The term entrepreneurship is derived from a French word ‘Entreprendre’ which means ‘to undertake’, ‘to pursue opportunities’, or ‘to fulfill needs and wants through innovation and starting businesses’. The word first appeared in the French dictionary in 1723.
An entrepreneur is a character who creates a brand new commercial enterprise, bearing maximum of the dangers and taking part in maximum of the rewards.
The technique of putting in place a commercial enterprise is referred to as entrepreneurship. An entrepreneur is normally visible as an innovator, a supply of latest ideas, goods, services, and commercial enterprise/or procedures.
Nonetheless, this article will show you everything you need to know about entrepreneur and entrepreneurship keep reading…
Adam Smith (1776) defined entrepreneur as “an individual, who forms an organisation for commercial purpose -who is a capitalist.” To Adam Smith, “an entrepreneur is a proprietory capitalist, a supplier of capital and at the same time, works as a manager intervening between the labour and capital.”
Joseph Schumpeter 1934 defined an entrepreneur as an innovator, who develops untried technology.
According to David McClelland (1961), an entrepreneur is an energetic, moderate risk-taker.
An entrepreneur, as defined by Robert E. Nelson, is a person who is able to look at environment, identify opportunities to improve the environment, marshal resources and implement action to maximize those opportunities.
The best definition for an entrepreneur is the one who organizes, manages, and assumes the risks of a business or enterprise.
An entrepreneur is an individual who takes the risk to start their own business based on an idea they have or a product they have created while assuming most of the risks and reaping most of the rewards of the business.
Entrepreneurs play a key role in any economy, using the skills and initiative to anticipate needs and bring good new ideas to market.
Entrepreneurship that proves successful when it comes to taking the risks of starting a new business is rewarded with profit, fame and continuity. growth opportunities. A failed venture results in losses and less penetration in the markets for those involved.
Entrepreneurs have a watch for innovative business opportunities and a want to drive change, however they’ll even have a variety of temperament types and are available from all types of backgrounds.
Therefore, what defines an excellent startup founder? verify that essential skills and characteristics each little business owner must become a productive entrepreneur.
Leadership: One of the most important qualities of an entrepreneur is the ability to lead. You must act as the leader of your company, the manager of your team, and the enabler who moves everyone forward as your launch draws near.
They also need to take the helm when it comes to pitching to investors or speaking to the press. Be ready to break new ground and build a team of followers as the face of your business.
Vision: Entrepreneurs who are really blazing new trails continually have a vision in mind. however can your company amendment the industry, and the way will you improve the ways customers do business or live their lives?
Most investors are seeking spectacular levels of innovation, that might be up on existing product or transferral one thing utterly unaccustomed the market.
No matter what you’re selling, you’d higher be ready to indicate investors and customers what proportion better things look in your vision of the future.
Motivation: The most successful startup founders have infinite motivation. You have the ability to motivate yourself to do more, work harder, and perform better in virtually every waking moment.
Not only are you motivated, you also know how to inspire others to achieve ambitious goals. and discover new possibilities. Staying motivated takes constant energy and the promise of substantial rewards that great entrepreneurs know are worth the hard work.
Positivity: There’s a first-class line among being upbeat and staying positive, and the quality marketers recognize how to stroll it carefully. After all, positivity is ready greater than simply being satisfied or offering regular affirmation.
In the startup world, positivity approach locating studying possibilities in failed experiments, asking questions rather than assigning blame, and being assured even if the going receives tough.
Risk-inclined: Building a business is rarely an easy process, and even the most efficient start-up will overcome some obstacles along the way. Whether it’s a steep learning curve, a big fundraising goal, or an impossible-to-beat schedule, every business has its trade show, part of the risks.
As an entrepreneur, you must be willing to take these risks, but you must not do so blindly. Instead, do your due diligence and trust their team of experts to help you navigate the toughest parts of the business formation.
Creativity: Entrepreneurs hardly ever do matters through the book, for the reason that they have got the capacity to look higher methods of creating products, doing commercial enterprise, and dwelling life.
As a small-commercial enterprise owner, you need to be with no end in sight innovative and continuously attempt to strive a brand new method or look for a one-of-a-kind solution to a common question.
