Entrepreneurship, what is it?

Entrepreneurship is a concept that has been around for centuries. There has never been a unanimous definition of the term “entrepreneurship” or “entrepreneurship”, but in a general way, it is the act of undertaking. This article on entrepreneurship will provide a precise definition of the word in question, its importance, without forgetting the basic rules for setting up a business.

What is entrepreneurship?

It is impossible to say what is the act of entrepreneurship without first saying what an entrepreneur is. An entrepreneur is a natural person who, in the context of a business partnership, undertakes, in return for a certain remuneration, to perform work for a third party commonly called the project owner.

In the Middle Ages, the word entrepreneurship was used to refer to a large production site. During the 17th century, the word entrepreneur was associated with the notion of risk. But over the years, the definition of entrepreneurship has evolved into a definition that is often found in economics textbooks.

While some people call an entrepreneur an entrepreneurial leader, others consider him or her to be a project leader, a person endowed with the immense courage to carry an idea through to the achievement of its goals. Thus, he is an individual committed to taking risks to implement a project in his community. To undertake is to create, i.e. to set up a business whose main goal is not always lucrative.

Importance of entrepreneurship

The importance of entrepreneurship, whether economic, social or territorial, is well established. If a country wants to remain competitive, it must ensure that it puts forward effective strategies to encourage its citizens to promote the entrepreneurial spirit.

Social and territorial benefits of entrepreneurship

Advances in technology

Entrepreneurship is the cornerstone of a country’s growth process. Since innovation is the pioneer of a nation’s growth, it is undertaken by an entrepreneur. The latter is therefore indispensable to maintain or even sustain the momentum of technological innovation. The entrepreneur therefore has the possibility of transforming a traditional enterprise into a more modern one, which can generate more or less important revenues.

Raising purchasing power through entrepreneurship

Undertaking a project is of paramount importance, as it increases the purchasing power and wealth of a nation. The companies that stand out today are those that apply themselves to training their employees, while providing them with an income that can support their burden in terms of purchasing goods and services. Indeed, purchasing power is the ability of each household to consume with its own income.

Entrepreneurship as a source of growth in the tax base

Experience has shown that high-tax countries are those in which companies are born every day. Job creation leads to a broadening of the tax base, which forms a basis for calculating a tax. The increase in tax revenue is the result of taxes on a region’s natural resources.

Economic importance of business creation

Business creation has been presented as one of the first remedies for unemployment. That said, the more jobs are created, the lower the unemployment rate. It is therefore clear that entrepreneurship, from an economic point of view, is crucial to the dynamics of the economic fabric of a nation or simply of a region.

GDP growth

At first glance, the more we create, the more we consume and the more we stimulate growth in GDP per capita. For GDP growth to be possible within a nation, salutary measures must be put in place to create jobs that will accompany socio-economic progress.

Technology transfer

Nowadays, there is a new concept of entrepreneurship: the techno-enterprise. Here, entrepreneurs create innovative projects in the ICT, information and communication technology sector. Entrepreneurship provides new opportunities for economic growth, while at the same time unleashing a strong potential for innovation and moving towards seeking innovative ideas from large companies or other collaborators.

Tips for successful business creation

Starting a business is simple enough! The creation of a project, in addition to requiring courage and a great deal of risk-taking, includes the application of a few simple and practical tips that you will find below.

  • Make a market study

Starting a new project can sometimes be exciting, but it is not a matter of rushing or rushing headlong. Before starting a business, you should first do some market research. You should therefore ask yourself a number of questions: what target group are you targeting? What are the strategies of your competitors? You must also have information about the situation in the sector in which you wish to operate.

  • Define an action plan

Once you have studied the market in depth, you can define the nuts and bolts of your business, knowing what your target will look like. Now you need to make a plan of action. To do this, make a list of your needs and tick off on your calendar the actions to be carried out throughout the year or month.

  • Set your budget and draw up a business plan

That’s it, you’ve done the market research and defined your action plan! Now you need to know the cost and resources you will need to create your business. To avoid making mistakes, it is important to make an upward estimate. However, be aware that the State, in some countries such as France, grants investment funds to help implement a project. Applying for this type of aid should be the entrepreneur’s last resort.

  • Talking about your project

Since your business is ready to update, you need to find the best ways to make it known. To do this, think about setting up your website and sharing it on social networks. You can also write a blog article to tell your story and that of your business. You can also do training in digital marketing, which will allow you to better establish the strategic management of your company. To make your business known, the Internet alone is not enough. You can also use word-of-mouth to talk about yourself in your community.

  • Analyze the results

When your company or start-up has been up and running for several months, take a step back and analyze your results. Study the behaviour of your customers or potential customers. Ask yourself what interests them or the source of your traffic. Whether online or offline, you need to look at what needs to be changed in your marketing strategy.

Conclusion

In the end, it is clear from this that entrepreneurship is a fairly broad term that can be summed up as the creation of a business that may or may not be for profit. As its importance is no longer in doubt, it can be broken down into several forms. Still, creating a business is a simple exercise that requires only a little organization, stubbornness and courage.