A businessman is a person who starts a business on an old concept or idea

and makes his place in the market with his efforts and dedication. Whereas a
person who brings his unique idea, creates the market for his own business
to run a startup company is known as an entrepreneur.

Concept of Entrepreneurship

An enterprise is created by an entrepreneur. The process of creation such

an enterprise is called “entrepreneurship”.

Entrepreneurship is a process of actions of an entrepreneur who is a

person always in search of something new and exploits such ideas into
gainful opportunities by accepting the risk and uncertainty with the
enterprise.

The capacity and willingness to develop, organize and manage a business

venture along with any of its risks in order to make a profit.It is an act of
seeking investment and production opportunity, developing and
managing a business venture, so as to undertake production function,
arranging inputs like land, labour, material and capital, introducing new
techniques and products.

Meaning of Entrepreneur

The word “entrepreneur” is derived from the French verb enterprendre,

which means ‘toundertake’. This refers to those who “undertake” the risk
of new enterprises.

An Entrepreneur is an initiator, a challenger and a driver who creates new

product/ service or does normal things in a different way in the market which
includes his Innovations or Creativity.

Entrepreneur in order to carry out his business/ project will start up and
organize a venture/enterprise to take benefit of an opportunity and, as the
decision maker, decides what, where, when and how much of goods or
service to be produced/ distributed. Entrepreneur combines capital,land, and
labor to manufacture goods or provide services through the formation of a
firm. In a

market full of uncertainty, it is the entrepreneur who can actually help clear
up uncertainty, as he makes judgments or assumes the risk.
Entrepreneurship is high-risk, but also can be high-reward as it serves to
generate economic wealth, growth, and innovation.
Definition of Entrepreneur

According to economist Joseph Alois Schumpeter (1883-1950),

“Entrepreneurs are not necessarily motivated by profit but regard it as a
standard for measuring achievement or success”.

According to Merriam Webster, Entrepreneur is a person “one who organizes,

manages and assumes the risks of a business or enterprise”.

Characteristics of Entrepreneur
Creativity.

Professionalism.

Risk-taking.

Passion.

Planning.

Knowledge.

Social Skills.

Open-mindedness towards learning, people, and even failure.

Empathy

Customer is Everything

Creativity: Entrepreneurs usually have the knack to pin down a lot of ideas
and act on them. Not necessarily every idea might be a hit. But the
experience obtained is gold. Creativity helps in coming up with new
solutions for the problems at hand and allows one to think of solutions
that are out of the box. It also gives an entrepreneur the ability to devise
new products for similar markets to the ones he’s currently playing in.

2) Professionalism:

Professionalism is a quality which all good entrepreneurs must possess.

An entrepreneurs mannerisms and behavior with their employees and
clientele goes a long way inand discipline. Self-discipline enables an
entrepreneur to achieve their targets, be organized and set an example
for everyone. Reliability results in trust and for most ventures, trust in the
entrepreneur is what keeps the people in the organization motivated and
willing to put in their best. Professionalism is one of the most important
characteristics of anentrepreneur.

3) Risk-taking:

Risk-taking ability is essential for an entrepreneur to discover something

unique which makes all the difference. entrepreneurs are always ready to
invest their time and money. But, they always have a backup for every
risk they take. Also, evaluation of the risk to be undertaken is also
essential. Without knowing the consequences, a good entrepreneur
wouldn’t risk it all.

4) Passion:

Passion acts as a driving force, with which, entrepreneurs are motivated

to strive for better. At the beginning of every entrepreneurial venture or
any venture, there are hurdles but passion ensures that entrepreneurs are
able to overcome these roadblocks and helps in attaining their goal. With
passion they are willing to put in those extra hours to make the business
succeed because there is a

joy their business gives which goes beyond the money. Hence Passion is
the most important trait of the successful entrepreneur.

5) Planning:

Planning is the most important of all steps required to run a business with
which every action would be effective to attain goals. Planning is
strategizing the whole game ahead of time. It basically sums up all the
resources at hand and enables to come up with a structure and a
thoughtprocess for how to reach the goal.

