Are you an entrepreneur? Do you wish to enter the world of entrepreneurship? Are you confused about your business vision? Or are you looking for a business idea to change your life? Don’t worry! Every entrepreneur who has ever made it big has gone through these questions over and over again mentally.
Let’s discuss types of entrepreneurship here!
In essence, Entrepreneurship represents a person or a small group of people who embark on a unique course to launch a new firm. Ambitious entrepreneurs deliberately seek out a business venture while bearing the bulk of the project’s risk. However, if the idea is successful, they also stand to gain the most. Along with land/natural resources, labor, and capital, Economists classify Entrepreneurship as an essential resource. An entrepreneur combines the first three to produce goods or services.
How do they do it?
Typically, they create a business plan, hire personnel, collect resources and money, and give the company guidance and management.
Innovation is frequently a part of entrepreneurial endeavors. By encouraging “intrapreneurship,” large corporations may try to imitate this characteristic. Employees are urged to have an entrepreneurial mindset, developing a unique viewpoint that could inspire a fresh concept for the business.
Although the company may give these employees more freedom, it retains control of the project and assumes all related risks. Every industry, from major organizations to tiny firms, benefits from entrepreneurs. So, what are the different types of entrepreneurship? Let’s take a look!
Entrepreneurship is crucial for boosting the economy, creating jobs, and raising living standards while adjusting to contemporary social demands. The types of business in entrepreneurship are many. Here are the top 10 different types of entrepreneurship with examples that have changed the world forever:
Small business entrepreneurship is a small business wholly created by a single individual. The company would not have the goal to expand. The individual will benefit in this form of business if the company prospers.
Tina opens a tiny yet chic beauty parlor in her hometown. Her motivation, business strategy, and vision will be the guiding factors for the success of her business.
Companies concentrating on finding newer ways to develop scalable and repeatable business models focusing on greater sales with greater resources are known as Scalable Startup Entrepreneurship. This form of entrepreneurship usually begins with an idea to make the world a better place to live. Scalable startups intend for rapid business growth and substantial financial gain. The narrative behind these types of entrepreneurial businesses is starting small and gaining great success with innovation.
Amazon is one of the best entrepreneurship examples of scalable startup entrepreneurship.
Intrapreneurship is a structure that permits an employee to behave like an entrepreneur within a business or other organization. Self-driven, proactive, and action-oriented individuals, known as intrapreneurs, take the initiative to explore new goods and services. An intrapreneur knows that failure does not have the exact personal costs as it does for an entrepreneur because the company bears the costs of failure.
However, intrapreneurship is a way companies motivate their employees to have an entrepreneurial spirit.
The tale of Google News’ origin is one of the fascinating examples of entrepreneurship. Krishna Bharat, a research scientist at Google, was keeping up with the most recent news from various websites in the wake of the 9/11 incident. He had the notion of developing a tool that could scan and assess numerous news websites. Google developed his concept into what is today known as Google News.
Large company entrepreneurship refers to an existing corporation that can create a new business segment through entrepreneurship. In these types of entrepreneurship, current businesses may be positioned well to expand into other industries or engage in cutting-edge technologies.
Example
Google, Microsoft, and Samsung are all examples of large company entrepreneurship as they keep innovating and developing new products and services around their core- product line.
International entrepreneurship is the practice of an entrepreneur operating their firm in another nation. This implies the firm’s expansion worldwide since an entrepreneur performs all business operations outside the national borders. These types of entrepreneurship include exporting goods, obtaining licenses, and opening a sales office abroad. These are the industries that operate outside of their country’s borders.
Most firms cross international borders to build value, expand their operations and engage in unique creative cross-border activities, increasing the chances of innovation in goods and services.
Amazon, Google, Microsoft, Yahoo, TikTok, Facebook, etc., are all international businesses run by some great minds.
Social entrepreneurship’s essence is recognizing social issues and enacting social change through entrepreneurial practices. It all comes down to conducting a thorough study/ research to fully define a specific social problem before planning, launching, and overseeing a social enterprise to bring the desired change.
Social entrepreneurship primarily focuses on building social capital without assessing performance in profit or return in monetary terms, in contrast to general and common business entrepreneurship, which is initiating the start of a new firm or diversifying an existing one. A societal problem may or may not completely disappear due to the transformation. It might be a lifelong process that concentrates on improving the current situation.
