Today we are going to be looking at the top 16 benefits and importance of entrepreneurship but first let us define the word “Entrepreneurship”
What is Entrepreneurship?
Entrepreneurship is the dynamic process of creating incremental wealth and innovating things of value that have a bearing on the welfare of an entrepreneur.
It provides civilization with an enormous amount of goods and services and enhances the growth of social welfare.
Now the big question is: Why do people become self-employed?
Well since even being an entrepreneur is not always easy as there are so many challenges to overcome, from finding the right business idea to getting the capital/loan to reaching the right target market, among other things.
However, some people choose self-employment to bring to life their visions and ideas.
Meanwhile, others do it for the potentially higher income. Still, others do it because they know they are meant to be an entrepreneur.
The main importance of entrepreneurship is the creation of job opportunities, innovation, and improve the economy.
The man or woman behind the entrepreneurship is an action-oriented and highly motivated individual who is ready to achieve his or her goals in life.
1. The Freedom to Pursue your Own Vision
Imagine you having your own view of the world, and entrepreneurship is surely the only avenue where you can pursue that view and see the fruition of your vision.
Self-employment allows you to do your own thing, at your own free will and pursue those areas that you feel passionate about.
2. The Control and Flexibility you have over your own time
As your own boss, you work when you want to work; and stop if you want to stop. You can tailor your work according to your lifestyle and accommodate various tasks.
You can work in however way you please in your singlets, with the TV loudly blaring without getting a memo from the personnel department.
Self-employment means freedom from rules……. Smiles!
3. Entrepreneurship Promotes Creation of Job Opportunities
Entrepreneurship firms contributed a large share of new jobs. It provides entry-level jobs so necessary fur training or gaining experience for unskilled workers.
The small enterprises are the only sector that generates a large portion of total employment every year.
Moreover, entrepreneurial ventures prepare and supply experienced labor to large industries.
4. The Opportunity to Learn and Gain Knowledge
The entrepreneur often wears many hats like the strategic planner, the marketer, the customer service rep, and the sales rep, even the bookkeeper.
There are a million things you probably didn’t know before you started the business that you are now forced to learn and gaining all this knowledge enriches you as a person.
5. Entrepreneurship gives you The Chance to Share your Learning
At the end of the day, you can have the chance to teach and share with others the things you have learned as an entrepreneur.
Sharing what you learned can be your way of giving back to the community as it can take the form of mentoring other would-be entrepreneurs, writing a book so others may see how you did it, or even talking about your experiences.
There is so much pleasure in giving, and entrepreneurship gives you a life full of rich experiences.
6. The Challenges of Self-Employment
Entrepreneurs face tremendous challenges and experience incredible joys when these challenges are overcame. If you crave excitement, become an entrepreneur.
One moment, the local newspaper is featuring you; and the next, you are losing your biggest customer.
The collapse of the large industry almost has irresistible damage to the development of the state and the state of the economy and the financial condition of the relevant persons.
The incumbents lost their jobs: suppliers and financial institutions face a crisis of recovery.
Customers are deprived of goods, services, and government losses taxes. This could not happen in the case of failure of entrepreneurship.
There shall be no measurable effect upon the economy and no political repercussions too.
Therefore there’s never a dull moment in self-employment.
7. The confidence you gain in knowing that you can do it
Entrepreneurship is tough. There will be moments where you will question yourself, or your decisions into going into the business.
Sometimes, you’d even think that you couldn’t do it when the obstacles seem insurmountable. But once you succeed and overcome the challenges, you gain renewed confidence and respect for yourself that you can do it.
8. The sense of pride and fulfillment in accomplishing things
As an entrepreneur, you make things happen. You create a vision, lay out the plans to bring the plan to fruition and pursue the steps needed to make the business a success.
Doing all these things can give you an incredible feeling of pride and joy seeing your website used by people, finding your products in the department store, getting compliments from customers on how your business has helped them, and being written about by the media.
In many respects, your business is your baby, and nurturing it and seeing it grow can give any parents a sense of fulfillment.
9. Entrepreneurship Impacts on Community Development
A community is better off if its employment base is diversified among many small entrepreneurial firms.
It promotes abundant retail facilities, a higher level of home ownership, fewer slums, better, sanitation standards and higher expenditure on education, recreation, and religious activities.
Thus, entrepreneurship leads to more stability and a higher quality of community life.
10. Entrepreneurship Promotes Research and Development
Let’s say Entrepreneurship is literally the incubation of innovation and Innovation creates disequilibria in the present state of order.
It goes beyond discovery and does implementation and commercialization, of innovations.
“Leapfrog” innovation, research, and development are being contributed by entrepreneurship.
Entrepreneurship involves innovation and hence the innovated ideas of goods and services have to be tested by experimentation.
Therefore, entrepreneurship provides funds for research and development with universities and research institutions. This promotes the general development, research, and development in the economy.
Entrepreneurship is the pioneering zeal that provides events in our civilization.
We are indebted to it for having prosperity in every arena of human life- economic, technological and cultural.
The above discussion, in a nutshell, enumerates that tremendous’ contributions of entrepreneurship.
Thus, entrepreneurship nurses innovation that provides new ventures, products, technology, market, quality of good, etc. to the economy that increases Gross Domestic Products and standard of living of the people.
11. Potential Earnings exceed a Salaried Employee
As an employee, no matter how hard you work, the financial remuneration you receive is limited to your salary and an occasional bonus.
As a self-employed person, you can earn so much more if you hit the right business idea and execute the business well.
The potential financial windfall is so much higher as an entrepreneur rather than a corporate person.
12. Each New Day is a Challenge
You never get bored as an entrepreneur: every day brings a new challenge, new tasks and new discoveries. You set your pace and you can go fast if you choose or slow down if you feel like it.
13. Business owner reaps the full rewards
You are the business; anything the business gains is yours. If you are an employee in the corporate world, your bosses may even claim your success as theirs! If you are working for others, you are only a cog in the whole machine
14. Political and Economic Integration of Outsiders
Entrepreneurship is the most effective way of integrating those who feel disposed of and alienated into the economy.
Minorities, migrants, and women are safely integrated into entrepreneurship that will help to develop a well-composed plural society.
15. Spawns Entrepreneurship
Entrepreneurship is the nursing ground for new inexperienced adventurists.
It is the field where a person can start his/her idea of the venture, which may be ended up in a giant enterprise. All the large industrial ventures started as a small entrepreneurial enterprise.
Therefore, entrepreneurship provides a wide spectrum of ventures and entrepreneurs in every economy. The vast open arena of entrepreneurship thus acts as an incubator to entrepreneurs.
16. Enhances the Standard of Living
The standard of living is a concept built on an increase in the amount of consumption of a variety of goods and services over a particular period by a household.
So it depends on the availability of diversified products in the market. Entrepreneurship provides enormous kinds of a product of various natures by their innovation.
Besides, it increases the income of the people who are employed in entrepreneurial enterprises.
That also capable employed persons to consume more goods and services. In effect, entrepreneurship enhances the standard of living of the people of a country.