Question

In: Economics

Consider the following four individuals, discuss whether they fit the three classic definitions of entrepreneur and...

Consider the following four individuals, discuss whether they fit the three classic definitions of entrepreneur and whether they could be described as a necessity or opportunity entrepreneur?

1. Jane is a YouTube content creator who produces and publishes her show on youtube and other platforms, using her own equipment at her home.

2. Alex is attending university. He is an experienced gamer of a popular online role-playing game, and he sometimes offers help to other players for a fee. He also sells virtual items gathered in the game through eBay and other online trading platforms.

3. A lawyer is operating his own law office.

4. Mike was a sous-chef, but the restaurant he worked shut down a few months ago. He is considering opening a food truck.

Expert Solution

Classic definitions of entrepreneur

Classical view of entrepreneurs were made initially by three economic thinkers. They are Frank Knight, Joseph Schumpeter and Israel Kirzner. According to Knight, entrepreneurs should be able to bear risk factors in their business and always expect uncertainties. As per Schumpeter, Entrepreneurs should innovate new things along with profit-making. Kirzner says entrepreneurs should discover something new.

Necessity Entrepreneur

They will be single entrepreneurs usually operating in both rural as well as urban areas. They will not have much skills and less educated. They become entrepreneurs only for making money and there will not be any personal passion. Hence, their level of growth as an entrepreneur will be very limited. Their availability of funds will be very limited. They can provide local and unskilled services.

Opportunity Entrepreneur

They will not be single entrepreneurs and may work as a group. They choose only urban areas for their business. They will be very skilled and well educated. They become entrepreneurs not only for making money. They will be working for personal satisfaction. Hence, their level of growth as an entrepreneur and availability of funds will be very high. They can make export and import services and only skilled services.

Now, let us consider each options:-

Option (1)

Jane is a YouTube content creator and creates her own shows and post such works on social medias. She is making all such arrangements in her home itself. She works as a single person. These shows will be arranged only on a local basis and the main aim behind such a channel will be money rather than personal desire. Here, funds availability will be also very limited.

Thus, Jane will not fit to the classic definitions of entrepreneurs.

Hence, Jane is a necessity entrepreneur

Option (2)

Alex is an experienced gamer of an online game. It is not a basis of any particular skill to become an entrepreneur. His income is by playing this online game for some other players and by selling some game items via online. This is not at all features of a perfect entrepreneur. Alex does not have any passion to become entrepreneur. For making some pocket money, he is doing this selling and buying, online play etc. He is a single person doing the same for his own economic needs only.

Thus, Alex will not fit to the classic definitions of entrepreneurs.

Hence, Alex is a necessity entrepreneur.

Option (3)

A lawyer self-employed and starts his own law office is definitely a skilled person. Such a lawyer definitely have some staffs too. He will not be operating as a single person. He is skilled and has a qualification of his profession. A professional and skilled lawyer starting his own law office definitely have great passion towards the same.

Thus, this lawyer will definitely fit to the classic definitions of entrepreneurs.

Hence, this lawyer is an opportunity entrepreneur.

Option (4)

Mike who had been working as a sous-chef of a restaurant. But, unfortunately, it was shut down and thus he wishes to start a food truck. Sous-chef is the second positioned chef in a restaurant having all skills to be the executive chef. So, it is sure that Mike is a skilled person in this field. If he needs to start a self-business, it means he has much more passion and self-satisfaction towards the same. In a food-truck, there will be staffs. So, it will definitely be a group attempt.

Thus, Mike will definitely fit to the classic definitions of entrepreneurs.

Hence, Mike is an opportunity entrepreneur.

Rahul Sunny answered 1 year ago

For the following three individuals: First, briefly discuss their likelihood to become an entrepreneur; and Second,...

For the following three individuals: First, briefly discuss their likelihood to become an entrepreneur; and Second, discuss whether they are likely to be successful (in terms of growth, survival, and creating jobs) if they become an entrepreneur: 1. Tracy is a 30-year-old female married with one child. She studied music at University although never worked in the filed. Her mother inherited a troubled family business when Tracy was very young, but successfully turned it around and made it one of...