6) Knowledge:Knowledge is the key to success. An entrepreneur should

possess complete knowledge of his niche or industry. It enables him to
keep track of the developments and the constantly changing
requirements of the market that he is in. May it is a new trend in the
market or advancement in technology or even a new advertiser’s entry,
an entrepreneur should keep himself abreast of it. He should know what
his strengths & weaknesses are so that they can be worked on and can
result in a healthier organization.
 7) Social Skills:Social Skills are also needed to be a good entrepreneur.
Overall, these make up the qualities Required for an entrepreneur to
function. Social Skills involve the following Relationship Building, Hiring
and Talent Sourcing, Team Strategy Formulation.

8)Open-mindedness towards learning, people, and even failure:An

entrepreneur must be accepting the true scenario or event happening
that can be a useful Opportunity. To recognize such opportunities, an
open-minded attitude is required. An entrepreneur Should be determined.
He should face his losses with a positive attitude and his wins, humbly. A
Good entrepreneur takes the experience of this setback and works even
hard with the next goal in Line. This experience is inculcated through the
process of accepted learning.

9)Empathy: Perhaps the least discussed value in the world today is

empathy or having high emotional intelligence. Empathy is the
understanding of what goes on in someone’s mind. A good entrepreneur
sintelligencThe strengths and weaknesses of every employee who works
under him. He must understand that It is the people who make the
business tick. For with empathy, an entrepreneur Can definitely reach the
hearts of employees and the success he desires. Hence empathy is one of
the Most important characteristics of an entrepreneur.

10)And lastly, the customer is everything:

A good entrepreneur will always know that a business is all about the
customer. Grabbing a Customer’s attention is the first step for which it is
important to sense and know the needs of the customers. Personalizing a
business for consumers will also boost the sales. The ability to sell in front
of a potential investment when it comes in the form of a customer is also
required.

Being ready with the knowledge to please a customer, is a way to have a

successful business.

FUNCTIONS OF ENTREPRENEUR

Innovation: Entrepreneurs play a vital role in driving innovation and value in

the marketplace. The entrepreneur is responsible for testing markets,
inventing new markets and uncovering demands within individual markets.
The entrepreneur dynamic is fueled by creativity, competition and the
motivation to succeed within a society

Risk taking:Risk-taking is the most important function of an entrepreneur. He

has to pay to all the other factors of production in advance. There are
chances that he may be rewarded with a handsome profit or he may suffer a
heavy loss. Therefore, the risk-bearing is the final responsibility of an
entrepreneur.

Organizing function of an entrepreneur: This refers to bringing together the

men, material, machine, money, etc. to execute the plans. The entrepreneur
assembles and organizes the above-mentioned different organs of an
enterprise in such a way that these combine start functioning as one, i.e.,
enterprise.

MANAGERIAL FUNCTIONS:

In simple words, management is getting things working with and through

others. Managerial

functions are classified into 5

Planning:

In common parlance, planning is pre-determined course of action to

accomplish the set objectives.

An entrepreneur has to make decisions as to what is to be done, how it is

to be done, when it is to

be done, where it is to be done, by whom it is to be done and so on. The

importance of planning

lies in the fact that it ensures the smooth and effective completion and
running of a business

enterprise.

Organizing: The organizing function of an entrepreneur refers to bringing

together the men, material, machine, money, etc. to execute the plans.
The entrepreneur assembles and organizes the above mentioned different
organs of an enterprise in such a way that these combined start
functioning as one, i.e., enterprise. Thus, organizing function of an
entrepreneur ultimately provides a mechanism for purposive, integrated
 and co-operative action by many people in a joint and organized effort to
implement a business plan.

Staffing:Staffing involves human resource planning and human resource

management. Thus, staffing personnel, sources of manpower recruitment,
their selection, remuneration, training and development and periodic
appraisal of personnel working in the enterprise.

Directing: The directing function of entrepreneur actually starts the setting

up of enterprise. Under the directing function, the entrepreneur guides,
counsels, teaches, stimulates and activates his/ her employees to work
efficiently to accomplish the set objectives. Thus, directing function of
entrepreneur concerns the total manner in which an entrepreneur influences
the actions of his / her employees/ workers. It is the final action of an
entrepreneur in making his / her employees actually act after all preparations
have been completed.