Social entrepreneurs work for non-profit or non-governmental groups that raise money through fundraisers in their local communities.
A great example of a non-profit social enterprise is Rang De. It is an internet platform that Ramakrishna and Smita Ram founded in 2008. It was for the poor people in India’s rural and urban areas to get microcredits with interest rates as low as 2% annually. They offered direct lending to borrowers, tracking investments, and receiving recurring payments online for lenders nationwide.
Environmental entrepreneurship, often known as “ecopreneurship,” is created to address environmental issues or sustainability. In the 1990s, the phrase gained acceptance.
Entrepreneurs whose commercial activities are not just motivated by profit but also by a concern for the environment are considered ecopreneurs. Under these types of entrepreneurship, entrepreneurs develop environmentally conscious firms, combining profit maximization with the desire to produce a more sustainable environment around them and their company.
Garden planning, energy auditing, composting business, green consulting, etc., are a few examples of environmental entrepreneurship.
The phrases “technology” and “entrepreneurship” are combined to form “technopreneurship.” The word was first used in 1987, but it gained popularity in the early 2000s with the spread of the Internet. These types of entrepreneurship need tech-savvy, inventive, creative people willing to take calculated risks, unlike other forms of entrepreneurship, which may frequently be a one-person show.
Jeff Bezos, founder of Amazon, Bill Gates, founder of Microsoft, Steve Jobs founder of Apple, etc., are apt examples of technopreneurship.
Hustler entrepreneurship represents entrepreneurs who hustle and are independent thinkers driven by a desire to succeed in business. Hustler is also a classification of entrepreneurship. Such people strive arduously to expand their businesses after starting modestly. They put their best effort into achieving their business goals rather than using money or capital. Since they create opportunities, they never wait for them. Hustlers never give up, have a high appetite for risk, and are constantly prepared to take on difficulties.
If you can sell anything and are prepared for any challenge that may come your way, you are a hustler.
One of the most famous examples of a hustler entrepreneur is the late Ray Kroc, who did not create McDonald’s but helped mold it into the billion-dollar giant it is today. His forceful acquisition of McDonald’s from the McDonald brothers made him generally considered a villain, yet his grit and perseverance cannot be disputed. When selling milkshake makers, Kroc met McDonald’s as a potential customer, but he left with an idea of how it could be even better.
From a purely business standpoint, Kroc was the best thing to ever happen to the company, growing it from a single burger stand in San Bernardino, California, to a global franchise. He worked tirelessly, accepting rejection as a challenge rather than a barrier.
Innovative entrepreneurship is the foundation for developing new business concepts to make a profit, assisting the community, and achieving commercial objectives. Innovative business owners use business models to discover the demands of an enterprise and boost its marketability. Most business owners use cutting-edge concepts to develop new versions of these models or improve the ones they already have. This inspiration can be used to create creative company success plans.
Amazon has changed the face of retailing for generations to come! It brought innovation to the entire e-commerce and made buying and selling an easy process for buyers, sellers, and business owners.
Entrepreneurship is not defined by skills only but also by its characteristics. Skills and characteristics go hand in hand in making a successful entrepreneur. Here are the top characteristics you need to be successful in entrepreneurship:
Innovation is one of the most necessary skills an entrepreneur should possess. The first step to becoming an innovative entrepreneur is learning the skills you’ll need to succeed. To compete, they frequently need to innovate. Their success depends on their ability to introduce an improved new product or service to the market. Entrepreneurs continuously develop new, creative, and efficient methods to reimagine the commercial environment.
The DNA of innovation is the reinvention of something that provides a competitive advantage. The development of the personal computer, the arrival of the smartphone, the development of a network that connects everyone, and so forth. Creativity gives rise to something fresh. Innovation cannot occur without imagination. Entrepreneurs typically can capture numerous ideas and put them into action. Not every concept will inevitably succeed. However, the experience gained is priceless.
One can think of unconventional solutions to problems when they are creative, which helps them come up with fresh ones.
Successful entrepreneurs are renowned for their courage and risk-taking skills. They won’t be afraid to take chances if they perceive an opportunity. They will take the plunge after carefully weighing the risks and potential outcomes. But they won’t enter every dangerous situation head-on.
