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ROLE OF AN ENTREPRENEUR
In order to become successful, an entrepreneur needs to perform different roles. The following are the roles of an
entrepreneur:
• Innovator’s Role: An entrepreneurship is about new and creative ideas converted into a real world of business
which is beneficial both for the entrepreneur in making profits and for the customer in getting a new product in the
market. All those once was just an idea but only entrepreneurs brought those ideas to life.
• Agent’s Role: Entrepreneurs are considered as ‘Agents of Change’. They look for opportunities that help in converting
their dream or passion into reality by initiating and creating a business and converting all the challenges faced into
a new successful product. This product creates a new market and helps in raising the standards of the community
and contribute to the overall development of the economy.
• Risk Assumption Role: An entrepreneur assumes all possible risks of business rising from unstable market conditions,
change in the customers preferences, new emerging technologies in the production, change in environmental
factors, and fluctuations in the profits.
• Capital Formation Role: Setting up an enterprise needs investment. This investment can be taken from personal
savings, loans, shares etc. The money is utilized in the capital formation like developing infrastructure in the nearby
area, developing the network and transport facilities. All these efforts help in the company trade and capital
formation of the country.
• Employment Generation Role: Entrepreneurs generate employment for both skilled and unskilled labourers by
setting up large and small-scale businesses. This leads to the reduction in unemployment levels in the country.
India currently houses the world's third largest startup ecosystem, with 38 firms being
valued at over $1 billion.
IMPORTANCE OF ENTREPRENEURS
An entrepreneur does the maximum utilization of resources for the production and management of his business which
plays an important role in the development of any country. The importance of an entrepreneur for the development
of the country is listed below:
• Free Market Evolution: Free market is a place where the production of a product is controlled by the demand and
supply of a product. Entrepreneurs are important in a free market as they create a demand for the existing products
in an innovative way matching with the consumer preferences.
• Efficiency Improvements: An entrepreneur boosts up the country’s economy by providing new ventures with
improved infrastructure, jobs to the people, and good quality products with the implementation of new updated
technologies. All this helps in improving the standard of living of the people in the society.
• New Markets: An entrepreneur brings new and innovative ideas to his business to create a new demand for his
products that helps in creating a new market. UBER company owners provided taxi services in a new way of hiring
people with cars and then serving to the people in need through a common platform. All this created a new market
of taxi booking through online platforms.
• New Values: Many of the entrepreneurs provide new values by creating or promoting ethical products that help in
the welfare of a society. They bring awareness like, products are not tested on animals, they are chemical free that do
not contribute to the pollution of the environment, pesticide free, and eco-friendly and do not support child labour.
Entrepreneurial Skills-II 111

