Entrepreneurship is what you do to take your career and dreams into your own hands and lead it in the direction you deem fit. The term entrepreneurship has different interpretations. It’s about building a life on your own terms. No bosses. No restricting schedules. And no one holding you back. Taking several risks of developing and managing a business investment to gain profit is entrepreneurship. Building and running a business, small or large, is entrepreneurship. Simply put, entrepreneurship is the willingness to start a new business.
Types of Entrepreneurship
Entrepreneurship is of different categories. In this article, we'll be looking at the four major types of entrepreneurship;
Small Business Entrepreneurship
Large Business Entrepreneurship
Scalable Startup Entrepreneurship
Small Business Entrepreneurship
Today, small businesses carry the highest number of business in the world. The World Bank recently reported that small businesses represent about 90% of business and renders over 50% of employment worldwide. These businesses could be carpentering, tailoring, electrician or any enterprise that someone run which hires local employees and family members. Its purpose is to feed the family and most likely to make the little profit they can. They don’t seek large scale profit.
Large Business Entrepreneurship
These are large companies that mostly grow through innovation. As new technologies, new competitors, customer preferences, and more arise, these businesses try and create new services and products. Products That meet up customer demands. This type of entrepreneurship is for professionals who are good at sustaining innovation. Also, these companies have a fixed lifecycle. Apple Technology Company, Samsung, Google are examples of large business entrepreneurship.
SCALABLE STARTUP ENTREPRENEURSHIP
Scalable startup entrepreneurship is when a person (an entrepreneur) starts-up a business to change the world at large. The aim is to look for things missing commodities in the market and then allure investors and hire specialized employees. They strive for rapid development through venture capital and large profit returns. Example of scalable startup entrepreneurship includes Facebook, Tiktok, and Instagram.
This aspect of entrepreneurship deals with creating products or services that'll solve social problems or needs. Unlike scalable entrepreneurship, social entrepreneurship only consent is making the world a better place.
In general, entrepreneurship is an essential driver of economic growth because it enhances the standard of living. It creates job opportunities, creates wealth and sharing. Also, it promotes research and development and serves as an incubator of innovation and so much more to society.
So, who is the mastermind behind entrepreneurship? Entrepreneur!
Who is an Entrepreneur?
An entrepreneur is a business or job creator. There is much more to an entrepreneur. Where the average person sees difficulties and obstacles, an entrepreneur sees opportunities and resolutions. An entrepreneur is a person who comes up with a new business or businesses regarding all the financial risks and more. He/she comes up with the business idea, and with the help of a couple of investors and or employees, he/she brings it into reality. An entrepreneur is more like the one in charge of all activities within his/her business. Intending to make a profit, an entrepreneur has that passion for bringing change in a society or the world at large. As entrepreneurship is of different types, so applies to entrepreneurs. According to Clarence Danhof, there are four main types of entrepreneurs. Namely;
These type of entrepreneurs are those that introduce new products to people. They come up with new, original and brilliant ideas and create new techniques or products for customers. This category of entrepreneurs is rare because they require the right amount of resources, not only the intellectual and innovative qualities. Example of this type of entrepreneur includes Bill Gates (co-founder of Microsoft Corporation) and Larry Page (co-founder and chief executive officer of Google parent company, Alphabet Inc.).
Imitative entrepreneurs (Copycat entrepreneurs) imitate the innovations of innovative entrepreneurs. As a result, they iterate some features in a particular product or business and present it in a slightly different form. They have the advantage of knowing business opportunities and shortcomings and have been a proven business exemplar to work on. Mark Zuckerberg (co-founder, chairman and chief executive officer of Facebook) is an example of an imitative entrepreneur.
This set of entrepreneurs are risk reluctant and wary to accept changes. They view changes with suspicion and only agrees to it when it has proven to be successful. Because of their risk loath, they become very good at researching. Also, they mostly follow the footsteps of their antecedents.
Similar to the Fabian entrepreneurs, the drone entrepreneurs hardly accept change too. They don’t adopt any opportunity that’ll bring change to their product or business. They only embrace change when it becomes a must.
