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Describe how entrepreneurship evolved from economic theory. Explain entrepreneurship and the characteristics of entrepreneurs. Discuss small business as a dimension of entrepreneurship. Describe the concept of corporate entrepreneurship. Explain how entrepreneurship has influenced economic development and productivity in recent years.
The concept of entrepreneurship has been around for a very long time, but its resurgent popularity implies a “sudden discovery”- as if we had stumbled onto a new direction for enterprises. This is a myth, as we shall see, because the system of free enterprise has always engendered the spirit of entrepreneurship. A very good example of the role and spirit of entreupreneurship can be found in the American example. That country was discovered by entrepreneurs and nourished by entrepreneurs, and it became a world economic power through entrepreneurial activity. More importantly, the economic future of Ghana, and indeed the rest of the whole world, rests squarely on entrepreneurial ventures founded by creative individuals. These people are inspired, often adventurers, who can at once disrupt a society and instigate progress. They are risk takers who seize opportunities to harness and use resources in unusual ways. Entrepreneurship is one of the four mainstream economic factors: land, labour, capital and entrepreneurship. The word itself, derived from 17th-century French “entreprendre”, refers to individuals who were -undertakers, meaning those who "undertook- the risk of new enterprise. They were -contractors- who bore the risks of profit or loss, and many early entrepreneurs were soldiers of fortune, adventurers, builders, and merchants.
Economics and Entrepreneurship
Richard Cantillon, a French economist of Irish descent, is credited with giving the concept of entrepreneurship a central role in economics. In his Essai sur la nature du commerce en general, published posthumously in 1755, Cantillon described an entrepreneur as a person who pays a certain price for a product to resell it at an uncertain price, thereby making decisions about obtaining and using resources while consequently assuming the risk of enterprise. A critical point in Cantillon's argument was that entrepreneurs consciously make decisions about resource allocations. Consequently, astute entrepreneurs would always seek the best opportunities for using resources for their highest commercial yields. His vision is illustrated for farm produce in Figure 1-1.
Investment Entrepreneur buys farm produce at certain prices Transformatiom Entrepreneur repacks and transports farm produce to market Profit or loss Entrepreneur sell food produce in city at uncertain prices
Figure 1-1 Cantillon's Early View of Entrepreneurial Behaviour Adam Smith spoke of the "enterpriser- in his 1776 Wealth of Nations' as an individual who undertook the formation of an organisation for commercial purposes. He thereby ascribed to the entrepreneur the role of industrialist, but he also viewed the entrepreneur as a person with unusual foresight who could recognise
1. Entrepreneurship and New Venture Opportunities –- ME 492
1) and would be an ultimate “end use” to satisfy a human need such as providing consumers with baked loaves of bread. Say.harvesting wheat.g. Entrepreneurship and New Venture Opportunities –. described an entrepreneur as one who possessed certain arts and skills of creating new economic enterprises. often creating the circumstances that lead to industrial growth. In Smith's view. However. in his 1803 Traite d'economie politique. therefore. and most of these were reduced to precise mathematical formulae. Say's entrepreneur influenced society by creating new enterprises and at the same time was influenced by society to recognise needs and fulfil them through astute management of resources. Priority 1 Delivered baked bread is highest value use Priority 2 Bread at bakery for salehas high value 1. thereby becoming the economic agents who transformed demand into supply. The entrepreneur. Carl Menger (1840-1921) established the “subjectivist perspective of economics” in his 1871 Principles of Economics. Critical to Menger's theory was the incentive needed to pursue these transformation activities and of course that is the profit motive.potential demand for goods and services. At the other extreme. Illustrated in Figure 1-2. Menger assigned a low-priority event with a high number (e. Mill's work. For the greater part of the next hundred years. was among the last of the early economic studies in Britain or France that recognised entrepreneurship as central to economic theory. economic change does not arise from circumstances but from an individual's awareness and understanding of those circumstances. entrepreneurs reacted to economic change. was able to see both extremes and conceive of ways to transform the unharvested wheat into fresh bread. Menger assigned priority numbers to different events (or circumstances) in this chain so that a high-priority event would have a low number (e. the change agent who transforms resources into useful goods and services.. that value is rewarded through profits. fields of unharvested wheat would have a low priority. The term entrepreneur subsequently became common as a description of business founders. Menger saw the entrepreneur as an astute individual who could envision this transformation and create the means to implement it. The entrepreneur becomes. making bread. grinding grain. British and French economists were more concerned with models of macroeconomics. When value is added to a product. yet a person who had exceptional insight into society's needs and was able to fulfill them. and each with opportunities for adding value to the original resource in such a way as to eventually satisfy a human need. (Translated into English in 1845 as A Treatise on Political Economy). however. 8). in Menger's view. French economist Jean Baptiste Say. British economist John Stuart Mill elaborated on the necessity of entrepreneurship in private enterprise. During that time.ME 492 2 . however.. Menger's model identified intermediate points of Transformation . there was an important movement in Austria that subsequently influenced our 20th-century concept of entrepreneurship. and this might represent raw material needed to create the number 1 event. this is the classic theory of production. The human side of enterprise-the role of the adventurer or risk-taking entrepreneur-was left to history. and the “fourth factor” of economic endeavour was entrenched in economic literature as encompassing the ultimate ownership of a commercial enterprise.g. In Menger's view. In 1848. therefore combined the "economic risk taker” of Cantillon and the “industrial manager” of Smith into an unusual character. Menger envisioned a causal chain of events whereby resources having no direct use in terms of fulfilling human needs were transformed into highly valued products that directly fulfilled human needs.
