Suggest And Define The Place Of The Entrepreneur In Today's Society.

Starting your own business is one of the most exciting and challenging way in today's society. An entrepreneur is a specific job. He has to have some skills, knowledge’s in some general areas such accounting, finance, marketing and human resources. The place of the entrepreneur is difficult to sort-out. There are some different approaches to describe an entrepreneur. For example in a non exhaustive list he is able to be an innovator (Schumpeter), manage the uncertain for Knight, organises the production (Say) or to be a visionaries for Kirzner. The entrepreneur's definition from Jean-Baptiste Say, Ð'« shifts economics resources out of an area of lower and into an area of higher productivity and greater yield Ð'». But this definition does not inform us who this person, the entrepreneur is. An entrepreneur is often as one person who starts is own, new and small business. All the new businesses have many factors in common. They create something new, something different, they change or transmit value. Through this essay we will suggest and define the entrepreneur in today's society.

Schumpeter(1952), define the entrepreneur like this: Ð'« The function of the entrepreneur is to reform or revolutionise the pattern of production by exploiting an invention or more generally an entried technological methods of production a new commodity or producing an old one in a new way opening a new source of supply of materials or a new outlet for products by organising a new industry. Ð'» Capitalism survive, 1952.

Schumpeter described entrepreneurship in terms of creative destruction. He believes in the idea that a new product, idea or services will revolution the economy. The economy works in cycle. This theory was popularized by the Austro-American economist (Schumpeter) but at the beginning it was a work from Kondratieff, the Ð'« fifty year Kondratieff cycle Ð'». The Russian economist describes the economy in cycle. At the beginning of a cycle we have a technological advance. These inventions involve a huge creation of jobs and they are doing exceptionally well. Then the economy who was created by this advance faces to a sudden crisis. A twenty years of stagnation follow the previous period. In this second part the new technologies are not able to generate enough jobs to make the economy itself grown again because they are in the incubation process.

We can sort-out five forces of creative destruction.

The introduction of a new good, the new method of production, the opening of a new market, the sole sourcing or discovery of a new source of supply of raw materials and the reorganisation or improvement of an industrial organisation. Schumpeter does not provide a great deal of details on the characteristics of successful entrepreneurs, he did state that entrepreneur must expend great energy and possess a strong will to be successful. Entrepreneurship is present in large and leading companies. An example can argue this view. The General Electric Company has a long history of starting new businesses. They created a financing arm General Electric Credit Corporation. This business unit was a strong competitor in the loan industry.

Indeed Schumpeter (1952) associated entrepreneurs with innovation and shows the importance of entrepreneur in explaining economic development and its social and economic impact. This idea was highlighted by David Birch who introduces economists to the impact of the entrepreneur on the national economy.

The role of the entrepreneur in economic development involves more than just increasing per capita output and income it involves; initiating and constituting change the structure of business society according to D.Hisrich, 2005.

Indeed of the importance of investment and innovation in the economic development of an area they have to understand the product evolution process. This key idea through an innovation development and her commercialization trough entrepreneurial activities stimulates economic growth.

Between this process of development and the need there is a gap called technology of transfer. To jump over the gap the entrepreneur has to use some lifts that are the government the intrapreneurship and entrepreneurship.

The government is one issue to realize the technology transfer. The government is able to sponsor some research to help the technology to be in new products on the market.

Unfortunately most of the product from this sponsorship research hasn’t been into the market because they have just a few commercials need. The second reason is that the bureaucracy can inhibit the creativity from the researcher.

The second tool to jump over the gap in the intrapreneurship that is defined as entrepreneurship within an existing organization. Corporation who are set-up since a long time have like the government the financial resources but they have the marketing and distribution systems to successfully transfer the technology into the market place. The large corporation recognize the fact that they have a need for creativity to keep their competitiveness of their strategic units.

The last method to realize the technology of transfer is entrepreneurship. The entrepreneur has a range of skills who can be classified in three areas, according to D.Hisrich, 2005. The three areas are business management skills, technical skills and personal entrepreneurship skills. In a narrow sense management skills include for example decision making or finance. The technical skills are in a non exhaustive list coaching or network building. The last areas who differentiate the manager from the entrepreneur involves risk taking or visionary.

Through this transfer the entrepreneur created some new businesses and presents some news products to the consumer. The dynamic reaction of the economy creates some new jobs who participate to the economic development. This theory is true through the history because according to a research from David Birch new and growing smaller firms created 81,5 percent of the net new jobs in the economy from 1969 to 1976.

This research was confirmed by the U.S Small Business Administration's Office of Advocacy because in their study they demonstrate that the small businesses provide 75 percent of all new net jobs since 1980 and 50 percent of the U.S. Gross domestic products according to Small Business Week, 2001.

That the main reason why entrepreneurship is the most effective method to do the technology transfer.