Entrepreneurs are made not born . .

Its origin remains to be unclear, but

there are indications that the term
entrepreneur or entrepreneurship
originated in Europe in 17th Century.
 ENTREPRENEURSHIP
• The capacity and willingness to develop,
organize and manage a business venture
along with an
of its risks in order to make a profit.
 ENTREPRENEUR
• Someone who exercises initiative by organizing a
venture to take benefit of an opportunity and, as the
decision maker, decides what, how, and how much of a
good or service will be produced.

• An entrepreneur supplies risk capital as a risk taker,

and monitors and controls the business activities. The
entrepreneur is usually a sole proprietor, a partner, or
the one who owns the majority of shares in an
incorporated venture.
• List of Advantages of Entrepreneurship
• 1. It gives a great amount of freedom.
If you are working for a boss and a company,
you need to meet all their requirements and
only have very little freedom on the job. On
the other hand, if you start your own
business, you will be able to make your own
demands and set your own schedule. You
dictate everything you do, giving you a level of
freedom that you will not see when you are
employed.
• 2. It can be exciting.
Entrepreneurship can be very exciting, with
many entrepreneurs considering their ventures
highly enjoyable. Every day will be filled with
new opportunities to challenge your
determination, skills and abilities.
• 3. It allows you to set your own earnings.
Of course, you will be the one setting your own
wage and making investments when you own
the business. The work that you do would be for
something you own, which can be a huge
advantage compared to when you are working
as an employee for a certain company.
• 4. It offers flexibility.
As an entrepreneur, you can schedule your
work hours around other commitments,
including quality time you would spend with
your family.
• List of Disadvantages of Entrepreneurship
• 1. It requires you to dedicate a huge amount
of time.
One big challenge in starting your own
business is the amount of time you have to
dedicate to it. Remember that
entrepreneurship is not easy, and for it to be
successful, you have to take a level of time
commitment that many people are just not
willing to make. And even if you are able to
enjoy flexibility in your work schedule when
your venture does become successful, you will
still have to dedicate a substantial amount of
time to growing the business.
• 2. It can be difficult to compete with other
businesses.
It is very important for an entrepreneur to stay
competitive. This means that you have to
differentiate your business from others in your
niche in order to build a solid customer base
and, finally, become profitable.
• 3. It does not guarantee 100% success.
Entrepreneurship would make your dreams
come true, which does not often happen with
traditional employment, but you need to
make some sacrifices to make it happen. You
should know that this type of venture does
not guarantee 100% success.
• 4. It comes with unpredictable work
schedules.
One major drawback of being an entrepreneur
is that more work and longer hours will be
required from you than being an employee.
• While you want to become your own boss,
you must first know the amount of effort, time
and investment to make your venture
successful.
For one to be a succesful entrepreneur
• Hardworking
• Good credit standing
• Opportunity
• Readiness
• Timing
• Forms of Business Organization
• These are the basic forms of business ownership:
• 1. Sole / Single Proprietorship
• A sole proprietorship is a business owned by only
one person. It is easy to set-up and is the least
costly among all forms of ownership.
• The owner faces unlimited liability; meaning, the
creditors of the business may go after the
personal assets of the owner if the business
cannot pay them.
• The sole proprietorship form is usually adopted
by small business entities.
• 2. Partnership
• A partnership is a business owned by two or
more persons who contribute resources into
the entity. The partners divide the profits of
the business among themselves.
• In general partnerships, all partners have
unlimited liability. In limited
partnerships, creditors cannot go after the
personal assets of the limited partners.
• 3. Corporation
• A corporation is a business organization that
has a separate legal personality from its
owners. Ownership in a stock corporation is
represented by shares of stock.
• The owners (stockholders) enjoy limited
liability but have limited involvement in the
company's operations. The board of directors,
an elected group from the stockholders,
controls the activities of the corporation.
• Cooperative
• A cooperative is a business organization
owned by a group of individuals and is
operated for their mutual benefit. The persons
making up the group are called members.
Cooperatives may be incorporated or
unincorporated.
• Some examples of cooperatives are: water and
electricity (utility) cooperatives, cooperative
banking, credit unions, and housing
cooperatives.
• There are three major types of businesses:
• 1. Service Business
• A service type of business provides intangible
products (products with no physical form).
Service type firms offer professional skills,
expertise, advice, and other similar products.
• Examples of service businesses are: salons,
repair shops, schools, banks, accounting firms,
and law firms.
• 2. Merchandising Business
• This type of business buys products at
wholesale price and sells the same at retail
price. They are known as "buy and sell"
businesses. They make profit by selling the
products at prices higher than their purchase
costs.
• A merchandising business sells a product
without changing its form. Examples are:
grocery stores, convenience stores,
distributors, and other resellers.
• 3. Manufacturing Business
• Unlike a merchandising business, a
manufacturing business buys products with
the intention of using them as materials in
making a new product. Thus, there is a
transformation of the products purchased.
• A manufacturing business combines raw
materials, labor, and factory overhead in its
production process. The manufactured goods
will then be sold to customers.
• Hybrid Business
• Hybrid businesses are companies that may be
classified in more than one type of business. A
restaurant, for example, combines ingredients
in making a fine meal (manufacturing), sells a
cold bottle of wine (merchandising), and fills
customer orders (service).
• Nonetheless, these companies may be
classified according to their major business
interest. In that case, restaurants are more of
the service type – they provide dining services.
• Economic development is the process by which emerging
economies become advanced economies. In other words,
