Entrepreneurship is the process of getting into and operating one’s own business. The process of establishing a new business is integrated in the entrepreneurial process. This involves more than solving a problem in a normal managerial position. An entrepreneur has to identify an opportunity, evaluate it and develop the business by overcoming the forces that resist the creation of something new. Entrepreneurship has four distinct phases: identification and evaluation of the opportunity, development of the business plan, determination of the required resources, and finally management of the resulting enterprise. Although these phases proceed progressively, no one stage is dealt with in isolation.
According to a study done by the Austrian School of Economics, entrepreneurship is also driven by creativity, innovation, and ability to adjust to both market and financial conditions. Regarded as the Father of Modern Management, Peter Drucker once cited that entrepreneurship mainly revolves around innovation where entrepreneurs have to constantly look for ideas that when implemented will meet the firm’s long-term goals. For an entrepreneurial success, an entrepreneur must be able to plan well, have good communication skills, marketing skills, basic management skills and interpersonal skills.
The role played by entrepreneurship in a country’s economy cannot be ignored. It is worth mentioning a few here. First, it is the mechanism through which the economy turns demand into supply when the entrepreneur recognizes consumers’ wants and sees the economic opportunities in satisfying them. Secondly, the entrepreneur is the principal source of venture capital as he gathers resources to start the business and third, entrepreneurship creates jobs as people are hired to produce goods and services in these new enterprises. Entrepreneurship spurs production activities as more and more entrepreneurs enter the business sector. With sound innovative ideas, these entrepreneurs greatly contribute towards a country’s overall economic growth