Richard Cantillon termed entrepreneur as an innovator who introduced new innovations to replace old products and old ways of doing things and he described the process as creative destruction.

DEFINITION OF ENTREPRENEURSHIP

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

Richard Cantillon termed ‘entrepreneur’ as an innovator who introduced new innovations to replace old products and old ways of doing things and he described the process as ‘creative destruction’.

A	TRUE
B	FALSE
C	Either A or B
D	None of the above

Explanation:

Detailed explanation-1: -Cantillon described the entrepreneur as someone who uses “judgment, without being able to foresee which [product] will pay the best price” (Cantillon, 1931, p. 55), depending on factors of supply and demand.

Detailed explanation-2: -Joseph Alois Schumpeter Theory: According to Joseph A. Schumpeter, the effective function of an entrepreneur is to start innovation in venture. This theory is also called innovation theory or dynamic theory.

Detailed explanation-3: -Entrepreneurs play a central role in Schumpeter’s theory of economic development, and economic development can occur when the factors of production are assembled in new combinations. Schumpeter (1934) viewed innovation as arising from new combinations of materials and forces.

Detailed explanation-4: -Innovation is the manifestation of creativity into a usable product or service. In the entrepreneurial context, innovation is any new idea, process, or product, or a change to an existing product or process that adds value to that existing product or service.

There is 1 question to complete.

INTRODUCTION TO ENTREPRENEURSHIP

DEFINITION OF ENTREPRENEURSHIP