Let’s Think About Redefinition of Entrepreneurship and Entrepreneurs

OK, as the first post on this brand-new site for entrepreneurship and entrepreneurs I will start with some primary root of the subject. This primary root is a definition of that term.

I am starting with this post because the right definition will give the right path for the future for existing and new entrepreneurs.

It is an important, if not the most important, component of a thriving market-based economy. It presents the best profession because you become responsible for your destiny and help others at the same time as solving their problems.

When entrepreneurs start a business, they are the same as parents. They must feed their company in success and in bad times.

What is entrepreneurship? How was this term defined?

Probably, in the most straightforward word, it is defined as a process of starting a new company.

It is a process of starting a new business with identifying opportunities and allocating resources needed to take advantage of the opportunities and creating a new venture to provide desired products/services to customers and achieving a profit from it. This is an extended definition.

Another, same or similar definition of entrepreneurship tells that it is the process of discovering, evaluating, and exploiting opportunities to come up with a new business venture.

In too many definitions that I have analyzed, there is the existence of some words in relation to:

  • New business,
  • Risk and risk-taking,
  • Ideas and business ideas,
  • Idea creation,
  • Innovation,
  • Opportunity,
  • New product,
  • The new process, etc.

That’s all OK, and probably right but not enough for defining it as a process and some activities for entrepreneurs. OK, let’s start.

Each entrepreneur starts a new company. Each company is connected in some aspects with risk and risk-taking. Every business relies on the idea of the entrepreneur. This assumes that an entrepreneur must start with idea creation. It is innovation in some specific way. When we talk about recognition of the opportunity, we know that every entrepreneur seeks for the opportunity and then goes with a realization of the business. Furthermore, we can tell that every company is based on a new product or combination of the existing products with the new type of services or the new type of business or technological processes.

However, what is that missing element that was not connected with entrepreneurship and entrepreneurs? PROBLEMS, PROBLEMS, and also PROBLEMS are the missing element in the definition.

Now let’s start with some brief explanations:

  • Every company is a consequence of the entrepreneurial idea creation process. Without the idea, we don’t have the business. In that idea creation process, every entrepreneur starts with finding the needs of the market. The market needs are based on PROBLEMS that people from that market have and need solutions for those PROBLEMS. Because of that starting the new company is finding solutions for the PROBLEMS of the market members. That’s true! This are external PROBLEMS or PROBLEMS that are out of the business but very closely connected with entrepreneurship and entrepreneurs.
  • Every company needs an entrepreneur who will be a driving force of the business. Entrepreneurs must make decisions about the directions for the future. The process of decision-making is the continuity of the problem-solving process. These problems may be, for example, financial problems, or selling problems, process problems, and so on. That’s true! These internal PROBLEMS that come from inside the company is connected with entrepreneurship and entrepreneurs.

And now what is entrepreneurship?

What we may see here is that everything in entrepreneurship that represents constant pressure to entrepreneurs is PROBLEMS. Because of that, we can say that entrepreneurs are problem solvers, and it is a problem-solving process.

The successes rely on the effective problem-solving process for internal and external problems from entrepreneurs. Now we are living in a dynamic world where everything is changing. And because of that entrepreneurs need constantly to solve current problems and constantly prepare for future problems.

It presents the process of starting a new company as a result of the ideas that may be identified with some market problems and needs for solving those problems and constantly solving internal problems that lead to success.

And what type of person is an entrepreneur?

Because entrepreneurship is a problem-solving process with starting a new company, entrepreneurs will be problem solvers.

With starting a new company and then growing that company, entrepreneurs continuously solve some type of problems.

Posted by Dragan Sutevski

Dragan Sutevski is a founder and CEO of Sutevski Consulting, creating business excellence through innovative thinking. Get more from Dragan on Twitter. Contact Dragan