneurs are an action taker. Before start something they think about it many times but after deciding what exactly they want to do; they never give up on them.
Importance of Entrepreneurship
Entrepreneurship is one of the most impactful reasons for the country’s overall development. Entrepreneurs motivate and inspire people through their innovation, work process, action and lifestyle to make a better environment for all of us.
They have a huge contribution to countries’ economic growth which also increases employment.
- Entrepreneur Influence Economic Growth.
- Entrepreneur Increase the Standard of living.
- Entrepreneur Enhance Employment.
- Entrepreneur Bring Social Change.
What an Entrepreneur Does (Functions)
Entrepreneurs are known as a person who has multidimensional skills and knowledge related to their industry. When the business is in early-stage you can’t hire many people, so you have to be an all-rounder of your field and have to do all the things that are necessary for your organization’s growth.
As the business grows, you still have to do a lot of those things as a leader to keep the organization in the right direction.
Here are some important functions performed by entrepreneurs from the very beginning of a venture to become a successful enterprise.
- Taking Initiative.
- Bearing all the Risk.
- Innovation on the Customer’s Need.
- Making Organisational Decisions.
- Organizing Resources.
- Marketing of Product or Services.
Types of Entrepreneurs
Types of entrepreneurs could be defined by their background and working style. In terms of these things there a big number of categories of entrepreneurs.
Here are few of those.
- The Copycat Entrepreneur.
- The Accomplished Entrepreneur.
- Institutional Entrepreneur.
- Ethnic Entrepreneur.
- Feminist Entrepreneur.
- Social Entrepreneur.
- Millennial Entrepreneur.
- Project-based Entrepreneur.
- Men Entrepreneur.
- Women Entrepreneur.
Characteristics of Entrepreneurs
Entrepreneurs are well noticeable in the crowd as they have some or more craziness in their character. It may look awkward but that’s how they are.
Because they think and take things differently from the people around them. They not only want to solve their problems but problems of others also.
While people are busy with problems they try to find a solution and give it a business model to make it available for everyone.
Let’s find out some interesting characteristics of entrepreneurs.
- Entrepreneurs are Initiator.
- They Take Risks.
- Entrepreneurs are Self-Motivated.
- They are Innovative.
Capital is known as the lifeblood of every business. Any venture need capital to perform its function in the market. Entrepreneurs have to know how much capital they need and when they need it, from where they could borrow the money and many more to process their venture properly.
Here are some sources through which an entrepreneur can receive money.
- Take Money From Family and Friends.
- Seed Capital.
- Angel Investor.
- Venture Capitalist.
Qualities of Entrepreneurs
What are those common traits that share all the entrepreneurs?
Now there is not a specific trait that makes entrepreneurs successful. Every Entrepreneur has their unique strength and that’s where they focus rest of their life to make themselves successful.
Obviously, there are some common quality traits make them different and fruitful from everyone else.
Here are some common quality traits that all entrepreneurs share.
- Entrepreneurs are extremely passionate.
- Strong Communication Skills.
- Clear About Their Direction.
- Action Taker.
These qualities are inherent in some entrepreneurs but some people don’t have these qualities.
If you are one of them; don’t worry.
These qualities are well learnable and developable through accurate guidance and proper practices.
And we are here to guide and help you to develop these qualities to be the better version of yourself and become a successful entrepreneur.
Skills and experience are those two things that make an entrepreneur a successful entrepreneur. Having the required skills is essential for business success. Most entrepreneurs credit their certain skills which help them turn their ideas and innovation in reality.
Here are some indispensable skills which make many entrepreneurs successful and could make you too.
- Communication Skill.
- Learning from Mistakes.
- Problem Solving.
Developing a certain skill and be good at it needs a lot of effort and attention. You have to consistently work hard to be a master of your field.
Why Do People Become Entrepreneur?
The journey of being an entrepreneur is full of uncertainty. The chances of failure are too high which most people can’t afford.
But some people like this risky, uncertain and adventures journey of building a business.
So now the question is, “What motivates or inspired them to choose entrepreneurship as a carrier?”
Now there are plenty of reasons why they found themselves as an entrepreneur.
Let’s go through those reasons which kick them up to become an entrepreneur.
- Inspired by Other Entrepreneurs.
- Want to be their Boss.
- Their Mindset doesn’t fit 9-5.
- Want to do something of their own.
- Desired to Change the World.
- Got Some Massive Opportunity.
- Encouraged by the reward.
These are some of the common reasons. But there are many more reasons which have a huge role in making them entrepreneurs which will be discussed in another article.
How to Think Like an Entrepreneur
Entrepreneurship is not for everyone. But it is learnable.
What makes a person an entrepreneur?
Did you want to guess?
Yes, it’s the way they think. Entrepreneurs have a specific way of thinking. They see things in a different way which most people can’t.
So the question is, how one can develop these kinds of thinking?
Well, there are enormous ways which will help you to think like an entrepreneur which will ultimately lead you to be an entrepreneur.
- Surround Yourself with People You Want to be like.
- Be Passionate.
- Take Your Own Decisions.
- Focus on Developing Yourself.
- Do the Things that Excite You.
- Take Some Risks.
We hope this article helped you realized who is an entrepreneur, what entrepreneurship is all about, entrepreneur definition and meaning of entrepreneurship.
Entrepreneurship is an exciting game. Many people solve society’s toughest problems and become an entrepreneur.
If you read till this, then maybe you are an entrepreneur or wannabe entrepreneur.
So, if you want to be an entrepreneur, change your thinking. Find problems people are stuck with and solve that to make a mark in the world.
Commit to executing on the ideas you have. Take action. Because ideas are like waste paper until it’s executed.
How would you define entrepreneurship? Comment why you become an entrepreneur or why you want to be?