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Entrepreneurship: A plural and multidimensional concept

by philwilliams
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The concept of undertaking can have multiple definitions, from the business context, it means the entrepreneur who ventures into a new commercial activity with the objective of a satisfactory remuneration. For Salinas & Osorio, (2012) entrepreneurship is a polyhedral term, which is directly related to the action of the person. In this sense, entrepreneurship can be understood as the set of attitudes and behaviors that give rise to a certain personal profile oriented towards self-confidence, creativity, the capacity for innovation, a sense of responsibility and risk management.

In the economic sphere, a project is generally undertaken under two specific conditions: opportunity or necessity. The first entails the circumstances that an individual is presented with, and that at a given moment under particular considerations carries out a project. The second condition has more to do with when the individual tries to financially meet their most basic demands such as food, housing, health, among others. In the same way, to undertake some important aspects must be considered

Personal Characteristic

When defining the project, these can be external (market conditions, competition, regulatory laws, to name a few) and internal (mainly resources, experiences and personal characteristics) which are at any given time determining elements for the consolidation of the project.Ulhoi, 2005 ). Or also as defined by Kihlstrom and Lave Font, (1979) on entrepreneurship studies, which state that an individual can choose between being an employee or starting a business through a rational choice based on a utility function, where his objective is to maximize the expected utility. In this sense,

individuals can be distinguished by their attitude towards risk using the absolute measurement coefficient of risk-aversion. This implies that behind each company there is an entrepreneur who is more or less risk averse and who maximizes his expected utility to decide between receiving a secure salary as an employee or starting a business with profits subject to a level of uncertainty. 

Increasingly Complicated

According to Anyakoha (2006), the entrepreneur is the one who chooses or assumes risks, identifies business opportunities, gathers resources, initiates actions and establishes an organization or company to satisfy said demand or a market opportunity. This definition shows that the entrepreneur is seen as an independent, self-sufficient individual who is willing to face anything that arises as a result of the decision made.

Indeed, the economic conditions are increasingly complicated, and not all people have the spirit, character and attitude to face the circumstances to undertake self-employment activities. Luca, Kazan & Tomulescu, (2012) establish that the indisputable importance of the entrepreneurial initiative for the economic development of a country raises many questions for psychologists and educators about the importance of the personality and demographic characteristics of entrepreneurs, the existence of entrepreneurial traits, their educability and the relationship between these traits and entrepreneurial behavior.

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