Controlling:

Controlling means to see whether the activities have been performed in

conformity with the plans or not. Thus, controlling is comparison of actual
performance with the target or standard performance and identification of
variation between the two, if any, and taking corrective measures so that the
target is accomplished

CLASSIFICATION/TYPES OF ENTREPRENEURS

Innovative entrepreneur

An innovative entrepreneur is one who introduces new product, new service

or new market.An innovative entrepreneur is also known as modern
entrepreneur. An innovative entrepreneur can work only when a certain level
of development is reached. These entrepreneurs introduce new changes and
develop the business after a certain level of development is reached. They
invent new products. Such kind of entrepreneurs can be seen in developed
countries, as large sum of money can be diverted towards research and
development purposes.

Adaptive entrepreneur
Adaptive entrepreneur is one who adopts the successful innovations of
innovative entrepreneur. These entrepreneurs imitate the techniques and
technologies innovated by others. These entrepreneurs can be seen both in
underdeveloped and developing countries. They also make small changes in
relevance to their market environment.

Fabian entrepreneur

A Fabian entrepreneur is one who responds to changes only when he is very

clear that failure to respond to changes would result in losses. Such
entrepreneurs do not new changes. They also do not desire to adopt new
methods. They are very shy and stick

to old customs. They are very cautious.

Drone entrepreneurs Drone entrepreneurs do not make any changes. They

refuse to utilize the opportunities and may also suffer losses. They are very
conventional. They refuse to introduce changes. They even make losses but
avoid changes. Sometimes they may be pushed out of the market.

B. BASED ON THE TYPE OF BUSINESS

Business Entrepreneurs

Trading Entrepreneurs

Industrial Entrepreneurs

Corporate Entrepreneurs

Agricultural Entrepreneurs

Retail Entrepreneurs

Service Entrepreneurs

Social Entrepreneurs.

Other Types of Entrepreneur

Mompreneur

New name created to describe a multi-tasking mother who can balance

both the stresses of running a home-based business as an entrepreneur,
and the time-consuming duties of motherhood at the same time.

Ecopreneur
Entrepreneur who creates and sells environmentally friendly products and
services including organic food, recycling efforts, or green construction.

Infopreneur

An infopreneur as "a person who gathers, organizes, and disseminates

information as a business venture or as a value-added service."

Founder

The entrepreneur who started a business. If multiple entrepreneurs were

involved in the creation of the company, they are referred to as the
founders. The origin of the word is that a founder originally meant a
person who forges steel; similarly, the founder of a company is forging the
new entity.

Archangel

A well-funded and well-known angel investor with a successful history of

financing

entrepreneurs or startup companies, who may lead a group of other angel

investors in

financing promising business ventures. The term may also refer to a

consultant retained by

a consortium of angel investors to research and evaluate investment

opportunities.

INTRAPRENEUR - AN EMERGING CLASS

The term Intrapreneur was coined by Macrae (1982) and developed by

Gifford Pinchot.

According to Gifford Pinchot, "Intrapreneur(s) are dreamers who do, those

who take handson responsibility for creating innovation of any kind within
an organization".

An intrapreneur thinks like an entrepreneur looking out for opportunities,

which profit the organization.Intrapreneurship is the successful adaptation
of entrepreneurial attitudes and strategies inside of bureaucratic
organization. Process of implementation of start-up practices within a
large organization, producing valued innovation.
IMPORTANCE OF ENTREPRENEURSHIP/ BENEFITS OF
ENTREPRENEURSHIP:
Development of managerial capabilities:

The biggest significance of entrepreneurship lies in the fact that it helps in

identifying and developing managerial capabilities of entrepreneurs. An
entrepreneur studies a problem, identifies its alternatives, compares the
alternatives in terms of cost and benefits implications, and finally chooses
the best alternative.This exercise helps in sharpening the decision-making
skills of an entrepreneur. Besides, these managerial capabilities are used
by entrepreneurs in creating new technologies and products in place of
older technologies and products resulting in higher performance.

Creation of organizations:

Entrepreneurship results into creation of organizations when

entrepreneurs assemble and coordinate physical, human and financial
resources and direct them towards achievement of objectives through
managerial skills.

