Types of Entrepreneurship

While some elect to play it safe and obtain jobs in preexisting businesses, others with entrepreneurial spirits prefer to make their own way in the world of business. By definition, an entrepreneur is anyone who organizes, then later runs, a business. Because there are so many different types of businesses, there are a plethora of different types of entrepreneurs.

Producing

Many entrepreneurs make their money producing goods and bringing them to market. An individual who creates T-shirts with uncommon slogans, for example, performs this type of entrepreneurship. Depending upon the type of good the individual is producing, he may physically make the good himself or he may simply arrange to have them made by a manufacturing company.

Inventing

Some entrepreneurs produce novel items, creating new inventions to introduce to the marketplace. These entrepreneurs must inform people of the new invention then seek to sell it, tackling more of a challenge than those merely producing previously invented items and selling them.

Servicing

Instead of selling goods, some entrepreneurs offer services. An entrepreneur who opens a car wash, for example, is selling a service to buyers with dirty cars who wish to skip doing the washing process themselves.

Caretaking

Entrepreneurs can also make their fortunes caring for others. This caretaking is quite similar to selling a service, but, in this case, the service is of a specialized variety. Entrepreneurs who seek to make their money in the caretaking industry may start companies that relate to caring for the elderly or watching homes when individuals are away.

Investing

Some entrepreneurs don’t make or sell anything directly but instead make money only through investing. Entrepreneurs who follow this path invest and manage their own money, seeking to multiply their funds.

Organizing

Individuals with a knack for organizing can make their money setting up events or organizing groups of people. An entrepreneur who starts a business in which she plans weddings would be an entrepreneur of this type.

Modernizing

Some seek to make money by modernizing things already in existence. This type of entrepreneurship, closely related to inventing, allows the individual the benefit of bringing to the market a good that is not yet available, making buyers more likely a captive audience, as they can’t simply turn to another selling the same good.

Connecting

Entrepreneurs with strong people skills and the ability to organize can earn their cash simply through connecting groups of individuals. An entrepreneur who specializes in helping inventors find potential manufacturers for the goods they create would, for example, be this type of entrepreneur.

References

About the Author

Erin Schreiner is a freelance writer and teacher who holds a bachelor's degree from Bowling Green State University. She has been actively freelancing since 2008. Schreiner previously worked for a London-based freelance firm. Her work appears on eHow, Trails.com and RedEnvelope. She currently teaches writing to middle school students in Ohio and works on her writing craft regularly.