Frequently Asked Questions

What Is an Entrepreneur?

An entrepreneur is a person who creates a new business. This individual bears most of the risks and will enjoy most of the rewards of the venture.

What Are the Main Different Types of Entrepreneurships?

The four main types of entrepreneurships are small business, scalable start-up, large company and social entrepreneurship.

What Is Social Entrepreneurship?

The goal of this type of entrepreneurship is to create a benefit to society or even humankind in general. The focus tends to be on helping the environment or communities through the products or services offered. Social entrepreneurs are driven by doing good, rather than by generating profits.

What Are the Main Characteristics of Entrepreneurs?

Most entrepreneurs possess seven key character attributes: versatility, flexibility, money savviness, resilience, focus, business acumen and communication skills.

Why Are Communication Skills Important for an Entrepreneur?

Good communication is vital to, for example, convey strategies and ideas to potential new investors, negotiate contracts with suppliers, share a business plan with employees, and undertake a wide range of other tasks that an entrepreneur will be required to successfully undertake.

How Does Entrepreneurship Help Economies?

There are many ways that entrepreneurships can have a positive impact on an economy. For example, they create new businesses, inventing goods and services, which deliver opportunities for employment. Entrepreneurial activities often result in a ripple effect, promoting more development in the same or other sectors.

Entrepreneurs can create social change by breaking tradition with new inventions that reduce dependencies on existing systems and methods, in the same way that smartphones and their attendant apps have transformed how people work and spend their leisure time across the globe.

What Is the Difference Between an Entrepreneurship and a Small Business?

Although they share many similarities, an entrepreneurship is a different proposition to a small business. The latter is a company that tends to operate locally, usually without access to a vast sum of capital or resources. The former often starts as a small business but is usually underpinned by a larger longer-term vision. Entrepreneurship relates to an individual who has and acts upon an idea, which frequently involves disrupting the market with an innovative new product or service.

How Do Entrepreneurs Make Money?

At a basic level, entrepreneurs aim to generate revenues that are greater than costs. The goal is to increase these revenues, which may be achieved through word-of-mouth recommendations, marketing and networking. It’s critical for entrepreneurs to keep costs low as this will result in higher profit margins.