Peeking into the basics of entrepreneurship
No one can deny the significance of entrepreneurship for it has become a crucial part of the global economy. The wisdom and skills to incorporate your name within the business field can turn out a game-changer for you at instances or can put you at the edge of economic disruption.
Requisites to be an entrepreneur
All it needs to establish yourself as a successful entrepreneur is the ability to make sound decisions at the right time. So, when the need of the time arises, things turn out to be in your favor rather than acting as a harsh tide against you.
One needs to realize that entrepreneurship itself is an organic process that keeps on evolving time and again. Evolution is for the benefit of the majority. From the introduction of the concept to its significance in the 21st century, there has been a series of changes the entire concept has undergone.
Variations in entrepreneurship
The changes do not exist based on the conventions and forms but the modes and mechanics of entrepreneurship have also varied over time. This has given modern entrepreneurs an advantage over the traditional ones for they can now look for their inner capabilities and try accordingly.
Modern entrepreneurs are flexible in a way that here you can have a chance to try your luck in the alternating levels of entrepreneurship. It favors your experience in versatile journeys with less chance of risk coming on your way. It has become individual-friendly. We see people from different age groups being successful entrepreneurs because of the wise choices they make.
Some significant questions & their answers
But what are those choices? How can an individual identify a specific type of entrepreneurship and select it as his future goal? What are the chances of sorting out success in a specific entrepreneurship field? How many types of entrepreneurship now exist and what is the basic difference demarcating their boundaries separate from one another?
All these questions are formulated by the modern entrepreneurs to whom the concept of initiating a start-up is far more than gaining profit and recognition. They know that now with the variety of the types available for entrepreneurship, the duties become stiffer than ever.
So, the realization of accepting a certain type as your future sub-category in which you aspire to prosper must be burdensome.
This article gives you a detailed idea about all the sub-types existing in the entrepreneurial world which make it easier for you to turn up your entrepreneurial game.
Types of Entrepreneurship
Based on individual experiences, the mega-start-ups which have flourished over time, and the challenges which are resolved efficiently by every successful entrepreneur of the field, here are some of the highly acknowledged types of entrepreneurship.
- Small scale entrepreneurship
- Large scale entrepreneurship
- Social entrepreneurship
- Researcher entrepreneurship
- Buyer entrepreneurship
- Innovative entrepreneurship
- Imitator entrepreneurship
- Scalable startup entrepreneurship
- Hustler entrepreneurship
- Online entrepreneurship
- Lifestyle entrepreneurship
This is the very basic type of entrepreneurship. As an entrepreneur, you are involved in ventures that do not require a huge amount of capital. It is often accompanied by incorporating your skills to earn benefits.
Small-scale entrepreneurship is simple and convenient to start. You do not need a number of rules and regulations which turn out a hindrance in other mega start-ups. As a small-scale entrepreneur, your audience is often limited and for extending your audience you need an extension of your business services as well.
It is more suitable for women, teenagers, and youngsters who want to give it a try in the field of entrepreneurship.
It will help you get an idea about the entrepreneurial world and how things can be managed here. Here, you do not need full-fledged teams to carry out the functioning of your business but you start it individually.
Earlier, cottage industries were regarded as a very classic example of this kind of entrepreneurship. This is because it is a venture fuelled by the potential of individuals and runs mostly based on personal efforts.
As time traveled in the contemporary world, many other fields were also regarded in the category of small-scale businesses.
These days, banking services, small boutique outlets, and cooking outlets are considered as the kind of businesses through which an aspiring entrepreneur can make a handsome profit in the end.
These kinds of ventures are based upon a number of factors. Capital is the very first thing you need if you want to start a very big company ruling up in the business world. It is often considered a work of different individuals rather than one.
Today, large-scale entrepreneurship has developed in the form of leading business corporations that keep on creating their subsidiaries to support them in becoming the top player in the business field.
Here a proper ideology is needed to give birth to one such business.
As the intention is already to extend the business making it large scale, the regarded efforts are started from day one. Whenever the profit is obtained, a part of it is spent on extending the business. These kinds of ventures have a wide-scale audience.
In many cases, the clients are not just nationally linked to the business but some international clients help the business to fully flourish. Besides, once the company succeeds in garnering clients and profits in a specific country, the extension of the business is done by creating subsidiaries in other countries as well.
One interesting fact about large-scale ventures is that a single executive is leading the company right at the front but the company also has many other bosses individually at different levels.
A board of governors is usually established to decide for one single executive for a certain period. This is what makes them turn into corporations.