Adaptability: Creativity and adaptability go hand in hand for entrepreneurs. Your vision may not appeal to all members of your target audience, but your flexibility could allow you to make key product updates that will make your launch a success.
By leveraging its adaptability, you’ll stay current even with major industry changes or new customer demands on the horizon, which can lead to continued success.
Tenacity: Founding a business enterprise calls for plenty extra than simply recognition and drive. As an entrepreneur, you need to be tenacious, continuously redefining your desires and staying on the right track to satisfy objectives.
As a small commercial enterprise owner, you furthermore mght should understand what you need to obtain and be decided sufficient to make the not possible happen.
- Top 21 Most Lucrative Business In Nigeria To Earn 150k Weekly
- How To Make Money Selling Other Peoples Products Online
- Top 10 Small Business Ideas For Teens To Start Today
Qualities of an entrepreneur are stated below:
They are passionate:
Successful entrepreneurs have a passion for what they do. whether or not it’s a greenhorn invention, an improvement on an existing product, or a revolutionary service, prosperous entrepreneurs believe that their providing is game-changing and that they understand why. They conjointly skills to convey this passion to others.
They are business savvy:
As an entrepreneur, you have to do everything related to your business, at least in the beginning. Even as you grow and hire, you want to know what’s going on in accounting, marketing, purchasing and everywhere else.
If you don’t have this knowledge yet, a business administration degree can be very helpful. In a specialized course, you will get to know all aspects of the economy and receive a broad basis on which you can build.
Some schools even let you major in Entrepreneurship to help achieve their dreams.With all the knowledge that a business administration degree imparts, your new company can get off to a good start.
They are confident:
Confidence is one of the most important qualities of an entrepreneur. That goes hand in hand with passion. Real entrepreneurs believe they have the ability to bring their product to market.
Sometimes this means trying a new approach when the first one doesn’t work. , in addition to the ability to overcome the obstacles that will inevitably stand in your way.
They are planners:
We have all heard the expression, “Nobody plans to fail, they simply fail to plan.” Nowhere is this more true than while beginning a business. It’s almost not possible to over-plan.
That said, be organized in your plans to change. Entrepreneurs want to be bendy sufficient to discard a plan that proves unworkable and alternate it for any other one.
They are always on:
One of the maximum crucial traits of an entrepreneur is the cappotential to marketplace and network. Often that is a character trait—a few human beings are simply clearly outgoing, with the cappotential to speak to anyone. But in case you’re greater of an introvert, do not worry. This is a talent that may be learned.
The first aspect you want to marketplace correctly is to have an elevator pitch. This is a quick speech approximately your product and why it is exciting.
Think approximately what you’ll say in case you had been in an elevator with a capacity investor. What could you need her or him to understand withinside the forty five seconds or in order that it might take to get in your floor?
Once you’ve got got your elevator pitch, use it. Everywhere. On every body you meet. Tell your friends, your acquaintances and the individual that cuts your hair.
You in no way understand who is aware of anyone who is probably an ideal customer, provider or associate for you. Don’t be afraid to without delay name or e mail folks that can assist you.
They are money managers:
Managing money is an important quality of an entrepreneur. A business degree can give you a sufficient foundation in accounting and finance to manage money yourself at first, but if it’s not on your list of strengths, make it the first thing you outsource. It’s too important to ignore while you focus on other priorities.
They never give up:
Bringing a service or product to the market is lots of difficult paintings. Since you’ve got got passion and self belief already, it can now no longer look like paintings to you, however there’ll come instances while you assume you’ve got executed all you can.
That’s if you have to drag your self returned up, name at the knowledge, expertise, passion and dedication you’ve got, and supply it one extra shot.
Here are some real-life examples of successful entrepreneurs:
- Aliko Dangote – Richest man in Africa and largest cement producer on the continent.
- Sir Richard Branson – Founder of Virgin Atlantic and a known English business mogul.
- Jeff Bezos – Founder of Amazon, a giant e-commerce platform
- Jehangir Ratanji Dadabhoy Tata – Indian entrepreneur and founder of TATA group.
- Gina Rinehart – Australias mining mogul.
- Jack Ma – Chinese business mogul and founder of Alibaba Group.
- Carlos Slim – Mexican entrepreneur and founder of América Móvil and Grupo Carso.
