Entrepreneurship: Advantages, Disadvantages, and Skills Required

Running Head: ENTREPRENEURSHIP. 1
Entrepreneurship.
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ENTREPRENEURSHIP. 2
Entrepreneurship refers to the process through which one willingly sets up, organizes and
manages the activities of a business also bearing in mind the risks that come with the starting of
such a business. An entrepreneur can therefore be defined as a person who sets up a small scale
business enterprise and runs it by himself taking care of the risks such as incurring losses and the
benefits which, obviously are profits that the business entity gains. Entrepreneurship, as observed
has both advantages and disadvantages to the entrepreneur. Most entrepreneurs are however risk
takers and therefore they venture into the business with the hope that they will get to reap
benefits. An example of a well-known successful entrepreneur is Jeff Bezos, the founder and
chair of Amazon, a renown company worldwide (Kirzner, 2015).
For one to be a successful entrepreneur, one needs to have certain skills to help in his or
her day to day activities within the business. An entrepreneur who bears such skills is certain that
he will be successful in the business market. First, for an entrepreneur to be successful, he or she
would need to have proper communication skills. The entrepreneur should communicate in a
way that the message communicated would be clear, concise and have a purpose to achieve.
Secondly, a good entrepreneur would need to have proper strategies set in place to ensure that
the business succeeds. The entrepreneur should set in place short term goals that he sets out to
achieve and also have long term goals in place that he or she would want to achieve in the future.
Proper financial management is another crucial skill that an entrepreneur should have. Knowing
how to properly manage one’s finances and grow them from step to step will make the business
succeed in the future as the person would cases of financial crisis and bankruptcy (Burns, 2016).
Entrepreneurship has several advantages to the entrepreneur and the society at large.
Entrepreneurship has the benefit of freedom to the entrepreneur to pursue his or her own goals.