Entrepreneur Meaning, Definition, Entrepreneur Characteristics:
Entrepreneur Meaning and Definition:
When it comes to the term Entrepreneur, there are lots of definition available on internet and textbook. But this is not a management examination where you have to write an authentic definition of “entrepreneur” otherwise you will not score good marks. Our intention is to understand what does it mean by the term entrepreneur?
Therefore let us understand the meaning of an entrepreneur. An Entrepreneur is a person who has the mindset to earn money or earn a profit at any cost whether by trading anything or selling something or the other or provide some services or helping human being or inventing some technologies or by selling poison or anything else. Entrepreneurs want to earn profit only by business, not by regular jobs.
I think we should also understand “Entrepreneur Meaning” or definition of the entrepreneur by the great economist.
- According to Peter F. Drucker, Entrepreneur Meaning is any person who always searches for change, respond to it and exploits it as an opportunity. Innovation is the specific tool of entrepreneurs, the means by which they exploit change as an opportunity for a different business or services.
Types of Entrepreneurs:-
The type of entrepreneurs depend upon the type of businesses they perform, some of them are given below.
- According to the Type of Business:
- Business Entrepreneurs
- Trading Entrepreneurs
- Industrial Entrepreneurs
- Corporate Entrepreneurs
- Agriculture Entrepreneurs
- According to the Use of Technology:
- Technical Entrepreneurs
- Non-technical Entrepreneurs
- Professional Entrepreneurs
- According to Motivation:
- Pure Entrepreneurs
- Induced Entrepreneurs
- Motivated Entrepreneurs
- Spontaneous Entrepreneurs
- According to the Stages of Development:
- First-Generation Entrepreneurs
- Modern Entrepreneurs
- Classical Entrepreneurs
- According to Gender:
- Men Entrepreneurs
- Women Entrepreneurs
- Innovating Entrepreneurs
- Initiative Entrepreneurs
What skills are needed to be an entrepreneur? There are many skills that required to become a successful entrepreneur but some skills in human development by the experience of years, but there are few skills that are must for every entrepreneur.
Before starting any business one must check these skills into themselves because whenever you start any organisation or business there are some challenges which you will have to definitely face some or the other day. Therefore for coming out of those circumstances, you must have the following skills
Any person who wants to start his own enterprise generally worked in a top position in a big organisation. But some people whose childhood is suffered may also want to start their own business.
Do you ever think about why they want to start his own business? What is the reason behind this great thought to become an entrepreneur? Is is the Self-Motivation which drive them to set up his own company. You would be thinking, from where this motivation comes into their mind. Firstly money is the great motivator when they get emolument for the same work which they performed for the company as an employee.
This motivates them to start their own business. On the other hand, whose life passed unhappy experiences before they determined to set up a big empire, but in case of this, they get motivated from something unhealthy experiences. Therefore motivation plays a very important role in starting a business.
2) Self Confidence:
Self-confidence is key to start any business or enterprise. One who is not confident in themselves can not start any business because there are so many negative people in the society who will demotivate you before starting your set up. You must confident in yourself that the business idea which is in your mind will be definitely beneficial for the people as well as for the company and society. But one thing you must have in your mind don’t be overconfident do a proper market survey and then launch your company.
3) Ethics and Morals:
When it comes to Ethics and Moral, it is the most important thing which is required in any entrepreneur because no business can be operated in long-term without founder ethics and moral. Some people do business only for earning money, they don’t care whether his product will be beneficial for society or not. But there are some people who start a business to help the people and to solve their day to day problems.
The concept of Problem Solving Product emerged from this type of mindset of the entrepreneur. Nowadays there are so many examples of the success of this type of mindset. The success of Amazon, Uber, Snapdeal, PayPal, Paytm, Ola, Zomato, Flipkart etc shows the intention of its great founders. Thus we understood the importance of Ethics and moral in any emerging entrepreneur.
4) Time Management:
Each and every second is important one must keep in mind who want to set up an enterprise. An entrepreneur must be expert in managing his whole day, he must plan every minute according to the preference of work and must follow that schedule.
Knowledge related to business, meeting with valuable distributors, find the new way to market the company’s product, meet and motivate employee are some example of essential work for the entrepreneur. He must plan everything in the proper manner to utilize his time maximum.
5) Ability to convert an Idea into Reality:
There is a lot of difference between the idea which is in your mind and real market circumstances no matter how great your idea is? It takes a lot of hard work and dedication to implement your idea into the real market.
It is the entrepreneur’s job to evaluate market juice and analyse properly to turn ideas into reality. Once it is completed the role of sales comes into the picture and without sales everything is waste. An entrepreneur has to decide the type of sale and price of product and territory of operation where sales can be easily generated.
6) Financial Planning:
Finance is the soul of any business enterprise no matter whether it is a small organisation or very large organisation. Therefore being an entrepreneur one must know how to arrange money? How to utilize limited resources to generate profit. Keep watching each and every transaction happen into your business.
Also, keep an eye on useless expenses which can lead to the financial crisis. So financial planning is must to establish a successful business.
7) Communication Skills:
There are three types of communication skill which every entrepreneur must have named Writing Skills, Speaking Skills and Listening Skills.
8) Problem Solving Skills:
Whenever you start any business one should keep in mind that problem ill follow you from day one. Most of the entrepreneurs don’t take the strict decision and his assumption goes wrong that can harm their company.
Therefore every entrepreneur must practice the Problem Solving Technique which never comes in a single day. Do an urgent meeting with his employee, do the proper survey about why the problem is raised? collect suggestion from the field staff, are some basic tips to resolve the problem.
The following characteristics are required to have to be a successful entrepreneur.
- Burning desire to achieve their highest goal.
- Always ready to take Risk.
- Entrepreneurs are self-confident and always ready to fight in any circumstances.
- Positive Self-Concept
- Ability to take advantages from opportunities.
- Hope of success
- The analytical ability of the mind
- Sense of efficacy
- Openness to feedback and learning from experience
- Confronting Uncertainty
- Interpersonal skill
- Need to influence others
- Stress taker
- Time orientation
- Ability to mobilize resources
- Business planning and leadership quality
Role of Entrepreneurs:
Role of Entrepreneurs is very crucial in each and every department of the society as well as the country. In fact, we can say entrepreneurs drive a country when it comes to development and employment.
Entrepreneurs are the really the initiator who grab opportunities first, invest his own money, develop new technology to help people. Even before the government of a country, an entrepreneur initiates to help by starting a new project.
Always ready to make the investment and dedicate his workforce to generate something new, something creative that helps people and ultimately for the nation in the form of revenue.
He also plays an important role as a coordinator. He is the only person who takes overall responsibility for any new project and development.
Social Worker & Leader:
It should not a big talk if we say an entrepreneur a social worker of a leader because without a leadership quality and social mindset nobody can become a great businessman. He has the inbuilt quality of these two personalities that’s why they always give priority to research and development and think about the need of the human being.
Entrepreneurial activities encompass all sectors and foster a sport of enterprise for the welfare of mankind.
Small business, bring crowned with innovation bring more profit and create jobs.
He contributes to the development of the country by way of providing employment and building of the nation’s economy, results in raising the standard of living of people.
Thus we understood the importance of entrepreneur, entrepreneur meaning and contribution of an entrepreneur into the economic development of a country.