ENTREPRENEURSHIP Dr. Jyotsna Sethi
1.0 Introduction 1.1 Objectives 1.2 Entrepreneurship as a Career Option 1.3 Concepts and Definitions 1.3.1 Entrepreneur
1.3.4 Difference between Entrepreneur and Entrepreneurship
1.4 Role of Entrepreneurship in Economic Development 1.4.1 Entrepreneurship and Economic Development
1.4.2Entrepreneurship and Education
1.5 Functions of an Entrepreneur 1.6 Innovation 1.7 Risk and Uncertainty Bearing 1.8 Organization 1.9 Functions Performed by an Imitator Entrepreneur 1.10Entrepreneur vs. Manager Relationship
1.13 Self-Assessment Questions
1.14 Further ...view middle of the document...
And let us remind you that this career
opportunity is not only for boys but also for girls - all those girls who think smart,
are ready to act and script the story of their own life - like Shehnaz Hussain or
Ritu Kumar or Kiran Majumdar Shaw.
After going through this lesson you should be able to:
• Inculcate the Desire to take up Entrepreneurship as a Career
• Differentiate between Wage employment, Self-employment and Entrepreneurship
• Define and know the Meaning of the terms Entrepreneur, Entrepreneurship and Enterprise
• Learn about the Functions performed by an Entrepreneur
• Understand the Role of Entrepreneurship in Economic Development
• Differentiate the roles of an Entrepreneur and a Manager
1.2 ENTREPRENEURSHIP AS A CAREER OPTION
After finishing your graduation you will be at the crossroads of life. You will face
the dilemma of choosing what you have to do in life. The vast majority of human
beings direct their activities towards earning a living, generating wealth and
improving their standard of living. You can choose your career from two broad
categories of options - Wage Employment or Entrepreneurship. The term 'career'
signifies a continuous, ever evolving, ever expanding opportunity for personal as
well as business growth and development. We may define entrepreneurship as a
career in your own business [YOB] rather than wage employment [JOB] .If you
opt for a job then you will work for others. In case you opt for entrepreneurship
you will be your own boss.
In case of wage employment one is engaged in routine work carried on for others
for which he receives salary or wages. He has to follow instructions and execute
plans laid down by his superior. One can choose to be employed in Government
Service or the Public Sector or the Private sector. Some of the main differences
between entrepreneurship and wage employment career options are as under-
Wage Employment Entrepreneurship
Work for Others
Earning is fixed, never
Does not create wealth
Can choose from-
Own Boss Make own plans
Can be negative sometimes,
Creates Wealth, contributes to
Can choose from-
Fig 1.1 - Difference between Wage Employment and Entrepreneurship
In the context of employment generation the three terms- Income generation, Self-
employment and Entrepreneurship are often used interchangeably.
Income generation is the initial stage in the entrepreneurial process in which one
tries to generate surplus or profit. They are often taken on part- time or casual
basis to supplement income e.g. a man with some surplus money might put his
money in a fixed deposit account in a bank or a chit -fund to earn some interest.
Self-employment is the second stage in the entrepreneurial process and refers to
an individual's fulltime involvement in his own occupation. e.g. a...