Meaning of Entrepreneur

The entrepreneur is defined as someone who has the ability and

desire to establish, administer and succeed in a startup venture
along with risk entitled to it, to make profits. The best example of
entrepreneurship is the starting of a new business venture. The
entrepreneurs are often known as a source of new ideas or
innovators, and bring new ideas in the market by replacing old with
a new invention.
It can be classified into small or home business to multinational
companies. In economics, the profits that an entrepreneur makes
is with a combination of land, natural resources, labour and capital.
In a nutshell, anyone who has the will and determination to start a
new company and deals with all the risks that go with it can
become an Entrepreneur.
 What is entrepreneurship

Entrepreneurship is the act of

creating a business or businesses while
bearing all the risks with the hope of
making a profit.
 What are the 4 Types of Entrepreneurship

Small Business Entrepreneurship-

These businesses are a hairdresser, grocery store,
travel agent, consultant, carpenter, plumber,
electrician, etc. These people run or own their own
business and hire family members or local employee.
For them, the profit would be able to feed their family
and not making 100 million business or taking over an
industry. They fund their business by taking small
business loans or loans from friends and family.
 What are the 4 Types of Entrepreneurship

Scalable Startup Entrepreneurship-

This start-up entrepreneur starts a business
knowing that their vision can change the world.
They attract investors who think and encourage
people who think out of the box. The research
focuses on a scalable business and experimental
models, so, they hire the best and the brightest
employees. They require more venture capital to
fuel and back their project or business
 What are the 4 Types of Entrepreneurship

Large Company Entrepreneurship-

These huge companies have defined life-cycle. Most of
these companies grow and sustain by offering new and
innovative products that revolve around their main products.
The change in technology, customer preferences, new
competition, etc., build pressure for large companies to
create an innovative product and sell it to the new set of
customers in the new market. To cope with the rapid
technological changes, the existing organisations either buy
innovation enterprises or attempt to construct the product
internally.
 What are the 4 Types of Entrepreneurship

Social Entrepreneurship-
This type of entrepreneurship focuses on
producing product and services that resolve social
needs and problems. Their only motto and goal is
to work for society and not make any profits
 Characteristics of Entrepreneurship
Ability to take a risk- Starting any new venture involves a
considerable amount of failure risk. Therefore, an entrepreneur
needs to be courageous and able to evaluate and take risks,
which is an essential part of being an entrepreneur.
Innovation- It should be highly innovative to generate new
ideas, start a company and earn profits out of it. Change can
be the launching of a new product that is new to the market or
a process that does the same thing but in a more efficient and
economical way.
Visionary and Leadership quality- To be successful, the
entrepreneur should have a clear vision of his new venture.
However, to turn the idea into reality, a lot of resources and
employees are required. Here, leadership quality is paramount
because leaders impart and guide their employees towards the
right path of success.
 Characteristics of Entrepreneurship
Open-Minded- In a business, every circumstance can be an
opportunity and used for the benefit of a company. For
example, Paytm recognised the gravity of demonetization and
acknowledged the need for online transactions would be more,
so it utilised the situation and expanded massively during this
time.
Flexible- An entrepreneur should be flexible and open to
change according to the situation. To be on the top, a
businessperson should be equipped to embrace change in a
product and service, as and when needed.
Know your Product-A company owner should know the
product offerings and also be aware of the latest trend in the
market. It is essential to know if the available product or service
meets the demands of the current market, or whether it is time
to tweak it a little. Being able to be accountable and then alter
as needed is a vital part of entrepreneurship
 Importance of Entrepreneurship
Creation of Employment- Entrepreneurship generates employment. It provides an
entry-level job, required for gaining experience and training for unskilled workers.
Innovation- It is the hub of innovation that provides new product ventures, market,
technology and quality of goods, etc., and increase the standard of living of
people.
Impact on Society and Community Development- A society becomes greater if
the employment base is large and diversified. It brings about changes in society
and promotes facilities like higher expenditure on education, better sanitation,
fewer slums, a higher level of homeownership. Therefore, entrepreneurship
assists the organisation towards a more stable and high quality of community life.
Increase Standard of Living- Entrepreneurship helps to improve the standard of
living of a person by increasing the income. The standard of living means,
increase in the consumption of various goods and services by a household for a
particular period.
Supports research and development- New products and services need to be
researched and tested before launching in the market. Therefore, an entrepreneur
also dispenses finance for research and development with research institutions
and universities. This promotes research, general construction, and development
in the economy.
 Key Differences Between Entrepreneurship and
Management

