INTRODUCTION

A person who makes money by starting or running businesses especially when this involves
taking financial risk.

 An entrepreneur is an individual who rather than working as an employee founds an

runs a small businesses,assuming all the risk and rewards of the ventures. the
entrepreneur is commonly seen as an innovator , a source of new ideas goods ,
services and business or producers
 Entrepreneur play a key role in any economy these are the people who have the skill
an initiative necessary to anticipated current and future needs and bring good new
ideas to market. Enterpreneurs who prove to be successful in taking on the risk of a
startup are rewarded with profit, fame and continued growth opportunities. Those who
fail suffer losses and become less prevalent in the markets.
 Enterpreneurs commonly faced many obstacle when building there companies three
that many of then cite as the most challenging areas : overcoming bureaucracy , hiring
talent and obtaining financing
 ENTREPRENEURS ARE CLASSIFIED INTO DIFFERENT TYPES.

Based on the Type of Business:

1. Trading Entrepreneur:

As the name itself suggests, the trading entrepreneur undertake the trading activities. They
procure the finished products from the manufacturers and sell these to the customers directly
or through a retailer. These serve as the middlemen as wholesalers, dealers, and retailers
between the manufacturers and customers.

2. Manufacturing Entrepreneur:

The manufacturing entrepreneurs manufacture products. They identify the needs of the
customers and, then, explore the resources and technology to be used to manufacture the
products to satisfy the customers’ needs. In other words, the manufacturing entrepreneurs
convert raw materials into finished products.

3. Agricultural Entrepreneur

The entrepreneurs who undertake agricultural pursuits are called agricultural entrepreneurs.
They cover a wide spectrum of agricultural activities like cultivation, marketing of
agricultural produce, irrigation, mechanization, and technology.

Based on the Use of Technology:

1. Technical Entrepreneur:

The entrepreneurs who establish and run science and technology-based industries are called
‘technical entrepreneurs.’ Speaking alternatively, these are the entrepreneurs who make use
of science and technology in their enterprises. Expectedly, they use new and innovative
methods of production in their enterprises.

2. Non-Technical Entrepreneur:

Based on the use of technology, the entrepreneurs who are not technical entrepreneurs are
non-technical entrepreneurs. The forte of their enterprises is not science and technology.
They are concerned with the use of alternative and imitative methods of marketing and
distribution strategies to make their business survive and thrive in the competitive market.
 BASED ON OWNERSHIP:

1. Private Entrepreneur:

A private entrepreneur is one who as an individual sets up a business enterprise. He / she it’s
the sole owner of the enterprise and bears the entire risk involved in it.

2. State Entrepreneur:

When the trading or industrial venture is undertaken by the State or the Government, it is
called ‘state entrepreneur.’

3. Joint Entrepreneurs:

When a private entrepreneur and the Government jointly run a business enterprise, it is called
‘joint entrepreneurs.’

Based on Gender:

1. Men Entrepreneurs:

When business enterprises are owned, managed, and controlled by men, these are called ‘men
entrepreneurs.’

2. Women Entrepreneurs:

Women entrepreneurs are defined as the enterprises owned and controlled by a woman or
women having a minimum financial interest of 51 per cent of the capital and giving at least
51 per cent of employment generated in the enterprises to women.

Based on the Size of Enterprise:

1. Small-Scale Entrepreneur:

An entrepreneur who has made investment in plant and machinery up to Rs 1.00 crore is
called ‘small-scale entrepreneur.’

2. Medium-Scale Entrepreneur:

The entrepreneur who has made investment in plant and machinery above Rs 1.00 crore but
below Rs 5.00 crore is called ‘medium-scale entrepreneur.’
3. Large-Scale entrepreneur:

The entrepreneur who has made investment in plant and machinery more than Rs 5.00 crore
is called ‘large-scale entrepreneur.’

