1. Entrepreneurship
Entrepreneurship is the act of being an entrepreneur, which is a French word meaning "one who
undertakes innovations, finance and business acumen in an effort to transform innovations into economic
goods".
Entrepreneurial activities are substantially different depending on the type of organization that is being
started. Entrepreneurship ranges in scale from solo projects (even involving the entrepreneur only part-
time) to major undertakings creating many job opportunities. Many "high value" entrepreneurial ventures
seek venture capital or angel funding (seed money) in order to raise capital to build the business. Angel
investors generally seek annualized returns of 20-30% and more, as well as extensive involvement in the
business. Many kinds of organizations now exist to support would-be entrepreneurs, including specialized
government agencies, business incubators, science parks, and some NGOs.
The entrepreneur is the agent "who unites all means of production and who finds in the value of the
products...the reestablishment of the entire capital he employs, and the value of the wages, the interest,
and rent which he pays, as well as profits belonging to himself."
STAGES OF EVOLUTION OF ENTREPRENEURSHIP
The evolutionary process of entrepreneurship activities may be divided into
the following broad stages:
1. Hunting Stage: - The primary stage of the evolution of the economic life
of man was hunting stage. Wants were limited and very few in numbers. The family members themselves
satisfied problems of food, clothing and shelter. Producers were the consumers also. Robinson Crusoe,
living in the deserted island, satisfying his own requirements had no knowledge of business. People in
some parts of Africa and India still lead this type of life. In this stage problems of production and
distribution were not complexes since wants were simple and limited.
2. Pastoral Stage: - With the progress of mankind gradually mental understanding developed and people
started realizing that instead of killing animals, they should breed and rear them. Thus cattle breeding
encouraged the use of milk, and they had to think in terms of grazing areas for their cattle. The surplus
milk, meat and other related products were spared of exchange. This stage can be termed as the first
stage of economic development and the beginning of commerce.
3. Agricultural Stage: - In search of grazing areas, they further realized that they should grow plants as
food for animals. They started testing some grain products and slowly developed a taste in plants and the
land was used for cultivation. Groups of persons started living together on their agricultural fields, which
were subsequently converted into small villages with their farms. Free exchange of goods was started
and the activities were also divided to the extent of division of labor at the village level to complement the

2. needs of each other. Initially each village was self sufficient, but later they began small trading activities
on barter system.
4. Handicraft Stage: - In the agricultural stage, people started learning the use of cloth made of cotton
products, and they developed the segments of the workers for different activities. Cottage scale setup
was developed at the village level to nearby villages, and in exchange they brought requirements either to
consume themselves or for their village friends. Since the demand for gold coins, silver coins, skin and
hide etc increased the activities of cobblers, gold smiths, and blacksmiths, laborers also rapidly
increased, and caste system was also formed on the basis of activities they did. Everybody selected their
job according to their own choice and taste.
5. Present Industrial Stage: - The use of mechanical devices and the commonly acceptable form of
monetary system accelerated the growth of entrepreneurship activities. The progress of science and the
increase in the means of transportation and communication enabled to travel widely and the markets
were developed in the country and abroad.
Difference between entrepreneur and intrapreneur
Entrepreneurship is the practice of embarking on a new business or reviving an existing business by
pooling together a bunch of resources, in order to exploit new found opportunities.
Intrapreneurship is the practice of entrepreneurship by employees within an organization.
1) An entrepreneur takes substantial risk in being the owner and operator of a business with
expectations of financial profit and other rewards that the business may generate. On the
contrary, an intrapreneur is an individual employed by an organization for remuneration, which is
based on the financial success of the unit he is responsible for.
2) Intrapreneurs share the same traits as entrepreneurs such as conviction, zeal and insight. As the
intrapreneur continues to expresses his ideas vigorously, it will reveal the gap between the
philosophy of the organization and the employee.
3) Intrapreneurs create new businesses for an existing business while Entrepreneur aims at starting
a new business.
4) If the innovative idea doesn’t work in case of an intrapreneur, the loss is suffered by the
organization, but if the idea does not work in case of entrepreneur the loss is suffered by the
entrepreneur himself.
5) Intraptreneurial startups were inclined to concentrate more on business-to-business products
while entrepreneurial startups were inclined towards consumer sales.
Difference between entrepreneurship and manager
The terms Entrepreneur and Manager are considered one and the same. But the two terms have different
meanings.
The following are some of the differences between a manager and an entrepreneur.
1) The main reason for an entrepreneur to start a business enterprise is because he comprehends the

