12 Characteristics you need to know for entrepreneurship development

what is entrepreneurship development?

Entrepreneurship development is a process that helps to improve the skills of an entrepreneur. There are many ways to improve entrepreneurship development skills. Try to know the following Characteristics you need to know for entrepreneurship development.

Entrepreneurship development has two essential components:  

(A) Identifying Entrepreneurial Traits

(B) Identification of Enterprise

Every participant must have a minimum level of eligibility for developing into an entrepreneur. The entrepreneurial traits are broadly classified into two groups:

(I) Socio Personal Characteristics:

(II) Human Resource Factors:

 

(I)  Socio-Personal Characteristics:

Socio-personal characteristics include:

(i)  Age:

Young people are more successful entrepreneurs because older people are more reluctant to take risky ventures.

(ii)  Education:

A minimum level of education is essential.

(iii)  Family background:

The family background helps in creating an entrepreneurial environment and occupational awareness for the entrepreneurs. If an entrepreneur selects a trade that is being carried in his family, it is obvious that he would be more with it.

(iv)  Size of the family:

The size and type of the family and status of the entrepreneur in the family are also important social personal characteristics. In a joint family, an entrepreneur may command little authority but has generally a greater risk-bearing capacity than a nuclear family.

(v)   Working hands:

A small entrepreneur has generally to depend upon family members as he cannot afford to hire workers.

(vi)  Social participation:

Social participation determines the amount of influence of an entrepreneur outside his immediate family circle. The successes of entrepreneurs greatly depend upon social participation.

(II) Human Resource Factors. Human resources factor includes :

(i)   Achievement Motivation:

Achievement motivations include both personal achievement and social achievement. It is the basis of entrepreneurship as entrepreneurs with high need achievement succeed better.

(ii)   Risk-taking willingness:

It refers to seeking a challenge in one’s activity. Two persons may view the same venture as involving a different degree of risk. If both of the same venture, the receiving greater risk in the venture has the higher risk-taking willingness.

(iii)   Influence Motivation:

It refers to the desire for influencing other people and the surrounding environment. The entrepreneur would efficient motivation to influence them and control to achieve the end to succeed in dealing with these diverse agencies and forces.

(iv)  Personal Efficiency:

It has been defined as the general sense of adequacy in a person. An individual tends to accept success or failures which are within his control. It represents the potential effectiveness present at the inner level.

The roots of efficiency of an individual lie in his perceptions and beliefs about himself. These beliefs may be the result of an individual’s self-concept and perception of his own strength.

(v)   Aspirations:

Aspirations are goal statements concerning the future level of achievement. These can be regarded as a concept of individual of his prospects and as a form of self-motivation.

(vi) Identification of Enterprise:

Once an entrepreneur is identified, it is necessary to identify a suitable enterprise or project for him. The enterprise must be matched with the potential entrepreneur. All the background information like his skills, experience in the field, the physical resource available, family occupation, etc. should be taken into consideration.

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