Improving standards of living:

By creating productive organizations, entrepreneurship helps in making a

wide variety of goods and services available to the society which results
into higher standards of living for the people.Possession of luxury cars,
computers, mobile phones, rapid growth of shopping malls, etc. are
pointers to the rising living standards of people, and all this is due to the
efforts of entrepreneurs.

Means of economic development:

Entrepreneurship involves creation and use of innovative ideas,

maximization of output

from given resources, development of managerial skills, etc., and all these
factors are so

essential for the economic development of a country

Following are the various factors that influence entrepreneurship:

Educational: There is a need to have drastic changes in educational
pattern to make it more relevant to the needs of the time, economic,
social and political environment. More and more young minds should be
trained to create avenues for self-employment. Designing a suitable
programme of entrepreneurial education and introduction of
entrepreneurship,as a subject for study even at the school level to make
the young minds realize the Importance of entrepreneurship are the need
of the hour.

Legal: The law must protect the weak till the time they need it.
Entrepreneurs in small sectors have limited resources and cannot
compete with large-scale manufactures. Reservation of certain items of
products for exclusive production in small sector is one such legal
measure to protect the interests for small-scale entrepreneurs.

Infrastructure: Land and factory sheds at concessional rates, adequate

supply of power, water, coal and other sources of energy, transport
facilities, availability of wagons, supply of raw materials and other
physical facilities should be provided by the Government to facilitate
setting up of new enterprise.

Institutional: Entrepreneurs need advice on the lines of manufacture,

which may be suitable, sources of raw materials, finance and other
facilities like technical know-how, tools and equipment, etc. The
entrepreneurs also need to know about the opportunities and threats to
their business, government policies, developments in international
economic scene, technological changes, etc. Institutions have to be
established to keep the entrepreneurs informed about all these matters of
their interest and also to enable them to present their problems before
the authorities in the government.

Financial: The needs for fixed and working capital should be adequately
needed; if the new enterprises are to serve and grow. The lack of financial
resources deters potential entrepreneurs to start new ventures. The
problems become more acute in the capital short developing countries
where the business and industry how to put up with underdeveloped
capital market. The governments, in these countries should see that the
capital market is developed with newer and innovative capital market
instruments and strong financial institutions.

Procedural: The bureaucratic procedure of government offices, industries

departments and financial institutions is a great hindrance to the growth
of new enterprises. The entrepreneurs have to run to different jobs; and
complete a number of offices in government for different jobs; and
complete a number of formalities prescribe) by several laws, rules and
regulations. It would

be better for the potential and existing entrepreneur, if the number of

procedural and legal restrictions of the entrepreneurs is reduced and an
administrative mechanism is developed to look after all the needs and
requirement the entrepreneurs.

Communicational:

The information gap pushes many entrepreneurial ventures towards

extinction. Unless an entrepreneur known about the market potentials,
competition in the market, technological and other developments, the
entrepreneurs is not likely to succeed in

the venture. The government departments, organizations of

entrepreneurs, financial institutions and business consultants have a role
to play in this regard. It is very important for an entrepreneur to succeed.

Information technology and communication:

Modern technology such as Information Technology has entered every

walk of human life. Faster mode of communication through

email, networking, web technologies have revolutionized the industrial

scene with the fast

and up to date information at different levels of management, the

management processes

also have gone considerable changes in decision making and

implementation.

Rapid Changes: IT and communication revolution, the networking within

the industry and

outside the industry has increased many fold. The exchange of

information and availability

of resources is bringing changes in the industry faster than ever before in

the history.

Large size: There is considerable increase in automation and introduction

of computerized
 Production and process controls in industries. The demand for the goods
and the

geographical reach is bringing large size industries as well as services.

The size gets

advantage of economies of scale in manufacturing marketing.

R&D Technology: Companies today are investing lots of money in R&D

activities to

develop new products and new processes to compete in the global

market.

