CHAPTER II

2.1 Contemporary views of Entrepreneurship

2.2 Socio-economics benefits from Entrepreneurship

Contemporary views of Entrepreneurship

It is worth pointing out that while the early thinking on entrepreneurship primarily focused on
`the entrepreneur as an individual, it has become necessary to also consider the environment where
entrepreneurs operate as much as their personal traits come into play.
The early thinking seems to suggest that entrepreneurship is something remarkable that is
only undertaken by talented individuals—people of high ingenuity, big risk- takers and those
determined to be their own bosses. This may not reflect today’s thinking.
Entrepreneurship in contemporary behavioral science focuses on the individual, the process
and the individual’s freedom of choice. Focusing on the individual is about the earlier behavioral
entrepreneurship research, which unearthed the characteristics of the entrepreneur. Focusing on the
process shows the relationship between the environment and the behavior of the individual. For
instance, individuals with entrepreneurial parents tend to pursue entrepreneurial careers to a
larger extent than others, which can be explained with the help of social learning models.
Focusing on the individual’s freedom of choice shows that new businesses are started by
individuals choosing to start them. This means that the psychologically oriented entrepreneurship
research has also taken an interest in the individual’s intentions and choices when starting a
business.
The contemporary or modern perspective of entrepreneurship or entrepreneur should examine
the entrepreneurial spirit, not only as the expression of unusual individuals, but also as the product of
an environment or culture that encourages and supports people in their efforts to launch new
ventures.
This view presupposes that more people would embark on new ventures if they were
given the right support. Although it remains critical for entrepreneurs to identify opportunities,
allocate resources and create value through innovative solutions, this is only possible in an
environment that promotes entrepreneurial culture and nurturing of new ideas.

Entrepreneurship as a Process and Approach

As an approach, the entrepreneur considers the business opportunity as a chance to solve the
problem rather than solving the problem itself. This further gives an emphasis to the relationship
between entrepreneurship and economics. The problem refers to the so-called “The Economic
Problem” which is scarcity. To deal with this economic problem, we must use efficiently and
effectively the limited resources to satisfy human needs and wants. In this case, the job of
entrepreneurs is becoming more significant. They should be able to scan the environment, identify
opportunities, generate ideas, create something different, and venture into economic activities that are
beneficial to the socio-economic development of the country.
On the other hand, entrepreneurial process is supported by two factors according to Albert
Shapero:
1. Initiative: An individual or group takes the initiative. This may refer to the entrepreneurial
attributes an individual need to work for the available resources.
2. Organization: Resources are brought together in organization to accomplish some objective
(or the resources in some organization are recognized).
Socio-Economic Benefits from Entrepreneurship
The following are the benefits we get from entrepreneurship:
1. Entrepreneurship creates employment and promotes self-help.
The existence of business activities influences employment. Business establishments need
people to work for them. Through entrepreneurship, the spirit and culture of self-help, self-reliance,
and self-sufficiency among citizens of nations is addressed.
2. Mobilizes capital.
Venturing into business means releasing or mobilizing capital that would fire up the
economy.
3. Empower individuals.
The real indicator of economic well-being among citizens and the masses are in some ways
gauged by the amount of financial resources that every citizen accumulates.
4. Entrepreneurship improves the quality of life.
People need to work in order to survive, attend to their needs, and satisfy their wants.
5. Entrepreneurship contributes to a more equitable distribution of income.
With more entrepreneurial activities provided to the people in the country sides, natives have
more work opportunities thus, discouraging them from resettling in other places.
6. Entrepreneurship utilizes resources.
We may use our own natural resources, and process and convert them to more useful things.
7. Entrepreneurship brings social benefits through the government.
The resources collected by the government are given back to the people in the form of
services, infrastructure projects, school buildings, and maintenance of peace and order.
8. Enhance national identity and pride.
It is not only the entrepreneur that directly benefits from his/her entrepreneurial endeavors,
but the country also takes pride in the honor that goes with it.
9. Enhance competitive consciousness.
Innovation, being the essence of entrepreneurship is a catalyst to a consciousness and culture
of competition, which, in the long term breeds quality and global competitiveness.

REFERENCES
Books:
Asor, W. 2009. Entrepreneurship in the Philippine Setting. Quezon City: Rex Bookstore
Kuratko, D. 2011. Entrepreneurship: An Introduction. Pasig City: Cengage Learning Asia Pte
Ltd.
Website:
https://ebrary.net/124399/geography/types_entrepreneurship