Types of entrepreneurship | What is it?
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- Wednesday, 28 Apr, 2021
In simple words, Entrepreneurship refers to setting up a business. However, according to the entrepreneur handbook, it is more about creating a business while scaling it up to profit side by side by facing the challenges of the corporate world. Recently, this definition of entrepreneurship is obsolete. Now, it is much more than just a business. Entrepreneurship means bringing about change in society or addressing a real-life problem and get a solution to it. Here we shall learn more about entrepreneurship, especially the types of entrepreneurship.
The global business market is bursting with the ever-increasing trend of entrepreneurship, which comprises 582 million entrepreneurs worldwide. Even though 22.5% of the businesses fail in the first year, the trend is rising. Moreover, entrepreneurship is contributing a big chunk to the country's economy. By now, there have been approximately 750 start-ups since 2010, with most of them being still active. Moreover, the stats indicate that the businesses set up by middle-aged men are the most successful, or maybe the success of the start-up depends upon the types of entrepreneurship.
Due to such a significant share of the economy, various online education websites are now offering to learn entrepreneurship, such as EdX. EdX being a perfect platform for distance learning, provides various entrepreneurship courses from top business schools such as Harvard and MIT.
We have defined the term entrepreneurship. However, we are yet to determine the qualities of an entrepreneur. Let's see here what it takes to be an entrepreneur. Does it change with the types of entrepreneurship?
Who is an entrepreneur?
An entrepreneur is much more than a businessman because an entrepreneur is more of an innovator, a source of new ideas, services, and goods. He is the person who bears the most risks as well as bounties. Furthermore, an entrepreneur must know to deal with the issues on the way to success. The roles that an entrepreneur needs to play are as follows.
- Unique ideas generation for the business. It requires one to have a problem-solving approach.
- An entrepreneur is a one-man army who needs to have expertise in all the areas like finance, administration, accounting, and marketing.
- Talent recruitment with an approach to instill new required skills for developing, testing, supporting, implementing, and maintaining the company's products.
- Strategy design for product launch, building customer relationships, and customer loyalty.
- Lastly and most importantly, whatever the types of entrepreneurship we are talking about, you always need to brainstorm new ideas to generate revenue.
The main obstacles for an entrepreneur on its journey towards success include the following.
- Overcoming bureaucracy
- Talent hiring
- Finding a sponsor or finance obtaining
Types of entrepreneurship
When someone wants to be their boss and wants to work for himself, he must choose his stream of success. There are the following options for an entrepreneur to choose from.
- Small business
A small business means setting up a company, restaurant, or store, or it may be a services venture with no intention to grow it to a nationwide chain in the near future. An entrepreneur can only make money if the start-up succeeds in getting off the ground. Often, entrepreneurs have to invest their own money in this cause.
- Scalable start-up
This type of entrepreneurship is gaining more importance with time due to the current setup of various incubation centers nationwide. Such kind of business takes its journey from just an idea. This idea is nurtured in incubation centers, and it ventures on its journey with the help of investors.
- Large company
It is not very unlikely of an entrepreneur to work for a large-scale company such as manufacturing. If one sees a market gap for a product and sets up a manufacturing unit for the product, it is the best example of large company entrepreneurship.
- Social entrepreneurship
Social entrepreneurship is more about enacting a positive change in society utilizing social platforms. Such initiatives are more about addressing a social issue, providing a solution to a particular problem, or spreading awareness and positivity.