An entrepreneur is an owner of the business as he is the originator of

the business idea and a key person behind the formation of an
enterprise. At the same time, management is employees of an
organization as they have to perform their duties in the interest of
an organization and owners thereof.
Being the owner of the business, an entrepreneur bears all the risks
of success and failure of the business. He is also responsible for not
working his new business idea up to the satisfaction of the
consumers. Management is not concerned about the risk of
business failure as they are just employees of an organization and
mostly don’t hold any beneficiary interest in that organization except
a few key managerial personnel who might have shares in the
company.
 Key Differences Between Entrepreneurship and
Management

An entrepreneur gets remuneration in the form of profits out of business

only after netting all the direct and indirect expenses. They certainly have
to keep money aside for future expansion and future business
opportunities and for downturns in business cycles, which may result in not
gaining any money in the starting years. However, they may earn
abnormal profits when their company grows in the market. If any business
acquisition is made, he will get huge returns on the entire investment
made in that innovative business idea since the beginning of the project. At
the same time, management gets remuneration in the form of salary or
any incentive or commission based on their performances.
Entrepreneurs are motivated to start a new venture with their unique
business ideas. In contrast, management is encouraged to manage an
existing business of the entrepreneurs in a more effective and timely
manner.
 Key Differences Between Entrepreneurship and
Management

Being the originator of the business, entrepreneurs have all the decision
making authorities in respect of that business, whereas management
doesn’t have such decision-making authorities; instead, they have to
follow the decisions made by the owners except few key managerial
personnel who are involved in the decision-making body of the
organization.
Sustainable business growth is the primary motive of entrepreneurs,
whereas management is motivated towards accomplishing defined
organizational goals with the optimum utilization of available resources.
The overall process of entrepreneurship is centralized, whereas the
management process is decentralized due to the many hierarchies
available in an organization.
 Classification of Entrepreneurs according to the type of
Business

1. Business Entrepreneurs
Business entrepreneurs we those who conceive an idea to for a new
product or service and then create a business to convert their ideas into
reality. These entrepreneurs may be found in small business units or
big enterprises. They concentrate both on production and marketing
activities. Example: A Printing Press, bakery or a textile unit.
2. Trading Entrepreneurs
Trading Entrepreneurs are those who undertake trading activities.
These entrepreneurs do not concentrate on manufacturing activities.
They give more emphasis on distribution and marketing of goods. They
identify potential markets, create demand for the product and influence
people to buy the product. Example: Agents and Wholesalers.
 Classification of Entrepreneurs according to the type of
Business
3. Industrial Entrepreneurs
Industrial Entrepreneurs are those who concentrate in industrial and
production activities. Trey identify the needs of the customers and
manufacture a product according to their needs. They are generally
a product-Oriented entrepreneur. Example: A manufacturer of
Automobile spare parts, computer accessories.
4. Corporate Entrepreneur
Corporate entrepreneurs are those who exhibit innovative skills in
organizing and managing corporate undertaking. Example: A Trust
registered under the Trust Act.
5. Agricultural Entrepreneur
An agricultural entrepreneur is one who concentrates on agricultural
activities. These entrepreneurs concentrate on activities like raising
agricultural production, marketing of fertilizers etc.
 Classification of Entrepreneurs according to the type of
Business

6. Retail Entrepreneurs
Retail entrepreneurs are those who undertake trading activities.
They have direct contact with customers and hence they are
customer oriented. Example: An entrepreneur running a
departmental store
7. Service Entrepreneur
A service entrepreneur is one who provides services to customers.
They make profit by rendering services. Example: An entrepreneur
running a hotel or dry cleaning unit.
8. Social Entrepreneur
A social entrepreneur is one who provides importance to the society
by serving them. He concentrates on social issues and does not
aim to make profit. Example: A person running an orphanage.
 Classification of Entrepreneur according to the Stages of
Development