the process by which countries with low living standards
become nations with high living standards. Economic
development also refers to the process by which the overall
health, well-being, and academic level the general
population improves.
• During the development, there is a population shift from
agriculture to industry, and then to services.
• A longer average life expectancy, for example, is one of the
results of economic development. Improved productivity,
higher literacy rates, and better public education, are also
consequences.
• Put simply; economic development is all about improving
living standards. ‘Improved living standards’refers to higher
levels of education and literacy, workers’ income, health,
and lifespans.
• Entrepreneurship plays an influential role in
the economic growth and standard of living of
the country. As a startup founder or small
business owner, you may think that you are
simply working hard to build your own
business and provide for yourself and your
family. But you are actually doing a whole lot
more for your local community, state, region,
and the country as a whole.
 Here are the top 7 important roles an
entrepreneur plays in the economic
development of a country.
• 1. Wealth Creation and Sharing: By establishing
the business entity, entrepreneurs invest their
own resources and attract capital (in the form of
debt, equity, etc.) from investors, lenders and the
public. This mobilizes public wealth and allows
people to benefit from the success of
entrepreneurs and growing businesses. This kind
of pooled capital that results in wealth creation
and distribution is one of the basic imperatives
and goals of economic development.
• 2. Create Jobs: Entrepreneurs are by nature
and definition job creators, as opposed to job
seekers. The simple translation is that when
you become an entrepreneur, there is one less
job seeker in the economy, and then you
provide employment for multiple other job
seekers. This kind of job creation by new and
existing businesses is again is one of the basic
goals of economic development.
• 3. Balanced Regional
Development: Entrepreneurs setting up new
businesses and industrial units help with
regional development by locating in less
developed and backward areas. The growth of
industries and business in these areas leads to
infrastructure improvements like better roads
and rail links, airports, stable electricity and
water supply, schools, hospitals, shopping
malls and other public and private services
that would not otherwise be available.
• 4. GDP and Per Capita Income
Each new addition of entreprenur to these units
makes use of even more resources like land,
labor and capital to develop products and
services that add to the national income,
national product and per capita income of the
country. This growth in GDP and per capita
income is again one of the essential goals of
economic development.
• 5. Standard of Living: Increase in the standard of
living of people in a community is yet another key
goal of economic development. Entrepreneurs
again play a key role in increasing the standard of
living in a community. They do this not just by
creating jobs, but also by developing and
adopting innovations that lead to improvements
in the quality of life of their employees,
customers, and other stakeholders in the
community. For example, automation that
reduces production costs and enables faster
production will make a business unit more
productive, while also providing its customers
with the same goods at lower prices.
• 6. Exports: Any growing business will
eventually want to get started with exports to
expand their business to foreign markets. This
is an important ingredient of economic
development since it provides access to bigger
markets, and leads to currency inflows and
access to the latest cutting-edge technologies
and processes being used in more developed
foreign markets. Another key benefit is that
this expansion that leads to more stable
business revenue during economic downturns
in the local economy.
• 7. Community Development: Economic
development doesn’t always translate into
community development. Community
development requires infrastructure for
education and training, healthcare, and other
public services. For example, you need highly
educated and skilled workers in a community
to attract new businesses. If there are
educational institutions, technical training
schools and internship opportunities, that will
help build the pool of educated and skilled
workers.
• Characteristics of a Successful Entrepreneur
• Some business experts suggest that the
entrepreneurial drive is innate, a trait
acquired at birth, while others believe that
anyone can become an entrepreneur.
Whether a person is born to it or develops it,
there are characteristics and traits required
for successful entrepreneurship
• Passion - Talk to successful entrepreneurs and
you'll nearly always hear the word passion
when they describe what they do. Following
your passion is one of the best predictors of
success.
• Independent thinking - Entrepreneurs often
think outside the box and aren't swayed by
others who might question their ideas.
• Optimism - It's difficult to succeed at anything
if you don't believe in a good outcome.
Entrepreneurs are dreamers and believe their
ideas are possible, even when they seem
unattainable.
• Self-confidence - This is not to say
entrepreneurs never have self-doubt, but
they're able to overcome it, and believe they
can achieve their goal.
• Resourceful and problem solvers - Lack of
assets, knowledge, and resources are
common, but entrepreneurs are able to get
what they need or figure out how to use what
they've got in order to reach their business
goals.They never let problems and challenges
get in the way, and instead find ways to
achieve success despite hardships.
• Tenacity and ability to overcome hardship -
Entrepreneurs don't quit at the first, second or
even hundredth obstacle. For them, failure is
not an option, so they continue to work
toward success, even when things go wrong.
• Vision - Some of the more stringent
definitions of entrepreneurship include vision
as a necessary element. It helps to know your
end goal when you start. Further, vision is the
fuel that propels you forward toward your
goal.
• Focus - It's easy in this fast paced, constant
info-in-your-face world to get distracted. This
is especially true for business start-ups that
often get side-tracked by the shiny object
syndrome (i.e. products and services that
promise fast results), or bogged down in
unimportant busy work. Successful
entrepreneurs are focused on what will bring
results.
• Action oriented - Entrepreneurs don't expect
something from nothing and they don't wait
for things to happen. They are doers.
They overcome challenges and avoid
procrastination.