Attributes of an Entrepreneur
When asked what it takes to be an entrepreneur, a couple of successful entrepreneurs answered in four words;
Things won’t always go the way you expect them to. However, having an appositive attitude would surely take you as an entrepreneur and your business a long way. Think of how you can kindly affect people’s decisions to favour your own business. Be positive and confident in your ideas/goals, believe in yourself and persevere. Your determination to see things through will make things happen.
Your creativity is more like solving a problem. Open your mind to a better understanding and options to know where things are needed or to be able to create demand where demand is not there. Remember, doing the same thing/business with the people living around you has a short end. So, carefully examine things, look at them from a different view. Think of how to do it better, add your little imagination to it and come up with something better.
Running a business is meeting and mixing up with new different people. Have a good relationship with customers, employees, partners and other business. Good rapport is key to the success of your product or business. Influence more people, learn to talk to everyone and be willing to listen to what they have to say. The more people you keep good relationships with, the easier it’ll be for you to get things done.
Day to day running of your business requires good organization skills. You need to set up systems to make your business click. The more organized you are, the smoother things will run. Understand how to raise funds, manage your money and deal with tax.
As a successful entrepreneur, you should possess these attributes. As a result, you will have the zeal, willingness and dedication to get things done. Ask friends, family and other entrepreneurs for help before or along the way.
Entrepreneurs take the first step into making the world a better place – for everyone in it, themselves included. Having a clear understanding of what an entrepreneur is can help you recognize the value you can contribute to the world.
7 Benefits of Entrepreneurship
Entrepreneurship plays a vital role in the economic development of the expanding global marketplace. But what does entrepreneurship for you?
Be Your Own Boss
Being an entrepreneur allows you to be the person who makes every decision and pulls all the strings. As a founder or CEO of a business, you have freedom and independence. Aso, you answer to no one within your business except your patron or clients. You are your own boss!
Dictate Your Schedule
As an entrepreneur, you don’t report through a chain of time like the 9-5 office routine. As a result, you can make your schedule flexible. You can work in the early hours of the day if it works better for you or work later in the day if you’re the evening person. Hard work and results are what matters. So, schedule your working hours based on the time you can have more focus and achieve most.
Thrilling and Excellent Learning Experience
A business may be planned, structured and written down, and at the end of the day, it may or may not work. Experiencing business life, in reality, is a little complex and less structured than writing it down. However, every experience you gather teaches you more about your business and entrepreneurship life in general.
Attributes of a good entrepreneur such as good communication skills, passion, confidence, self-control, buoyancy and tolerance can stimulate you into a gripping leader, both proficient and personally.
Choose Who To Work With
As an entrepreneur, you get to choose the people to work with, clients partners and people generally. You also have the advantage to select/choose your team (employees), people that are best for your business.
No Limit of Income
There is no fixed amount of income you gain in a business. The more your business expands, the more profit you reach. Unlike working under someone with a fixed daily/weekly/monthly salary.
No Glass Ceilings
You don’t need to worry about promotions because you own the business. On the other hands, you’re the one in charge of promoting others within your organization. You only need to ensure that your business is going running as it should.
Set Your Place of Work
Tiny offices or workplace can be so uncomfortable. But, as an entrepreneur, you get to decide where and how you work. From home, café or anywhere that suits you based on your type of business. You can go on vacations, journey around the world and still take care of your business.
Did you know?
As of 2019, there were 252million female entrepreneurs in the world, and more than 36% (one-third) of those women were solopreneurs. Only 2.5% of these women had more than 20 employees.
Later in 2020, it was reported that there are about 582 million entrepreneurs in the world [MARKINBLOG].
73% of small startup owners are men, and 26.9% of male entrepreneurs are solopreneurs.
22.5% of small businesses fail in the first year. Also, 60% of people who start small businesses are 40-60 years of age.
In conclusion, the process of setting up a business is known as entrepreneurship. The entrepreneur is commonly seen as an innovator, a source of new ideas, goods, services, and business/or procedures. There are four main types of entrepreneurship as well as entrepreneurs, the masterminds behind entrepreneurship. Entrepreneurship benefits society immensely. As an entrepreneur, you get to be your own boss and a lot more. And finally, statistical facts on entrepreneurship.