1. First Generation Entrepreneur

A first generation entrepreneur is one who sets up an enterprise by his
innovative skill. He combines various factors of production and
provides marketable product or services by adopting innovative ideas.
He is the first person to start an enterprise on his own. Though such a
person may have the family background of some business, such
entrepreneurs may also establish a certain business which may be
unrelated to their family business.
2. Modern Entrepreneurs or Innovative Entrepreneurs
A modern entrepreneur is a dynamic entrepreneur. He always looks
for changes and responds to the changing demand of the market. His
business ventures suits the current marketing needs.
 Classification of Entrepreneur according to the Stages of
Development

3. Classical Entrepreneur
Classical entrepreneur is a stereo type entrepreneur. He aims
at maximizing profits at a consistent level. There may or may
not be an element of growth. Survival of the firm is given
more importance by these entrepreneurs.
4. Inherited Entrepreneurs
These entrepreneurs have inherited family business or
possess experience from their family business. These
entrepreneurs may like to diversify a little from their family
business.
 Classification of Entrepreneurs according to Motivational Aspects

1. Pure Entrepreneur
A pure entrepreneur is a person who is motivated by psychological
and economic factors. Entrepreneurial task is undertaken by them
due to certain reasons. Ability to handle risk, desire to enjoy better
status, desire to get recognition in the society, thirst for making
money motivates a person to take up entrepreneurial activities.
2. Induced Entrepreneur
Induced entrepreneur are those who takes up entrepreneurial task
due to the incentives and subsides granted by the government.
Financial and technical assistance provided by the government
motivates a person to start new ventures.
 Classification of Entrepreneurs according to Motivational Aspects

Motivated Entrepreneur
They are motivated by the desire far their self-fulfillment. They
emerge because of the possibility of producing and, selling
new products. They are also motivated by economic factors.
Spontaneous Entrepreneur
A person, turns out to be an entrepreneur, because of the
natural talent vested in him. These entrepreneurs have self
confidence and emerge as challengers. They take up
entrepreneurial activity in order to tap their talents. They have
great self confidence in their talent and are highly resourceful.
 Classification of Entrepreneurs according to Technological
Aspects
1. Technical Entrepreneur
A technical entrepreneur is one who concentrates more on production
activities. He has got sound technical knowledge. He utilizes his
technical knowledge and demonstrates his innovative capabilities. He
is also known as technocrat.
2. Non-Technical Entrepreneur
A non-technical entrepreneur concentrates more on marketing
activities. He tries to find out new strategies for marketing goods. He
also promotes his business by employing various marketing methods.
3. Professional Entrepreneur
Professional entrepreneur is a person who applies innovative ideas in
setting up of a business. He is interested in establishing the
enterprises rather than managing it. Once the business is
established. the entrepreneur will sell the business to some one else .
 Classification of Entrepreneurs According to Clarence Danhof


1. Innovative Entrepreneur
An innovative entrepreneur is one who introduces new product, new
service or new market. An innovative entrepreneur is also known as
modern entrepreneur. An innovative entrepreneur can work only
when a certain level of development is reached. These
entrepreneurs introduce new changes and develop the business
after a certain level of development is reached. They invent new
products. Such kind of entrepreneurs can be seen in developed
countries, as large sum of money can be diverted towards research
and development purposes.

2. Adaptive Entrepreneur
Adaptive entrepreneur is one who adopts the successful innovations
of innovative entrepreneur. These entrepreneurs imitate the
techniques and technologies innovated by others. These
entrepreneurs can be seen both in underdeveloped and developing
countries. They also make small changes in relevance to their
market environment.
 Classification of Entrepreneurs According to Clarence Danhof

3. Fabian Entrepreneur
A fabian entrepreneur is one who responds to changes only
when he is very clear that failure to respond to changes
would result in losses. Such entrepreneurs do not introduce
new changes. They also do not desire to adopt new methods.
They are very shy and stick to old customs. They are very
cautious.
4. Drone Entrepreneurs
These entrepreneurs do not make any changes. They refuse
to utilize the opportunities and may also suffer losses. They
are very conventional. They refuse to introduce changes.
They even make losses but avoid changes. Sometimes they
may be pushed out of the market.
 Characteristics of Successful Entrepreneurs