but few will recognise Mill or Say. Schumpeter described entrepreneurship as a process and entrepreneurs as innovators who use the process to shatter the status quo through new combinations of resources and new methods of commerce. DEFINING ENTREPRENEURSHIP There does not exist one indisputable definition of entrepreneurship or entrepreneur. Schumpeter described entrepreneurship as a force of “creative destruction” whereby established ways of doing things are destroyed by the creation of new and better ways to get things done. In retrospect. Menger. Joseph Schumpeter (1883-1950) wrote a series of economic articles and treatises between 1911 and 1950 that specifically addressed entrepreneurship. in Schumpeter's words. Today. and Schumpeter. Smith. Explain entrepreneurship as a process and the importance of innovation to that process. Most executives will not have heard of Schumpeter. Menger's Model of value-added Transformation of Resources Entrepreneurship as a Process Another Austrian economist revived the concept of entrepreneurship when he joined Harvard University and his work was published in the United States in 1934. challenging the order of society through marginally small changes. most know of Smith. The entrepreneur seeks. However. it is important to recognise that entrepreneurship as an economic concept has suffered a century of obscurity. 1. Say. or Cantillon. Schumpeter provides us with a framework for understanding both in terms of a process. REVIEW 1. it can be extraordinarily powerful. 2. Entrepreneurship and New Venture Opportunities –. like the changes caused by the transformation of crude oil into an energy resource. Entrepreneurship is often a subtle force.ME 492 3 .Priority 3 Milled flour for baker has high value Intermediate steps in transformation Bulk grain from farmer has low value Priority 7 Priority 8 Grain in field has very low value Figure 1-2. the resurgence of entrepreneurship in higher education has not come from the discipline of economics but from those who teach small business management or who have instituted new courses in entrepreneurship. but in Schumpeter's view. Menger. Compare concepts of entrepreneurship put forward by Cantillon.
