What is Entrepreneur and Entrepreneurship? & It’s Types, Importance and Process

What is Entrepreneur?   

Who organises, manages and assumes the risk of a business enterprises.

● An innovator who arises out new combinations to initiate and accelerate the process of economic development.

● To Undertake, Buy Land,Labour,Capital

● Entrepreneur is Organizer, Innovator, Leadership, Coordinate

OR

A Person who tries to create something new, Organizes Production And Undertake Risks and Handles economic uncertainty involved in entreprise is an Entrepreneur.

What is Entrepreneur and Entrepreneurship? Meaning, Types, Characteristics, Importance

 

Characteristics Of Entrepreneurs 

  1. Calculated Risk Taker
  2. Innovator
  3. Organizer
  4. Uncertainty Bearer
  5. Creative
  6. Self-confidence
  7. Optimistic (Positive thinkers)
  8. Decision Maker
  9. Mental Ability
  10. Business secrecy
  11. Communication Ability
  12. Motivator
  13. Long-term involvement
  14. Persistence Problem Solver
  15. Goal Setter
  16. Action Oriented
  17. Visionary
  18. Business planner
  19. Opportunists
  20. Stress taker
  21. Leadership
  22. A venture Captalist
  23. Clear objective
  24. Human relation Ability
  25. High energy level
  26. Initiative
  27. Moderate Risk taker – Leadership

 

Functions of Entrepreneur

1. Entrepreneurial Functions 

  • Idea generation
  • Determination of Objectives
  • Raising of funds
  • Procurement of raw materials
  • Procurement of Machinery
  • Market Research
  • Determination of Form of Enterprise
  • Recruitment of Manpower
  • Implementation of Project

2. Primary Functions 

  • Planning
  • Organizations
  • Decision Making
  • Management
  • Innovation
  • Risk bearing
  • Uncertainty bearing (Trade, Credits, Trends of Market)

3. Other Functions 

  • Diversification of Production
  • Expansion of the Enterprises
  • Maintaining Cordial employer-employee relations
  • Tackling of labour problems
  • Coordinate with Outside Agencies

 

Entrepreneurship 

What Is Entrepreneurship?

● Entrepreneurship is a Process or Course of Action undertaken by entrepreneur to successfully run an enterprise

● Entrepreneurship refer to an action/Process of Entrepreneur (Person) towards establishing an entreprise

EEE Of Entrepreneurship Development 

  1. Entrepreneur (Individual/Person)
  2. Entrepreneurship (An Action Process)
  3. Enterprise Creation (Object)

 

What is Entrepreneur and Entrepreneurship? Meaning, Types, Characteristics, Importance

 

Barriers To Entrepreneurship

1. Economic Factors

  • Capital
  • Labour
  • Raw material
  • Market

2. Non-Economic Factors 

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Social Factors

Social-cultural norms and values, family background, Education, Financial stability, Caste, Religion, Social Mobility

Psychological Factors

Lack of Sustained Motivation, Difficulty and Ambiguity, Inability to dream, Lack of clean Perception

3. Political Factors/Govt. Action 

  • Incentives
  • Subsidies
  • Rules & Regulations
  • Documentation
  • Government policies

Karl H Vasper has identified Following Barriers :-

  • Lack of viable concept
  • Lack of Market knowledge
  • Lack of technical skills
  • Lack of seed Capital
  • Lack of business know-how
  • Competency Lack of Motivation
  • Social stigma
  • Legal constraints and regulations
  • Inhibitions due to patent

 

Role Of Entrepreneur In Economic Growth

  1. Employment Generation
  2. National Income increase
  3. Dispersal of Economic Power
  4. Balanced Regional Development
  5. Good use of Available Resources and Entrepreneurship/ Better way of utilization
  6. Reducing unrest and Social tension amongst youth
  7. Innovation in Enterprises
  8. Improvement in living Standards
  9. Economic independence

 

Cause of Success and Failure of Entrepreneur

  1. Selection of Business
  2. Proper Planning
  3. Initial Capital
  4. Determination of Market Demand
  5. Marketing of Products
  6. Education and Experience
  7. Joint Initiative
  8. Employment
  9. Location of business
  10. Qualities of Management

 

Myth To Becoming an Entrepreneur

  1. Entrepreneur are Born, Not Made
  2. Money is needed to be an Entrepreneur
  3. Luck is needed to be an Entrepreneur
  4. Entrepreneurs are academic and Social misfits
  5. Entrepreneur are always investors
  6. Entrepreneur are doers, Not Thinkers

 

Types Of Entrepreneur

On the Basis Of “Types of Business”

  1. Business Entrepreneur
  2. Trading Entrepreneur
  3. Industrial Entrepreneur
  4. Corporate Entrepreneur
  5. Agricultural Entrepreneur
  6. Retail Entrepreneur
  7. Service Entrepreneur

On the Basis of “Use Of Technology”

  1. Technical Entrepreneur
  2. Non-Technical Entrepreneur
  3. Professional Entrepreneur

On the Basis Of Motivation 

  1. Pure Entrepreneur
  2. Induced Entrepreneur
  3. Motivated Entrepreneur
  4. Spontaneous Entrepreneur

On the Basis of Entrepreneurial Activity 

  1. Novice Entrepreneur
  2. Serial Entrepreneur
  3. Portfolio Entrepreneur

On the Basis Of “Clarence Danhof”