SOCIAL ENTREPRENEURSHIP

Social entrepreneurs bring about transformative changes in society and

economy by filling gaps and addressing unmet needs. They improve
productivity and create value and wealth. social entrepreneurship are the
activities and processes undertaken to discover, define, and exploit
opportunities to enhance social wealth by creating new ventures or
managing existing organizations in an innovative manner. Social
enterprises keep social concerns in priority alongside organisations own
sustainability. Both works

in tandem as sustainable organisations can empower the entrepreneur

sustain outreach to areas of social concern and appreciation of social
benefit attracts funding for the cause. Hence, capital accumulation is
meant essentially for self reliance and ensures long term support for
intended beneficiaries.

Features of Social Entrepreneurs

Social entrepreneurs are change agents in the social sector.

Social entrepreneurs pursue social value in addition to the private value.

They identify new opportunities to explore possibilities of service for the

society and planet.

They pursue innovation to find solutions to existing unsolved social

problems.

They adapt their capability models and organizational structures to respond

to the social challenges.
They are open to new insights in their endeavor for new solutions and fulfill
their vision.

Social entrepreneurs also exhibit a heightened sense of accountability to the

intended audience of their services and solutions.

Some Examples of Social Entrepreneurs

Goonj is an example of a social enterprise which was founded in 1999 by

Anshu Gupta. Goonj is engaged in disaster relief, humanitarian aid and

community development in India. Goonj leverages unaddressed need of

clothing for its targeted beneficiaries. Goonj collaborates with partners

and

communities to build facilitating infrastructure in the villages in the form

of

wells, clean ponds, road repair, schools etc. In 2004, Goonj found the
need

for addressing hygiene concerns of women in villages and slums who

cannot

afford costly branded sanitary napkins. They rolled out affordable and
fully

biodegradable cloth pads, MyPads, for women in villages and slums. Mr.

Anshu Gupta, was bestowed India's Social Entrepreneur of the Year 2012
by

Schwab Foundation and awarded the Ramon Magsaysay Award in 2015. It

undertakes social innovation and non-profit entrepreneurial orientation at

the

organizational level to explore opportunities to create social wealth.

Similarly, Husk Power Systems is a startup located in Bihar which services

rural population in Bihar with electricity with the use of proprietary

technology. They use biomass gasifier which uses rice husk, a waste from

chaff of the rice, to generate energy. He realises that lot of husk has been
coming out as waste during rice processing in Bihar

ECOPRENEURSHIP

Ecopreneurship means entrepreneurial processes where entrepreneur

ventures into producing goods and services which focus on environmental
benefits like recyclable products to depletion of natural resources, greener
products which save energy consumption, services that care for pollution,
animal life, trees, flora and fauna and so on.These entrepreneurs set up
businesses that solve environmental problems or operate sustainably.
Schuyler, Gwen (1998) defines ecopreneurs as “entrepreneurs whose
business efforts are not only driven by profit, but also by a concern for the
environment.”It is also known as environmental entrepreneurship and
eco-capitalism. It is becoming more widespread as a new market-based
approach to identifying opportunities for improving environmental quality
and capitalizing upon them in the private sector for profit. There is
growing trend globally towards society and state wanting goods and
services producers to be more responsible towards ecological challenges.
In many states in India there is ban on use of plastic bags and
encouragement for use of ecofriendly products and adoption of
environment friendly processes. Hence, there is a growing market
segment which creates opportunities for commercial entities to sustain
economically as well as address ecological concerns.

Factors Driving Ecopreneurship

There are several other factors driving such ventures.

x With the growing population and depletion of resources, there is a

growing realization to address this scarcity issue. Like water scarcity is

well known concern globally including India. It is going to be more

severe in times to come.

x Another factor is climate change and its impact on lives and livelihood

on the planet.

Examples of Ecopreneurship
An eco-friendly project in Assam uses bamboo for producing water
bottles.

There is also a entrepreneurial project to package natural spring water

beverage packaged in recyclable aluminum cans. Spektron Solar Private

Limited, a company that conducts development and training programmes

for

small-scale solar entrepreneurs. Spektron Solar is a capacity building set

up

by a young entrepreneur in the areas of solar energy offering services to

capacitate stakeholders in different areas of installation and use. He found

this opportunity after he realized competency challenge in this sector and

government push for solar energy. He helps entrepreneurs set up these

projects. Another example is of an ecopreneur who started iKheti in 2011

based in Mumbai to empower people to carry out sustainable farming in

cities. The firm promotes farming in cities and offers services and
resources.

