An entrepreneur is a person able to identify existing opportunities in the environment and dedicate adequate resources to implement ideas. These are hard working individuals focused on getting something in their activities. They keenly observe their surrounding environment in order to identify any opportunity that could be transformed into a beneficial activity. Entrepreneurs could be either profit-oriented or social responsibility oriented. Profit-oriented entrepreneurs are individuals who start businesses with an aim of making a profit. This means that their main goal is to get higher returns on their initial investments. In order to succeed, they take all risks and manage their business technically with the aim of attracting more customers. Steve Jobs was an example of a profit-oriented entrepreneur. He ran a computer and many other businesses with the aim of making a profit. Social responsibility oriented entrepreneurs are individuals committed to the social development of the society. They are innovative, resourceful, and always focused to achieve envisaged results. Jordan Kassalow is an example of a social responsibility oriented entrepreneur. He runs a company that sell ready-made sunglasses to individuals in the developing world.
This paper explicates the aspects of profit-oriented and social responsibility oriented entrepreneurship.
According to the research, Thomas Edison is considered to be a founding leader of profit-oriented entrepreneurship. He was born in 1847 and rose to become an American inventor and businessman. He was an avid businessperson who was ready to take up any opportunity in the business environment. In addition, he was motivated to get the best out of his inventions and businesses. He is renowned for inventing the phonograph, which is the motion picture camera. Woodside (2007) reports that this has greatly revolutionized the world as individuals may take photographs for remembrance. Research indicates that he also invented a long-lasting electric bulb that would enable individuals save electricity by acquiring a new bulb. In the process of manufacturing the invented items, Edison employed the principle of mass production and enormous work force. This enabled him come up with more products that would fetch better returns from various markets. His products were in high demand, and he had to use all the means in order to produce them adequately.
According to the research, Edison adopted the idea of distributing electric power to schools, businesses and homes. This could make it easier for the business to collect adequate amounts of money from such institutions. According to Woodside (2007), he built a power station on Manhattan Island in New York. He is thought to be a founding leader of profit-oriented entrepreneurship. This is because he was determined to generate maximum profits from his businesses.
The profit-oriented entrepreneurship business would adopt both democratic and autocratic leadership styles. According to the research, a democratic leadership style is the one that involves respect for every individual. Every person within the business opportunity is given a chance to present his points of view and decision-making is done after various consultations. This method is adopted by these profit-oriented businesses in order to ensure that the operations responsible for maximizing profits are taken into consideration carefully. Autocracy is also applied. This is a leadership style where authorities can make decisions without consulting others. The research reports that autocracy is vital because it helps business to avoid missing profitable opportunities because of delayed decision-making. Thus, I would allow faster decision-making process among individuals hence boosting sales of the entire business.
Profit maximization is one of the principles that are used in the profit-oriented entrepreneurship. Burrow, Everard, & Kleindl (2007), state that this is the principle that tries to emphasis the need of the business to remain in business. It should be focused mainly on carrying out business activities that would enable it to generate maximum profits. The research reports that the principle suggests that in cases where a business tends to serve other interests apart from profit, then it has no business being in business.
These entrepreneurial businesses indicate the principle of quality products and services. The distribution of commodities that are of high quality is one of the basic principles of profit-oriented businesses. They focus on the provision of quality products and services that help to collect excess revenues from customers.
Anita Roddick is a founding leader of social responsibility-oriented business. This business aims at improving the social status of individuals in a given society. According to the research, Anita Roddick is a founder of The Body Shop International. In her business dealings and operations, she puts the main emphasis on social responsibility. This has made her a controversial businessperson who could not be understood easily by various individuals and other businesspersons. According to Roddick (2005) her cosmetic shop has perceived an innovative and unique line of business that cannot be found in other places. She has developed her community using the cosmetic business and every aspect is changing gradually. Due to this she has earned her substantial fame and respect.
The leadership style used in a social responsibility-oriented business is the democratic leadership. The leadership allows individuals to air their views in the most transparent manner possible. The research states that democracy is the best leadership style to adopt for a social responsibility business. This is because it enables individuals to make strategic plans on how to launch the welfare activities. Individuals are be given a better opportunity to spread their view concerning various matters without the fear of victimization. According to Burrow, Everard, & Kleindl (2007), this kind of leadership would enable the society to gain an opportunity to select the most admirable areas of social responsibility.
Conversion of trash into gold is a principle used by social responsibility-oriented businesses. This means that they are focused on getting the best out of innovations. They are concerned about the best way of improving the community. Taking this into consideration the business tries to convert low value items into significant items. This is quite beneficial for the society.
These businesses use the principle of sustainability of changes. This means that the changes put in place by these organizations will be sustainable in the end. The on the emphasis is put on improving the social welfare of citizens and therefore the establishment of sustainable changes will boost the community to the uppermost levels and enhance development.
These businesses use the principle of stimulation of economic growth and formation of employment. This principle indicates the commitment of such businesses to the betterment of lives. They would want to generate employment opportunities for the community so that more people are able to earn a living and reduce the dependency ratios all over the country. Economic growth will boost the entire country and make life manageable for each citizen.
I would identify with social responsibility-oriented approach and the democratic style of leadership. Social responsibility-oriented approach makes it easier to attract more individuals into the business because of the improvements made in their lives. It would help the government in solving problems related to unemployment among most citizens. This opens up and creates many opportunities for societal members in different sectors. Poverty can be reduced using the social responsibility approach. Individuals are able to access many opportunities that they would have otherwise missed. The setting in place of various institutions in the community makes the entire society dynamic. Democratic style of leadership is also adorable because it facilitates the making and implementation of better decisions. Therefore, I would choose the social oriented approach and democratic style of leadership.
The business approach requires three vital resources. This includes laborers that can make it easier to achieve the set results. The employees coordinate with each other and work towards the success of the entire project. In addition, financial resources will be needed. Burrow, Everard, & Kleindl (2007) report that these would make it easier for the business to improve its entire operations and thus boost social welfare. Quality projects will be put in place with adequate financial resources. The business approach is likely to need technological resources. These will transform the manner in which activities are conducted during the provision of the required services.
In conclusion, an entrepreneur is an individual who is able to identify vital business opportunities in the environment. The individual is always motivated to go ahead and implement the identified idea in order to come out successfully. Entrepreneurship businesses could be either profit-oriented or social responsibility-oriented. Profit-oriented businesses are mainly those focused on getting higher returns on their investments. These will then be ploughed back into business for further savings. The main principle of such businesses is profit maximization. They will take any change to maximize profits. Social responsibility-oriented businesses are those that are aimed at providing social services to individuals in the surrounding. This could be in the form of schools, hospitals, and recreational centers. They also enable individuals’ access employment opportunities and improve their lives gradually. It works under principles such as conversion of trash into gold. This indicates that the main goal of such businesses is continued innovations for societal benefits.