Entrepreneurship

Enterpreneur

Can I accept those risk and sacrifices?

Entrepreneurship is often difficult and tricky, resulting in many new ventures failing. The word entrepreneur is often synonymous with founder. Most commonly, the term entrepreneur applies to someone who creates value by offering a product or service, by carving out a niche in the market that may not exist currently. Entrepreneurs tend to identify a market opportunity and exploit it by organizing their resources effectively to accomplish an outcome that changes existing interactions within a given sector. Effective entrepreneurs may influence investors, suppliers, and partners through an elevator pitch about their idea (Deakins, D. And Freel, M. 2009

The reality is that no investment--not even a blue chip company like GM or IBM--is 100 percent safe, and investors who put their money in the market, hoping to average an 8 percent to 10 percent return, risk losing their entire investment if the market goes south and the company files for bankruptcy. Unfortunately, investors who panic when the market collapses, hoping to jump back in when the market rebounds, generally end up losing their initial investment as well as the opportunity for upside. Trying to time the market is a surefire way to watch your nest egg shrink to zero. So while nobody likes volatility, you need to establish an investment strategy that sees you through good times and bad. The first step is to assess your personal tolerance for investment risk. Are you young and single with no kids and 40 years to go until retirement? Or are you married with teenagers approaching college and aging parents who need your help? Do you need your investments to generate an income stream until your business is more established, or does your business kick off excess cash you can add to your investment account every month?

The entrepreneur, within the private enterprise system, has been a target of attack. Entrepreneurs are supposed to be driven by unbridled greed to maximise their profits at the expense of workers and consumers. They use monopoly powers to exploit the workers with low pay and hazardous working conditions. And in modern times they have perfected various means of exploiting consumers as well, especially by advertising and control of the markets to force people to buy things that they do not really need or want. (Deakins, D. And Freel, M. 2009

This overlooks the dimension that entrepreneurial impulse is diverted to antisocial ends when markets are distorted by law and political interference. Everyone acts as an entrepreneur to a greater or lesser extent in making use of their resources and assets to satisfy their wants and to do the best for themselves. In open markets entrepreneurs do the best for themselves by providing better or cheaper goods than their rivals. But another way to improve their position, and to minimise their risks, is to obtain government support to close the market to other competitors. The result can be a state-protected monopoly or a market where some firms have favoured status, for example ...