The entrepreneurs have been
broadly classified according to the type of business, use of professional
skill, motivation, growth and stages of development. The various type of
entrepreneur is as follows
Entrepreneurs
according to the type of business.
Entrepreneurs are found in
various types of business occupations of varying size, we may broadly classify
them as follows:
Business
entrepreneur: Business
entrepreneurs are individuals who conceive an idea for a new product or service
and then create a business to materialize their idea into reality. They may set
up a big establishment or a small business unit. They are called small business
entrepreneurs when found in small business units such as printing press,
textile processing house, advertising agency, readymade garments or
confectionery.
Trading
Entrepreneur: The trading entrepreneur is
one who undertakes trading activities and is not concerned with the
manufacturing work. He identifies potential markets, stimulates demand for his
product line and creates a desire and interest among buyers to go in for his
product line and creates a desire and interests among buyers to go in for his
product line and creates a desire and interests and buyers to go in for his
product. He is engaged in both domestic and overseas trade. Britain, due to geographical
limitations has developed trade through trading entrepreneurs.
Industrial
Entrepreneurs: Industrial entrepreneur is
essentially a manufacturer who identifies the potential needs of customers and
tailors a product or service to meet the marketing needs. He is product-
oriented man who starts in an industrial unit because of the possibility of
some new product.
Corporate
Entrepreneur: Corporate entrepreneur is a person who
demonstrates his innovative skill in organizing and managing corporate
undertaking. A corporate undertaking is is a form of business organization
which is registered under some statue or act which gives it a separate legal
entity. A trust registered under Trust act or company registered under the
companies act is examples of corporate undertakings. A corporate entrepreneur
is thus an individual who plans, develops and manages a corporate body.
Agricultural
Entrepreneur: Agricultural
entrepreneur are those entrepreneurs who undertake agricultural activities as
raising and marketing of crops, fertilizers and other inputs of agriculture.
They are motivated to raise agricultural through mechanization, irrigation and
application of technologies for dry land agriculture products.
Entrepreneurs
in technology
We may broadly classify
these entrepreneurs on the basis of use of technology as follows:
Technical
entrepreneur: A technical entrepreneur is essentially
compared to a crafts man. He develops improved quality of goods because of the craftsmanship.
He concentrates more on production than marketing.
Non
technical entrepreneur: These are people who are not concerned
with the technical aspects of the product in which they deal. They are
concerned only with developing alternative marketing and distribution
strategies to promote their business.
Professional
entrepreneurs: Professional entrepreneurs
are a person who is interested in establishing a business but does not have interest
in managing or operating it once it is established. A professional entrepreneur
is a person who is interested in establishing a business but does not have
interest in managing or operating it once it is established. A professional
entrepreneur sells out the running business and starts another venture with the
sales proceeds.
Entrepreneurs
and motivation
Pure
entrepreneur: A pure entrepreneur is an
individual who is motivated by psychological and economic rewards. He
undertakes an entrepreneurial activity for his personal satisfaction in work,
ego, and status.
Induced
Entrepreneur: He is the person who is
induced to take up an entrepreneurial task due to the policy measures of the
government that provides assistance, incentives, concessions, and necessary
overhead facilities to start the venture. Most of the induced entrepreneurs
enter entrepreneurship due to financial, technical and several other facilities
provided to them by the state agencies to promote entrepreneurship.
Motivated
entrepreneur: New entrepreneurs are
motivated by the desire for fulfillment. They come into being because of the
possibility of making and marketing some new product for the use of customers. If
the product is developed to saleable stage, the entrepreneur is further motivated
by reward in terms of profit.
Spontaneous
Entrepreneur: These entrepreneurs start
their business because of their natural talents. They are persons with
initiative, boldness and confidence in their ability which motivate them to
undertake entrepreneurial activity. Such entrepreneurs have a strong conviction
and confidence in their inborn ability.
Growth
and Entrepreneurs
Growth
Entrepreneur: Growth entrepreneurs are
those who necessarily take up high growth industry which has substantial growth
prospects.
Super
Growth Entrepreneurs: Super
growth entrepreneurs are those who have shown enormous growth of performance in
their venture. The growth performance is identified by the liquidity of funds,
profitability and gearing.
Entrepreneurs
and stages of Development:
Entrepreneurs may also be
classified as the first generation entrepreneur, modern entrepreneur and
classical entrepreneur depending upon the stage of development. They are
explained below:
First-generation
entrepreneur: A first generation entrepreneur is one who starts
an industrial unit by innovative skills. He is essentially an innovator,
combining different technologies to produce a marketable product or service.
Modern
entrepreneur: A
modern entrepreneur is one who undertakes those ventures which go well along
with the changing demand in the market. They undertake those ventures which
suit the current marketing needs.
Classical
entrepreneur: A
classical entrepreneur is one who is concerned with the customers and marketing
needs through the development of the self supporting venture. He is a
stereotype entrepreneur whose aim is to maximize his economic returns at a
level consistent with the survival of the firm with or without an element of
growth.
Others
Innovating Entrepreneurs: Men and women in
this group are generally aggressive in experimentation who exhibit cleverness
in putting attractive possibilities into practice. One need not invent but
convert even old established products or services by changing their utility,
their value, and their economic characteristics into something new, attractive
and utilitarian. This is the secret of these people.
Imitative
entrepreneurs: These people are
characterized by readiness to adopt successful innovations by entrepreneurs.
They imitate techniques and technology innovated by others. They are adoptive
and more flexible.
By western standards, an
imitative entrepreneur may be a pedestrian figure, an adopter an imitator
rather than a true innovator. He is more an organizer of factors of production
than a creator. But in a poor country attempting to industrialize, he is
nevertheless a potent change producing figure. He can set in motion the chain
reaction which leads to cumulative progress.
