Entrepreneurship is all about collection and allocation of financial, physical, innovative, administrative, and technological resources necessary for starting up of a new business.
It is an asset generation process at any level, smaller or larger, leading to an entrepreneur’s stability. Adopting an entrepreneurial business within the premises allowed by resources and capital is a simple way to satisfy the primary needs. Additionally, it is a topic of intense debate for reducing unemployment and under-employment.
Currently, it has become almost impossible for a common man to respectfully support his family in Pakistan, as the government has failed to provide any relief to general masses in terms of job provision.
So, there exists a need to look for alternative sources of self employment or entrepreneurial business. An entrepreneur needs to come up with vision, motivation, intelligence and operational skills if he/she is to succeed. He is the one who translates a business idea into a concrete reality in the hope of making profit. Thus the extent to which an entrepreneur can reduce the level of unemployment is a very intriguing debate.
Economies around the world have always benefited by the introduction of new products and services that entrepreneurs bring to the market. Entrepreneurs, in all eras, have been a central piece in construction of the economy by eliminating unemployment to a large extent. With the setting up of more and more businesses by entrepreneurs, numerous job opportunities are created for other people both on small and large scale, along with the entrepreneur’s self employment. Eventually, these businesses grow; they further provide direct and indirect employment opportunities to many others.
Entrepreneurs help to remove local variations through establishing up of industries in less developed and remote areas. The growth of industries and business in these backward areas lead to employment of rural community. Normally, the concentration of economic power in the hands of a few individuals results in the development of monopolies. In order to level out this problem, a large number of entrepreneurs are required which helps to reduce the concentration of economic power.
In addition to all this, the entrepreneurs play a key role in improving the lifestyles of the individuals by adopting latest innovations in the production of wide range of goods and services at large scale and at a relative low cost. This enables the people to avail better quality goods and services at affordable prices.
Furthermore, the country’s exports increase as they produce goods and services at large scale for the purpose of earning huge amount of foreign exchange from exports ensuring quality standards and this façade is now attracting many new competitors to apply their skills and resources in this foreign trade field due to higher profit ceilings as well as recognition in the world of international trade, ultimately resulting in bringing foreign exchange to the country.
According to the GEM Entrepreneurship Survey that measures entrepreneurial activity in 84 developing and industrial countries, show that the average yearly registered company entrance rate in Pakistan is lower than most factor driven countries averages around the world. There is, however, a note of concern here that a lot of new companies’ records remain non-listed in Pakistan’s significant casual business sector.
Entrepreneurs act as a middle man for overall progression of economic climate by generating demand for various kinds of items which require other items necessary for those items. The government needs to take appropriate steps to encourage the entrepreneurial sector of businesses both at small and large scale, empowering the common people by educating and financially helping them to develop their creative ideas.
AYESHA KHAN
UCP, Lahore
