What makes someone a successful entrepreneur? What characteristics are needed? I

Question

What makes someone a successful entrepreneur? What characteristics are needed? In recent years who have been some of the most influential and profitable entrepreneurs?

With this being the overarching backdrop for our discussion in this module, you should also be looking to touch on the following:

Do you think people take the time to consider implicit and explicit costs when starting a business?

Do you believe produces take the time to actually calculate AVC, AFC and ATC? Or are these concepts just for textbooks and college professors?

Do successful entrepreneurs look to enter markets that lean towards perfect competition? Why or why not?

Explanation / Answer

An entrepreneur is a person who sets up own enterprise and contribute to the growth of the economy by providing employment opportunities. In order to be a successful entrepreneur, below mentioned characteristics are needed.

Some of the successful entrepreneurs in the recent past are :

Steve Jobs : Founder of Apple Inc and a very successful entrepreneur. Apple Inc has been recorded as one of the highest revenue generating electronic company all over the world.

Mark Zuckerberg : Founder of Facebook, the most profitable social networking site.

When starting a business, generally people consider only the explicit cost which is recorded as the cost of raw materials, machinery and land etc. But they ignore the implicit cost like the salary which they might get if they work in an organization and which they have sacrificed in order to start the business. If somebody is using his own land, they tend to ignore the rent of the land which they might get if given the land to some other person.

Producers genrally consider only the TFC, TVC and TC and do not bother much about AFC, AVC and ATC. This is because, AFC, AVC and ATC does not make much of difference in the claculation part and is of not much application.

Entrepreneurs generally believe in launching an innovative product and try to set up their own monopoly. They do not believe in entering a market which is moving towards perfect competition. For example, Mark Zuckerberg launched an innovative concept of social networking site in the form of Facebook.

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