Ridha Fathima

1. Private Entrepreneur

• A person who starts and manages a business alone

• No government involvement

• Takes all the risk

• Enjoys all the profit

2. Public Entrepreneur

ON THE BASIS OF NATURE OF THE ENTERPRISE

1. Trading EntrepreneurA trading entrepreneur is a middleman between manufacturers and customers. They buy products and sell them to customers. Their main work is procuring (buying) goods and making them available to final customers.

2. Manufacturing EntrepreneurA manufacturing entrepreneur produces goods by converting raw materials into finished products. They identify what customers need and create those products to meet demand.

3. Business Entrepreneur

A business entrepreneur is a broad term that includes both trading and manufacturing entrepreneurs. They come up with an idea to start a new business and turn that idea into reality, whether it is small or large.

On the basis of depth of technology employed:

Simple Version

A successful entrepreneur must have an entrepreneurial spirit (a strong mindset to succeed). There is no fixed rule to become successful, but some important qualities help:

🧠 Easy Points

1. Desire to Work

• Must have a strong wish to work

• Should have determination to succeed

• The word entrepreneur has its origin in the French word entreprendre made

  up of two words entre and prendre. Entre implies ‘between,’ and prendre

  means, ‘to take’. The combination of the two French terms translates into an

  entrepreneur who takes on the risk of a new venture.

• So, an entrepreneur means a person or group of persons who are willing to

  take the risk of a new venture. An entrepreneur is her/his own boss and

• Many great entrepreneurs in India have changed how people think about business. They proved that you don’t need a big start— even small beginnings can grow into huge companies.

• One famous entrepreneur is Lakshmi Niwas Mittal. He was the CEO of ArcelorMittal, the world’s biggest steel company. After finishing college, he worked as a trainee in a steel factory and later started his own steel business.

  He believed in improving weak companies and making them strong and successful. He proved that with hard work and determination, even failing companies can become profitable.

• He believed that weak companies can be improved and made successful. He showed that with hard work and strong determination, even failing companies can start making profit.

• Similarly, Steve Jobs was also a great entrepreneur. With his ideas and determination, he built Apple Inc., which is now one of the most admired companies in technology.

  Both Jobs and Lakshmi…

1. First Gen Entrepreneurs

First Gen entrepreneurs are initiators of enterprise in the family.

This term is a synonym for new entrepreneurs.

They do not take over or carry forward any existing enterprise.

They start from scratch to establish a new enterprise.

2. Next Gen Entrepreneurs

• Technopreneur

These are entrepreneurs whose enterprises are concerned with technology

or science. Technical entrepreneurs or technopreneurs are mainly involved

with innovation of new technology-based products. So, an entrepreneur

developing a new operating system for your mobile or laptop is a techno

preneur. They mostly work backwards to arrive at a technology to provide

• Trading Entrepreneur

  A trading entrepreneur is a middleman between manufacturers and

  customers of the product or services. So, the main function of a trading

  entrepreneur is procurement of products and making the same available

  to last customers.

• Manufacturing Entrepreneur

4. Initiator

• A successful entrepreneur takes the first step.

• They start ideas and turn them into action instead of waiting for others.

5. Persistence

• Entrepreneurs do not give up easily.

• Even if a business fails, they keep trying until they succeed.

1. Identify Opportunities and Take Initiative

An entrepreneur identifies business opportunities in society and takes initiative to start a business that fulfills needs or solves problems (fills the gap between demand and supply).

2. Arranging Resources

The entrepreneur arranges and organizes all required resources such as:

• Human resources (workers, managers)

• Non-human resources (capital, machinery, tools, raw materials)

BASED ON GENERATION – Classification of Entrepreneurs

1. First Generation Entrepreneurs

• First generation entrepreneurs are the founders of a business in their family.

• They do not inherit or continue any existing enterprise.

• They start the business from scratch with their own ideas, capital, and efforts.

• They face higher risks because there is no previous business background to support them.