  1. Innovative Entrepreneur
  2. Adoptive or Initiative Entrepreneur
  3. Fabian Entrepreneur
  4. Drone Entrepreneur

On the Basis Of “H. Cole”

  1. Empirical Entrepreneur
  2. Rational Entrepreneur
  3. Cognitive Entrepreneur

On the Basis Of Ownership 

  1. Private Entrepreneur
  2. Public Entrepreneur
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On the Basis of Enterprise 

  1. Small Scale Entrepreneur
  2. Large Scale Entrepreneur

On the Basis Of Area 

  1. Rural Entrepreneur
  2. Urban Entrepreneur

On the Basis of Gender 

  1. Men Entrepreneur
  2. Women Entrepreneur

Another Types Of Entrepreneur

● Ultra-preneur

– An Entrepreneur who does many things

– ultrapreneur is someone who has many profit generation pursuits at once

● CoPreneurs

Copreneurs are Entrepreneurial Couples who work together as Co-Owners of their Business

● IntraPreneurs ( Corporate Entrepreneur)

A managers within a Company with Promotes Innovative Product development and Marketing. (Inside Entrepreneur/employee , have Skills)

● Family Business 

A family business is a Commercial Organizations in Which Decision Making is influenced by Multiple Generation of a Family,  Related by Blood or Marriage or Adoption.

 

WOMEN ENTREPRENEUR

Women Entrepreneur means a Person who is a female and Who has started a business of her Own.

Women Entrepreneur may be defined as the Women or a Group of Women who initiate, Organize and Operate a Business Enterprises.

Govt. Of India has defined Women Entrepreneur as Enterprise Owned and Controlled by Women having a minimum Financial interest of 51% of the Capital and Giving at least 51% of Employment Generation in entreprise to Women.

 

What is Entrepreneur and Entrepreneurship? Meaning, Types, Characteristics, Importance

Features Of Women Entrepreneurs

  1. Imagination
  2. Openness to feedback and learning from experience
  3. Attribute to hard work
  4. Stress taker
  5. Ability and Desire to take Risk
  6. Time Orientation
  7. Flexibility
  8. Business Communication skills
  9. Analytical Ability of Mind
  10. Leadership
  11. Determination

 

Types Of Women Entrepreneur

1. Affluent Entrepreneur 

Daughters, Daughter-inlaw and Wives of Rich Business Families

2. Pull Factors 

Women take up some assignment or Enterprise as a challenge

3. Push Factors 

Women take up some business Activity to Overcome Financial Difficulties

4. Rural Entrepreneur 

Women in Rural sector try to start something suiting to their resources and knowledge.

Example:- Dairy Products, Pickles, Fruit Juice,  etc.

 

Problems Faced By Women Entrepreneurs 

  1. Lack of Confidence
  2. Legal, Statutory and Procedural Formalities
  3. Problems of Products Marketing
  4. Decision Making and Problems Solving
  5. Inadequate Vocation and Technical Training
  6. Operational Problems
  7. Lack Of Management inputs
  8. Technological Changes
  9. Cultural Barriers
  10. Educational Barriers
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SOCIAL ENTREPRENEURSHIP

Social Entrepreneurship is all about recognising the Social problems and achieving a Social change by employing Entrepreneurial Principles, Process and Operations.

A Person or Group of Individual who Found or Leads an Organizations Or Initiative Engaged in Social Entrepreneurship.

They Are also called Sometimes, ‘Public Entrepreneurs’ , ‘Civil Entrepreneurs’ or ‘Social Innovators’

Activities of Social Entrepreneur 

  1. Adoption of a mission to create and sustain Social value (beyond personal value)
  2. Recognition and relentless Pursuits of Opportunity for Social Value
  3. Engagement in Contiguous Innovation and learning
  4. Action beyond the limited resources at hand
  5. Heightened sense of accountability

Sustainability Issues in Social Entrepreneurs

  1. Funding (can be for Profit as well as non-profit)
  2. Communicating Value Objectives (More than Commercial Value)
  3. Strategy and Long-term Focus
  4. Remaining true to the mission

 

RURAL ENTREPRENEURSHIP

It is the Creation of a new Organizations that introduce a new products, Services or created a new market or utilize a new technology in a Rural Environment.

Rural Entrepreneurship is Entrepreneurship that emerges in the local Rural area in the field of Rural industry, Agriculture and Handicrafts.

 

Characteristics Of Rural Entrepreneurship 

  1. Abundant natural resources including Land, water minerals and Solar power as also wind power
  2. Land is easily available at relatively much lower prices
  3. Availability of Labour particularly of Semi-Skilled and Unskilled type is easy and at lower wage rates
  4. Rural environment is free of Pollution
  5. Tax burden in Rural areas is low, which increases Competitive strength of Rural Industry
  6. Govt. Extends Encouragement of Rural industrialization by free or Low price Supply of Land, Power, Water and Tax Concession

Problems arise in Rural Entrepreneurship 

  1. Technological Limits
  2. Limits on Capital Mobilization
  3. Shortage of Skilled labour
  4. Lack of infrastructure facilities
  5. Absence of Industrial Motivation
  6. Lack of Information
  7. Tradition bound culture
  8. Regulations & Governance

Conclusion: In this article we learn that Complete Details Of ‘Entrepreneur & Entrepreneurship’. This Article Is Very Important For All students who adopt ‘Entrepreneur’ Subject.

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