The Pros And Cons Of Entrepreneurship

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Entrepreneurship is the process of starting new businesses, generally in response to opportunities. For instance, Fred Carl, founder of the Viking Range Corporation, saw an opportunity to create an appliance that combined the best features of commercial and residential ranges. Many people think that entrepreneurial ventures and small businesses are the same, but they’re not. Entrepreneurs create entrepreneurial ventures—organizations that pursue opportunities, are characterized by innovative practices, and have growth and profitability as their main goals. On the other hand, a small business is an independent business having fewer than 500 employees that doesn’t necessarily engage in any new or innovative practices and that has relatively little impact on its industry. A small business isn’t necessarily entrepreneurial because it’s small. To be entrepreneurial means that the business is innovative and seeking out new opportunities. Even though entrepreneurial ventures may start small, they pursue growth. Some new small firms may grow, but many remain small businesses, by choice or by default. Who’s Starting Entrepreneurial Ventures?…show more content…
These individuals are looking to entrepreneurship, not because they sense some great opportunity, but because there are no jobs. The Index of Entrepreneurial Activity by the Kauffman Foundation showed the rate at which new businesses formed in 2010 remained high, representing the “highest level of entrepreneurship over the past decade and a half.” The report found that “the patterns provided some early evidence that ‘necessity’ entrepreneurship is increasing and ‘opportunity’ entrepreneurship is decreasing.” But “accidental or by design,” entrepreneurship is on the rise

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