Table answers in detail with right examples. 1.0) Introduction

 

 

 

Table of content

Introduction………………………………………………………………………………….…………….2

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Solving
world problems and providing employment opportunities……………………….……………..2

Raising
the competition in the market develop the efficiency of the products and
manufacturing.…..3

Commerce
and regional economic integration………………………………………………………..….3

Investing
in services and products……………………………………………………………….….……..3

Entrepreneurs
the agents of change ……………………………………………….……………..………4

Conclusion……………………………………………………………………….………………………..4

References………………………………………………………………………….……………………..4

 

 

Question

How entrepreneurs contribute to
economic development of a country and is this considered entrepreneurs as an
agent of change. Explain your answers in detail with right examples.

 

 

 

 

 

1.0)        
Introduction

Entrepreneurship may be defined as “the procedure of  innovation 
and using opportunities  with  lots 
of  effort  and 
perseverance  together  with 
accepting  financial,
psychological  and  social 
risks”.  It is indeed motivated by
earning profit  promotion,  self-satisfaction and independence” (Hisrich,
2007: 172). Due to that in many situations entrepreneurs are scientist,
inventors and people with visions which give them the power and influence to
affect the economic situation by creating new jobs and opportunities for other
people or by making new products and markets which stimulate and develop the
economy. Entrepreneur can affect every aspects of economy starting from
revolutionize the industry as what happened with Henry Ford in  the industrial revolution, the way we view
the world like Thomas Edison and the bulb light or change the consumer
purchasing habits like Jeff  Bezos  and Amazon. Entrepreneurs are one of the main
driver forces of any macro economy. In other words entrepreneurs help developing
the economy by raising the competition in the market, develop the efficiency of
the products and manufacturing, investing in services and products, solving
world problems and providing employment opportunities.

 

1.1)   Solving world
problems and providing employment opportunities

Every business needs human resources. By creating new businesses
entrepreneurs create new jobs opportunities which ill increase the live
standard of the country and the purchasing power of its citizens then leads to
its economy to develop. Estonia is eastern European country in 2009 it
suffered severe damage due to the economic crises which lead the government to
cut the spending and fire 30% of the government’s employee. The unemployment
rate rose from 4% to 19% which led to huge decrease in their GDP. This crisis
led many people to start their own companies and become entrepreneurs. One of
those companies was Skype. In 2017 the unemployment rate was only 6% with most
of the employment depending on the private sector.

1.2)        
Raising the competition in the market develop the efficiency of the products and manufacturing

 

In free market, entrepreneurs have the opportunities to invent and
develop new products and services. With the high competition, businesses have
to provide better services and products which leads to more developing and the
rise in the living standards of the community.

1.3)           
Commerce
and regional economic integration.

With today’s technologies, small entrepreneurs have opportunities
to sell and export their products to international markets. This revenue leads
to increase in the country export then the development of the country economy.one
example is Amazon the famous site which allows small entrepreneurs to sell
their product to people from every part of the world while their taxes are paid
to their governments.

1.4)        
Investing in services and products

Entrepreneurs don’t have to be inventors them self. A lot of
entrepreneurs make businesses by investing in other people ideas. By doing this,
they help creating new businesses and new entrepreneurs which helps developing
the economy. Reid Hoffman is
an American internet entrepreneur, venture capitalist and author. Hoffman was
the co-founder and executive chairman of LinkedIn, a business-oriented social
network used primarily for professional networking. He is currently a partner
at the venture capital firm Greylock Partners. On the Forbes 2017 list of the
world’s billionaires

2.0)        
Entrepreneur as an agent of change

.A change agent is a person from
inside or outside the organization who helps an organization transform itself
by focusing on such matters as organizational effectiveness, improvement, and
development. as we discussed earlier successful entrepreneur must have all this
quality and ability. An Entrepreneur doesn’t always have to be the founder of a
business. He could be an agent of change that could transform an organization
or a product and make it better. Tan Sri Anthony Francis an
entrepreneur who managed to flip a failing government owned company to a
successful business by changing the company structure and marketing philosophy
now Air Asia is   huge success story.

 

Conclusion

In conclusion entrepreneurs have the power and influence to develop
the economy by solving world problems and providing employment opportunities, raising
the competition in the market develop the efficiency of the products and
manufacturing, Investing in services and products and Commerce and regional
economic integration, Or by being the agent of change flipping a failing bossiness
to a successful one.

 

 

3.0)        
References

–      
A study on the effect of entrepreneurship on economic
growth (PDF Download Available). Available from:https://www.researchgate.net/publication/268509407_A_study_on_the_effect_of_entrepreneurship_on_economic_growth
accessed Jan 26 2018.

–      
http://www.businessdictionary.com/definition/entrepreneurship.html