Based on Clarence Danhof Classification:

Clarence Danhof (1949), on the basis of his study of the American Agriculture, classified
entrepreneurs in the manner that at the initial stage of economic development, entrepreneurs
have less initiative and drive and as economic development proceeds, they become more
innovating and enthusiastic.

Based on this, he classified entrepreneurs into four types:

These are discussed in seriatim:

1. Innovating Entrepreneurs:

Innovating entrepreneurs are one who introduce new goods, inaugurate new method of
production, discover new market and reorganize the enterprise. It is important to note that
such entrepreneurs can work only when a certain level of development is already achieved,
and people look forward to change and improvement.

2. Imitative Entrepreneurs:

These are characterised by readiness to adopt successful innovations inaugurated by

innovating entrepreneurs. Imitative entrepreneurs do not innovate the changes themselves,
they only imitate techniques and technology innovated by others. Such types of entrepreneurs
are particularly suitable for the underdeveloped regions for bringing a mushroom drive of
imitation of new combinations of factors of production already available in developed
regions.

3. Fabian Entrepreneurs:

Fabian entrepreneurs are characterised by very great caution and skepticism in experimenting
any change in their enterprises. They imitate only when it becomes perfectly clear that failure
to do so would result in a loss of the relative position in the enterprise.
4. Drone Entrepreneurs:

These are characterised by a refusal to adopt opportunities to make changes in production

formulae even at the cost of severely reduced returns relative to other like producers. Such
entrepreneurs may even suffer from losses but they are not ready to make changes in their
existing production methods.
 QUALITIES OF ENTREPRENEUR

1 Disciplined

These individuals are focused on making their businesses work, and eliminate any hindrances
or distractions to their goals. They have overarching strategies and outline the tactics to
accomplish them. Successful entrepreneurs are disciplined enough to take steps every day
toward the achievement of their objectives.

2. Confidence

The entrepreneur does not ask questions about whether they can succeed or whether they are
worthy of success. They are confident with the knowledge that they will make their
businesses succeed. They exude that confidence in everything they do.

3. Open Minded

Entrepreneurs realize that every event and situation is a business opportunity. Ideas are
constantly being generated about workflows and efficiency, people skills and potential new
businesses. They have the ability to look at everything around them and focus it toward their
goals.

4. Self-Starter

Entrepreneurs know that if something needs to be done, they should start it themselves. They
set the parameters and make sure that projects follow that path. They are proactive, not
waiting for someone to give them permission.

5. Competitive

Many companies are formed because an entrepreneur knows that they can do a job better than
another. They need to win at the sports they play and need to win at the businesses that they
create. An entrepreneur will highlight their own company’s track record of success.

6. Creativity

One facet of creativity is being able to make connections between seemingly unrelated events
or situations. Entrepreneurs often come up with solutions which are the synthesis of other
items. They will repurpose products to market them to new industries.
7. Determination

Entrepreneurs are not thwarted by their defeats. They look at defeat as an opportunity for
success. They are determined to make all of their endeavors succeed, so will try and try again
until it does. Successful entrepreneurs do not believe that something cannot be done.

8. Strong people skills

The entrepreneur has strong communication skills to sell the product and motivate
employees. Most successful entrepreneurs know how to motivate their employees so the
business grows overall. They are very good at highlighting the benefits of any situation and
coaching others to their success.

9. Strong work ethic

The successful entrepreneur will often be the first person to arrive at the office and the last
one to leave. They will come in on their days off to make sure that an outcome meets their
expectations. Their mind is constantly on their work, whether they are in or out of the
workplace.

10. Passion

Passion is the most important trait of the successful entrepreneur. They genuinely love their
work. They are willing to put in those extra hours to make the business succeed because there
is a joy their business
 REASON OF BECOMING ENTREPRENEURS

1Their creativity doesn’t fit the corporate environment.

You may find that you simply don’t fit in. Sometimes that can feel frustrating, however, if
you learn to embrace not fitting into a corporate culture the way many of your friends and
family do, you can discover something beautiful.

