An entrepreneur is a person who takes the risks necessary to organize and manage a business and receives financial profits and non-monetary rewards. The major functions of an entrepreneur are given below:
Functions of an entrepreneur
1. Organizing functions: Organizing is the part of managing that involves establishing intentional structures of a role for people in an organization. The entrepreneur is responsible for organizing the activities necessary for ht production of goods and services.
2. Conceptualizing new opportunities and possibilities: The entrepreneur plays an effective role in identifying possible opportunities for production purposes. He always looks for opportunities for investment.
3. Risk-taking: He takes risks associated with investments. He faces numerous risks in his/her entrepreneurial endeavor. In order to encounter the risks, he/she formulates long-term plans and policies and undertakes innovative efforts.
4. Decision-making: Entrepreneurs take a decision about investments. Investment decision includes a selection of assets where the money would be invested. On the other hand, business decisions include decisions about procurement of machinery and supplies, quality of products, pricing of products, diversification of products, determining optimal capital structure, etc.
5. Technology transfer: Entrepreneurs play a very important role in transferring technology from sources where these are available. In developing countries, entrepreneurs try to adopt the appropriate technology.
6. Implementation of innovations: They introduce newness in the venture activities through the innovation of new production processes, exploring new markets, identification of new management techniques, and so on.
7. Utilization of experience: Entrepreneurs utilize their own experience and also the experience of others, especially the successful entrepreneurs of other countries.
8. Managerial role: Successful entrepreneurs are also efficient managers. They perform the managerial functions of planning, organizing, leading, and controlling.
Other Content of Entrepreneurship:
- Who is an Entrepreneur?
- Traits / Qualities of an Entrepreneur
- Importance of Entrepreneurship Development
- Are Entrepreneurs Born or Made?
- Entrepreneurship Development as a Strategy for Industrialization
- Essential of Entrepreneurial Development Assistance
- Entrepreneurship Development Training
- Constraints and Problems of Entrepreneurship Development
- How to Develop Entrepreneurship Business?