Entrepreneurship is a way of approaching your career that involves starting your business rather than becoming an employee of other companies. An entrepreneur has the freedom to choose between different types of entrepreneurship and business avenues.
Moreover, you can begin a business online as well to get started and reduce your overhead. In short, you will be your own boss!
No matter what kind of business you venture into, it is vital to note that there are different types of entrepreneurship. Being an entrepreneur doesn’t necessarily mean beginning a large-scale corporation. Instead, you can be a social entrepreneur, an innovative entrepreneur, and much more! This is why choosing the suitable type of entrepreneurship to run a successful business is crucial.
Of course, being an entrepreneur is much more about beginning a business you wish to start. For instance, you must dedicate a lot of time and effort to making your business flourish. Moreover, when you start a business, you must also plan its launch and create an action plan for its growth over the years. If you succeed, the end result is one of the most potentially rewarding careers.
Wish to know more about different types of entrepreneurship? Then, you are at the right place! Hang on and read the article till the end to know which is the right kind of entrepreneurship for you!
Significance Of Entrepreneurship
Economies are powered by innovation. Much of the innovation derives from forward-thinking individuals with the drive, skills, and background to make a business vision a reality.
Interestingly, the significance of entrepreneurship extends beyond the effect these individuals have on their own companies. They impact broader communities and, in some cases, even the world!
Entrepreneurs are pivotal in spurring industry transformations, creating new markets, and building resilient communities.
Here are some benefits of entrepreneurship!
- Economic Growth
The success of the goods & services created & sold by entrepreneurs cascades to other markets and businesses.
- Wealth Generation
Entrepreneurs frequently target new markets & tap audiences that are outside the focus of established and reputed firms. This creates new sources of profits and revenue.
- Social Change
Many entrepreneurs have reduced their dependence on outdated processes and technologies. For instance, smartphones have affected how businesses interact with consumers, clients, and partners!
- Community Development
Entrepreneurs promote social cohesion among people having common goals, ranging from single neighborhoods to across continents. Their services and products contribute to communities’ social and economic well-being.
Also Read: Entrepreneurial Characteristics
Types Of Entrepreneurship – Passion Drives Progress!
People have different visions, goals, interest areas, and aspirations for the type of business they wish to create. For some, hard work is the critical factor to success, while for some, enough capital resources are vital for a business’s success!
By learning about the types of entrepreneurship, you can decide which is the best for you to begin your business.
Following are the different types of entrepreneurship everyone must know of!
- Small Business Entrepreneurship
The vast majority of India’s new firms are small enterprises. People who establish small businesses make profits to support their families and have a modest lifestyle.
As the name suggests, small businesses are compact and lack the innovative factor. As a result, they fail to attract venture capital for the smooth sailing of business.
Moreover, these people usually fund their ventures by taking up loans from friends and family members. Also, the employees working in their business are family members.
For instance, local hairdressers, grocery shops, plumbers, carpenters, small boutiques, etc., are a part of small business entrepreneurship.
- Large Company Entrepreneurship
Companies with a finite life cycle display large company entrepreneurship. These companies tend to sustain themselves because of innovation. In addition, it is the best choice for advanced professionals who know how to nurture innovation.
When you work in a large company, you are likely to be a part of an executive team, creating products of different variants.
Interestingly, small business entrepreneurship can transform into a large company through innovation in no time. The same transformation can happen when a large-scale business acquires a small-scale business.
- International Entrepreneurship
In international entrepreneurship, entrepreneurs conduct business activities across Indian national boundaries. This could either be opening a sales office in another country or exporting goods from India to a foreign nation.
International entrepreneurship is beneficial when the demand for products and services declines in the domestic market, and the need arises from foreign markets.
Usually, international entrepreneurs sell products in the Indian market until they reach the maturity stage and then sell them in the global markets to earn profits!
- Social Entrepreneurship
One of the integral types of entrepreneurship is social entrepreneurship, wherein entrepreneurs recognize a social issue and tailor their activities to create social value. Such entrepreneurs develop products and services to solve critical social problems and bring about social change in society.
This social change could be related to the environment, animal rights protection, or philanthropic activities for underserved strata of society.
The motivating factor of this type of entrepreneurship is to achieve social benefits. For this, many organizations use ethical practices such as conscious consumerism, corporate social responsibility, etc., to facilitate success. Thus, instead of making profits and earning wealth for themselves, these social entrepreneurs aim to make the world a better place for everyone!
As the name implies, technopreneurship is uniting technology with entrepreneurship. A technopreneur merges entrepreneurial talent and skills with the technical prowess to develop a business that thrives on the intensive use of technology.
Technopreneurs undertake calculated risks that might have chances of earning profits. In short, these entrepreneurs can revolutionize the prevalent economic conditions and introduce consumer breakthrough products.
The foundation of such goods and services is technology. Thus, technopreneurs are creative and technology-savvy people passionate about building technological change.
Cyber entrepreneurs leverage the benefits of information technology to do business. They develop new ideas to provide goods and services to consumers via the Internet.
These people understand the digital age and remove the hassle of going to a physical store. This kind of entrepreneurship only exists online and is known as a virtual business.
Interestingly, E-commerce and OTT platforms fall under this category!
The Bottom Line
Launching a new business or non-profit organization is fraught with risks, regardless of the chosen route. But, whether entrepreneurship is trying to bring a new idea to the market, launching a non-profit or anything in between – funding is integral to growing and expanding a business.
As you explore entrepreneurship and find a path that feels right for you, understanding the business funding options can help you make more informed decisions about how to launch and grow your business.
You can also seek professionals to review your business funding options that can help your new venture come to fruition.
So, what kind of entrepreneurs would you like to become? Tell us in the comments below!
Suggested Read: Career Path: Create Opportunities For Yourself