ENTREPRENEURSHIP EDUCATION

1. DEMONSTRATE UNDERSTANDING OF WHO AN ENTREPRENEUR IS

1.4. 1.5 Factors affecting entrepreneurship development are explored as per principles of Entrepreneurship

Entrepreneurship is influenced by various factors:

· Economic development.

· Culture.

· Technological development.

These conditions may have both positive and negative influences on the emergence of entrepreneurship.

a) Economic factors: Economic environment exercise the most direct and immediate influence on entrepreneurship. These factors include:

· Capital.

· Labor.

· Raw materials.

· Market.

· Infrastructure.

b) Social factors: These can go a long way in encouraging entrepreneurship. In fact it was the highly helpful society that made the industrial revolution a glorious success in Europe. Main components of social environment include:

· Caste factor.

· Family background.

· Attitude of the society.

· Education.

· Cultural values.

c) Technological factors: Technology has influenced entrepreneurship development through innovations and use of internet to gather new and existing information.

d) Education: Many entrepreneurial theorists have propounded theories of entrepreneurship that concentrate especially upon psychological factors. They may include:

· Need achievement.

· Withdrawal of status respect.

· Motives.

e) Political and government changes in government policy can have a very huge effect on the business in question. Example the tobacco industries have been on forced to put warning labels on their product and lost the right to advertise on the television.

Conclusion This learning outcome covered on the distinction between entrepreneurs and businesspersons, identify types of entrepreneurs, identify ways of becoming an entrepreneur, identify characteristics of entrepreneurs and explore factors affecting entrepreneurship development as per the principles of entrepreneurship.