Entrepreneurship is the act of entrepreneurship, that is, doing something new and different within a market, a company or for society. In the business world, the term refers to the search for new opportunities through creativity and innovation.
One of the most common forms of entrepreneurship is the opening of new companies, initially small. For this reason, it is common for any individual who dares to open his own business to be called an entrepreneur.
However, the formal definition of entrepreneurship presupposes putting into practice a new idea, offering an unprecedented service or product or adopting a new way of doing something that already exists. To be a true entrepreneur, therefore, it is necessary to be, in a way, a pioneer.
Entrepreneurship in companies
Despite being closely linked to the emergence of new businesses, the concept of entrepreneurship can also be applied to companies already consolidated in the market. In this case, it is called corporate entrepreneurship, internal entrepreneurship or intrapreneurship.
Corporate entrepreneurship is the search for innovative ways to further increase the profit and growth of a company, diversifying the range of businesses or introducing new work methods or products on the market.
An intrapreneur does not necessarily have to be the owner or manager of the company. The term applies to any employee with vision and initiative, able to identify problems and discover solutions that benefit the business as a whole.
For this reason, corporate entrepreneurship usually develops where there is a specific business culture. This culture should encourage employees to engage in the company’s development. In addition, it should allow space for the presentation of new ideas.
When the main objective of the entrepreneur when putting his idea into practice is not profit, but an improvement in society, his activity is classified as social entrepreneurship.
Environment, education and health are some of the areas in which social entrepreneurship can develop.
What defines social entrepreneurship is that innovation must be accompanied by the application of the concept of social responsibility. However, despite being guided by a cause, the social entrepreneur works for profit. It is in this respect that it differs from a Non-Governmental Organization (NGO).
We could mention, as an example of social entrepreneurship, a brand that trains artisans in a certain community. This brand aims to professionalize its traditional activities by opening markets for products manufactured after purchasing them at fair prices.
Digital entrepreneurship uses the internet as a business platform to offer differentiated products or services after identifying a niche market.
The term can be applied to websites, blogs, pages on social networks, YouTube channels or even newsletters sent by email, as long as they aim to generate profit.
The innovation that characterizes digital entrepreneurship does not necessarily have to be linked to the creation of a new company. An already established brand can undertake digitally if it expands its business by creating an e-commerce platform, for example.
An example of digital entrepreneurship is the startups responsible for creating social networks or innovative applications. But not every digital venture is a startup, as this business model presupposes rapid growth.
Serial entrepreneurship is the ability to successfully implement various innovative business ideas.
The serial entrepreneur is the type of professional who is constantly looking for new opportunities. He has a vision to identify market demands and niches, an initiative to transform these ideas into new businesses and talent to make them prosper.
The serial entrepreneur is responsible for new business ideas, but not necessarily for management. He can only be an incentive for the first steps of the new company, giving the necessary support in the beginning, but withdrawing from the operation after the project is established, being free to face a new challenge.
How did the term entrepreneurship come about?
Although the act of seizing opportunities through innovation is almost as old as humanity, the use of the term entrepreneurship has its roots in the work of the Austrian economist Joseph A. Schumpeter, with the publication of the book “Capitalism, socialism and democracy”, in 1942.
Schumpeter used the term entrepreneur to refer to the agent responsible for the process of creative destruction that he considered the essence of capitalism. Creative destruction is the process of replacing old products, companies and practices, which become obsolete and cease to exist in the face of market innovations.