Curiosity
Successful entrepreneurs have a distinct personality trait that sets them
apart from other organizational leaders: a sense of curiosity. An
entrepreneur's ability to remain curious allows them to continuously seek
new opportunities. Rather than settling for what they think they know,
entrepreneurs ask challenging questions and explore different avenues.
This is validated in the online course Entrepreneurship Essentials, where
entrepreneurship is described as a “process of discovery." Without
curiosity, entrepreneurs can’t achieve their main objective: discovering
new opportunities.
The drive they have to continuously ask questions and challenge the
status quo can lead them to valuable discoveries easily overlooked by
other business professionals.
 Characteristics of Successful Entrepreneurs
Structured Experimentation
Along with curiosity, entrepreneurs require an understanding of structured
experimentation. With each new opportunity, an entrepreneur must run tests
to determine if it’s worthwhile to pursue.
For example, if you have an idea for a new product or service that fulfills an
underserved demand, you’ll have to ensure customers are willing to pay for
it. To do so, you’ll need to conduct thorough market research and run
meaningful tests to validate your idea and determine its potential.
Adaptability
The nature of business is ever-changing. Entrepreneurship is an iterative
process, and new challenges and opportunities present themselves at every
turn. It’s nearly impossible to be prepared for every scenario, but successful
business leaders must be adaptable. This is especially true for entrepreneurs
who need to evaluate situations and remain flexible to ensure their business
keeps moving forward, no matter what unexpected changes occur.
 Characteristics of Successful Entrepreneurs
Decisiveness
To be successful, an entrepreneur has to make difficult decisions and stand by
them. As a leader, they’re responsible for guiding the trajectory of their business,
including every aspect from funding and strategy to resource allocation.
Being decisive doesn’t always mean being correct. If you want to be an
entrepreneur, it means having the confidence to make challenging decisions and
see them through to the end. If the outcome turns out to be less than favorable,
the decision to take corrective action is just as important.

Team Building
A great entrepreneur is aware of their strengths and weaknesses. Rather than
letting shortcomings hold them back, they build well-rounded teams that
complement their abilities.
In many cases, it’s the entrepreneurial team, rather than an individual, that drives
a venture toward success. When starting your own business, it’s critical to
surround yourself with teammates who have complementary talents and
contribute to a common goal.
 Characteristics of Successful Entrepreneurs
Risk Tolerance
Entrepreneurship is often associated with risk. While it’s true that launching a venture
requires an entrepreneur to take risks, they also need to take steps to minimize it.
While many things can go wrong when launching a new venture, many things can go
right. According to Entrepreneurship Essentials, entrepreneurs who actively manage
the relationship between risk and reward position their companies to “benefit from the
upside.”
Successful entrepreneurs are comfortable with encountering some level of risk to reap
the rewards of their efforts; however, their risk tolerance is tightly related to their efforts
to mitigate it.
Comfortable with Failure
In addition to managing risk and making calculated decisions, entrepreneurship
requires a certain level of comfort with failure.
It’s estimated that nearly 75 percent of new startups fail. The reasons for failure are
vast and encompass everything from a flawed business model to a lack of focus or
motivation. While many of these risks can be avoided, some are inevitable.
Despite this, successful entrepreneurs must prepare themselves for, and be
comfortable with, failure. Rather than let fear hold them back, they allow the possibility
of success to propel them forward.
 Characteristics of Successful Entrepreneurs

Persistence
While many successful entrepreneurs are comfortable with the possibility of failing, it
doesn’t mean they give up easily. Rather, they see failure as an opportunity to learn and
grow.
Throughout the entrepreneurial process, many hypotheses turn out to be wrong, and
some ventures fail altogether. Part of what makes an entrepreneur successful is their
willingness to learn from mistakes, continue to ask questions, and persist until they
reach their goal.
Innovation
Many ascribe to the idea that innovation goes hand-in-hand with entrepreneurship. This
notion is often true. Some of the most successful startups have taken existing products
or services and drastically improved them to meet the changing needs of the market.
Innovation is a characteristic some, but not all, entrepreneurs possess. Fortunately, it’s a
type of strategic mindset that can be cultivated. By developing your strategic thinking
skills, you can be well-equipped to spot innovative opportunities and position your
venture for success.
 Characteristics of Successful Entrepreneurs