CULTURAL ENTREPRENEURSHIP

Cultural Entrepreneurs are visionaries who mobilise cultural and other

production factors to structure a business model which sustains through
revenues from a cultural activity. Aageson (2008) defines cultural
entrepreneurs as risk takers, agents of change, and creative thinkers who
receive income from durable and creative cultural activities and
organizations, improve the quality of life, and create cultural values for
both creative manufacturers and consumers of cultural products and
services. Their innovative services and products create a value
proposition for market segments who appreciate such offers. It is about
creation of any product or service that primarily targets tastes of its
targeted segments. As a result, these organizations can sustain if the size
of such segments is sufficient and growing. The development of cultural
entrepreneurship facilitates in the creation of economically sustainable
cultural enterprises that enhance livelihoods and create cultural value and
 wealth for both creative producers and consumers of cultural services and
products.

Features of Cultural Entrepreneurship

Cultural Entrepreneurship is an outcome based of entrepreneurial journey of

people who prioritise cultural values alongside ambitions for
entrepreneurship. Culture is defined as “the enduring set of values of a
nation, a region, or an organization” and entrepreneurship as “the act and
process by which societies, regions, organizations, or individuals identify and
pursue opportunities to create wealth”. Hence, this combination drives
cultural entrepreneurship. It is an outcome of individual values shaped by
geographic and cultural

factors. It could be event managing firm who promote a certain type of

culture, art etc., or innovate through a cultural change process foraudience
who appreciate change. Examples of cultural entrepreneurship are
entrepreneurs who sustain enterprise with revenues sought directly or
indirectly from specialized services like entertainment events about cultural
aspects, exhibitions, festivals, shows, events etc.

Apart from usual risks of entrepreneurship, one of the risks for cultural
entrepreneurs is change of individual taste and appreciation because taste
and appreciation is the driver for sustainability of such ventures. We have
several successful movie producers flop over time as they could not adapt
with changing audience taste. Same audience earlier liked their services.

TECHNO ENTREPRENEURSHIP

Techno-entrepreneurs use technologies as core of their business model

and capture economic value by offering better solutions for existing
problems or solutions for unresolved problems. It requires identification of
opportunities, capabilities, mobilization of resources and engagement with
right market segment through right channels to capture value. Since
technology advances is happening at a rapid pace and many technologies
keep disrupting, the biggest challenge for techno entrepreneurs is dealing
with this uncertainty. Hence techno entrepreneurs should be able to
anticipate changes and have the agility to respond in time.

Features of Techno Entrepreneurship

 For key activities and resource, in most cases technology enterprise,
entrepreneurs need the networks and partnerships to complete the
requisite capabilities to stay competitive in highly competitive technology
solutions. The competition in this market is intense as majority of the
today’s start ups are engaged in technology supported

ventures. Need of collaborations, partnerships etc., also arises because

many technology solutions have dependencies or require complementary

support to capture value.

Technology entrepreneurs ideate, develop a plan and execute it which could

be in stages from incubation, proof of concept to commercial rollout of
product or service. They need to demonstrate the utility and market viability
of their solution to instill confidence of their partners, collaborators and
above all their investors.

Standardisation of new technologies is an important milestone and trials

during this period keep happening with regard to design, processes, product
etc., till final standards are agreed by various stakeholders of that technology
domain including regulators.

Since R &D and innovation plays a key role in technology entrepreneurship,

Intellectual property rights is another important ingredient of technology
ventures. Patent holders need assurance of value capture for their efforts
and suitable patent regime to ensure protection from any infringement. Also,
process of filing to award of patent is a complex process and timelines vary
across states. Novelty brings alongside uncertainty and the subjective
creative characteristics of the opportunity recognition process. The sufficient
awareness and Knowledge of technology trends, regulations, consumer
trends and agile innovative organization management are critical factors for
the success of the techno entrepreneurship. In many sectors, techno-
entrepreneurs

sustain through partnerships like carrying out R&D and innovation only
while commercial production and marketing may be taken care of by the
larger partners. This is a common phenomenon in Pharma sector.

