Entrepreneurship - A Brief Introduction
http://scalar.usc.edu/works/new-daily-article/the-secret-to-help-succeed-in-start-up Entrepreneurship is the practice of designing, launching and running a new business, which is often initially a small business. The people who create these businesses are called entrepreneurs. Entrepreneurship was described as the "capability and willingness to develop, arrange and manage a company enterprise alongside some of its risks in order to create a profit". While definitions of entrepreneurship typically focus on the launching and running of companies, because of the large risks involved with establishing a startup, an important percentage of startup businesses have to close due to "lack of funding, poor business decisions, an economic crisis, lack of market demand--or even a mixture of all them. Entrepreneurship is the act of being an entrepreneur, or "an operator or director of a business enterprise who makes money through danger and initiative". Entrepreneurs act as managers and oversee the launch and expansion of a venture. Entrepreneurship is the process by which an individual or a staff identifies a business opportunity and acquires and deploys the essential resources required for its manipulation. Early 19th century French economist Jean-Baptiste Say provided a broad definition of entrepreneurship, stating that it "shifts economic resources out of an area of lower and into an area of higher productivity and higher yield". Entrepreneurs create something fresh, something different-they change or transmute values. Irrespective of the business size, large or small, they can partake in entrepreneurship opportunities. The chance needs four standards. First, there needs to be opportunities or scenarios to recombine tools to generate profit. Secondly, entrepreneurship requires differences between people, such as accessibility to certain people or the capability to recognize information about opportunities. Third, taking on risk is quite necessary. Fourth, the entrepreneurial process demands the organization of resources and people. The entrepreneur is a element in microeconomics and the analysis of entrepreneurship reaches into the work of Richard Cantillon and Adam Smith in the late 17th and early 18th centuries. But, entrepreneurship was largely ignored theoretically before the late 19th and early 20th centuries and empirically before a deep resurgence in business and economics since the late 1970s. In the 20th century, the understanding of entrepreneurship owes considerably to the work of economist Joseph Schumpeter in the 1930s and other Austrian economists like Carl Menger, Ludwig von Mises and Friedrich von Hayek.
According to Schumpeter, an entrepreneur is someone who's willing and ready to convert a new idea or invention into a successful invention. Entrepreneurship employs what Schumpeter called "the gale of creative destruction" to replace in whole or in part poor innovations across markets and industries, simultaneously creating new products such as new business models. This manner, creative destruction is mostly responsible for the dynamism of businesses and long-term economic development. The supposition that entrepreneurship leads to economic growth is an interpretation of this remaining in endogenous growth theory and as such is hotly debated in academic economics. An alternate description posited by Israel Kirzner suggests that the majority of innovations may be much more incremental improvements like the replacement of paper using plastic in the creating of drinking straws. http://scalar.usc.edu/works/new-daily-article/the-secret-to-help-succeed-in-start-up