What is the definition of entrepreneurship?

The definition of entrepreneurship is accurately captured as the process of starting and operating a new business venture. This involves identifying a business opportunity, developing a business plan, securing financing, and taking on the risks associated with launching and managing a new enterprise. Entrepreneurs play a crucial role in the economy by innovating and creating products or services that meet consumer demands, generating jobs, and fostering competition.

In contrast to managing a large corporation, which typically falls under established businesses with existing structures and operations, entrepreneurship focuses on the initial creation and development phase of a business. Additionally, investing in stocks and bonds refers to financial instruments rather than the active role of building a new business. The practice of offering services without profit does not align with the fundamental motivation of entrepreneurship, which often includes profit generation as a primary objective.