Characteristics of Entrepreneur in Business and Socio-Economic Development

Characteristics of Entrepreneur in Business and Socio-Economic Development

“The most important thing is getting off your back by doing something. It’s that easy. Many people have thoughts; however, there are a few that decide to take action to implement them today. It’s not tomorrow. Not next week. But today. True entrepreneurs are action-oriented people, not a skeptic.” Nolan Bushnell, founder of Atari and Chuck E. Cheese’s
Entrepreneurship is about. You must have a fire in your belly to become a successful entrepreneur and the determination to see your business plans turn into reality and success. In the words of Peter Drucker, entrepreneurship is “a systematic innovation that involves a deliberate and planned search for new opportunities as well as the systematic study of possibilities that these changes could provide to social and economic development.” It’s the ability to create something valuable and practical out of nothing. If you look at it from a larger perspective, the definition of entrepreneurship is a capacity to look for challenging opportunities, make moderate risks, and reap results in the process of establishing a successful business.

There are many tasks that are associated with the entrepreneur’s quality. Most of them are designed to help with socio-economic growth. Here are the most critical functions of an Entrepreneur.

Entrepreneur as Risk-Taker.

Based on Richard Cantillon, entrepreneurship is all about having the capacity and ability to accept risks while taking measured steps to earn profits or lose. According to his definition, an entrepreneur needs to be risk-averse as well as forward-looking and observant, even if they are not in a true sense. The work of an entrepreneur is based on two kinds of risks: measured risk and those not. A successful entrepreneur is one with the ability to anticipate and take on the unmeasured risks within his company and then transform these risks into business opportunities for expansion and profits.

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Entrepreneur as Innovator.

Entrepreneurship plays an essential function in assimilating knowledge that isn’t in widespread use and establishing new ways and methods of production in order to develop production, manufacture, and market new and exciting products. Joseph Schumpeter pointed out here that innovation doesn’t require that it be a new discovery. Entrepreneurship’s strength is in the use of already existing knowledge that has not been employed before in production. In addition to becoming an innovator, an entrepreneur has to be able to transform inventions into profitable commercialization.

Entrepreneur as a leader.

It is one of the primary responsibilities of the entrepreneur. In the words of Alfred Marshall, an entrepreneur “must be naturally a leader, able to select their assistants with care, but also maintain a total control over everything, and ensure order and harmony within the overall plan in business.” He must be looking for new methods and strategies which are most efficient with regard to the current costs being used. He must possess the ability to lead both the workforce and the business to a more sustainable economic and social situation from a more comprehensive view.

Entrepreneur as Restorer or Perceiver.

John Bates Clark views entrepreneurship as the method that maintains coordination and aids in returning the economy’s socio-economic system to a state of being in equilibrium. Through a complete “discovery process,” entrepreneurs discover new profitable opportunities and risks, which in turn push the market to balance. The key to success in entrepreneurship is being aware of the lucrative business opportunities. For this, the ability to perceive is an essential characteristic of an entrepreneur who is successful.

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