Entrepreneurship is the activity of knowing the ways to start a business and is willing to take the risk to start and run a business. It plays a major role in the economic development of the society. Entrepreneurs are the one who creates a business not only to fulfill their dreams but also to improve the standards of people. To become a successful entrepreneur, one has to possess a sound knowledge of entrepreneurship.
In this article, I would let you know what are the qualities required to become a successful entrepreneur, the important functions of an entrepreneur and how an entrepreneur can improve the standards of the economy.
First of all, let me start with the top 7 traits that an entrepreneur should possess to become a good and successful entrepreneur.
7 Entrepreneur Traits
When a person possesses all these skills, he can definitely become a better entrepreneur.
1. Fearless
First and foremost quality is, one should be fearless in starting up an own business because when it doesn’t work out, great loss occur and one has to be ready to face that loss.
So when one is fearless, he can start a business of any and should possess the positive attitude that “One should learn from their mistakes and failures”.
2. Decision Making
Decision-making skills involve in choosing
- What type of business should be started?
- How to choose a partnership?
- How to get funds?
When all these requirements are met, then a person is said to have good decision-making skills.
3. Self Belief
You need to believe in yourself when starting an own business. You should never be deviated by the ones who threaten you and degrade you that you can never do it.
Be away from those people who underestimate your talent and stay close to the ones who encourage you and supports you to become a successful entrepreneur.
4. Passionate
Passion drives to achieve anything in this world. You should be very passionate in choosing what type of business you want to start and what the ways to build up a very good business are.
Get self-motivated and be very passionate to become a great entrepreneur.
5. Be prepared financially
You need to be financially prepared before starting a business. You need to come out of the illusion that only rich people can start a business.
You need to find several ways to get funds or income by doing other business which will help you do simple payments.
So, you can start a business with no investments just by getting funds from well-developed organizations.
6. Flexible
You should never feel worried about the loss of your business and be flexible to know how to get back to your business. Understand the new technologies and develop your business according to the customer’s requirement.
This quality when developed will lead you to become a successful entrepreneur.
7. Balanced Nature
Last but not the least, you need to be balanced to become a good entrepreneur.
You should not overreact when you get a profit and in the same way, you should not get depressed when you face a loss. Your reaction should be the same for both situations and find a way to come of loss in case of loss and think to get more profits in case of profit.
These are the top and foremost qualities to be possessed by an entrepreneur to become a leading entrepreneur.
After one has acquired all these qualities, what will be the functions of an entrepreneur? Let me explain in detail the most essential functions of an entrepreneur.
Functions of an Entrepreneur
In this article, I will let you know about the top 3 essential functions of an entrepreneur.
1. Organizational Function
The very first function of an entrepreneur is to know about the organization. These involve
- Land
- Labor
- Capital
- Product
He has to know the basic rule of how efficiently to use land, labor, and capital to convert them into a good product.
After finishing the product and selling it in the market, he has to know the best way to use the money obtained from selling the product. He has to use that money to pay wages, rent for the land and interest for the capital. Apart from those, he has to know the profit obtained.
In this way, when all these are correctly maintained, the organizational function of an entrepreneur is met and he can become a great entrepreneur.
2. Managerial Function
A very good entrepreneur should be good at determining business objectives, policies etc. He should have major managerial functions like
- Planning
- Organizing
- Coordinating
- Motivating
- Controlling
He should be very good at planning a particular project, organize a good team and coordinate them with proper rules and regulations. He should be a good motivator in encouraging their employees to perform efficiently. He should also be able to control them when they are not disciplined and make them work as “Unity is Strength”.
In this way, he has to possess good management skills to lead a disciplined and well-organized business.
3. Innovative Functions
Innovation is the primary function of an entrepreneur. He should have the ability to innovate new products and services. He should also be able to develop products according to the demands of the consumers.
When a new product is available in the market, people show interest and buy them and it makes a lot of profit to the business company that developed that product.
In this way, uniqueness in the product attracts a number of customers and the innovative talent of the entrepreneur helps a lot in creating unique products.
So, these are the most essential functions of an entrepreneur in my view and when possessed these functions, one can become a leading and successful entrepreneur.
Economic Development through Entrepreneurship
There are many ways through which an entrepreneur helps in the economic development of a society.
In this article, I will let you know about the top 5 ways that an entrepreneur will help in the economic development.
1. Improves Standards of living
This is the most important feature of an entrepreneur. Entrepreneurs help in the improvement of standards of living of people by developing new products and selling them at lower prices.
Any group of people can buy the products which lead to the development of an individual which in turn leads to the development of the nation.
2. Provides Employment Opportunities
Unemployment is the huge problem in this society and an entrepreneur is the one who eradicates this problem. When an entrepreneur starts a business, he provides employment on large scale.
When the business grows very well, he can create employment for many more people. In this way, it leads to the development of the standards of the society.
3. Promotes Regional Development
There are many backward areas in our society. So when an entrepreneur starts his business in the backward areas and provides employment opportunities, it leads to the development of those areas.
Roads, hospitals, education, and entertainment are the benefits which occur in those areas because of the development of entrepreneurship.
4. Promotion of Country’s Export Trade
Products can be exported to other countries from our country when a good entrepreneurship prevails in the society. Goods can be developed in large scale to export to other countries to make large profits.
There can be healthy relations between countries which will lead to the economic development of the society.
5. Overall Development
Entrepreneurs lead to the overall development of the society through industrialization. They act as a medium for improving the standards of people.
So entrepreneurship plays a major role in the economic development of the individual which finally leads to the growth of the economic standards of the society.
Final word
I hope this article has helped you in knowing what exactly is entrepreneurship is? How it helped in improving the standards of the economy?
Let me know it by liking it and sharing it with your family and friends. Feel free to drop a comment if you have any doubts or any suggestions. Critics also welcome.
Have a good day all !!