- Tadashi Yanai – Japanese business mogul and founder of Uniqlo.
An entrepreneur can start as a sole proprietorship meaning that they own and run the business by themselves. In this case, the business and owner are one and the same.
This means that the entrepreneur is solely responsible for any debts or liabilities. However, an entrepreneur can decide to start as a Limited Liability Company (LLC). A Limited Liability Company is privately held and separates the owner from the business.
This means that the owner is not held responsible for the liabilities or debts of the LLC. The LLC has a bank account and tax identification number under its own name separate from that of the owner.
how to become an entrepreneur
As we’ve seen from the likes of Steve Jobs and Mark Zuckerberg, successful businesses don’t happen overnight and require a lot of hard work before they bear fruit. If you are an aspiring entrepreneur looking to start a new business but don’t know where to start, don’t worry, you are not alone.
No matter what your motivation is to be your own boss, whether you are tired of your job or want to pursue your passions, you can start today.
Follow those hints if you are an aspiring entrepreneur and need to begin your commercial enterprise however do not know wherein to begin.
Take a stand for yourself:
If you are not happy with your current circumstances, admit that no one but you can fix them. There’s no point blaming the economy, your boss, your spouse, or your family. Change can only happen when you make a decision. conscious decision to do so.
Identify the right business for you:
Give your self permission to explore. Be inclined to examine extraordinary aspects of your self (your personality, social styles, age) and concentrate for your instinct.
We generally tend to disregard instinct despite the fact that deep down we regularly recognise the truth. Ask your self “What offers me power even if I’m tired?”
How do you already know what enterprise is “right” for you,
- Do what you know: Have you been laid off or need a change? Look at work you’ve got got executed for others withinside the beyond and consider how you may bundle your ability set and provide them as your very own offerings or products.
- Do what others do: Learn about other companies that interest you. Once you’ve identified a successful business that you like, imitate it.
- Solve a common problem: Is there an opening in the marketplace? Is there a product or service you would really like to carry to marketplace?
(Note: This is the highest threat of the 3 approaches.) Start with a few marketplace research, and in case you pick out to do this, ensure which you turn out to be a scholar and benefit information first earlier than you spend any money.
There are lots of entrepreneurship guides you could seek out, or you could go all out and attend a enterprise college with an MBA program.
Business planning improves your chances for success:
Most human beings do not plan, however it’ll assist you get to marketplace faster. A marketing strategy will assist you benefit clarity, focus, and confidence.
A plan does now no longer want to be multiple page. As you write down your goals, techniques, and movement steps, your commercial enterprise version turns into real.
Ask your self the subsequent questions:
- What am I building?
- Who will I serve?
- What is the promise I am making to my customers/clients and to myself?
- What are my objectives, techniques and movement plans (steps) to attain my goals?
Know your target audience before you spend a penny:
Before you spend money, discover if humans will truly purchase your services or products. This can be the maximum critical factor you do. You can do that with the aid of using validating your market.
In different words, who, exactly, will purchase your services or products apart from your own circle of relatives or friends? (And do not say. “Everyone in Nigeria will need my product.” Trust me – they won’t.) What is the scale of your goal market? Who are your customers? Is your products or services applicable to their normal life? Why do they want it?
There is enterprise studies to be had that you could find for free. Read enterprise articles with pc technology information (Google the applicable enterprise associations) and examine Census information to examine more.
However, the maximum crucial manner to get this facts is to invite your goal market/clients without delay and then listen.
Understand your personal finances and choose the right kind of money you need for your business:
As an entrepreneur, your non-public existence and commercial enterprise existence are interconnected. You are in all likelihood to be your first – and in all likelihood only – investor.
Therefore, having an in depth expertise of your non-public finances, and the capacity to track them, is an important first step earlier than searching for outdoor investment or ability buyers to your commercial enterprise.
Since you could want to be your personal angel investor, I endorse putting in place your non-public money owed in a cash control machine to simplify this process.
As you’re growing your commercial enterprise plan, you may want to bear in mind what kind of commercial enterprise you’re building – a life-style commercial enterprise (smaller quantity of startup funds), a franchise (slight funding relying at the franchise), or a high-tech commercial enterprise (would require great capital funding).
