2. Definition of Entrepreneurship

Step 1 of 3

The term entrepreneurship has been used for more than two decades. Several studies suggest a close relationship between entrepreneur and entrepreneurship. An entrepreneur causes entrepreneurship, which eventually leads to creation of businesses or organisations. Thus, entrepreneurship is considered as the “act of establishing a new venture” Christensen et al, (2000, p.4). This description includes all the segregation from the established business or spin-offs, as long as their effort is noticeable and recognisable, as that of an individual but not as an entrepreneurial act or a corporate act. The initiation is therefore from the individual who had and gradually developed the idea to create the business. Whilst the definition neither excludes any collective action, partnerships nor the existence and significance of any supporting entrepreneurs, the focus thereby remains exclusively remains on the person who initiated the idea to create the business (Gartner et al, 1994; Christensen et al, 2000). Therefore, the formation of business or organisation is not only a very complex and intricate process, but it is also influenced by several factors and even influencing people who view it. The entrepreneur is not just a fixed state of existence; however, entrepreneurship is a role that people are willing to take for creating businesses or organisations (Gartner, 1988).