and/or career commitment of providing value for some product or service. Entrepreneurship and New Venture Opportunities –. by opening up a new source of supply of materials or a new outlet for products. not used to ensure administrative efficiency. representative of all that is negative in capitalism. but perhaps a recent one by writer Robert Ronstadt captures its essence. Although this descriptive list is supported by impressive data. endorse Schumpeter's viewpoint that entrepreneurs bring resources together in unusual combinations to generate profits. On a positive note. there is no way of knowing how these traits relate to a majority of entrepreneurs. an untried technological possibility for producing a new commodity or producing an old one in a new way. the butcher. the franchise computer retailer? Are there entrepreneurs in corporations? In schools? In government? There are no short answers to these questions. . There is no entrepreneurial licensing procedure and no evidence of professional status. Is the local gas station owner an entrepreneur? The realtor. Vesper suggests that those of us who strongly favour a market economy view entrepreneurs as pillars of industrial strength-the movers and shakers who constructively disrupt the status quo . a distinction that Henry Ford made in his decisions. organise talent. “resources. we still have trouble identifying entrepreneurs. The product or service itself may or may not be new or unique but the entrepreneur must somehow infuse value by securing and allocating the necessary skills and resources . some people may have the creative talent to generate new ideas but lack the ability to organise resources. Entrepreneurship. Vesper found that psychologists tend to view entrepreneurs in behavioural terms as achievement-oriented individuals driven to seek challenges and new accomplishments. as defined. Who Is an Entrepreneur? With a definition in mind. suggesting instead that an inventor might only create a new product. Karl Vesper has researched entrepreneurship and explains that its nature is often a matter of individual perception. and others may have a compelling need to achieve but lack the 1. time. mirrored this viewpoint. at least those who endorse free enterprise.To reform or revolutionise the pattern of production by exploiting an invention or. These are summarised in Table 1-1. Corporate managers too often view entrepreneurs as small businesspersons lacking the potential needed for corporate management. more generally. to produce results. but he added. who described the entrepreneurial role as one of gathering and using resources. John Hornaday of Babson College was among the first to use surveys and intense interviews to develop a composite list of entrepreneurial traits. must be allocated to opportunities rather than to problems. and provide leadership to make it a commercial success. The evolution of the concept has generated many definitions. Traits versus Characteristics In an effort to understand entrepreneurs better. it has the singular restriction of relating only to highly successful entrepreneurs.” In Drucker's view. Economists. whereas an entrepreneur will gather resources.ME 492 4 .' Schumpeter did not equate entrepreneurs with inventors. entrepreneurship occurs when resources are redirected to progressive opportunities. and there are no formal guidelines for classifying entrepreneurs. This redirection of resources distinguishes the entrepreneurial role from that of the traditional management role. This wealth is created by individuals who assume the major risks in terms of equity. researchers have sought to define traits common to a majority of individuals who start and operate new ventures. . Marxist philosophers may see entrepreneurs as exploitative adventurers. essentially consists in doing things that are not generally done in the ordinary course of business routine. Peter Drucker. For our purposes. finding them. we shall use Ronstadt's definition of entrepreneurship: Entrepreneurship is the dynamic process of creating incremental wealth. . For example. or determining what they do.
starting a new venture can be exhilarating. described the entrepreneur as “energetic. Put another way. Opponents of the trait approach also reverse Hornaday's logic and ask whether those among us who do not choose to be entrepreneurs have similar traits. and creative? A. persistent. Encyclopedia of Entrepreneurship (Englewood Cliffs. NJ: Prentice-Hall.also be achievement oriented. start enterprises based on those ideas. immigrants come to the United States to avoid war or political oppression.” who frequently establish independent ventures. but they are not necessarily unhappy with their career fields. and Corporate Ventures The term entrepreneur may be properly applied to those who incubate new ideas. a breath of fresh air into an otherwise stale life-style. Immigrants fit this model well.1 Characteristics of Successful Entrepreneurs Self-confident and optimistic Able to take calculated risk Respond positively to challenges Flexible and able to adapt Knowledgeable of markets Able to get along well with others Independent minded Versatile knowledge Energetic and diligent Creative. starting a business is an exciting opportunity. Shapero also found a high correlation between increases in new ventures and rising unemployment.resourcefulness to create a new venture. and for many. peoples. Many individuals become “economically displaced” (unemployed) or find themselves disillusioned with faltering careers. and conducted many firsthand interviews with entrepreneurs. who retire. Entrepreneurship. particularly those who retire early. most lack language skills necessary to find decent jobs. He concluded that individuals often become entrepreneurs by being thrown into situations that force them to fashion their own means of economic livelihood. individuals who simply substitute income by leaving jobs to operate local stores or independent service businesses are described as small businesspersons. The distinction is subtle but important. and provide added value to society based on their independent initiative. he or she intends to create out of this vision a product or service in a field many have determined is important to improve the lives of millions. When they arrive in the United States. 28 Another way to explain entrepreneurship is from a sociocultural standpoint. Many of these individuals with a limited profile based on traits will start new businesses and succeed. Vesper.. Donald L. "Research about Living Entrepreneurs.” in Calvin A.ME 492 5 . Hornaday. David Silver. Many leave their home countries because of lack of opportunities and poor economic conditions. Albert Shapero made comparative studies between nations. eds.” and having “a mission and clear vision. Circumstances afford few options for these “displaced persons. stereotyped by their ethnic group or religion. but the local restaurant owner is called a small 1. and ethnic groups. Entrepreneurship and New Venture Opportunities –. p.” Silver also suggests that entrepreneurs venture out on their own from a sense of dissatisfaction with their organisations. The person who establishes a fast-food franchise chain is called an entrepreneur. a successful venture capitalist and author. Others. Sexton. Kent. Table 1. may be barred from employment. accumulated information from historical trends. can a “nonentrepreneur“. 1982). For these individuals. However. singleminded. Small Business. As in the past. are seldom ready to quit working. and Kart H. need to achieve Dynamic leader Responsive to suggestions Take initiatives Resourceful and persevering Perceptive with foresight Responsive to criticism Source: John A. Individuals. Others with a majority of the traits may start new businesses and fail.
