INTRODUCTION TO ENTREPRENEURSHIP
DEFINITION OF ENTREPRENEURSHIP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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i, ii, iii and iv
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ii and iii
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ii and iv
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i and iv
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Detailed explanation-1: -Schumpeter, the effective function of an entrepreneur is to start innovation in venture. This theory is also called innovation theory or dynamic theory. According to this theory, the entrepreneurs emerges because of individuals having certain psychological elements i.e., will power, self-intuitions, tolerance capacity.
Detailed explanation-2: -Schumpeter believed that capitalism would ultimately be destroyed by its success. He hypothesized that the economic system would eventually create a large intellectual class that survived by attacking the system of private property and freedom that was necessary for sustaining its own existence.
Detailed explanation-3: -Schumpeter argues that entrepreneurship is associated with the process of “creative destruction, ‘’ in which an exogenous innovation breaks with the state of the circular system.
Detailed explanation-4: -According to Schumpeter, innovative entrepreneurs would: Thrive in the market. Not survive and disappear from the market.