ON THE BASIS OF DEPTH OF TECHNOLOGY EMPLOYED

v Technopreneur

These are entrepreneurs whose enterprises are concerned with technology

or science. Technical entrepreneurs or technopreneurs are mainly involved

with innovation of new technology-based products. So, an entrepreneur

developing a new operating system for your mobile or laptop is a techno

Entrepreneurs can be classified on different bases. These classifications are not mutually exclusive, meaning one entrepreneur can belong to more than one category.

ON THE BASIS OF NATURE OF THE ENTERPRISE

1. Trading Entrepreneur

• Acts as a middleman between producers and consumers.

• Engages in buying and selling of goods or services.

• Does not produce goods on their own.

2.3 Traits of Becoming a Successful Entrepreneur (Detailed & Easy)

Entrepreneurial traits are personal qualities that help a person start, manage, and grow a business successfully. These traits guide an entrepreneur in facing challenges, taking decisions, and achieving long-term success.

1. Desire to Do

An entrepreneur must have a strong inner desire to work hard and succeed. This desire pushes the entrepreneur to put in continuous effort even when the work is difficult. Without this willingness to work, a person cannot manage the responsibilities of a business.

Exam point: A strong desire to work and succeed is the foundation of entrepreneurship.

2. Risk Taker

1.4 Types of Entrepreneurship (Easy Research Points)

Entrepreneurship can be classified on different bases.All types are important for economic development.

1.4.1 Based on Risk

(a) Innovative Entrepreneurship

• Introduces new ideas, products, or methods.

• Creates new markets or new demand.

1.2 Definition of entrepreneurship

• Entrepreneurship is an economic activity done to earn profit.

• It means finding new ideas or opportunities in the market.

• It involves starting and running a business.

• Entrepreneurship includes creating new products or services.

• It is done under risk and uncertainty.

CHAPTER: INTRODUCTION TO BUSINESS

1.1 HUMAN ACTIVITIES

Meaning of Human Activities

Activities that human beings perform in daily life are called human activities.

Human activities are divided into two types:

🔹 JOB

A job means working for someone else (company/organization) in return for a fixed salary or wages.

✅ Merits of Job (Advantages)

1. Fixed working hours

   • Work time is mostly defined (e.g., 9–5).

   • Extra work after hours is not a daily routine.

A) Categories of workers

• Category A: no savings, low-paying jobs, casual work

• Category B: some savings, works for others, salary/wages, employee/manager

• Category C: own business/shop, profit, self-employed, solopreneur

B) Self-employment

• Self-employed: own clinic/business, works for self

1.4.6 Based on Gender: Women Entrepreneurship

• Meaning: Business that is owned, managed, and controlled by women.

• Govt. of India definition:

  • Women must have at least 51% financial interest (capital).

  • Enterprise should give at least 51% of employment to women.

• Schumpeter definition (simple):

1.4.4 Entrepreneurship Based on Ownership

(a) Corporate Entrepreneurship

• Introduced by Burgelman.

• Business is owned by a corporate organization.

• An individual uses innovation and managerial skills.

• Organizes, manages, and controls a large corporate enterprise.

1.4.3 Based on use of Technology

(a) Technical Entrepreneurship deals with establishing and running industry

based on science and technology. They use innovative methods of

production.

(b) Non-Technical Entrepreneurship is concerned with the use of alternative

and imitative methods of marketing and distribution strategies to make

1. Agricultural Entrepreneurship

• Related to agriculture and farming.

• Includes crop cultivation and farming.

• Involves storage, processing, and marketing of farm products.

• Uses irrigation systems.

• Applies modern tools, machinery, and technology.

• Innovative Entrepreneurship – Points for Notes

  • Innovative entrepreneurship means starting a business with new ideas.

  • The entrepreneur creates something different, not a copy.

  • They turn ideas into a successful business.

  • They introduce new products or services.

  • They use creative marketing methods.