Long-Term Focus
Finally, most people think of entrepreneurship as the process of
starting a business. While the early stages of launching a venture are
critical to its success, the process doesn’t end once the business is
operational.
According to Entrepreneurship Essentials, “it’s easy to start a
business, but hard to grow a sustainable and substantial one. Some
of the greatest opportunities in history were discovered well after a
venture launched.”
Entrepreneurship is a long-term endeavor, and entrepreneurs must
focus on the process from beginning to end to ensure long-term
success.
 Women in Entrepreneurship
Until a few decades ago, the mention of an average Indian woman would
elicit a picture in our minds of a woman inside a house, cooking and
serving her family members, looking after the kids or caring for the elderly
and sick members at home.
Of course there were working women who stepped out of their homes but
mostly engaged in conventional professions like teaching, banking,
hospitality industry etc. Now, with an increasing count of women
entrepreneurs in India, women are taking up all professional spaces and
leading them with empathy and confidence.
But the idea of women entrepreneurs was still dealt with resistance and
hostility in India almost until the 1990s. Deep rooted patriarchy, social
prejudices, traditional and cultural norms were few of the obstacles
blocking the way of any Indian woman taking the entrepreneurial path.
However, despite all odds, there are women who withstood every
hindrance and dared to chase their dreams. With their sheer
perseverance, courage and talent these women have proved their mettle
as successful entrepreneurs.
 Women in Entreneurship
She is the Founder and chairperson
of Biocon India, the first Indian
company to produce and export
enzymes to the U.S and Europe.
She started Biocon India from the
garage of her house, with a seed
capital of just INR 10,000/-. From
manufacturing industrial enzymes,
she eventually led Biocon to evolve
into a completely integrated
biopharmaceutical company. Net
worth 250 cr USD
 Falguni Nayyar
She quit her job in investment banking to tread on the path of her
entrepreneurial journey with Nykaa in 2012, just months before
turning 50 years. Net worth 280 cr USD
 Aditi Gupta
Aditi along with her husband started a website called
Menstrupedia in 2012 which provides user-friendly
information about menstruation, hygiene and puberty through
comic books and relatable media. Menstrupedia’s resources
have benefitted around 13 million girls and women across the
world.
 Shaikh Razia

Chattisgarh based microbiologist Shaikh Razia, has

transformed the way people look at Mahua flowers.
Mahua (Madhuca Longifolia) usually associated with
the making of alcohol, consumed by tribal people also
has great nutritious value.
After discovering the health benefits of mahua flower,
Razia started Bastar foods, a business venture which
engaged local tribal women to produce ladoos and
other healthy snacks from Mahua flowers. She also
established proper market linkages to sell the
products. Currently Bastar Foods has 8 manufacturing
units and provides gainful employment to around 350
tribal women.
 Pabiben Rabari

Belonging to the Rabari or Rewari community, an indigenous

nomadic tribe of cattle herders, Pabiben is the founder of one of
India’s first Women Artisan Enterprises, Pabiben.com. Through
hard work and perseverance, she has transitioned from a daily
wage worker to an artisan and now a successful businesswoman
who has put the traditional Rabari art of intricate embroidery
work on the world stage
 Chayaa Nanjappa
She is the founder and managing partner of Nectar Fresh, a social
enterprise engaged in sourcing and processing natural honey.
Government Schemes for Women Entrepreneurs
1. Bharathiya Mahila Bank Business Loan: Under this
scheme, women entrepreneurs can avail of loans up to ₹20
crore. No collateral is needed for loans up to ₹1 crore.
2. Mudra Yojana: Mudra Yojana is beneficial for women who
are seeking to start a small business. Women can apply for
loans up to ₹10 lakh under the Mudra Yojana.
3. Dena Shakti Scheme: This scheme is ideally suited for
women entrepreneurs engaged in the following sectors:

