CHARACTERISTICS OF THE ENTREPRENEUR We often hear about entrepreneurs but are never exactly sure what people mean by this term. We will attempt to get an understandable definition for an entrepreneur. Simply being a highly creative person is not the same as being an entrepreneur. Neither is an entrepreneur simply someone that starts and runs their own business. If we take both the previous statements and combine them into one definition then we possibly have the simplest explanation. An entrepreneur is someone that is sufficiently creative to come up with an idea for a business and then has the abilities to start and successfully run the business. In this program we are particularly interested in the person that wants to start and run a small business, possibly from home or from a small building or office. There are certain characteristics that such a person must have for them to have a reasonable chance of success. Fortunately it is possible to acquire and develop most of these characteristics that are essential for the entrepreneur to enable them to start and run their own business. Not every person is able to equally successfully develop every one of the essential entrepreneurial characteristics, but fortunately there is a solution to the problem. The entrepreneurial characteristics that you find very difficult or impossible to develop in yourself, you can usually find in a friend or another family member that would be willing to work for you. It is possible to hire people that have the characteristics that you may lack or be weak in. A long term investigation by a few organisations came up with what they feel are the essential characteristics found in entrepreneurs. What they found out too was that merely having these characteristics does not make an entrepreneur. The first characteristic is that an entrepreneur has determination and commitment to the job that they have set themselves to do. There is considerable tenacity and decisiveness about getting the job done. They are self disciplined and will be able to spend long hours working to complete the job. Simply stated they become totally immersed in their work even if it requires personal sacrifice on their part. The commitment by the entrepreneur is seen to be the most important of their characteristics. Anyone that is highly committed will be able to overcome incredible obstacles and will also be able to compensate for significant weaknesses that they might have. One word of warning here is that your work should not intrude on your family life or reduce your dependence on the Lord. I am sure that you know many cases of unsuccessful people that have bundles of talent. They have seldom got the commitment and determination needed to succeed. As an entrepreneur you will have huge, constant pressures first to get the business going and then later to keep the business going. Later on the pressures will come from making the business grow. While you should be committed, you should also be realistic and know what your limits are and what things you must get someone else to do for you. The next characteristic that is prevalent in successful entrepreneurs is leadership. A leader is someone that is a self-starter and does not have to be told to get a job done. They keep their eyes and ears open for the things that they know must be done, and when they see something they do it automatically. They set high standards for themselves but are not dreary perfectionists that could slow down a project. A good leader is someone that develops the people that work for them. Developing the team is an important part of what a leader does. A good leader is also a person that motivates other people to do their best and gives praise where praise is due. Above all the good leader is someone that is also an effective teacher. Any person that works with a good leader will soon find out that they are in a position to learn something new very quickly. This is mainly due to the ability of the leader to
pass on what information they have learned. An essential component of leadership is the motivation that a leader provides though their own visions and dreams of what they see the business becoming. By being able to get the rest of the team to feel enthusiastic about what is happening, the leader can ensure that everyone will do their best. A leader is not only a person that shows the way, but they make sure that they teach others how to follow successfully. They are also teachers that support and coach their team members. The leader is not a loner but relies on his team for the general benefit of everyone. The third characteristic that is commonly found in successful entrepreneurs is that they are driven by what they know the market needs. They go out of their way to determine what the market needs and wants. Then they do everything possible to meet the need and to get the product into the market. If you do not know and understand the customer then you will not be able to meet their needs. Make sure that you are closely involved in the needs of your target market. Part of meeting the customer needs involves a strong desire to provide value for the client. This means that you must also be able to accurately select the best opportunity from the many possible ideas that would normally be available for solving a problem. Another very important characteristic of an entrepreneur is their ability to take calculated risks. Taking a calculated risk or being able to work in an environment where there is uncertainty is something that every small business owner must be comfortable doing. At the same time you should do everything possible to minimise the effects of the risk that you are taking. One of the things that you can be certain about is the fact that every business will regularly have to tolerate and deal with risks and uncertainties. There will always be stress, uncertainty, and a variety of different risks that must be dealt with on a routine basis. You will often have to decide between different solutions that could easily contradict each other. This just adds fun to the risk taking. There will be a certain amount of conflict that will arise because of different options that can be taken. Conflict does not have to end in a fight but can be dealt with through discussions and mutual agreement. The fifth noticeable characteristic that is found in entrepreneurs is their creativity, self-reliance and their ability to adapt readily to changing conditions. You will often find that they come up with unconventional solutions to a problem. They are usually open minded about problems and are willing to listen and try any good solution. A creative person will be able to quickly find a possible solution and at the same time be able to conceptualise the answer. They have the ability to learn quickly and they are willing to keep up with new developments and make changes that they feel will be beneficial to the business and clients. They have very little fear of failure but they take all reasonable precautions to reduce the chances of failure. In the business arena today it is essential to react quickly and correctly to any client problem. Your business must be able to respond quickly to the needs of the marketplace and this becomes easier if you have a creative entrepreneur as the owner or leader. The final characteristic we will mention is that entrepreneurs are motivated to excel. Without this strong motivation it is very difficult to keep focused on what you are doing. They set their goals and then they move constantly towards the goal. In most case they are not too bothered about what happens along the way as long as they meet the targets that have been set. The problems and other glitches are seen as part of their experience while reaching for the final result. It is like a mountaineer that sees the summit as the final goal and accepts that there will be marshes, cliffs and other barriers along the way but is not too concerned about them. The motivation provides the extra drive for the entrepreneur to excel and to continue doing their best. Part of the motivation is that there is not a need for status and power but rather the goal is
what they are trying to achieve. A positive attitude is an essential part of the motivation. In most cases the entrepreneur also has a good sense of humour and a realistic outlook on life. The six characteristics that we have mentioned are possibly the most important characteristics to be found in the majority of successful entrepreneurs. Every one of these traits can be developed through training if you want to. They represent a cluster of success factors but they do not mean that you will automatically become a successful business owner. You will still have to set your goals and then work towards them.