Tuesday, January 27, 2009
impact of entrepreneurship on the economy
In the current economy of rising unemployment rates and falling profits, entrepreneurship gives a very innovative path to success to those who are innovative or economically sound enough to pursue it. With the unemployment rate so high, it's very easy to find qualified people to fill positions in emerging businesses. Those with the available cash to fund new endeavors find themselves in a very economically viable position to pursue options which those of few resources are left only to consider the possibility. Entrepreneurship gives our economy the ability to expand into new markets which were previously unexplored when the corporate fat cats were doing well and had a stranglehold on new markets. Entrepreneurs succeed in poor economies because they can find opportunity where others find only strife. New business endeavours allow those without jobs to find a way to support themselves and their families when traditional job markets fail. They also allow the economy to evolve and expand in new and unforeseeable directions. Entrepreneurship is one of the cornerstones of our constantly fluctuating economy and helps us make our way to a more profitable future. In this current economical climateI would start a business in the shipping industry, focusing on cheap methods of mass transportation(trucks with high gas mileage, routes which transport the most amount of product for the cheapest cost, etc.). Shipping is an industry without which all other industries would be unable to grow, due to the fact that they would have no method with which their product could reach the consumer. This makes shipping a neccessary industry which is very difficult to go without. Also, due to the costs of getting into this industry such as trucks, warehouses, and procuring clients, only those with a significant amount of capital can invest in this industry.
Subscribe to:
Post Comments (Atom)
I think you have made several good points about entrepreneurs, especially the part about entrepreneurs being innovative. Entrepreneurs business' survive because they have something special that is in demand. They might have a niche in the market where they provide to a certain lifestyle or demographic of people. They might also provide outstanding customer service in an area that has yet to see service of the like. Or they might invent something that we can utilize in our everyday lives or is an innovation of the future.
ReplyDeleteThe main point is that our economy needs entrepreneurs. It needs people who are constantly changing the world around us to better our lives, provide jobs, and to invent our future in the way of business. The biggest impact that entrepreneurs can make on the current economy would be a provision of jobs.
Everything has to start with a person with an idea, but they also need to take the risk and put that idea out there. Would there even be an economy at all without entrepreneurs?