ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The second myth about entrepreneurs is that they are gamblers and take big risks. The truth is, entrepreneurs are usually moderate risk-takers, as are most people.

Detailed explanation-2: -Myth 2: Entrepreneurs Are Gamblers – Scientific evidence does not support such myth. – On the contrary, most entrepreneurs are just “moderate” risk takers.

Detailed explanation-3: -Most entrepreneurs are risk-takers by nature, or at minimum calculated visionaries with a clear plan of action to launch a new product or service to fill a gap in the industry.

Detailed explanation-4: -An entrepreneur is pursuing a calculated risk based on some market study and probably extensive business plans. On the other hand, a gambler is also a risk-taker but on a blind risk basis. Moreover, an entrepreneur starts a new business-facing the risk of competition from already established businesses.

Detailed explanation-5: -Whenever an entrepreneur starts a new business, they know that to some extent, they are taking a gamble. There can never be any guarantee that a business will work, even though some businesses might feel like a sure thing. No matter what type of gambling you are taking part in, risk is always a reality.