3. venture for his individual satisfaction and has personal stake in it where as a manager provides his
services in an enterprise established by someone.
2) An entrepreneur and a manager differ in their standing, an entrepreneur is the owner of the
organization and he bears all the risk and uncertainties involved in running an organization where as a
manager is an employee and does not accept any risk.
3) An entrepreneur and a manager differ in their objectives. Entrepreneur’s objective is to innovate and
create and he acts as a change agent where as a manager’s objective is to supervise and create
routines. He implements the entrepreneur’s plans and ideas.
4) An entrepreneur is faced with more income uncertainties as his income is contingent on the
performance of the firm where as a manager’s compensation is less dependent on the performance of the
organization.
5) An entrepreneur is not induced to involve in fraudulent behavior where as a manger does. A manager
may cheat by not working hard because his income is not tied up to the performance of the organization.
6) Entrepreneur is required to have certain qualifications and qualities like high accomplishment motive,
innovative thinking, forethought, risk-bearing ability etc. Conversely it’s mandatory for a manager to be
educated in the fields of management theories and practices.
7) An entrepreneur deals with faults and failures as a part of learning experience where as a manager
make every effort to avoid mistakes and he postpones failure.
8) An entrepreneur could be a manager but a manager cannot be an entrepreneur”. An entrepreneur is
intensely dedicated to develop business through constant innovation. He may employ a manager in order
to perform some of his functions such as setting objectives, policies, rules etc. A manager cannot replace
an entrepreneur in spite of performing the allotted duties because a manager has to work as per the
guidelines laid down by the entrepreneur.
On the downside, typical manager brings professionalism into working of an organization. They bring
fresh perspectives, ideas and approach to trouble shooting which can be invaluable.
Attributes and Characteristics of Successful Entrepreneur
1) Successful entrepreneurs see their success even before it happens. They can see it, taste it, feel it and
hear it because they take the time to visualize their success. They take the time to "see" every detail of
their success in their minds until it becomes a strong force in their daily lives.
2) Successful entrepreneurs believe they can be successful. With a high level of belief and trust in
themselves as well as a strong confidence, successful entrepreneurs know that they can do what they are
planning to do. It is this belief, trust, and confidence that promote successful thinking as well as
successful "doing".

4. 3) Successful entrepreneurs have a plan for their success and have the discipline to follow it. They take
the time to plan their work and work their plan. They take time to research every detail and aspect of their
business and are able to break general ideas into specific steps. Then, they diligently do what they set
out to do.
4) Successful entrepreneurs are people focused. When you become an entrepreneur, you are in the
people business. A successful entrepreneur works to purposefully serve the needs of the people in one
way or another. They know that the more you focus on serving the needs of your customers and team,
the more successful become.
5) Successful entrepreneurs think "out-of-the-box". They look at what's already been done and find ways
to set themselves apart and stand out. Successful entrepreneurs think creatively (which is especially
helpful in being an effective problem solver) to decide how they can best accomplish their goals. They
look at different ways to work things in their business and strategize the best way to get there.
6) Successful entrepreneurs create a team to help them. Entrepreneurs realize that it's other people that
make them successful. They also know that they don't and can't possibly know everything to make them a
success. They instead focus on multiplying their efforts through other people's skills and talents.
Successful entrepreneurs focus on finding and raising other team members to achieve their success.
7) Successful entrepreneurs focus on continual learning. Successful entrepreneurs have no problem
letting you know that they don't know everything there is to know, but they are also willing to take the time
to find out. Learning is a lifelong standard of the successful entrepreneur.
8) Successful entrepreneurs act with an attitude of excellence. They take the time to work on themselves
so they can be the best they can be. Integrity, honesty, reliability, and accountability are just some of the
characteristics that make a successful entrepreneur. They know that an excellent attitude passes on to
whomever they see and work with. They also know that having an attitude of excellence reaps the benefit
of having favor in their lives.
9) Successful entrepreneurs are effective problem solvers. They see the opportunities in every problem
and overcome them. Instead of thinking "I can't", they think "how can I?" Successful entrepreneurs look
for solutions instead of reasons why something can't be done.
10) Successful entrepreneurs are determined to succeed. Bull-dogged determination and persistence
make your success a reality. They don't allow the weights and pressures of reaching their goal prevent
them from attain their success. They take steps to keep themselves motivated and encouraged.

5. Role of Entrepreneurship in Indian Economy
Indian entrepreneurship is second to none and activity levels are at an all time high. According to the
Global Entrepreneurship Monitor 2006, one in every ten Indians is engaged in some entrepreneurial
activity or the other. Of this, opportunity based entrepreneurship (70 percent) is significantly higher than
necessity based.
A lot of entrepreneurship activity is centered on the IT and BPO industry; but, there are a few outstanding
examples in other fields. These companies have successfully exploited a product, service, or business
model to create a step change in the market structure. This new breed of entrepreneurs made their own
rules and revolutionized the way business was done. They used a winning combination of customer
insight, industry knowledge, and out of the box thinking to create winning innovations. While Ambani’s
Reliance Communications made mobile telephony affordable to the common man, Captain Gopinath’s Air
Deccan made air travel as commonplace as travel by train and Biyani’s Big Bazaar changed the face of
retail in India. Tata Motors with their $2,000 car promise to do the same to the auto sector. Steve Ballmer
once said, ”I worry more about disruptive business models than competitors”.
Entrepreneurs are driving the growth of the Indian economy. For the first time in 200 years, India is
getting back its position as an economic power. With GDP growing at 8+ percent, experts are expecting
the Indian economy to overtake developed countries in the decades to come.
The Indian entrepreneur is thinking big and aiming high. The recent spate of global acquisitions by Indian
industry leaders has forced the business community the world over to sit up and take notice of Indian
economic power. The Tata-Corus deal set the tone for the year and was followed by Birla’s acquisition of
Novelis. With the Indian rupee up against the dollar and the global economy as playing field, we can
expect to see more such deals in the future.
There is enough reason to be optimistic about India’s entrepreneurial energy. However, we need to
create an ecosystem that will foster and support early stage entrepreneurs. This will enable a scalable
and sustainable model for creating a new breed of entrepreneurs in the years to come.