They do not. Table 1-2 lists three types of small businesses. larger firms. Table 1-2 Types of Small Business: Advantages and Disadvantages Type Advantages Disadvantages 1. but only coincidentally. however. Entrepreneurship and New Venture Opportunities –. Distinguishing factors are that entrepreneurs have vision for growth. They incubate ideas. Corporate entrepreneurship. and has fewer than 100 employees. pursue growth through constructive change in the same. However. there are grounds for arguing that corporate entrepreneurship is a play on words. intrapreneurship. and perhaps also risk their careers. but there is little evidence of corporate managers risking personal investment capital to champion a corporate innovation. small businesses seldom dominate their industries and rely on filling a “niche” in local or regional markets. The concept of entrepreneurship does not exclude managers in large organisations from being entrepreneurs if they combine resources in unusual ways to create innovative new products or services. Defining Small Business A small business is one that does not dominate its industry . is concerned with innovation that leads to new corporate divisions or subsidiary ventures in established. and persist in seeing their ventures succeed. and entrepreneurship. take individual risks. firms with several thousand workers may have low sales volume. commitment to constructive change. gather resources. If we add a third dimension of corporate entrepreneurship. These are controversial issues because many "small businesspersons” reflect the essentials of entrepreneurship. we have a rather complex controversy. In general. Corporate managers may commit time and energy. because entrepreneurs take personal investment risks and corporate managers very rarely do. This is an interesting topic that will be explored further. The small businessperson may exhibit these characteristics. Still. Exceptions to these criteria abound. Their relative advantages and disadvantages are discussed in the following paragraphs. has less than ¢100 million in annual sales. in today's markets.ME 492 6 . but for now. sometimes referred to as intrapreneurship. and energy to achieve unusual results.businessperson. what has not been accomplished by research is to clearly differentiate small business from entrepreneurship. not as a prerequisite to establishing an enterprise. let's draw some fundamental distinctions between small business. but these benchmarks are used for evaluating loans and providing business assistance. persistence to gather necessary resources. way Schumpeter explained entrepreneurship or in the manner of Drucker's description of the entrepreneurial process. firms with fewer than 50 workers but with high-speed production lines can generate ¢500 million or more in sales. For instance. On the other hand. "Small" defies clear definition.
Most stores in shopping malls are franchises. the patron corporations. and freelance writers are considered to be PSFs. Such diverse occupations as golf professionals. A florist. often by one person called a sole proprietor. and sell similar products or services. purchasing. but if no one exists to succeed the owner. snack shops. In most instances. Many of these enterprises become quite large and are distinguished from smaller personal service firms by their growth characteristics. In Ghana. develop software for licensing. The franchisee may receive financial help. Succession is a serious problem. but franchises exist in a great many areas. small manufacturing firms. the business is the person.ME 492 7 . the premiere personal service firm has been the computer services enterprise that provides software development. such as McDonald's and On-The-Run. records. and create a high volume of billing income are difficult to label as "small" businesses. guaranteed supplies. and those who sell franchises. may operate successfully until the founder retires. and successful business owners often must resign themselves to dissolving their firms. Franchises represent an extraordinary growth sector of the American economy that is spreading overseas at an accelerated pace. most franchises originated in Southern Africa. The individual who buys a franchise store or contracts to franchise services typically is a small businessperson seeking a protected local market with an established business line. Those with highly personalised services that limit sales to local customers are usually considered "small businesses. and succession is unlikely unless a son or daughter develops comparable skills. among others. and computer services. contracted to franchiser for services and royalty lease payments Family enterprises are locally owned and operated. Those individuals buying into a franchise are called franchisees. contracting businesses. auto rental outlets. shoes. furniture stores. In Ghana. business consulting. Many are service-based firms that rely on an owner's skills. toys. The franchiser develops a network of income-producing enterprises that share a common name." Those with broader interests that resell hardware systems. office system networking. and similar assistance to other firms. In the absence of a successor. are called franchisers. the life of a venture is limited to the working life of its founder. Printers. and restaurants. It is important to recognise how franchises differ from other small businesses. a protected market. and hundreds more comprise a growing list of independent franchises. training. for example. unsure succession Personal service firm (PSF) Franchise