2. They want a lifestyle that isn’t bound to nine to five.

There’s a lot of hype about having a flexible lifestyle but the truth in entrepreneurship is that
you’re going to work really hard and really long, so don’t choose this way of life if you’re
thinking it’s a shortcut. That being said, you will work hard, but there’s much more flexibility
to the entrepreneurial lifestyle than the traditional nine to five and two weeks of vacation time
that corporate life permits.

As the old adage goes, entrepreneurship is living a few years of your life like most people
won’t so that you can spend the rest of your life like most people can’t. It is hard work but
with that effort comes the ability to shape your life how you see fit.

3. They’re passionate about learning.

Learning should never stop. Many people equate age, status or certain achievements with the
end of their education, but to learn is to be alive. Entrepreneurs are never satiated with the
knowledge they have -- they are always seeking more. If you find that learning interests you,
from formal education to on-the-job discoveries, and that you can never know enough about
the things that excite you, then you have identified one of the genuine reasons individuals are
driven to be entrepreneurs.

As mega-successful entrepreneur Michael Gerber says: “The entrepreneur in us sees

opportunities everywhere we look, but many people see only problems everywhere they look.
The entrepreneur in us is more concerned with discriminating between opportunities than he
or she is with failing to see the opportunities.”
Related: Business Skills vs. Entrepreneurial Thinking

4. Their ideas are unconventional.

Entrepreneurship takes imagination and perhaps even a dash of insanity. Entrepreneurs are
the ones who change the world. They see the world as they want it to be, not how it is. From
the genius idea that drove the Wright Brothers to create a flying machine to the madness that
drove Steve Jobs and Bill Gates to develop personal computers, entrepreneurs pursue the
ideas that others deem crazy.

Albert Einstein said, “Logic will get you from A to B. Imagination will take you
everywhere.”

Entrepreneurs intrinsically understand that logic is limiting but unconventional ideas can
change things.

5. They want to do things.

Entrepreneur Guy Kawasaki said, “The best reason to start an organization is to make
meaning -- to create a product or service to make the world a better place.”

The exploration of meaning and doing work that changes the world is something that drives
every entrepreneur. If you find yourself unsatisfied with a life that relegates you to the
sidelines or the background, entrepreneurship may well be the right path for you.
Entrepreneurs learn by doing and explore with a voracious appetite.

If the status quo is too simple for you, you understand one of the genuine reasons people
choose entrepreneurship.

6. They want to change the world.

Entrepreneurs don’t just want to change their lives -- they want to change the world.

Mark Twain explained the lure of entrepreneurship best when he wrote, “Twenty years from
now, you will be more disappointed by the things that you didn’t do than by the ones you did
do. So throw off the bowlines. Sail away from the safe harbor. Catch the trade winds in your
sails. Explore. Dream. Discover.”
 HOW ENTREPRENEUR CONTRIBUTE TO THE GROWTH OF
ECONOMY

1 Investing in products and services people need.

What motivates a person to start a new business? According to traditional models,

entrepreneurs create new businesses in response to unmet needs and demands in the market.
That is, there is an opportunity to provide a product or service that is not currently in
existence, or otherwise available. Economists refer to these business-starters as “opportunity”
entrepreneurs in order to distinguish these individuals from those who start businesses for
lack of better work opportunities. So-called “opportunity” entrepreneurs, who launch new
enterprises in response to market needs, are key players when it comes to fostering economic
growth in a region. They enable access to goods and services that populations require in order
to be productive. This is not to ignore “necessity” entrepreneurs that launch enterprises
because they have no other options. Both can and do contribute to economic growth.

2. Providing employment opportunities

New businesses need to hire employees. They create jobs and these economic opportunities
uplift and support communities through increasing the quality of life and overall standard of
living.