Another challenge is retentions of key technology experts who can create

a situation of vulnerability some times as competitors influence these

resources and hurt viability prospectus of the firm. This may be because
the technology anchors the entire value creation and domain experts are

the fuel of that technological edge or solution.

About the market, techno-entrepreneurs must calibrate technological

opportunities with market opportunities regularly across its journey. It is
required to have relevant applications, services and products which
enable value capture. These entrepreneurs many times need to figure out
which technological options and applications to pursue without having
much reliable information to gauge projections about market and
technology itself.

Support to Techno Entrepreneurship

There are various state instruments in terms of policy, facilitation and

encouragement to take up techno entrepreneurship in India. There is
technology incubation hubs like T- hub in Hyderabad which has incubated
more than hundred potential techno entrepreneurs working with variety of
technologies like block chain, AI, additive manufacturing and so on. Here,
ambitious entrepreneurs are supported with guidance, network
opportunities, investor meets, training and several other facilities besides
affordable hosting. Similarly, there are special technology parks to
encourage techno ventures and start up venture funding facilities from
government. Another positive factor is large technical talent pool in India
and growing startup culture in cities like Bengaluru, Gurugram, and
Hyderabad etc. Among the entrepreneurs, techno-entrepreneurs are
going to a dominant share among

new entrants alongside technology advancements in times to come.

HERITAGE AND TOURISM ENTREPRENEURSHIP

Entrepreneurs can explore economic and social opportunities through

heritage tourism ventures. It can facilitate overall development by getting
attention of state government and investors on things and places which
otherwise may not be getting desirable attention. The importance and
attention of heritage tourism is going to increase more in coming years. It

includes business models which position heritage tourism services in the

form of travel experience which is valued by the target customers and
stakeholders. Example include tours related sites of archaeology
architecture, art, religious places, historic tours, museums, military
history,
music festivals, opera, pilgrimages etc.

Since states are also interested to promote development of

underdeveloped areas, any opportunity of exploring heritage tourism in
such areas could help address the issue. The heritage tourism services to
such areas are going to create an economic growth and development
ecosystem around such services. Once tourist flow starts, other
complementary services start appearing like

transportation services, hospitality services, healthcare, infrastructure,

maintenance, etc. Hence, such entrepreneurial efforts can be multipliers
as it opens many more opportunities for new ventures which complement
each other. Some countries like Mali, Mauritius, Switzerland and many
other countries rely a lot on international tourists for state revenues. The
tourists coming to visit places spend moEntrepreneur other than at
heritage tourist spots during their journey cycle. This boosts national
income and overall development.

Role of Entrepreneurship in Economic Development

Enrich Your Entrepreneurial Career through Emeritus

The role of entrepreneurship in economic development is substantial.

After all, entrepreneurs don’t just build businesses and grow their
personal wealth; they also impact the economy by creating new jobs and
opportunities, driving innovation, and developing new markets, products,
and services. This article gives you a complete overview of the role of
entrepreneurship in a country’s economic development.

1. Raises Standard of Living

A significant role of entrepreneurship in economic development is that it

can greatly enhance the standard of living for individuals and
communities by setting up industries and creating wealth and new
positions. Entrepreneurship not only provides large-scale employment and
ways to generate income, it also has the potential to improve the quality
of individual life by developing products and services that are affordable,
safe to use, and add value to their lives. Entrepreneurship also introduces
new products and services that remove the scarcity of essential
commodities.
2. Economic Independence

Entrepreneurship can be a path to economic independence for both the

country and the entrepreneur. It reduces the nation’s dependence on
imported goods and services and promotes self-reliance. The
manufactured goods and services can also be exported to foreign
markets, leading to expansion, self-reliance, currency inflow, and
economic independence. Similarly, entrepreneurs get complete control
over their financial future. Through their hard work and innovation, they
generate income and create wealth, allowing them to achieve economic
independence and financial security.

3. Benefits of New Firms and Businesses

Entrepreneurs identify market needs and develop solutions through their

products and services to begin their business venture. By starting new
firms and businesses, entrepreneurs play a key role in shaping the
economy and creating a more dynamic and diverse business landscape.
Entrepreneurship also promotes innovation and competition, leading to
new and improved products and services that contribute to economic
growth and development.

