Concept of Entrepreneur

Meaning of entrepreneur

What is an entrepreneur? The businessman or entrepreneur is the person who holds the strategic about an economical enterprise control, taking decisions to fix production targets, establish the most appropriate means to achieve those purposes and organize the administration.

 Not every entrepreneur is an entrepreneur, the first could have inherited or purchased a company either be an employee of senior direct administration. The notion of an entrepreneur is most associated with the idea of taking a risk, while to the entrepreneur linking it is more decision-making on a process.

Origin of the term

The word comes from the medieval French, where "entrepreneur" was designated to the individual in charge of use factors of production (labor of the serfs, materials and resources of the feudal lord or the King) and take the risk for the construction of buildings or armaments.

The forms of the entrepreneurship vary along the history, according to be van giving them processes of transformation economic. During them stages initial of it was industrial, the entrepreneur was the founder and owner of his company, assuming all the risks of the production. Subsequently, the economic accumulation allowed several entrepreneurs to jointly engaged a company control either that an owner hires a businessman to manage your company. In addition, the globalization economic has generated the appearance of companies international managed in many cases by them large shareholders of the same.

The concept of 'Entrepreneur' in the news

Is you called so currently, of way more specific to the person that takes them decisions binding on the production of goods or services from a company for its sale in the market and the consequent obtaining of benefits. Entrepreneur may in addition (but not necessarily) be the owner of the company and the owner of the capital, and responsible for assuming the risks of innovation and investment.

What makes an entrepreneur?

The entrepreneur can consist of both a natural person and a legal entity, and can play both individually and collectively homework. The concept of entrepreneur is directly linked to the business: an entrepreneur acts as a personification of the company, not only by hold their legal representation but as in many cases the owner and be common that the company perform his surname.

The activity of an entrepreneur is given both inside and outside the company, understood as an economic unit. Inside, it is responsible for the administrative organizational the articulation between capital and work to achieve production targets and to establish what type of resource management and staff are most suitable. To the outside, it is responsible for establishing relations with other companies, link up with other organizations and institutions (such as the State) and act as a spokesperson for the company to society.

Classification and types of entrepreneurs

Three kinds of entrepreneurs, according to the form that relate to the company's operations can be distinguished. He entrepreneur one-man is the worker by has own without employees to their charge (or with very few), that concentrated the power of the company, usually small. The key partner is the entrepreneur who assumes the active role at the time of the decisions of the company, when the rest of the partners brings the capital. The entrepreneur a member of a group is less autonomous and they are responsible rather provide support and financial and administrative consultancy (which often happens in companies with many shareholders).