3. Commerce and regional economic integration.

Technology has made it possible for small, entrepreneur-led businesses to expand into
regional and global markets. When new businesses export goods and services to nearby
regions, these enterprises contribute directly to a region’s productivity and earnings. This
increase in revenue strengthens an economy and promotes the overall welfare of a population.
Economies that trade with one another are almost always better off. Politics aside, engaging
in regional and international trade promotes investment in regional transportation and
infrastructure, which also strengthens economies. This has never been more true than it is
today, as we live in an increasingly interconnected global economy. Even for a large and
advanced economy like the United States, foreign markets have a significant role. Foreign
trade, according to some estimates, is responsible for over 90 percent of our economic
growth.
What exactly is innovation and how does it promote economic development? Under what
conditions, do entrepreneurs innovate? A widely-accepted definition measures innovation
using a set of criteria including how many new products are invented, the percentage of high-
tech jobs, and the size of the talent pool available to tech industry employers. More recently
and increasingly, our definition of innovation has expanded to include the development of
new service offerings, business models, pricing plans, and routes to market. While the role
that startups and young tech companies play in job creation is well documented, their
contribution to overall productivity is less intuitive and not discussed as often. To better
understand how innovation contributes to economic development, I’ve unpacked a few
examples below.

4. New technologies promote efficiency.

The ability to turn ideas into new products and services that people need is the fount of
prosperity for any developed country. Economic growth, generally speaking, is driven by
new technologies and their creative applications. Periods of rapid innovation historically have
been accompanied by periods of strong economic growth. The impetus of innovation is the
greatest natural resource of all: the human mind. Creating innovative products and solutions
requires an educated population and an environment where collaborative work can take place.
In addition to being good for business, education increases workforce creativity and quality
of life.

5. Addressing environmental challenges.

Innovation is (and will continue to be) crucial when it comes to addressing the enormous
environmental challenges we face today: combating climate change, lowering global
greenhouse gas emissions, and preserving biodiversity in the environment. Without power for
extended periods of time, commerce comes to a halt. Without water, we cannot live. Reliable
access to these innovations (such as irrigation technology, electricity, and urban
infrastructure) increases productivity and enhances economic development.

6. Innovation impacts socio-economic objectives.

Innovative business practices create efficiency and conserve resources. Innovation in

agriculture is especially relevant for addressing socioeconomic challenges (in addition to
encouraging economic growth). In the U.S., for instance, we waste billions of dollars
annually due to inefficiencies and uncompetitive practices in our healthcare system.
Hopefully, new ideas and innovations in the future will address these problems, resulting in
further reforms. When this occurs, Americans’ overall health and quality of life will benefit,
and so will our economy if our wasteful healthcare costs also decrease.

7. Innovation happens where there is competition.

In essence, there is a positive feedback loop among innovation, entrepreneurship, and

economic development

New and growing businesses represent the principal sources of job creation and innovative
activity in an economy, two factors that generally result in the rising standards of living for
all.

However, it’s important to understand that entrepreneurship and innovation are dependent on
access and participation. For entrepreneurs to bring new ideas to life, they need access to
education and a level-playing field on which to compete. In this vein, the role of government
leaders and public policy is to create conditions that allow more entrepreneurs to start
businesses by implementing policies which nurture that environment so those businesses can
grow. Economic growth suffers when entrepreneurial activity is unevenly spread socio-
economically, demographically, and geographically. Under the right conditions,
entrepreneurs have an incredible power: they help regional areas prosper economically, and
they also serve society as they help engineer innovative solutions to problems and challenges.
 ADVANTAGES OF ENTREPRENEUR TO SOCIETY

1 Implementing Societal Change

Perhaps the most rewarding advantage of being a social entrepreneur is the impact you can
have on society. Social entrepreneurs create businesses in a variety of industries that can have
a positive impact on society, including alternative energy, health awareness and education.
According to David Bornstein, the author of "How to Change the World: Social
Entrepreneurs and the Power of New Ideas," social entrepreneurs view communities as the
solution and not as the beneficiaries of products and services. Social entrepreneurs provide
the resources and expertise that help communities improve their qualities of life.