Offers personal freedom and use of Personal liability and lack of secure talents and skills for personal growth income without clear succession Franchiser provides most business start-up needs with relative income security Less freedom and adventure than others. Entrepreneurship and New Venture Opportunities –. a percentage of sales. Franchises are created by contract. photographic supplies. Since the early 1980s. including stores that sell clothing. use common materials. and technical assistance with matters such as site selection. We have grown accustomed to franchises.Family enterprise Offers economic independence promotes family unity Family liability for the business. books. Types of businesses that are family owned vary widely and can include retail stores. accounting. An individual receives specific help and advantages in exchange for a franchise fee and. usually. Proprietors may have started their businesses in an effort to supplement or replace family income. Personal service firms rely crucially on unique skills of their founders or key employees. this type of small businesses exemplifies the area of fuel stations and recently the fast 1. interior designers. the business is sold or closed. The myth of high rates of business failure is particularly irritating to family business owners who often have no (interested) successors. convenience stores. and operations management.
organisations have developed a number 1. but it is a fast growing area. the popular term for corporate entrepreneurship is intrapreneurship. However. and in some instance their careers. corporate managers certainly can be as innovative as anyone else. These are seldom “mom and pop” enterprises (the familiar connotation of family enterprises). 2. Entrepreneurship and New Venture Opportunities –." and describe three that you frequent.food chains in Osu. but when employees create something new within the context of their jobs. but they are still small businesses as distinguished from corporate endeavours. these individuals have the opportunity to work independently. with the reservation that risks and rewards are curtailed. as we shall see later. and are limited to one store or one area. REVIEW 1. The concept of corporate entrepreneurship is controversial in part because of rather muddy definitions of entrepreneurship and in part because of ambiguity about the roles of managers within their established organisations. Although many corporations back managers with venturesome ideas. There is no assumption of risk. and are expected to generate a new “unit” to extend corporate activities. To review our introductory comments. it seems too cute to explain a complex concept. and they have the marketing muscle to commercialise them. but many people avoid the term. CORPORATE ENTREPRENEURSHIP As noted earlier. More precisely. These new units may take the form of divisions. Define -personal service firm. In franchising. entrepreneurship takes on different meanings. These managers may even deny that corporate entrepreneurship exists. but the nature of the problem can be examined. Established corporations have enormous resources to pursue research and development. This has a catchy sound to it. Clearly. many corporate managers view entrepreneurs as individuals incapable of working productively in structured organisations. corporations reap the lion's share of rewards. As we shall see later. many are in farsighted corporations that encourage entrepreneurial activity. entrepreneurial"? How do employees redefine their roles apart from the organisation? How are risks and responsibilities identified? What reward exists for the employee? These are only a few of the questions that must be answered to stimulate initiative within larger organisations. larger corporations create remarkable new products and spearhead new technologies. That controversy cannot be resolved here. there is no requirement that an individual take a personal stake in making it a commercial success. then. Consider the second issue: that managerial roles related to innovation can be ambiguous. They do not constitute entrepreneurship in the sense of creating new products or services. usually operate their businesses. They can underwrite prodigious innovations. and when employees are responsible for championing their innovations. In his view. the problem is one of perception. therefore. Depending on one's perspective. Eminent researcher Hans Schollhammer refers to corporate entrepreneurship as “intra-corporate” entrepreneurship. 37 and Manshia. no assumption of profit. independent owners invest their personal capital. and. subsidiaries. to name a few. many managers are given the opportunity to pursue innovations. Corporate entrepreneurship does take place when new products or services are explicitly supported with company resources.ME 492 8 . an entrepreneurial event does not take place when the formal organisation is involved in traditional research and development unless individuals can work independently to create a new venture while sharing both risks and rewards. Managers generally risk embarrassment. Recall that entrepreneurship is defined differently by individuals with unique perspectives. or entirely new entities having corporate capital backing. are given tremendous latitude. When does a corporate manager stop being an employee working in a prescribed job and become. Corporate entrepreneurship can occur. but rewards are usually limited to bonuses and promotions. For example. and no assumption of loss. Distinguish between a franchiser and a franchisee. In part.
