EntrepreneurshipStart

What is Entrepreneurship?

“Undertaking the creation of an enterprise orbusiness that has the chance of profit or success”“Technology Ventures” by Dorf & Byers

But in reality

“Entrepreneurship is the pursuit of opportunity beyond the resources you currently control.”Howard Stevenson

Why is entrepreneurship important?

InnovationCreation of new product,

services and processes

JobsCreation of employment

ProsperityCreation of wealth

Economic & Societal Growth

Contribution in nation growth

Timeline of Entrepreneurship

Earliest PeriodThe earliest entrepreneurship and entrepreneur example as a go-between is Marco Polo, who attempted to established trade route to the Far East. Often these are merchant who took out adventurer activity (risk) to sell goods

Middle AgesIn the Middle Ages, the term entrepreneur was used to describe both an actor and a person who managed large production projects. A typical entrepreneur in the Middle Ages was the cleric – the person in charge of great architectural works, such as castles and fortification, public buildings, abbeys, and cathedrals.

17th CenturyThe reemergent connection of risk with entrepreneurship developed in the 17th

century, with an entrepreneur being a person who entered into a contractual arrangement with the government to perform a service or to supply stipulated products. During this period entrepreneurs are those persons who buy products at certain price and sell at an uncertain price, therefore operating at a risk.

One famous entrepreneur in this period was John Law, a Frenchman, who was allowed to establish Royal Bank. The bank eventually evolved into an exclusive franchise to form a trading company in the New World – The Mississippi Company. Unfortunately, this monopoly on French trade led to Law’s downfall when he attempted to push the company’s stock price higher than the value of its assets, leading to collapse of the company.

John Law b. 1671- 1729

18th CenturyIn the 18th century, the person with capital was differentiated from the one who needed capital. In other world the entrepreneur was distinguished from the capital provider ( the present day venture capitalist). One reason for this differentiation was the industrialization occurring throughout the world. Many of the inventions developed during this time were reactions to the changing world.

The famous entrepreneur in this period was Thomas Edison. Who raised capital from private sources to develop and experiment in the field of electricity and chemistry.

19th and 20th CenturyIn the late 19th and early 20the centuries, entrepreneurs were frequently not distinguished from managers and were viewed mostly from an economic perspective.

Andrew Carnegie is one of the best exampleof this period. Carnegie invented nothing,but rather adapted and developed newtechnology in the creation of products toachieve economic vitality. Carnegie, whodescended from a poor Scottish family, madethe American steel industry one of thewonders of the industrial world, primarilythrough his unremitting competitivenessrather than his inventiveness or creativity.

19th and 20th CenturyIn the middle of 20th century, the notion of an entrepreneur as an innovator was established. The function of the entrepreneur in this period is to reform or revolutionize the pattern of production by exploiting an invention or, more generally, an untried technological method of producing a new commodity or producing an old one in a new way, opening a new source of supply of materials or a new outlet for products, by organizing a new industry.

John Pierpont Morgan, who developed his large banking house by reorganizing and financing the nation’s industries, is best example of this period. This organizational innovations is frequently as difficult to develop successfully as the more traditional technological innovations (transistor, computers, lasers) that are usually associated with being an entrepreneur.

Contd.

Innovation and EntrepreneurshipThe ability to innovate can be observed throughout history, from the Egyptians who designed and built great pyramids out of stone blocks weighing many tons each, to the Apollo lunar module, to laser surgery, to wireless communication. Although the tools have changed with advances in science and technology, the ability to innovate has been present in every civilization.

TodayThe concept of an entrepreneur and entrepreneurship is further refined when principle and terms from a business, managerial, and personal perspective are considered

Today, in almost all the definition of entrepreneurship, there is agreement that we are talking about a kind of behavior that includes:

• Initiative Taking

• The organizing and reorganizing of social and economic mechanisms to turn resources and situation to practical account,

• The acceptance of risk or failure.

Definition:“Entrepreneurship is the process of creating something new with value by devoting the necessary time and efforts, assuming the accompanying financial, psychic, and social risk, and receiving the resulting rewards of monetary and personal satisfaction and independence.

Thank You!

Wiweck Singh | wiweck@gmail.com | +9181265 95580