Types of Entrepreneurs

Types of Entrepreneurs

            Entrepreneurs are creative individuals who conducts lots of innovative businesses. Some may prefer to carry forward the business alone and share the business with others. They are in different forms , may be the farmers, labourers, fisherman, artisans, importers, exporters, bankers, professionals, etc. Lots of classifications available about entrepreneurs . They are ;

§  Innovative Entrepreneur

Innovative entrepreneurs are those who introduces new products, new methods of production techniques or discovers a new market or new services etc. they are commonly found in developed countries. They are aggressive in nature and they always try to make the idea successful one.

§  Imitative Entrepreneur

This type of entrepreneurs always tries to copy the innovations made by innovative entrepreneurs. They are organizers of factors of production  rather than creators. They contribute to the under developed countries. They are adaptive and more flexible.

§  Fabian Entrepreneurs

Fabian Entrepreneurs are very shy an lazy . They are very cautious . They do not venture or take risk . They are rigid and fundamental in their approach . they follow the foot steps of their predecessors .

§  Drone Entrepreneurs

This type of entrepreneurs are conventional in their approach . They refuse to copy or use opportunities that come their way. They are not ready to make changes in their existing production methods even if they suffer losses. They resist changes.

            On the basis of nature, size, and type of business entrepreneurs are divided into five types;

§  Business Entrepreneurs

Business entrepreneurs are those who develop an idea for a new product or service and then establishes an enterprise to produce products according to their ideas. Most of the entrepreneurs belongs to this category .

§  Trading Entrepreneurs

They undertakes trading activities whether domestic or foreign trade . They have to identify the potential market for his products in order to stimulate the demand of products. They use many techniques to promote trading.

§  Industrial Entrepreneurs

They essentially manufacture products and offer services, which have an effective demand in the market. They have the ability to convert economic resources and technology into a profitable venture.

§  Corporate Entrepreneurs

They are those who through their innovative ideas and skill able to organize , manage and control a corporate undertaking very effectively and efficiently. Usually, they are promoters of the undertaking / corporations , engaged in business, trade or industry.

§  Agricultural Entrepreneurs

Those who undertakes agricultural as well as allied activities in the field of agriculture is known as agricultural Entrepreneurs. They engage in raising and marketing of crops, fertilisers and other inputs of agriculture through employment of modern techniques, machines and irrigation.

On the basis of use of technology the Entrepreneurs can be classified into two;

§  Technical Entrepreneurs

The Entrepreneurs who are technical by nature in the sense of having the capability of developing new and improved quality of goods and services out of their own knowledge , skill and specialization are called technical Entrepreneurs. They concentrate more on production than marketing .

§  Non-Technical Entrepreneurs

Non-Technical Entrepreneurs are those who mainly concerned with developing alternative marketing and distribution strategies to promote their business. They are not concerned with the technical aspect of the product and services they are dealing with .

§  Professional Entrepreneurs

They make  their profession to establish business enterprise with a purpose , to sell them once they are established. He or she is always looking forward to develop alternative projects by selling the running business. He is not interested in managing operations of the business established by him. He or she is very dynamic.

            Based on the type of motivating factor entrepreneurs are classified into three;

§  Spontaneous Entrepreneurs

They are otherwise known as pure Entrepreneurs , who are motivated by their desire for self – fulfilment and to achieve or prove their excellence in job performance . They undertake entrepreneurial activities for their personal satisfaction in work , ego, or status. Their strength lies in their creative abilities. They are the natural Entrepreneurs in any society.

§  Induced Entrepreneurs

They enter into entrepreneurship because of various governmental supports provided in terms of financial assistance, incentives, concessions, and other facilities to the peoples who want to setup of their Enterprises.  

§  Motivated Entrepreneurs

They are motivated by their desire to make use of their technical and professional expertise and skill in performing the job or project they have taken up. They have enough confidence in their abilities . they are highly ambitious and are normally not satisfied by the slow progress in their jobs.

            Other categories of Entrepreneurs;

§  First generation Entrepreneurs

This Entrepreneurs start their industrial unit by means of their own innovative skill and expertise . They are usually combine different technologies to produce marketable products , or services for the consumers. They are essentially innovators having no entrepreneurial backgrounds.

§  Inherited Entrepreneurs / Second Generation Entrepreneurs

            They are Entrepreneurs by inheritance are seen in India where they inherit the family business through succession and pass it from one generation to another .

§  Third Entrepreneurs

These are those types of Entrepreneurs where in their grandparents and parents have been Entrepreneurs and they have inherited the business. The model is very commonly found in India.