Manufacturing

Retail

Microcredit organisations

Agricultural business

Education

Housing
Government Schemes for Women Entrepreneurs

4. Udyogini Scheme: This scheme is specifically for

women entrepreneurs with a family income of less
than ₹1.5 lakh per annum. The loan can be availed of
up to ₹3 lakh with a very low-interest rate.
5. Cent Kalyani Scheme: This is a scheme launched
by the Central Bank of India where loans up to ₹1
crore are sanctioned without any collateral or
processing fees.
6. Mahila Udyam Nidhi Scheme: This scheme was
launched by the Punjab National Bank to support
Small Scale Industries (SSI). Under this scheme, a
loan up to ₹10 lakh can be sanctioned with 10-year
repayment tenure.
 Challenges for Women Entrepreneurs

1. Funding Issues: Women in India do not own much property or

assets. This acts as a hurdle when they need to find collateral for
bank loans. As per The Guardian’s report, men are 86% more likely
to secure investments from venture capitalists than women. Funding
issues have been one of the significant problems of women
entrepreneurs.
2. Social Bias: There is still a lot of social bias against women in
business. Women are more often encouraged to their traditional
roles of being a caretaker and homemakers.
3. Lack of Access to Professional Networks: Women
entrepreneurs often struggle because of limited access to the
professional network in a male-dominated space. Over 45% of small
business owners suffer due to a lack of network support.
4. Limited Mobility: Women entrepreneurs often find it difficult to
travel or stay alone due to safety issues. While financially well-off
women invest in personal vehicles, it is still a dream for many
women entrepreneurs.
 What is Corporate entrepreneurship?

Corporate entrepreneurship is the process of

creating new opportunities and value for a
company through innovative and
entrepreneurial thinking.
It's about identifying new ways to grow a
business, whether that's through developing
new products, services, or processes, or by
investing in new ventures.
 Types of Corporate Entrepreneurship
Innovation
Innovation refers to the process of creating new products, services, or
processes. This type of corporate entrepreneurship allows companies to stay
ahead of the competition by introducing new and improved products to the
market.
Innovation can be done through research and development, design thinking,
customer feedback, and market research.
It can be applied to the company's products, services, processes, or even
business models.

Intrapreneurship
Intrapreneurship is when employees within a company take on
entrepreneurial roles and responsibilities.
This type of corporate entrepreneurship encourages employees to think
outside the box and come up with new and innovative ideas for the company.
Intrapreneurship can be fostered by creating a culture of innovation, providing
resources and support, and recognizing and rewarding employees for their
contributions.
 Types of Corporate Entrepreneurship
Corporate Venturing
Corporate venturing is when a company invests in or
acquires a new venture.
This type of corporate entrepreneurship allows
companies to diversify their revenue streams and enter
new markets.
Corporate venturing can take many forms, such as
investing in startups, incubating new ventures, or
acquiring established companies.
This type of corporate entrepreneurship allows
companies to tap into new technologies, business
models, and markets, and can also bring in new talent
and expertise to the company.
 Benefits of Corporate Entrepreneurship
Increased competitiveness: By constantly seeking new
opportunities for growth, companies can stay ahead of the
competition and maintain a competitive edge in their industry.
Diversification of revenue streams: Corporate
entrepreneurship allows companies to diversify their revenue
streams by entering new markets or developing new products
or services. This can reduce dependence on a single product
or market, and provide a buffer against market fluctuations.
Improved organizational culture: Encouraging a culture of
innovation and allowing employees to think like entrepreneurs
can improve the organizational culture and boost employee
engagement.
New opportunities for growth: Corporate entrepreneurship
opens up new opportunities for growth and expansion, which
can lead to increased revenue and profitability for the
company.
 Challenges of Corporate Entrepreneurship
Risk aversion: One of the main challenges of corporate entrepreneurship is
risk aversion.
Many companies may be hesitant to invest in new ventures or try new things
because of the potential for failure. This risk aversion can stifle innovation
and prevent companies from taking advantage of new opportunities.
Bureaucracy: Large companies may have complex processes and
procedures in place that can slow down or prevent new ideas from being
implemented.
This can make it difficult for employees to take on entrepreneurial roles and
can limit the company's ability to adapt to changing market conditions.
Limited resources: Companies may not have the financial or human
resources necessary to invest in new ventures or projects.
This can make it difficult to implement new ideas or initiatives.
Organizational culture: A lack of an entrepreneurial culture can also be a
challenge.
Many companies may have a culture that is not conducive to innovation and
entrepreneurship.
This can make it difficult for employees to think outside the box and for the
company to adapt to changing market conditions
 What Is Social Entrepreneurship

