Role of Entrepreneurship in Economic Development - 1047 Words

Role of Entrepreneurship in Economic Development Entrepreneurship: Entrepreneurship is the attempt to create value through recognition of business opportunity, the management of risk taking appropriate to the opportunity and through the communicative and management skills to mobilize human financial and material resources necessary to bring a project to fruition. According to A. H. Cole, Entrepreneurship is activity of an individual, undertaken to initiate, maintain or aggrandize profit by production or distribution of economic goods and services. According to Schumpeter, Entrepreneurship is based on purposeful and systemic innovation. It included not only the independent businessman but also company directors and managers who†¦show more content†¦Balanced Regional Development: The growth of Industry and business leads to a lot of Public benefits like transport facilities, health, education, entertainment etc. When the industries are concentrated in selected cities, development gets limited to these cities. A rapid development, when the new entrepreneurs grow at a faster rate, in view of increasing competition in and around cities, they are forced to set up their enterprises in the smaller towns away from big cities. This helps in the development of backward regions. Dispersal Economic Power: Industrial development normally may lease to concentration of economic powers in a few hands. This concentration of power in a few hands has its own evils in the form of monopolies. Developing a large number of entrepreneurs helps in dispersing the economic power amongst the population. Thus it helps in the harmful effects of monopoly. Better Standards of Living: Entrepreneurs play a vital role in achieving a higher rate of economic growth. Entrepreneurs are able to produce goods at lower cost and supply quality goods at lower price to the community according to their requirements. When the price of the commodities decreases the consumers get the power to buy more goods for their satisfaction. In this way they can increase the standard of living of the people. Creating Innovation: An entrepreneur is a person who always looks for changes. Apart from combining the factors of production, he alsoShow MoreRelatedThe Role of Entrepreneurship in Economic Development in Bangladesh4090 Words   |  17 PagesThe Role of Entrepreneurship in Economic Development The entrepreneurs with their ability to scan, analyze and identify opportunities in the environment transform them into business proposition through creation of economic entities. Entrepreneurship and economic development are intimately related. So, that entrepreneurial process is a major factor in economic development and the entrepreneur is the key to economic growth. Whatever be the form of economic and political set-up of the country, entrepreneurshipRead MoreThe Role of Entrepreneurship in Economic Development of a Country2549 Words   |  11 Pages1.The Role of entrepreneurship in economic development of a country An entrepreneur can be regarded as a person, who has the initiative skill and motivation to set up a business or enterprise of his own and who always looks for high achievements. He is the catalyst for social change and works for the common good. They look for opportunities, identify them and seize them mainly for economic gains. An action oriented entrepreneur is a highly calculative individual who is always willing to undertakeRead MoreThe Relationship Between Entrepreneurship, Innovation and Economic Development and the Role of Creativity and Problem Solving in This Relationship2015 Words   |  9 Pagesthe beginning of 21st century, entrepreneurship has become much more popular. It is published by Yoodoo that during the first six months of 2010, there is a total of 204,361 new firms which is a 51 percent rise on the first six months of 2008 established in the UK (BBC, 2010). There is obviously a reason why entrepreneurship is prevalent that researches have shown that entrepreneu rship can not only make fortune for entrepreneurs but also motivate the economic development (Hisrich, et al. 2010). HoweverRead MoreDiscuss the Relationship Between Entrepreneurship, Innovation and Economic Development. What Role Do Creativity and Problem Solving Play in This Relationship? Refer to Both Theory and Examples from the Business World to Support Your Discussion.1637 Words   |  7 Pagesthe relationship between entrepreneurship, innovation and economic development. What role do creativity and problem solving play in this relationship? Refer to both theory and examples from the business world to support your discussion. Entrepreneurship, innovation and economic development are linked to one another through different factors and characteristics of each other. Entrepreneurship â€Å"is the result of what entrepreneurs do and refers to events and their economic impact† (Lumsdaine E, BinksRead MoreDiscuss the Relationship Between Entrepreneurship, Innovation and Economic Development. What Role Do Creativity and Problem Solving Play in This Relationship? Refer to Both Theory and Examples from the Business World to Support Your Discussion.’2397 Words   |  10 PagesDiscuss the relationship between entrepreneurship, innovation and economic development. What role do creativity and problem solving play in this relationship? Refer to both theory and examples from the business world to support your discussion.’ There are many links that bring together a relationship between entrepreneurship, innovation and economic development, and both creativity and problem solving play a large role within this relationship. Entrepreneurial activity can lead to innovation withinRead MoreRelationship Between Entrepreneurship And The Economic Development Essay1091 Words   |  5 Pagesthe relationship between entrepreneurship and the economic development in Saudi Arabia. Entrepreneurship is the process of managing, organizing and developing a business venture in a competitive environment that is dynamic (Kuratko 2016 pp3). An entrepreneur is an inventor, leader, innovator, and pioneer and most significantly, a performer. The heart of a national advantage is often pegged on entrepreneurship. The operation of an enterprise is within the entrepreneurship ecosystems that include governmentalRead MoreWhat Does The Study of Regional Economy Teach Us?1436 Words   |  6 Pagesregional science help us understand? What are the three â€Å"building blocks† that underlie the complex patterns of location of economic activity? Should jobs move to people or should people move to jobs? Regional science is a sub field of social sciences that analyzes approaches to urban, rural, or regional problems. It involves the study of spatial patters to analyze the economic factors of a region. The study of regional science is necessary to improve the economy in todays competitive global marketRead MoreStartup Americ A Government Initiative1322 Words   |  6 PagesStartup America is a government initiative that is used to inspire and produce entrepreneurship throughout the country. By holding the belief that innovation is the backbone of this country, Obama created this campaign in order to create and develop entrepreneurship. As a result, the goal is trying to achieve sustainable growth and quality jobs in the economy. Overall, Startup America is a process that believes entrepreneurship is a core American value that allowed for the country to be where its at,Read MoreRelationship Between Entrepreneurship And The Economic Development Essay1314 Words   |  6 Pagesthe rela tionship between entrepreneurship and the economic development in Saudi Arabia. Entrepreneurship is the process of managing, organizing and developing a business venture in a competitive environment that is dynamic (Kuratko 2016 pp3). An entrepreneur is an inventor, leader, innovator, and pioneer and most significantly, a performer. The heart of a national advantage is often pegged on entrepreneurship. The operation of an enterprise is within the entrepreneurship ecosystems that include governmentalRead MoreOverview Of Schumpeter Denoted Entrepreneur As An Essential Element For The Economic Growth And Entrepreneurial Process1339 Words   |  6 PagesSchumpeter denoted entrepreneur as a key in the economic growth and entrepreneurial process as a prime element in the progress and advancement of economy. Again he stated that entrepreneurship is an essential element for the development of any economy and economic and political framework condition would not affect the growth. The benefits due to entrepreneurship to community will be greater in those economies where entrepreneurs have flexibility to operate, to expand their ideas, and to obliterate