The concept of entrepreneurship relies on the identification of opportunities and the generation of fresh economic movement, frequently through the formation of new organizations . Various operational definitions for entrepreneurship have been proposed by researchers. These can be broadly classified under two approached, namely: a) Psychological approach, and b) Behavioural approach. Under the psychological approach, which is also known as the sociological approach and the trait approach, the role of entrepreneurs is questioned, and they are studied as people in order to identify a set of characteristics. Questions that this approach ponders include: Can a person be a born entrepreneur? Can entrepreneurial mindset and skill be acquired? What impact does personal history and background have on entrepreneurial ability? Is having the right mindset enough to become an entrepreneur or does one need relevant skills as well? .
Several key traits or characteristics of entrepreneurs have been identified, including: a) innovation, b) creativity, c) risk taking nature, d) independent functioning, and e) centralized control . The characteristics are governed by the individual nature of the entrepreneurs who are generally highly confident, passionate, achievement driven and persistent . It has also been noted that these characteristics are not always inborn but can be acquired by the entrepreneur through interactions and experiences with, and the influence of society, business prospects as well as the person’s own history. The psychological approach research has shown that training and education also contribute towards entrepreneurial development through the enhancement of skills, competencies and knowledge that are necessary to effectively perform entrepreneurial processes.
Entrepreneurship entails certain key characteristics such as the identifying, analyzing and taking advantage of prospects and opportunities. The launch of novel services and products, innovations in production and operation processes, development of new organizational strategies as well as the tapping of new markets, are all crucial parts of the entrepreneurial function . Although the ‘spirit’ of entrepreneurship per se has been used extensively throughout the business world, the intricacies behind the concept are not often understood or studied in detail.
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