An entrepreneur is an individual who accepts some sort of risk — usually financial — in the pursuit of new ventures. The word can apply to any person organizing a new project or opportunity, though it is most often used in a business context. A person in this role is often characterized as innovative, independent, optimistic, creative and hard-working
Creative destruction
In some circles, entrepreneurs are described as ‘creative destructionists’ of products and services. Although they may reinvigorate an existing industry by using new methods, whether of production, organization or structure, they also work to tear down the existing companies and ways of doing business by developing entirely new products or services that make older versions obsolete or irrelevant.
Risk
Risk is perhaps the primary characteristic of entrepreneurship This does not necessarily mean that the entrepreneur has an infinite tolerance for risk; instead, it means that the successful entrepreneur is able to determine how much risk is appropriate for a particular project. He or she must accept enough risk to innovate and create, but not so much that the business or activity is not profitable.
Financial risk is the most common sort of risk that entrepreneurs face. They often have to contribute their own money as well as that of other parties to a particular project. Failure may cost not only their own livelihood and savings, but that of other investors too. If the venture is successful, however, the financial rewards may be great.
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