Entrepreneur vs. Entrepreneurship: Understanding the Key Differences
As the world becomes more advanced, the need for entrepreneurship has been increasing at an exponential rate. Several people have started taking the chance to establish themselves as entrepreneurs, making entrepreneurship a common term nowadays. Though every entrepreneur invests their time and money to turn their idea into a successful business, many individuals still lack the basic knowledge of telling the difference between the term ‘entrepreneur’ and ‘entrepreneurship.’ In this article, we will elaborate on these two terms and understand their key differences.
What is an Entrepreneur?
An entrepreneur is an individual who creates or starts a new business, idea, or product venture with the aim of turning it into a successful entity. These individuals are responsible for recognizing opportunities or gaps in the existing market that have the potential for a profitable outcome. Entrepreneurs utilize their creative abilities and problem-solving skills to develop a new and innovative product or service that can satisfy the market’s requirements.
What is Entrepreneurship?
Entrepreneurship refers to the concept of creating or establishing new businesses. However, it is a much broader concept than just starting a new venture from scratch. Entrepreneurship also includes innovation, risk-taking, and the ability to identify new opportunities in the market. In a nutshell, entrepreneurship consists of creating, managing, and growing a new business venture successfully.
Key Differences between Entrepreneurship and Entrepreneur
The two terms- entrepreneurship and entrepreneur, sound the same but have several differences. The following are the significant differences between the two concepts:
1. Scope
Entrepreneurship is an umbrella term that includes various activities such as market research, feasibility studies, business planning, developing a product or service, marketing, financial forecasting, and many more. An entrepreneur, on the other hand, is an individual who starts a new venture and does the above activities and manages the business.
2. Purpose
The primary purpose of entrepreneurship is to create a new venture or business entity that serves as a commercial or social enterprise. An entrepreneur, on the other hand, is a person who founds and operates a business venture, with the motivation of earning profit and growing the business.
3. Role
An entrepreneur may play various roles in their venture, such as a leader, decision-maker, innovator, risk-taker, or investor. Entrepreneurship, on the other hand, involves several roles, including creator of business opportunities, manager, investor, and leader.
4. Outcome
The ultimate outcome of entrepreneurship is to start and develop a new business. In contrast, the outcome of an entrepreneur is to grow their business venture and achieve financial gains in the long-term.
Examples of Famous Entrepreneurs and Entrepreneurship Ventures
Several entrepreneurs have made a significant impact on their industries, changed the way people do business, and left a lasting legacy. Here are some of the most successful entrepreneurs and entrepreneurship ventures in the world:
1. Bill Gates
Bill Gates is one of the world’s most successful entrepreneurs and co-founder of Microsoft Corporation. His vision to put a computer in every home and office is now a reality, and his innovative ideas have taken personal computing to a new level.
2. Steve Jobs
Steve Jobs is the mastermind behind Apple, one of the most successful entrepreneurship ventures of all time. His passion for creating innovative products that would change the world forever and his ability to transform the industry made him an icon for entrepreneurs worldwide.
3. Richard Branson
Richard Branson is a multi-billion entrepreneur, with his ventures ranging from space travel, music, airlines, and telecommunication companies. He has created a vast empire of businesses that operate on a global scale, making him one of the most successful and influential entrepreneurs.
Conclusion
The difference between entrepreneurship and entrepreneur is simple yet significant. Entrepreneurs are those who invest their time and money in starting and managing a business venture, whereas entrepreneurship is a broader concept that includes the creation, management, and growth of successful businesses. Entrepreneurs are essential participants in this entrepreneurship process, bringing their expertise, skills, and vision to the table. By understanding the differences between these two concepts, individuals can make informed decisions when it comes to starting a new business venture or growing an existing one.
