10 types of entrepreneurship explained with examples (2023)

We live in a world that is evolving at a pace our ancestors never witnessed. The modern world has shrunk the space for traditional companies because modern problems demand modern solutions. Entrepreneurs are those who propose modern solutions taking the risk of promoting new ideas and profiting from them. Thus, the society we all live in today is the product of changes that entrepreneurs have made from afar.

The categorization of types of entrepreneurs depends a lot on the niche in which someone is innovative. For example, as a social entrepreneur, someone wants to solve social problems, while others aim to start a business that they can scale as a scalable startup entrepreneur.

In this article, the marketing tutor offers an in-depth look at ten different types of entrepreneurs.

Let's jump right in.

What is entrepreneurship?

Before explaining the types, you should know what entrepreneurship is. Entrepreneurship is basically the ability to build a business from scratch, taking into account all the uncertainties to profit from it.

It is a risky approach to succeed in an ever-demanding and dynamic global market. Anyone who has innovative ideas and is smart enough to run a new business with minimal fear of failure can become an entrepreneur. However, the sole purpose is the pursuit of profit. Entrepreneurship ranges from local and national businesses to global corporations.

But all that glitter isn't gold, with over 19% of startups failing due to excessive competition, while another 18% fail due to mismanaged pricing or costs. Therefore, not all entrepreneurs can be successful. But some specific qualities can make an entrepreneur successful, including the ability to take risks, visionary leadership, creativity and entrepreneurial skills.

types of entrepreneurship

It is important to know the minimum differences between the types, as it is imperative for an entrepreneur to plan a business accordingly. Every type of entrepreneur faces numerous challenges and difficulties.

However, success belongs to those who understand the nuances, make the right decisions and solve problems efficiently. Each type of entrepreneurship is significantly different from the other. And each entrepreneur has a different tool to deal with problems.

Also, the required skills are different for each type. Some types of entrepreneurship are discussed below:

social entrepreneurship

In social entrepreneurship, entrepreneurs use their products and services to solve social problems. This niche has no intention of making big profits. Your goal is to start a business that can do social good. They produce specific products and services that solve specific environmental and social problems.

Examples include; Universities, banks and companies that provide financial services in third world countries. Famous social entrepreneurs are Scott Harrison, Bill Gates and Bill Drayton.

Innovative Entrepreneurship

This type of entrepreneurship, as the name implies, focuses on innovation. If you have a creative idea to create new products or start a new business, you can become an innovative entrepreneur. This type of entrepreneurship requires a unique idea that can change the world, or at least something significant.

If you want to break into this niche, you need to accurately assess the current market situation. Creative and unique ideas are essential for successful innovative entrepreneurship. Innovative entrepreneurs are often very enthusiastic. They tend to change the current state and push boundaries.

John Hanke, Andrew Rose, Bill Simons and Walt Disney are some well-known innovative entrepreneurs.

small business

Small business entrepreneurship is limited to small businesses or businesses. These businessmen don't make big profits from their business. The main objective of small business owners is to improve the lifestyle of their families. They have no intention of receiving funding, nor are they interested in expanding their business.

Small business owners often hire people or even their families who live in the same location. Some examples of small business entrepreneurship are supermarkets, beauty salons, convenience stores, local restaurants and electricians.

The number of small businesses in the United States has increased33.7 million in 2020, which represents 99.9% of all companies, highlighting the development of entrepreneurship in small companies.

Entrepreneurship in large companies

Entrepreneurship of large companies falls under the category of business at the macro level. This type of entrepreneurship is unique because it involves buying small businesses rather than starting a new one and introducing new products or businesses to an existing market. They are formed by a great team of executives.

These organizations regularly create new services and products based on customer preferences to meet market demand. When a company makes small profits, small business entrepreneurship can become big entrepreneurship. Its focus is on expanding business and opening new markets. Examples of entrepreneurship by large companies are Microsoft, Google and Disney.

Scalable startup venture

Scalable startup entrepreneurs investigate market gaps and try to find solutions. Scalable companies are more focused on developing repeatable and scalable business models.

The main goal of scalable entrepreneurs is to grow their business and earn massive profits. Scalable entrepreneurs understand opportunities to make long-term plans to make a profit and grow their business quickly.

Amazon, Apple, Uber and social media apps are innovative and scalable entrepreneurs.

swindler entrepreneurship

Hustler entrepreneurs are extremely passionate and constantly strive to run their businesses. You are very motivated and courageous. They are determined to reach their goal at all costs. If you can sell any product at any time and calculate business potential, you can be a Hustler Entrepreneur.

Entrepreneurs are known for their unique trait of not giving up easily and being willing to overcome obstacles to reach their goals. For example, a dealer is willing to make many calls and emails to make a purchase.

entrepreneurship research

Research entrepreneurs take a lot of time before starting a business. They focus on facts and statistics. They study a lot about the product they want to launch. It leads to a greater chance of success.

The research entrepreneur has extensive knowledge about the company and products. Plan everything correctly, which reduces the risk of failure. Research Entrepreneurship is a business concept that uses educational research and knows pace to improve scarce resources.

Some famous research entrepreneurs are Ben Franklin, Thomas Edison and Marie Curie.

buyer entrepreneurship

Buyer entrepreneurs do not start a new business or venture. Invest in the business that is already well established and developed; They tend to belong to an elite class.

Buyers don't have to start from scratch; They only invest money to make more money. Buyer entrepreneurs not only invest in the company, but also act as active members of that company. You are directly and professionally connected to the company. It also helps the company to prosper more.

Only those who have enough wealth to buy a full-fledged company can become buyers. In this case, the probability of failure is minimal.

imitative entrepreneurship

Copycat entrepreneurs can be called copycats because they copy the ideas of other successful entrepreneurs who have minimal resources and cannot take financial risks. They take others' ideas and improve on them, tracking their mistakes, in order to run a profitable business.

Copycat entrepreneurs are willing to actively learn from the mistakes of others. The combination of an innovator and a crook creates a copycat. Imitators are very self-centered and strong individuals. Although they copy ideas, they make them so unique and creative that the chances of success increase significantly.

entrepreneurship

An intrapreneur is a person who thinks creatively and acts like an entrepreneur while working for a company. Those who fall into this category must be professionally confident and active. Intrapreneurs help companies grow and develop people with an innovative spirit.

The best intrapreneurs in the world are Spencer Silver, who invented sticky notes at 3M, and Steven Sasson, who invented the portable digital camera while working at Kodak. These inventions were created by just one person, but they brought a whole new perspective to the business world.

last words

The dominance of a few capitalists is now threatened because the modern world has given space for innovators and entrepreneurs to sell their services and products. There is no denying that entrepreneurs have changed the world view, as some types discussed in this article describe the different approaches of each type. In general, entrepreneurship is the key to exploring the modern world to its full potential.