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Chapter 4 Enterprise fostering local

and territorial development

4.1 Entrepreneurship – THE CONCEPT

Source: https://www.afdb.org/en/topics-and-sectors/initiatives-partnerships/jobs-for-youth-in-africa/
the-youth-entrepreneurship-and-innovation-multi-donor-trust-fund

The concept of “entrepreneurship” can be defined as the creation or extraction of value, as the process of
designing, launching and running a new business, which is often initially a small business, or as the „capacity
and willingness to develop, organize and manage a business venture along with any of its risks to make
a profit” (business dictionary definition). The people who create these businesses are often referred to
as entrepreneurs. An entrepreneur is an entity which has the ability to find and act upon opportunities to
translate inventions or technologies into products and services creating innovation. The entrepreneur is
commonly seen as an innovator, a designer of new ideas and business processes. Management skills and
strong team building abilities are the essential leadership attributes for successful entrepreneurs. Whereas
the term „enterprise” has two common meanings: firstly, it is simply another name for a business; secon-
1
dly, and perhaps more importantly, the word enterprise describes the actions of someone who shows some
initiative by taking a risk by setting up, investing in and running a business. The two key words above –
initiative and risk are referring to a person who „makes things happen”. In the 2000s, entrepreneurship has
been extended from its origins in for-profit businesses to include social entrepreneurship, in which business
goals are sought alongside social, environmental or humanitarian goals and even the concept of the political
entrepreneur.

1 https://www.tutor2u.net/business/reference/starting-a-business-what-is-enterprise