Depending on wherein you fall at the continuum, you may want a one of a kind amount of cash to release and develop your commercial enterprise, and it does depend what type of cash you accept.
Build a support network:
You’ve made an inner dedication in your small commercial enterprise. Now you want to domesticate a community of supporters, advisors, partners, allies, and vendors. If you, the founder, believe in your commercial enterprise, others will too.
Network locally, nationally, and via social networks. Join networks together with your nearby chamber of trade or different applicable commercial enterprise management groups. Here are a few networking basics:
- When attending networking events, ask others what they do and think about how you could assist them. The secret is to concentrate greater than tout yourself.
- No matter what organization you join, be beneficiant, assist others and make introductions without charging them.
- By turning into a beneficiant leader, you’ll be the primary character that involves thoughts when a person you have helped needs your service or hears of a person else who needs your service.
Sell by creating value:
Even though we purchase products and services every day, people don’t want to be “sold.” Focus on serving others. The more people you serve, the more cash flow you’ll see. To get into the entrepreneurial mindset when considering your customers or clients, ask yourself:
- What can I give them?
- How can I help make them become successful in their own pursuits?
This approach can help lead you to new ways to hone your product or service and deliver more value, which your customers will appreciate.
Get the word out:
Be inclined to mention who you’re and what you do with conviction and with out apology. Embrace and use the only on-line tools (Twitter, Facebook, YouTube, LinkedIn) to be had to broadcast your news.
Use social networks as “pointer” sites; i.e., to point to whatever you believe you studied might be of hobby for your enthusiasts and followers.
Even though social networks are essential today (you must use them!), don’t underestimate the power of other methods to get the word out: word-of-mouth marketing, website and internet marketing tools, public relations, blog posts, columns and articles, speeches, email, newsletters, and the old-fashioned but still essential telephone.
If you are taking those steps, you may be well for your manner to turning into a a hit entrepreneur. It’s critical to don’t forget which you aren’t alone.
If you need to “be your personal boss” however nevertheless sense stuck, attain out and connect to different marketers in a whole lot of ways. You can be amazed with the aid of using the worthwhile contacts which are proper at your fingertips.
Different between entrepreneur and eentrepreneurship
Below is the differences between entrepreneur and entrepreneurship or are they the same find out now;
A doer who has something new to offer to society by running an enterprise.
An innovator who uses thought-provoking ideas to lead the marketplace.
A developer who gives shape to an idea and creates a business model.
A leader who provides guidance and direction to their team to achieve targets and meet deadlines.
A risk-taker who can anticipate issues that may arise in the future, minimize their effects and even take calculated risks for the benefit of a business.
An entrepreneur is simply the founder of a business who works towards a vision.
An entrepreneur is an individual or team of people who not only generate profits but also solve societal challenges through products and services. They provide value through their products, engage with clients and customers and take risks.
An entrepreneur is a critical thinker, who brings new and innovative ideas to the table in the hope of making the world a better place.
An entrepreneur typically initiates and operates a new business. Simultaneously, they’re accountable for any associated risks.
An entrepreneur coordinates the essential requirements of an organization. They lead, motivate and direct to coordinate multiple efforts from different directions.
It’s a systematic, purposeful and creative process that helps an individual run a business smoothly. It pushes people to think outside the box and offer unique products and services.
It helps create a variety of professional networks and strengthen interpersonal relationships with people from all walks of life.
Profit potential motivates individuals and helps them stay focused and keep the organization running.
There are both risks and rewards of a business; entrepreneurship encourages people to take the leap of faith.
Entrepreneurship varies from single to multiple projects, which help generate multiple employment opportunities.
Entrepreneurship is the art of turning an idea into a venture. It’s not only about getting resources but also making constant efforts to build on the idea. There’s a direction and the people involved are all working toward a goal.
Entrepreneurship provides the platform to make changes through innovations and out-of-the-box thinking. It allows people to solve problems with creative solutions.
Entrepreneurship is the process of coordination that allows individuals to streamline their efforts and resources. It’s the planning and organization of tasks and priorities.
The basic difference between the Entrepreneur and Entrepreneurship is that an entrepreneur is a person who turns out the idea into a business and takes every risk for the motive of profit making.
The process of starting the business and running it, managing the people and organizing every bit of the business is called entrepreneurship.