and independent minded. or "traits. creative. tend to have superior conceptual abilities. even though accurate for successful entrepreneurs. represented in Figure 1-3. Discuss the concept of corporate entrepreneurship and whether it can." Robert Ronstadt explored this phenomenon and correlated start-up ventures with better-educated youth who. diligent. take place. but there are other characteristics to consider. only about 18 percent had an "unstable” record (had held ten or more previous jobs). that there is a growing trend by graduates to seek entrepreneurial opportunities rather than corporate careers. nearly half of all MBAs enrolled in entrepreneurship classes during the past several years. They are not renegade dropouts. and nearly as many have been drawn to new ventures. either as independent business owners or as associates in entrepreneurial enterprises.of ways to stimulate innovative employees.ME 492 9 . Katz also found that. many more about the age of 30. Entrepreneurial Characteristics Earlier. redefine management roles and provide rewards commensurate with risks. although more than 90 percent in both groups had several years of prior experience. For example. 2. This list is useful. characteristics. optimistic. Nearly 76 percent had fathers who were also entrepreneurs and 13 percent had mothers in entrepreneurial roles He concluded that the seeds of entrepreneurship were planted early by parental role models. 1. and are generally emotionally stable. Ronstadt also found that the average age of entrepreneurs at start-up was 32. Describe the risks a manager might assume when championing a new corporate innovation. These data. Entrepreneurship and New Venture Opportunities –. They included such terms as persistent. are realistic about working hard and driving toward measurable results. and further. and another significant group about the age of 35. Jerome A. and about 71 percent who buy into existing businesses have similar degrees. suggest that most entrepreneurs are reasonably well educated with solid work experience. often had entrepreneurial parents. However. self-confident. Several studies have found that entrepreneurs are in unusually good health. Katz found that more than 86 percent of entrepreneurs who start new businesses have bachelor's degrees (more than half of those in liberal arts). as folklore would have us believe. a significant number of entrepreneurs began about the age of 25. at Harvard Business School. Those characteristics were often value-loaded descriptions." of entrepreneurs were presented as a starting point in our discussion on the nature and meaning of entrepreneurship. There were also a noticeable number of new ventures started by youngsters scarcely out of high school as well as men and women near retirement age. REVIEW 1. incidentally. in reality. In a 1984 study. Figure 1-3 Education and Work Experience of Entrepreneurs Several major research studies also emphasise that many entrepreneurs are coming from the ranks of MBAs.
but women tend to become entrepreneurs after their children are grown. and 45 percent in or near urban centres. Only 4 percent of these women entered financial service businesses. with the mean start-up age being 46. About 56 percent were married. Slightly more than half of all recently formed ventures are in professional services. and 16 percent are in manufacturing. Most women entrepreneurs started in business between the ages of 38 and 48. and have superior conceptual skills. characteristics of women entrepreneurs were studied with very good results. though nearly all children were essentially “out of the house” (over 20 years of age or not residing at home). but 26 percent are in retailing.From Ronstadt's study we can conclude that most new ventures are the result of youthful. with 70 percent of those graduating in liberal arts. reasonably welleducated individuals choosing initially to “go it alone. REVIEW 1. A third of all women entrepreneurs had graduate degrees.ME 492 10 . Their parents. with about 25 percent originating in suburbs. are emotionally stable. Entrepreneurship and New Venture Opportunities –. Explain our contemporary view of an entrepreneurial ” profile” and the conclusions we might draw about tomorrow's entrepreneurs. were well educated. another 9 percent were involved in manufacturing. 1. Many also have had entrepreneurial parents. yet there is strong evidence that most are well educated and have had successful work experience. More than 62 percent of these women had attended college. and the remaining 87 percent pursued personal service enterprises or speciality merchandising. 30 percent in rural towns. A clear profile of entrepreneurs does not emerge from these studies.” Further information reveals that more than 60 percent start ventures near their homes. and 68 percent of their husbands held college degrees. In a milestone 1987 report. and 42 percent had children. Men tend to launch ventures early in their lives. like those of most male entrepreneurs.