Question

Explain the characteristics of entrepreneur.

Describe any four characteristics of an entrepreneur.

Answer 1

Following are the characteristics or features of an entrepreneur:

Entrepreneurs have some special characteristics like creative thinking, imagination, enthusiasm, sincerity, etc.

1. Intellectual Capabilities:
   An entrepreneur is a creative thinker. He has reasonably good intelligence. He has the ability to analyze business situations. This ability will help him to take proper decisions.
2. Future Vision:
   The entrepreneur has a good foresight about the future market situation. He should also have knowledge about the external business environment. This will help him to make proper decisions according to the situations and changes in the market. So, he can take timely actions for the same.
3. Hard Work:
   An entrepreneur is ready to work hard. It is more necessary when a new venture is started. He has to work for long hours. Many times he has to handle the main areas of business independently. This will make him successful.
4. Technical Knowledge:
   An entrepreneur has good technical knowledge about his business. The entrepreneur has the ability to update himself with the latest knowledge about the product, process and technology.
5. Communication Skills:
   An entrepreneur needs to communicate with different people like customers, suppliers, creditors, employees, etc. He must be able to express his ideas and strategies effectively. It is necessary that there is a proper understanding between the sender and the receiver of the message.
6. Highly Optimistic:
   An entrepreneur has to always think positively. He is always hopeful and confident about the market situations, even in failure times. Such a positive attitude helps him to run his business successfully.
7. Risk bearing capacity:
   A successful entrepreneur takes calculated risks. He is ready to face challenges and always seeks new and more opportunities.
8. Self Confidence:
   An entrepreneur has self-confidence. He has positive desires to achieve his goals. Such self-motivation keeps him strong and confident to face various obstacles.

Answer 2

According to Cantillon, “An entrepreneur is a person who buys factor services at certain prices with a view to selling the product at uncertain prices.”

Characteristics of an entrepreneur are as follows:

1. Foresees future: An entrepreneur can look into the future and identify upcoming opportunities and threats. Thus, this quality helps an entrepreneur to take proper and timely decisions.
2. High goals: An entrepreneur always sets high goals and tries to achieve them in the best possible manner. He/she also removes the hindrances that come in his/her way, thereby achieving the objectives so framed.
3. Positive attitude: An entrepreneur works with a positive attitude towards all activities. He/she takes all decisions confidently and never loses hope during failures.
4. Hardworking: An entrepreneur works hard to achieve organisational goals on time. He not only works for long hours but also handles the problems independently.
5. Creative: An entrepreneur is creative in nature. He/she either produces new things or upgrades the existing things in a new way. Thus, innovation is an essential characteristic of a successful entrepreneur.
6. Good communicator: A successful entrepreneur needs to be a good communicator, as he is required to communicate effectively with various parties, such as buyers, sellers and employees.