An entrepreneur should be innovative rather than the competitors to make an enterprise successful and achieve its goals and objectives.
An entrepreneur is a person who starts a new business, while entrepreneurship is the process of designing, launching, and running a new business.
Entrepreneurship can be done by anyone who has an idea for a new business; it is not limited to those who own the business.
Importance of entrepreneur
Entrepreneurship is not always an easy path, and it’s not the road for everyone, but when walked right, it can be one of your most rewarding and beneficial career decisions.
For every benefit, there are some challenges. It comes with a lot of hard work and a need to commit to the journey.
The top eight benefits of becoming an entrepreneur:
While entrepreneur benefits abound, certainly considered one among the most important ones is really the truth that you could work in a role (and a field) that fits your ideals in a genuinely pleasurable way.
For example, in case you are a proponent of social justice and diversity, you could paintings simplest with customers that trust the ones ideals.
If you’re obsessed with the environment, you can set up your commercial enterprise to have a low carbon footprint.
What’s awesome approximately entrepreneurship is which you don’t have to look ahead to the right activity that suits your morals and ethics: You can create it! That in itself is an inspiring concept.
Work-lifestyles stability and having the capacity to set your personal obstacles cannot be overstated as an vital part of operating for yourself.
When you could manage your workload, your task pleasure mechanically increases, retaining you greater engaged in the business’ day-to-day operations.
The entrepreneurial technique entails a number of entrepreneurial growth. The management classes you examine from walking your personal enterprise live with you forever, helpfully extending into more than one aspects of your life.
Skills like powerful communication, patience, time management, economic planning, budgeting, self-discipline, possibility fee analysis, and more can best be discovered basically in “trial via way of means of fire.”
The classes discovered (and alertness of them) via way of means of walking your organization are invaluable, each professionally and personally.
Work from anywhere
Your profession is a massive part of who you are, so it ought to be worthwhile and normally now no longer dull. You’ve in all likelihood felt the drudgery of workplace lifestyles before, so that you understand that a experience of pleasure and ardour to your work is no small feat.
As an entrepreneur, you are not beholden to the day by day drudgery of commuting, nor do you need to do the identical matters on the identical instances on a day by day basis.
You may even pick to work from locations apart from a monotonous workplace desk — your home, a café, the park, or maybe on the street as you’re taking a running vacation.
This is your business, so that you get to make the important thing decisions, from who to rent and what customers to take to the way to fee your services (or goods,) what partnerships to pursue, and what your quarterly and every year dreams ought to be.
There is lots of freedom in being capable of set the tone and specifics round your work.
Rather than being a few cog in a corporation’s hierarchical wheel, your thoughts get to take the level and make a difference. It’s fairly worthwhile to peer the very seeds you planted blossom into some thing successful.
Setting your very own agenda allows you to bust out of the conventional trappings of a 9 a.m. begin and running through to 5 p.m., so that you can accommodate your private life, family, desires of your clients, or even your intellectual health.
Perhaps you’re maximum effective while running in two-hour chunks with a massive break in between. Or perhaps a few days you don’t want a complete 8 hours, and you’ve discovered that running to fill time is truely much less effective.
The flexibility of walking your very own enterprise permits you to modify as needed.
Focusing on results rather than watching the clock will increase happiness, work quality, and output. And, yes, there will be days when entrepreneurship will require long hours, putting you far past the 5 p.m. mark.
However, even when working long nights, you’ll be building something of your own rather than the monotony of filling a quota.
Building a beneficial network
“It’s not what you know, it’s who you know” is often quoted — and for good reason.
The connections you make can strengthen your brand by expanding the pool of potential clients and meeting people who will just personally help you out. There’s no such thing as knowing too many good people.
Pride and satisfaction
Feeling accomplished by seeing something you conceptualized and built come together is an amazing feeling.Being an entrepreneur means you are a problem solver by nature, and the satisfaction of seeing your honest hard work solve those problems is an experience unique to entrepreneurs.
We have being able to reveal all you need to know about who an entrepreneur is and what is entrepreneurship, qualities, characteristics, examples and how to become a good entrepreneur.
I believe that you derived values from this article, kindly tell us what you learn from this article in the comment section below or your own personal definition?