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Nowadays, life on Earth is becoming more challenging. Therefore, most individual will fell that the income they received by being a wage earner is not sufficient to sustain daily life. So, more and more people today want to become entrepreneurs. When we talk about to be an entrepreneur, automatically we will think about millionaire. Thus, everyone wants to be entrepreneur. Do you know what entrepreneur means exactly?
Entrepreneur is a person who exercises initiative by organizing a venture to take benefit of an opportunity and, as the decision maker, decides what, how, and how much of a good or service will be produced. They supplies risk capital as a risk taker, and monitors and controls the business' activities as a manager. The entrepreneur is usually a sole-proprietor, a partner, or the one who owns the majority of shares in an incorporated venture. Who Is the Entrepreneur? Entrepreneur is a person who habitually creates and innovates to build something of recognized value around perceived opportunities while entrepreneurship is the process, brought about by individuals, of identifying new opportunities and converting them into marketable products or services. Entrepreneurship is first and foremost a mindset. It is the art of finding creative profitable solutions to problems. Every successful entrepreneur and businessperson is someone who has been able to identify a problem and come up with a solution to it before somebody else did.
Effective entrepreneurs do not use their energy and ambition exclusively for making money and killing the competition. Many use entrepreneurship as an outlet for creativity, and a means of challenging themselves and developing specialized skills. And if their entrepreneurial activities lead they to new ventures that meet essential needs of other people in the world, their efforts will be worthwhile not only to they, but to society as a whole.
Entrepreneurship and innovation are central to the creative process in the economy and to promoting growth, increasing productivity and creating jobs. Entrepreneurs sense opportunities and take risks in the face of uncertainty to open new markets, design products and develop innovative processes. Entrepreneurs will invest in smaller innovative ventures, and the encouragement of share ownership by employees within smaller firms. Apart from the creation of employment, small firms play another important role by providing a productive outlet for enterprising and independent individuals, some of them may be frustrated under-achievers in a larger, more controlled environment.
Many businesses start as one person's idea. The creator is often an entrepreneur who spots a gap in the market or a commercial opportunity. They turn the idea into a marketable product or service. There are four main types of business: manufacturing, wholesale, retail and service.
Entrepreneur is the cornerstone of the entrepreneurial process the chief conductor who perceives an opportunity, marshals the resource to pursue the opportunity and builds an organization that combines the resources necessary to exploit the opportunity. Besides, an entrepreneur should know very well how to manage their business, the way to encourage and work with others. Moreover, the entrepreneur must have a positive attitude that they have to show a good attitude to their workers. Every business conducted by entrepreneurs face conflicts and problems in their management. They have to think carefully and wisely in order to solve the conflicts without affecting their business. The other attitude entrepreneur should know include the way to negotiate issues within the workplace.
Do entrepreneur's characteristics matter in becoming a successful entrepreneur? In fact, an entrepreneur should posses a lot of important characteristics in order to be a successful entrepreneur. The individual entrepreneur plays a central role in new venture formation. They are the central actor in the creation of a new venture. Need for achievement, internal locus of control, risk-taking propensity and self-discipline are some characteristics that every entrepreneurs must have in order to be a successful entrepreneur.
The need for achievement can be defined as a person's desire either for excellence or to succeed in competitive situations. This characteristic has the longest history among all the psychological measures presumed to be associated with the creation of new ventures. Need for achievement is a key personal attribute of successful entrepreneurs. This is because entrepreneurs' life is very challenging since they have to compete with competitors almost everyday. Thus, entrepreneurs should have desire either for excellence or to succeed in competitive situation to ensure that they can survive in entrepreneurship. Successful entrepreneurs are highly motivated in what they do. They are typically self-starters and appear internally driven to compete against their own self-imposed standards. High achievers take responsibility for attaining their goals, set moderately difficult goals and want immediate feedback on how well they have performed.
Besides that, entrepreneurs should have internal locus of control which means the extent to which individuals believe that they can control events that affect them. Those with high internal locus of control believe that events result mainly from their own behaviors, actions and have a perception that they can control the event in their lives and can guide they own destiny. The internal locus of control is the concept of 'self as agent'. This means that individuals' thoughts control their actions and that when they relies this executive function of thinking, they can positively affect their beliefs, motivation and to a certain extent their performance. As a result, the degree to which they chose to be self-determining is the function of their realization of the sources of agency and personal control.
Although entrepreneurs are not gambles, they are characterized by a propensity to take calculated risks. They cannot be stress when running a business, especially high tech and software because risks must be taken every day.Â The challenge is deciding which risk to be taken.Â The first risk is leaving their comfy day job.Â That initial step is required, and also one of the most difficult to make.Â However it is not as big a risk as one might be led to believe.Â If they are working for a larger company, they are liable to be their "shining star", one of their few employees that could easily climb the corporate ladder. Some risks an entrepreneur might take are for example, hiring an employee whom they can only afford if sales increase as they plan.Â In fact, every hiring decision that is made in a small company is a risk.Â The last thing they need is a lawsuit on their hands.Â Most risks are financial in some way, but there are others, like the risk of telling their large client how many employees they have, or taking on that consulting job to pay the bills, letting their core product development slide. In a world of change, risk and ambiguity, successful entrepreneurs are those who learn to manage the risk in part by transferring a portion of the risk to others such as investors, bankers, partners, customers, employees and so on. Entrepreneurs must view some situation as opportunities, even though others consider those same situations as having little potential.
In addition, entrepreneurs must be discipline person. There are no entrepreneurs that can be successful without self-discipline. To build an idea into a business, entrepreneurs must be disciplined to spend time slogging through the least fun parts of running a business, rather than taking that time to do something fun. Successful entrepreneurs resist the temptation to do what is unimportant or the easiest but have the ability to think through to what that have the most high priority. As an entrepreneur there is no one to keep you at work except yourself. Without discipline, the customers will not trust them and they will lose their confidence to have a business relationship with entrepreneur. Entrepreneurs are usually respected people who do business based on a handshake or a promise. They tend to form strong associations with others who share this work ethic.
In a nutshell, an entrepreneur is a person of very high aptitude who pioneers change, possessing characteristics found in only a very small fraction of the population. On the other extreme of definitions, anyone who wants to work for him or herself is considered to be an entrepreneur. In a business context, it means to start a business. Inventiveness and innovation is the benefits of small business. Small businesses are well positioning to introduce and develop new ideas. This is due to their owners not having to report or seek approval from anyone else. In a small business, there is little hierarchy or chain of command. Large businesses may have set ways of operating and establish procedures that are hard to change. Small businesses are often far more flexible. It can also reach a quick decision on whether or not it can do what is required.
Entrepreneurs should own characteristics such as the need for achievement, internal locus of control, risk-taking propensity, and self-discipline. All those characteristics are very important if entrepreneurs want to be successful. Without those characteristics, entrepreneurs cannot achieve their goals to be successful entrepreneurs. They must improve their capability to get what their own character to be a successful entrepreneur. All those characteristics may help entrepreneurs to get a good deal with customers and others. Plus, this may help them to solve their problem in their organization. Lastly, the employees will make them as a role model if entrepreneurs have all the characteristics mentioned above. This is so as they have the ideal characters as entrepreneur.