Entrepreneurs are driven by nature. After all, people work hard to launch their businesses and spend a lot of money—sometimes their whole savings—to follow their goals. They take these actions even though it can be months or even years before they see the results of their labor. They are aware that, despite their best efforts, there is a potential that their actions won’t yield material results. However, they do not give in to their dread of failing. To persist in endeavors over the long term, one needs a strong sense of motivation and a laser-like focus.
One of the essential traits for entrepreneurs is decisiveness. Being decisive is having the ability to make decisions swiftly and firmly rather than delaying or changing your mind afterward. A successful businessperson should always consider a scenario or problem, be able to evaluate all the information, and then make a particular decision to address it. The main attribute of an entrepreneurial mindset is decisiveness. This skill controls the setbacks and victories a beginning businessperson experiences along the way. Making decisions shouldn’t ever be put off by an entrepreneur. An entrepreneur can develop decisiveness by beginning with the smallest choices in daily life.
Starting business entrepreneurship is an exciting endeavor, but at times the “how” of it could feel confusing. Regardless of the different types of entrepreneurship you could choose from. These steps will come in handy to answer the how part of it:
The term entrepreneur has a sense of liberation to it. You are not confined within a pre-defined set-up and adjusting yourself to something that may not interest you when you become one. These are some of the genuine reasons why people often leave their comfortable jobs:
If any of these reasons resonate with you, you have a flare for entrepreneurship. However, if the question of why taking up entrepreneurship is still unsettling, maybe these benefits will help:
Entrepreneurs are a good way to uplift the economy in any nation. Different types of entrepreneurship could only mean good for the economy as it increases employment opportunities. But starting different types of entrepreneurial businesses is not easy. Many factors are involved in the making of the same.
Let’s see some of the pressing factors affecting any business entrepreneurship.
The political and social climate and socio-political history of the geographical area where your business entrepreneurship is established highly impacts it. The market conditions, policy implementation, nature of the market and means of production are all affected by the political ideologies persisting in the area. Say, if it’s communism, entrepreneurs must be connected with all people.
Legalities are part of all types of entrepreneurship. From registering your business to actually running it, several laws need to be ensured. Moreover, the nature of the legal system toward the business owners determines their development path. For example, when you hire an employee, you have to ensure labor laws are not violated, the employees are provided with some benefits, and their overtime is satisfied.
The one thing business owners cannot run away from be it any type of entrepreneurship. Most of the time, the tax imposed by the government are necessary to regulate and control the market and economy. However, at times government resort to excessive taxation. The underlying point is the number of taxes imposed on a business determines the future trajectory of a business. In nations with tight and excessive taxation are difficult to nurture the growth of entrepreneurs.
No company or business can survive or even begin without capital and raw materials. Especially for startups raising money and procuring raw materials feels like a challenge. Strategic sourcing or a new product launch is not possible without capital or the right investors. Amazon Business’s online wholesale store could be a viable option for your procurement needs, be it office chairs, networking devices, or printers.
Unavailability of raw materials or the capital could even prevent a business from starting. If you are aspiring to start a business, our blog on how to start an online business in India could come in handy.
Supporting and nurturing different kinds of entrepreneurship could only benefit a nation or society. The burgeoning number of startups will not only help economic development but also have a microscopic impact. Different forms of entrepreneurship can spark change in societal elements leading to social and economic advancement.
Here’s why entrepreneurship is important:
Amazon Business is the right stop for all the budding and aspiring entrepreneurs out there. Registering with Amazon Business exposes you to a vast online wholesale store housing top brands with quality assured products. If your funding is limited, you can save big through Amazon Business’s bulk purchasing, GST invoices, and business events like Amazon Small Business month, Great Indian Festival, EMI fest, and stock-up sale. Here’s what Amazon Business can offer entrepreneurs:
Entrepreneurs are dreamers and innovators who have brought tremendous economic advancements and development across the globe. All the business legends we admire and respect were entrepreneurs once. So don’t be hesitant to give wings to your dreams. Register your business under MSME and avail of its benefits. Dream big but start small. You could be the next innovator that society needs! Register with Amazon Business today!
