Entrepreneurship

Entrepreneurship is the ability to run, develop and organize a business enterprise to make a profit and employment opportunity. It means discovering and taking the risk to succeed in changing and competitive global market.

Entrepreneurs play a great role in it. It is a person who starts the business based on his idea and provides work to gain profit by taking a financial risk. They are often known as a source of new ideas or innovators and bring new ideas into the market by replacing old ones with a new inventions. The new business can be a home-based, small or multinational company.

Types of entrepreneurship

There are mainly four types of entrepreneurship. They are:

Small Business Entrepreneurship

These businesses are hairdressers, grocery stores, travel agents, consultants, carpenters, plumbers, electricians, etc. These people run their businesses and hire family members or local employees. For them, the profit would be able to feed their family and not make 100 million in business. They fund their business by taking small business loans or loans from friends and family.

Scalable Start-up Entrepreneurship

This start-up entrepreneur starts a business knowing that their vision can change the world. They attract investors who encourage people who think out of the box. These business focuses on research and experimental models so that they can hire the best and the brightest employees. They require more venture capital to fuel their project or business.

Large Company Entrepreneurship

These huge companies have defined life-cycle. Most of these companies grow by offering new and innovative products that revolve around their main products. The change in technology, customer preferences, new competition, etc., build pressure on large companies to create an innovative product and sell it to the customers in the new market. To cope with the rapid technological changes, the existing organizations either buy innovation enterprises or attempt to construct the product internally.

Social Entrepreneurship

This type of entrepreneurship focuses on producing products and services that resolve social needs and problems. Their goal is to work for society and not make any profits.

Importance of Entrepreneurship

 Entrepreneurship generates employment. It provides an entry-level job, required for gaining experience and training for unskilled workers.

Entrepreneurship helps to improve the standard of living of a person by increasing income. It helps to increase the consumption of various goods and services by a household for a particular period.

It is the hub of innovation that provides new product ventures, markets, technology and quality of goods, etc.

It brings changes in society and promotes facilities like higher expenditure on education, better sanitation, fewer slums, a higher level of homeownership, etc.

New products and services need to be researched and tested before launching in the market. Therefore, an entrepreneur also dispenses finance for research and development with research institutions and universities.

Now, the government is also encouraging entrepreneurs by providing some schemes and programs like Make in India. Today, people are working toward providing employment rather than taking employment, this will help the nation to grow its economy with new ideas and innovation from a young mind.