Discuss whether the following items would meet the definition of an asset using the IFRS definitions....

Discuss whether the following items would meet the definition of an asset using the IFRS definitions. If so, explain with reference to the appropriate criteria. 1.A franchisee has a licence to operate a Tim Hortons restaurant. 2.The parent company has guaranteed the operating line of credit of its subsidiary, which resulted in the subsidiary obtaining a lower interest rate than it would otherwise receive. Is the guarantee an asset for the subsidiary? 3.FreshWater Inc. bottles and sells the spring water...

Discuss whether either of the following individuals are entitled to an office-in-home deduction: a. Maggie is...

Discuss whether either of the following individuals are entitled to an office-in-home deduction: a. Maggie is a self-employed management consultant who maintains an office in her home exclusively used for client meetings and other business-related activities. Maggie has no other place of business and her office is the most significant place for her business. She has substantial income from the consulting practice. b. Bobby operates his own sole proprietorship as an electrician. He maintains an office at home where he...

Consider the four definitions of information presented in this chapter. The problem with the first definition,...

Consider the four definitions of information presented in this chapter. The problem with the first definition, “knowledge derived from data,” is that it merely substitutes one word we don’t know the meaning of (information) for a second word we don’t know the meaning of (knowledge). The problem with the second definition, “data presented in a meaningful context,” is that it is too subjective. Whose context? What makes a context meaningful? The third definition, “data processed by summing, ordering, averaging, etc.,”...

Discuss the pros and cons of framing and anchoring. Discuss whether or not individuals, groups, or...

Discuss the pros and cons of framing and anchoring. Discuss whether or not individuals, groups, or organizations are likely to reach the same conclusions / decisions / choices in the absence of framing and anchoring. Why and why not?

Consider the following sets of data. Explain (without carrying out a formal Goodness-of-fit test) whether you...

Consider the following sets of data. Explain (without carrying out a formal Goodness-of-fit test) whether you think the data follows the distribution it is expected to follow. You might choose to find the expected frequencies and compare them with the observed frequencies to make a conclusion. (3 points) Data Set I: Grades Distribution Grades Claimed Distribution Survey Results A 10% 20 B 30% 65 C 35% 75 D 10% 17 F 5% 8 Data Set II: Ice-Cream Flavors Preferred Flavors...

1. Discuss the three R's of nutrition. Explain how PDIs fit into the three R's of...

1. Discuss the three R's of nutrition. Explain how PDIs fit into the three R's of nutrition. 2. Describe the significance of carbohydrates, fats & proteins on health & performance? what are general recommendations for each macronutrient intake? how does body type,health status and performance goals influence these recommendations? 3. Explain the difference between micro nutrients and macro nutrients. what role do micronutrient play in maintaining and optimizing health and performance? what are common micronutrient deficiencies seen athletes? 4. Describe...

Discuss the following terms giving their definitions and clarifying the definitions by giving suitable examples. 1-subset...

Discuss the following terms giving their definitions and clarifying the definitions by giving suitable examples. 1-subset 2-proper subset 3-improper subset 4-emtpy set 5-power set can you please write the question using the keypoard to be able to copy and paste the answer not picture . Thanks

2. Discuss whether 4 individuals should form a public or private company and whether the company...

2. Discuss whether 4 individuals should form a public or private company and whether the company should be unlimited or limited. If you suggest that the company should be unlimited, should the company be limited by shares or by guarantee. Give reasons for the type of company chosen.

Consider the following structure definitions and fill in the blanks for the enqueue function:

Consider the following structure definitions and fill in the blanks for the enqueue function: typedef struct queue queue_t; typedef struct node node_t; struct node { node_t *next; void *val; }; struct queue { node_t *head; node_t *tail;};/* add val at the tail of the queue q */void enqueue (queue_t *q, void *val) { if (q->head == NULL) { _______________ = _______________ = malloc(sizeof(_______________)); _______________ = NULL; } else { _______________ = _______________ = malloc(sizeof(_______________)); _______________ = NULL; } q->tail->val = val; }