4. Creation of Jobs

Entrepreneurship is a pivotal driver of job creation. Running the

operations of new businesses and meeting the requirements of customers
results in new work opportunities. Entrepreneurship also drives innovation
and competition that encourages other entrepreneurs and investments,
creating new jobs in a wide range of industries, from manufacturing and
construction to service and technology sectors.

5. Encourages Capital Formation

Capital formation is the process of accumulating resources, such as

savings and investments, to fund new business ventures and support
economic growth. Entrepreneurship can encourage capital formation by
attracting investment. In addition, the creation of new businesses and the
growth of existing firms can also contribute to the development of a more
diverse and dynamic economy that encourages capital formation and
opens the door to a wide range of investment opportunities.

6. Elimination of Poverty

Entrepreneurship has the potential to lift people out of poverty by

generating employment and stimulating economic activity.
Entrepreneurship also contributes to the development of local economies
and helps improve the overall standard of living.

7. Community Development

Entrepreneurship promotes economic growth, provides access to goods

and services, and improves the overall standard of living. Many
entrepreneurs also make a positive impact on their communities and
improve their well-being by catering to underserved areas and developing
environment-friendly products. Their work can help build stronger, more
vibrant communities and promote social and economic development.

8. Optimal Use of Resources

Entrepreneurship can help identify market opportunities and allocate

resources in the most effective way possible. Entrepreneurs also play a
key role in developing innovative products and services that meet the
needs of customers while optimizing the use of available resources.

9. Increases Gross National Product and Per Capita Income

Entrepreneurship can play a significant role in increasing economic growth

and prosperity by increasing Gross National Product (GNP) and Per Capita
Income (PCI). GNP measures the total economic output of a country while
PCI calculates the average income per person. The increase in GNP can
lead to a rise in PCI. Entrepreneurship can contribute to GNP by creating
new businesses and industries, which can lead to job creation, increased
consumer spending, and higher tax revenue.
Key Trends in Entrepreneurship

1. Digital Nomadism

Digital nomadism is the process of working remotely via communication

and information tech. Digital nomads aren’t tied down to a singular
location. This allows them to work anywhere, including different states or
countries. Digital nomadism can offer entrepreneurs enhanced freedom
and flexibility, with more time to travel.

2. Niche Markets

Niche markets are hyperfocused on specific and customizable customer

interest. Entrepreneurs can use tech to connect with specific audiences
with more efficiency. They can also provide diversity in application. This
diversity could be tied to a specific concept, such as fashion, food, or
accessories, or to specific consumer types, such as LGBTQ+, vegans, and
eco-conscious customers. Niche markets can also allow entrepreneurs to
potentially tap into a market on a deeper level than traditional mass
markets.

3. Subscription-Based Businesses and Services

Subscription-based businesses and services provide consumers with

scheduled deliveries of a diverse range of products or services, such as
cosmetics or alcohol. This innovation can allow consumers to customize
service. In addition to tangible items, subscription-based services can be
the actual delivery method of service, such as a streaming service. This
model can offer customers predictability, and it can allow entrepreneurs
to scale efficiently and build customer relationships organically.

4. Disruptive Technologies

Disruptive technologies offer a unique version of a traditional product or

service. Examples include e-commerce, online news sites, and ride-hailing
apps. Disruptive technologies improve on traditional products or services,
and they also provide an opportunity to connect with otherwise
overlooked customer groups and segments.
5. Mobile Commerce

Mobile commerce uses tech to create shopping opportunities via

smartphone apps or websites. It enables entrepreneurs to tap into an
increasingly relevant—and lucrative— market. In 2021, mobile commerce
generated more than $360 billion in sales, and it’s projected to reach
$710.42 billion by 2025.

6. The Gig Economy

The gig economy is a term describing flexible, temporary, or freelance

roles. It can integrate tech from other trends, such as digital nomadism.
The gig economy has increased opportunities for potential gig workers
through a variety of services, including ride-hailing services, performing
household tasks, running errands, and restaurant or store delivery
services.