Introduction to Enterprise and Entrepreneurship

Enterprise and Entrepreneurship and  Local Economic Development: What is it, What do we Mean by it?

Enterprise is a critical part of fostering private-sector led growth in our local economies. Entrepreneurs can identify opportunities and resources and shift them into higher return activities by establishing new businesses, increasing efficiencies and intensifying competition.

Enterprise (the readiness to embark upon new ventures with boldness and enthusiasm) and entrepreneurialism (the ability to seek profits through risk and initiative) are important assets and resources with the potential to contribute to economic growth, income generation and job creation. Self-employment can create vital opportunities in those areas where existing labour market opportunities are limited or of a low quality.

Traditionally, the main focus of enterprise policies, strategies and programmes has been new enterprise formation – often viewed as the engine room of new job creation. In the past 20 years there has been an increasing emphasis on sustaining and growing businesses, particularly those that are in high growth markets, or in activities that are highly tradeable, highly productive and create high levels economic output (GVA).

The subject area of enterprise and entrepreneurship is vast – whether it relates to the personal motivations to become an entrepreneur, the ingredients for survival, success or growth, or the disruptive nature of some enterprises when they combined emerging technologies with markets in interesting ways that can push established firms out of business.

What Are Enterprise and Entrepreneurship?

Enterprise refers to the readiness to embark upon new ventures with boldness and enthusiasm. Entrepreneurialism is the ability to seek profits through risk and initiative. Both are important assets with the potential to contribute to economic growth, income generation, and job creation, particularly in areas where existing labour market opportunities are limited or of low quality.

Entrepreneurs identify opportunities and resources, shifting them into higher-return activities by establishing new businesses, increasing efficiencies, and intensifying competition. Traditionally, enterprise policies focused on new business formation—often viewed as the engine room of job creation. However, over the past 20 years, there has been increasing emphasis on sustaining and growing businesses, particularly those in high-growth markets or activities that are highly tradeable, productive, and create high levels of economic output (GVA).

The subject of enterprise and entrepreneurship is vast, encompassing personal motivations to become an entrepreneur, ingredients for survival and growth, and the disruptive nature of some enterprises when they combine emerging technologies with markets in ways that can push established firms out of business.