2 Creating Inspiring Solutions

Another benefit of becoming a social entrepreneur is the freedom to explore and create
innovative solutions that can inspire change. Social entrepreneurs are constantly on the
lookout for new and inventive solutions to problems and often enlist leaders within their field
to assist in project development. Social entrepreneurs are rewarded by taking risks, thinking
outside the box and looking for create ways to address problems.

3 Working as Your Own Boss

Entrepreneurs do not work under a boss, so they have the freedom to trust their own
intuitions and make their own decisions. According to the PBS website, there has been a
surge of both entrepreneurship and social sector competition since the last decade of the 20th
Century. Social entrepreneurs are zealous problem solvers whose leadership skills and
passionate nature might cause them to feel unsatisfied in a traditional employer-employee
relationship.

4 Creating Jobs and Income Streams

As business owners, social entrepreneurs benefit the economy by generating jobs and income.
In addition to providing jobs, social entrepreneurs also use part of their profits to fund
projects that can benefit the community as a whole. This combination of business acumen
and social awareness is a big lure to many people interested in becoming social
entrepreneurs.
 GOVERNMENT SUPPORT

Whether going through a rough patch or building a business, the smallest of sport can help
you gain the self-confidence you need to achieve bigger goals in your business life. Having a
great game of sport translates into every area of your life, making you a more accomplished
person at the end of the day in everything you do.1 1 Get Your Imaginative Juices Flowing

Sports not only tone your muscles but also improve brainpower. Various studies have proven
how playing sports can help you increase your cognitive function. This is because exercising
can increase the blood flow to the brain. For example, a simple game of football is just what
you need before doing a brainstorming session.

2 Helps To Build Network

Whether participating in a team sport or simply working out at the gym, fitness can
strengthen your existing business relationships and build network with prospective clients.
Sport is always played in a team, and therefore, it helps to open up the window into
individual personalities and helps you to communicate with people in a very different way.
This way a lot of barriers breakdown and you learn more about the clients than you would
normally not know.

3 Reduced Stress

Playing sports increases the production of endorphins that gives you a natural high and
reduces the stress on hormones. Doing sports before or after work helps you to approach
work in a calmer mindset. The more stressed you feel the harder it gets to make good and
rational business decisions.

4 Overcoming Business Challenges

Training for a particular sport such as football or badminton can help entrepreneurs re-learn
the importance of determination and goal setting. For example, a 58-year-old lady decided to
play badminton for at least one hour every day and it helped her to be a more tenacious
entrepreneur. She removed the word ‘can’t’ from her vocabulary list and it simply made all
the obstacles easy to overcome.
5 Improving Your Energy

Ditching your laziness early in the morning and simply heading for a game of sport can
energies your body for the whole day. Individuals who normally complain about fatigue
increase their energy by 20% and decrease their fatigue by 65% by simply participating in a
regular and low-intensity physical activity every morning. Playing a game of sport can help
you sleep better and sleeping better means having more energy for the day ahead.

6 Learning To Let Go Of Control

A lot of entrepreneurs think they have to handle everything on their own, but there is a lot of
stress that goes with power, level of control and decision making. When you hire a
professional trainer to train you in that particular sport, you directly benefit a lot. When you
appoint a trainer, you are acquiescing to someone else and accepting the fact that you are
going to let him or her direct you.

Participating in a team sport can educate control-freak entrepreneurs the importance of

trusting others with imperative tasks, demonstrating that for the business to be successful,
they don’t have to do everything on their own.

Being a good entrepreneur is similar to playing a competitive game. Entrepreneurs need to set
goals and in sports, you must score goals. In business, if you want to be the best, you need to
defend your brand name and in sports, you need to win over the competitor to defend your
title. Business and sports go hand in hand, it’s time you realize how playing a sport can do
more than just keeping you fit.
 EXAMPLE

Vaibhav Lodha

Vaibhav is the Co-founder of ftcash. Ftcash is one of India's fastest growing financial
technology company, recognized by Forbes, backed by PayPal. Empowers the 60+ million
underserved micro-merchants in India through ftcash financial inclusion using digital
payments and loans.

