Everyone is talking about entrepreneurship, and everyone hopes to start a business,
But do you have a deep understanding of what entrepreneurship is?
Below, I will discuss what entrepreneurship is from four aspects.
One What is entrepreneurship?
1. Definition of Entrepreneurship
What is entrepreneurship? To quote a passage from the MBA Think Tank Encyclopedia:
Entrepreneurship refers to the process or activity of discovering, creating, and utilizing appropriate entrepreneurial opportunities, and then using effective business models to combine production factors, establish new businesses, and achieve new business success.
I think this is very appropriate as a definition of entrepreneurship.
2. The essence of entrepreneurship
Innovation can be said to be the essential characteristic of entrepreneurship.
Entrepreneurship without innovation is low-level entrepreneurship and difficult to have lasting vitality.
Make change a habit, make innovation a driving force for entrepreneurship, and keep moving forward.
3. Characteristics of entrepreneurship
There are four characteristics of entrepreneurship:
1) Create new things with ‘more value’;
2) Entrepreneurs need to invest time and experience, and constantly strive;
3) Has certain risks, including manpower, material resources, and financial resources;
4) The process or outcome can yield significant benefits.
4. Purpose of entrepreneurship
Everything has a purpose, and entrepreneurship is no exception.
Most people start businesses to achieve rapid wealth growth, despite the risks involved in the process.
But there are still some people who are different. They may start a business to realize their own life value and contribute to society.
II How to start a business?
With the development of the economy and the implementation of national policies supporting entrepreneurship, the number of people engaged in entrepreneurship is increasing,
But the success of entrepreneurship is always a small part. Let’s talk about how to start a business correctly and improve the success rate.
1. Appropriate direction
There are many directions for entrepreneurship, including e-commerce and social networking, O2O, Physical retail, etc,
Choosing a suitable direction is one of the keys to successful entrepreneurship.
Entrepreneurs can continuously learn, pay attention to various information, media blogs, etc,
At the same time, join the entrepreneurial circle and communicate with others,
Choose a major direction that you are interested in and have a promising future based on your past experience.
Once selected, do not easily change it, after all, crossing paths is like crossing mountains,
Every industry has its own unwritten rules, and mastering them takes time and requires paying tuition fees.
There are three points to consider when choosing the general direction
1) New markets brought by new technologies, such as the original Internet revolution
2) The dividends brought by national policies, such as the real estate market brought by allowing commodity exchanges
3) The consumption upgrade brought about by the increase in people’s income, such as opening McDonald’s, KFC, etc. in some county towns
Remember to choose a starting point, and in the early stages of entrepreneurship, remember to roll it out across the board.
2. Team management construction
A good entrepreneurial project often cannot be completed by one person alone.
The team plays an important role in the entrepreneurial process. Consider clearly how many people are needed for the entrepreneurial project, and not too many in the initial stage.
The person who chooses can consider two conveniences:
One is strong skills and professional abilities. The second is collaboration, try to find people with cooperation experience to work with,
In the early stages of entrepreneurship, special attention is paid to the adjustment period between personnel.
Entrepreneurs not only need to know what they are doing, but also what their partners want to do, what they can do, and ultimately what they can achieve.
If it is too forced, neither happy nor lasting, it is very detrimental to entrepreneurship
3. Start up capital
As a startup project, there are many areas where money is needed.
We can categorize the sources of funding for entrepreneurship into three situations.
1) Self sufficiency: Form a small team that can earn money without investing too much, which is the most ideal situation, but often on a smaller scale.
2) Looking for capital investment: The power of capital is very powerful, but financing costs are high, difficult, and it is difficult to establish a trust relationship with investors.
3) Self funded: Starting a business with one’s own money as a boss can bring the greatest returns and risks, often resulting in a loss of all investment.
4. Favorable timing and location
Doing the right thing at the right time, the market is always changing.
Entrepreneurship requires not only passion and courage, but also rationality and patience.
Find the right timing and enter the right market.
Geographic location is also important, learn to weigh trade-offs and maximize geographical advantages.
We can objectively analyze our own conditions and choose entrepreneurial projects with local characteristics based on the different characteristics of different regions.
5. Appropriate system
A startup team must have a standardized and suitable system.
Among them, the most fundamental is equity, which should ensure centralized decision-making and balance the sense of belonging of the team when allocating.
Another important factor is personnel. The team leader plays a crucial role as a helmsman, determining the overall direction.
At the same time, it is necessary to identify the shortcomings of the team and make corrections, and implement reasonable reward and punishment measures.
6. Luck and fortune
Entrepreneurship can be said to be an art rather than a science. Science can be repeated and not proven wrong, but art cannot.
The same goes for entrepreneurship. The same path of entrepreneurship may not be accessible to the second person.
The success of entrepreneurship is 99% hard work and 1% luck, and this luck is often the key.
Man proposes, god disposes.
Do what you should do, amplify the success rate, even if you really fail,
Don’t be too sad, you will have another chance.