Social Entrepreneurship is when an individual or a

group of people take up the responsibility to solve
the prevailing problems of society.

It could be a low-key affair or a large-scale drive that

involves the masses. What matters is that the activity
or initiative solves a problem and brings about a
positive change in someone’s life.
 Types of Social Entrepreneurship
1. Community Social Entrepreneur: Community social entrepreneurs are
small-scale changemakers. A community social entrepreneur can be a young
individual teaching underprivileged kids in a town, a group of college students
running sanitation and plantation drives in a city or one or more organizations
working for social good.
Community social entrepreneurs work in specific geographies and communities
but for a wide variety of causes. From hygiene and sanitation to employment
and food distribution services and from plantation and environment safety to
providing employment to deserving ones, they do it all.
These types of social entrepreneurs are the ones who bring about instant
change and strive for more.
2. Non-Profit Social Entrepreneur: These social entrepreneurs believe in
reinvesting profits. So, along with the initial cost, they put their profits into the
cause.
For instance, if the initial project was to educate kids from underprivileged
backgrounds and they received more funds than required to facilitate the
initiative, they will utilize the surplus to educate women and expand their
portfolio.People who have a business-oriented mindset prefer this type of social
entrepreneurship. Not just that, but companies and organizations chose non-profit social
entrepreneurship to utilize their social goodwill for the cause.
 Types of Social Entrepreneurship
3. Transformational Social Entrepreneur: These entrepreneurs focus on
establishing a business that can solve a purpose that government initiatives and
other businesses can’t.
Transformational social entrepreneurship is more like running an organization
where you hire skilled people, think of newer ways to stay relevant in the market,
follow the guidelines issued by governments and do everything that an enterprise
does.
The larger picture for transformational social entrepreneurs includes a
collaborative set-up of multiple businesses serving society collectively and
individually.
Some examples of transformational social entrepreneurship are CRY (Child Rights
and You), Goonj and JusTea.
4. Global Social Entrepreneur: Global social entrepreneurs think on a larger
scale and focus on changes required at the global level. They put social
responsibility above profits.
They usually collaborate with organizations working on similar causes in specific
regions/countries. One of the most relevant examples of this type of social
entrepreneurship is the Make A Wish Foundation. Headquartered in Phoenix,
Arizona, it actively works in around 50 countries, fulfilling the wishes of critically ill
children.
 Characteristics Of A Social Entrepreneur
Leadership: You can’t meet your goals without a highly motivated team
assisting you. A good, inspirational leader is a must for every cause. They
can influence opinions as well as physical outputs.
Emotional Balance: Social work requires both empathy and a practical
approach at the same time. A highly emotional person might get
overwhelmed, but an emotionally balanced person will handle difficult
situations better.
Vision: Visionaries come up with the best solutions to social problems.
Because they’re thinking of long-term, permanent resolutions.
Ability To Multitask: Entrepreneurship and multitasking go hand-in-hand.
Only an exceptional manager can juggle meetings, pitches, on-site activities,
sourcing, production and whatnot.
Decision-making: Social entrepreneurs must prioritize and make sound
decisions as they affect the lives of people in need. They need to think of a
situation holistically and make a sound and rational decision.
Open To Collaboration: Social entrepreneurship cannot be done in
isolation. Entrepreneurs need to be open to collaboration and partnerships.
Every project needs people with a different expertise and skill set. A social
entrepreneur needs to work with a wide range of people to achieve their
vision.