INTRODUCTION TO ENTREPRENEURSHIP
DEFINITION OF ENTREPRENEURSHIP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Creates a new business, bearing most risks and enjoying most of the rewards
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Creates a new business or buys an existing business and runs the business himself
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Innovates a new idea and sells the idea to investors
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Seeks financing for pet projects in an existing company
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Detailed explanation-1: -An entrepreneur is an individual who creates a new business, bearing most of the risks and enjoying most of the rewards. The process of setting up a business is known as entrepreneurship. The entrepreneur is commonly seen as an innovator, a source of new ideas, goods, services, and business/or procedures.
Detailed explanation-2: -Entrepreneurship is defined as “creating something new with value by devoting necessary time and effort, assuming the accompanying financial, psychic and social risks and receiving the resulting rewards of monetary and personal satisfaction of independence” (Hisrich, 1).
Detailed explanation-3: -(ii) According to Ricardo Cantillon “Entrepreneurship entails bearing the risk of buying at a certain price and selling at uncertain prices.”
Detailed explanation-4: -“Entrepreneur is a specialised group of persons who bear risks and deal with uncertainty” this definition has been given by F. H. Knight.