The classic examples of such large-scale businesses which eventually turned into corporations are Unilever, L’Oreal and Procter & Gamble Corporation limited which has its headquarters in one specific country but the branches extend wide in nearly all the countries of the world.
Social entrepreneurship is instigated to change society by removing certain social evils from a certain society. The business ventures which are initiated under this category are started by those who are already masters of the field since they are less prone to financial risk because of their distinctive role in the business world.
These ventures have one ambition when they start their operation which comes with the idea of ensuring a better society. Here the audience is targeted not to garner profit but to make them aware of a certain social evil and then their help is appealed to eliminate the social evil.
It is often introduced by large-scale business ventures where a certain amount of profit is dedicated to creating opportunities to resolve the issues existing in society.
These kinds of ventures at their very onset describe their purpose of existence to the targeted audience.
Specific foundations are working with the association of several internationally acclaimed businesses. One great example is the “Make a Wish Foundation” which has close ties with the Cadbury industries and they function to help the children who are battling severe illnesses. This organization helps them by fulfilling their last wishes to give them happiness.
This is the kind of entrepreneurship that can be assumed as classic entrepreneurship. Here, the entrepreneur starts with proper reasoning and logic to initiate a certain kind of business. Long hours of survey analysis and assumptions are made to ensure success in entrepreneurial ventures.
Here the audience is also exposed to the research made by the entrepreneur. You need to go through a number of researchers before starting the business. This can be seen as an attempt to save oneself from the possible chances of financial risk.
If the venture is aimed to be developed into a high-scale business, then special care is taken to ensure the success of the business at any cause. Special teams are built whose task is to find out the trends in town and then contemplate the instigation of the particular business.
Researcher entrepreneurship is often taken by the major players of the business field.
Those who have complete command over the business trends persisting in the economical world take up this category to fill.
Once the venture is started, research begins at the step of every level of its functioning. Even after the business starts functioning by being accessible to the targeted audience, researchers continue to help the entrepreneurs understand their loopholes and find chances of making amendments within them.
Many international firms and factories work based on the research entrepreneurship model where the owners keep on noticing the attitudes of their potential clientele regarding their as well as the rivals’ products.
One good example can be the automobile industry where the big players of town are seen as potential danger sources for the struggling companies and thus the companies are bound to bring more attributes in their own automobiles.
This is becoming the trend of the business town through the efforts of the biggest players. These entrepreneurial ventures are sorted by the bigger companies as a way to increase their influence over the small players of the town.
Modern economics also classifies them as a way towards a successful merger or creating a subsidiary that speaks of the magnificence of the parent company. It is a game of fortune. The capital decides influence over here.
Here the entrepreneur invests money in the purchase of a company or a business that is not doing well or is about to get divided because of a certain financial crisis.
It is looked at as a golden opportunity by the bigger companies which understand the significance of holding them under their influence.
So, upon sorting the right kind of chance, the buyer or the entrepreneur buys the company and then assigns it the status of one of the many subsidiaries of the ruling companies. This way the leading one gets an upper hand over the other players of the town. It is interesting to note that it is the mode of functioning of many corporations.
Uber, which is regarded as the chief agent of starting the norm of e-taxi services, was finding it hard to beat the other competitors of the town, especially Careem. So, in the year 2019, it eventually bought Careem and it was regarded as another alternative to Uber eventually adding the profit in the parent company’s bucket.
This is the one that gained immense popularity because of technological advances. This favors innovation in the business market laying it as a separate entity from that of the convention. Here the entrepreneur focuses upon bringing innovation and new advancements in the field.
The entrepreneur invests based on his skills and brings new technology and businesses before the audience. The targeted audience may or may not be widely extensive. The audience is targeted well before the venture.
Many new businesses are actively surviving in the business world based on their uniqueness.
This is because today’s audience’s preference is also changing with time and they demand something which is unique, staying separate from the convention.
Facebook Corporation and Microsoft are the businesses which are functionally based on the uniqueness it carries. These businesses are setting up trends for all the other tech-based industries where the end goal is getting successful based on uniqueness.
This is the kind of entrepreneurship that continues based on innovation. Here, the young entrepreneurs who are new in the field seek inspiration from the business ideas of the pioneers or the successful players of the market.
Based on the business idea of the pioneers, they, later on, constitute their very own business plan to take a lead in the mainstream market.
Imitator entrepreneurship is often looked at as a good reason for young businesses to prosper. However, as an entrepreneur, you must bring your own kind of uniqueness to the business.
Rakuten Corporation brought forward Viber which can be seen as a good alternative for Whatsapp, though the application introduces its individual features which are contrasting to the latter. Hence, the innovation remains at its place supporting the imitation.