Previously, he was a Director, Global Development at XPRIZE, leading World’s first global
prize that targets the problem of access to water. Vaibhav has spent the last decade working
in the areas of policy and development across over 5 countries and 20 states in India. He had
previously been associated with The World Bank advising Government of India for a $1
billion project on Water Supply and Sanitation.

In 2010, LGT Impact Ventures selected Vaibhav as an iCATs Fellow. In 2012, Vaibhav was
selected as a Swaniti Fellow and awarded ‘Power 30 under 30’, USA for his work with the
Honorable Member of Parliament. In 2014, World Economic Forum selected him as a Global
Shaper. In 2016, he was selected as an Acumen Fellow and German Chancellor Fellow under
the patronage of the Chancellor of the Federal Republic of Germany.

Vaibhav strongly believes in the idea of experiential learning and three of this favorites
projects have been the General Election Campaign in 2014 for the Prime Minister of India,
participating in World's First Reality Show on Social Entrepreneurship, NDTV – The Real
Deal and setting up a private jet company in India2015 – Present (3 years)Mumbai Area,
India

Co founder

Ftcash is one of India’s fast-growing financial technology venture, recognized by Forbes,

which aims to empower micro-merchants and small businesses with the power of digital
payments and loans, only using a bank account and a feature phone.

Ftcash aggregates all payment methods including credit/debit cards, net banking, various
mobile wallets, UPI and PayPal to create an open platform for merchants to initiate digital
payments in less than 5 minutes. Additionally, ftcash creates unique and proprietary
transactional data which can be leveraged to provide institutional finance to these merchants
After a successful launch in Mumbai in mid-2015, ftcash has expanded countrywide by
acquiring merchants across various segments. The team comprises of senior executives from
Deutsche Bank, KPMG, Capital One, World Bank among others with a pedigree from
Wharton, Harvard, IITs, and SRCC etc.

Ftcash was incubated by PayPal and is now in a strategic partnership with MasterCard to
enable merchant services. It was awarded by Prince William and Kate Middleton as a winner
at the UK Trade and Investment – Great Tech Initiative. Most notably, ftcash was recognized
at TechCrunch Disrupt Battlefield, Berlin, Singapore Fintech Festival and Abu Dhabi Fintech
Festival in 2017. The company has also won several other accolades that include Mastercard
GlobaI StartPath, IBM Fintech Smart Camp, Red Herring Asia 50, IIM Ahmedabad CIIE-
IIFL Fellowship, KPMG Hot 100 Startups, NASSCOM Emerge 50, iSPIRT InTech 50, The
Fintech20 India, mBillionth Award South Asia, ISB-SAP Social Enterprise Jumpstart, Action
for India 100, Village Capital Program among other accolades. Ftcash was selected for
World’s first Impact Investment Show – The Real Deal on NDTV and Young Turks on
CNBC. Ftcash is funded by IvyCap Ventures, 500 Startups and several other marquee
investors.
 CONCLUSION

Hence I concluded that entrepreneur is an individual who rather than working as an

employee, found and run a small business, assuming all risk and reward of the ventue
.entrepreneur contributes to the growth of an economy. However, there are various challenges
in the process of setting enterprise, but he need to overcome all the hurdles.
 REFERENCES
 https://www.inc.com/larry-kim/11-most-famous-entrepreneurs-of-all-time-and-what-
made-them-wildly-rich.html
 https://www.entrepreneur.com/article/243389
 https://www.entrepreneurmag.co.za/advice/starting-a-business/types-of-businesses-to-
start/different-types-of-businesses/
 http://under30ceo.com/10-qualities-of-a-successful-entrepreneur/
SNAP SHOTS