This is a very interesting type of entrepreneurship that combines skill and capital to sponsor that skill. Here, the entrepreneur does come with the potential needed to fill its own page of entrepreneurship experience with utter uniqueness. However, it lacks the basic capital to support the idea.
Here the entrepreneur introduces the idea to the sources, later on, picking up the idea and investing in creating a product or a business based on that very idea. If the idea, because of its uniqueness, seems interesting to a specific investing company, the profit which is made at the end course is split between the original creator and the investor.
Based on the profit, the original entrepreneur then extends the idea and makes more money out of it.
It is the most prevalent type of entrepreneurship these days where there is a hunt for unique ideas to be sponsored by the leading names of the business industry.
One of the best examples of scalable entrepreneurship is of Apple Corporation, which was not the way it is at present. The creator Steve Jobs originally got his idea sponsored which later on led him to be an owner of one of the most leading and prestigious tech companies in the world.
Hustlers are individuals who are willing to go to any extent for their cause. These are the people who are exceptionally hardworking and never let their guards down at the failures. It needs a humongous amount of effort to turn into a hustler who can achieve success mainly through patience.
As a hustler, you learn that you need to be patient to experience growth.
As a hustler, you start entrepreneurship at the grass-roots level with no knowledge and experience in the field. With sheer hard work, you get to be the expert in town.
Walt Disney Entertainment companies can be seen as a setup with Sir Walt Disney work mechanism similar to that of a hustler who worked very hard from the beginning even after some initial rejections and never gave up. This eventually turned into his favor as Disney became one of the few leading film companies all across the world with ultimately forming enormous subsidiaries.
Online entrepreneurship has become one of the fastest-growing entrepreneurship strategies. This is because of its easy accessibility and convenience. As an entrepreneur, you can take advantage of the easy accessibility of the internet.
One of the easiest ways to promote entrepreneurship this way is via social media handles.
As an entrepreneur, you first start an online business and then create social media handles for the promotion of your business.
Your clients meet you online where they can either place the order over your associated business website or can place a specific order directly in your direct message section. This helps you to identify and cater to the needs of your clients within no time.
The clients can then review your delivered products which can be an effective source for you to grow your business.
It is the fastest-growing method of entrepreneurship. Nowadays, even the giants of the business world are establishing their business websites and social media handles to outreach their clients globally without any difficulty.
As compared to the other types of entrepreneurship, this method is comparatively an easier one to promote your business far and wide in technically no time.
However, you need to maintain the quality and affordability of your business. This is because on the online platforms your clients prefer these two factors more than anything else and if your product or service lacks this. Eventually, your business growth can come to a halt.
The best example of online entrepreneurship ventures is the online cosmetic and stationery delivery services which have become the apple of the client’s eyes in no time.
There was a time when people were specifically concerned about domestic affairs and keeping their homes steady. Now things are changing. Everything which involves manpower is turning into a profitable business changing the lives of many.
These days lifestyle entrepreneurship is getting wide acclaim because of the specific agenda attached with its name.
Lifestyle entrepreneurship deals with selling products or services which impact a person’s lifestyle one or the other. These can either be the home décor businesses working to make your house into a home carrying the essence of warmth or a wedding décor business can be in action making your wedding memorable for you.
These kinds of businesses can also include travel groups which help you find and make arrangements for a suitable destination during the upcoming vacations. It can be any random idea you think can make people zealous to enhance their quality of life.
Another good example is of the businesses meant for the new parents where they can easily get all the infant-related items and respective guidelines in a single place. Many business ideas are prospering today based on their unique selection.
They tend to select the subcategory from lifestyle ideas and then work on providing them with better quality.
Several photography businesses are making profits because of clients’ interest in them. As a lifestyle entrepreneur, your end goal is to ensure your clients that with the assistance of your products and services, the quality of lifestyle is definitely going to change.
In the light of all these existing entrepreneurship types, as a keen entrepreneur, you can look out for your area of interest. You need to understand the influence of the right kind of choice you make while deciding to enter the business. Along with a wise kind of decision, it is also necessary that you work extremely hard to prosper in the entrepreneurial world.
The author is an M.Phil scholar conducting her thesis in Literature. As a sucker for literature, she swoons over Greek and South Asian fiction while reviewing books in her spare time. Her love for writing has made her expand her subject matter and now she pens her opinions frequently on business, finance, entrepreneurship, lifestyle, history, and literature. For a special connection with entrepreneurship, she opens up the details occasionally about it.