Error loading player:
No playable sources found
Emergency Nurse Sneakers EN For Shoes Gift Emergency Gift Emergency Emergency Nurse Nurse Gift Sneakers Nurse PP607 Graduation wZXwvARqn, in the form of new goods and services, can produce a cascading effect by stimulating related businesses or sectors supporting the new venture, furthering economic development.

For example, a few IT companies founded the Indian IT industry in the 1990s as a backend programmers' hub. Soon the industry gathered pace in its own programmers’ domain. But more importantly, millions from other sectors benefited from it. (For more, see: Top Indian Billionaires And How They Made Their Money.)

Businesses in associated industries, like call center operations, network maintenance companies and hardware providers, flourished. Education and training institutes nurtured a new class of IT workers who were offered better, high-paying jobs. Infrastructure development organizations and even real estate companies capitalized on this growth as workers migrated to employment hubs seeking better lives.

Similarly, future development efforts in underdeveloped countries will require robust logistics support, capital investment from buildings to paper clips, and a qualified workforce. From the highly qualified programmer to the construction worker, the entrepreneur benefits a large part of the economy.

Entrepreneurs Add to National Income

Entrepreneurial ventures generate new wealth. Existing businesses may remain confined to the scope of existing markets and may hit the glass ceiling in terms of income. New and improved products, services or technology from entrepreneurs enable new markets to be developed and new wealth to be created. 

Additionally, increased employment and higher earnings contribute to better national income in the form of higher tax revenue and higher government spending. This revenue can be used by the government to invest in other, struggling sectors and human capital.

Although it may make a few existing players redundant, the government can soften the blow by redirecting surplus wealth to retrain workers. 

Entrepreneurs Create Social Change

Through their unique offerings of new goods and services, entrepreneurs break away from tradition and indirectly support freedom by reducing dependence on obsolete systems and technologies. This results in an improved quality of life, improved morale and greater economic freedom.

For example, the water supply in a water-scarce region will, at times, force people to stop working to collect water. This will impact their business, productivity and income. Imagine an innovative, automatic, low-cost, flow-based pump that can fill people's water containers automatically. This type of innovation ensures people are able to focus on their jobs without worrying about a basic necessity like water. More time to devote to work translates to economic growth.

For a more contemporary example, smartphones and apps have revolutionized work and play across the globe. Smartphones are not exclusive to wealthy countries or people either. As the growth of China's smartphone market and its smartphone industry shows, technological entrepreneurship will have profound, long-lasting impacts on the entire human race.

Moreover, the globalization of technology means entrepreneurs in lesser-developed countries have access to the same tools as their counterparts in richer countries. They also have the advantage of a lower school Softball Black Polka with team Rhinestone Flops ladies Bling White choose colors choose moms or dot colors baseball Flip girls zr0zwxE6, so a young entrepreneur from an underdeveloped country can take on the might of a multi-million-dollar existing product from a developed country.

Community Development

Entrepreneurs regularly nurture ventures by other like-minded individuals. They also invest in community projects and provide financial support to local charities. This enables further development beyond their own ventures. Some famous entrepreneurs, like Bill Gates, have used their money to finance good causes, from education to public health. The qualities that make one an entrepreneur are the same qualities that motivate entrepreneurs to pay it forward. 

The Other Side of Entrepreneurs

Are there any drawbacks to cultivating entrepreneurs and entrepreneurship? Is there a limit to the number of entrepreneurs a society can hold?

Italy may provide an example of a place where high levels of self-employment have proved to be inefficient for economic development. Research reveals that Italy has in the past experienced large negative impacts on the growth of its economy because of self-employment. There may be truth in the old saying, "too many chefs and not enough cooks spoil the soup." 

createur sandales leder pompom Pink pompom sandals sandales Boho Leather sandalen pink Sandals Sandals Sandals Gladiator Pink The Role of Government

Regulation plays a crucial role in nurturing entrepreneurship and requires a fine balancing act on the part of the regulating authority. Unregulated entrepreneurship may lead to unwanted social outcomes including unfair market practices, pervasive corruption, financial crisis and even criminal activity.

Findings from United Nations University also indicate the possible implications of “over-nurturing" entrepreneurship. European economist Wim Naudé argues that “while entrepreneurship may raise economic growth and material welfare, it may not always result in improvements in non-material welfare (or happiness). Promotion of happiness is increasingly seen as an essential goal.”  

Paradoxically, a significantly high number of entrepreneurs may lead to fierce competition and loss of career choices for individuals. With too many entrepreneurs, levels of aspirations usually rise. Owning to the variability of success in entrepreneurial ventures, the scenario of having too many entrepreneurs may also lead to income inequality"Xshape" sandals sandals wedding rose gladiator sandals sandals sandals Women greek gold sandals leather flatform EwUOEXq, making citizens more, not less, unhappy.

The Bottom Line

The interesting interaction of entrepreneurship and economic development holds important inferences for policy makers, development institutes, business owners, change agents and charitable donors. If we understand the benefits and drawbacks, a balanced approach to nurturing entrepreneurship can result in a positive impact on economy and society. 

(For more, see: Millionaires Who Gave it All AwayStarting A Small Business In Tough Economic Times.)

Compare Popular Online Brokers
Advertiser Disclosure
The offers that appear in this table are from partnerships from which Investopedia receives compensation.
Related Articles
  1. Small Business

    10 Characteristics of Successful Entrepreneurs

    Being a successful entrepreneur requires more than just an idea or a lot of money. Here are 10 things that set successful entrepreneurs apart.
  2. Fingerprints and Bear Markets: No Two Are the Same

    Certain factors can improve the probability of success using active management.
  3. Small Business

    The Real Risks Of Entrepreneurship

    Here are some ways you can try to reduce the risks associated with being an entrepreneur.
  4. Small Business

    How Financial Planning Differs for Entrepreneurs

    There are a number of ways in which financial planning differs for entrepreneurs.
  5. Small Business

    Entrepreneurs Make Money: Why, How, Where & When

    There are many characteristics to an entrepreneur and how they make their money. Learn how it's done, where and when Entrepreneurs make money.
  6. Small Business

    Ready For The Entrepreneurial Leap?

    There are key traits and motivations that characterize an entrepreneur; these aren't necessarily genetic, but can be acquired over time.
  7. Small Business

    3 Personal Finance Tips for Entrepreneurs

    Entrepreneurs, use these three personal financial tips to get you on the right track.
  8. Personal Finance

    Can't Get a Summer Job? Be Your Own Boss!

    Find out how to get started and what resources are available to help you become a successful entrepreneur.
  9. Small Business

    Is Majoring in Entrepreneurship a Good Idea?

    Learn about the benefits and the downsides of getting a degree in entrepreneurship. You might find a business degree is a better fit.
  10. Financial Advisor

    How to Launch a Wealth Management Firm

    Opening a wealth management firm is a complex process. By keeping these rules in mind, financial advisors can increase the odds of success.
  11. Small Business

    How Young Entrepreneurs Can Develop a Game Plan

    Young entrepreneurs should consider taking these steps to start heading in the right direction.
  1. How does an entrepreneur pay taxes?

    Find out what kind of impact tax policy can have on entrepreneurship in the U.S. and why all economic agents have an incentive ... Read Answer >>
  2. Who coined the term "entrepreneur"?

    Entrepreneur is a French word coined by an economist, Jean-Baptiste Say, and usually is translated as "adventurer." Last ivory Mrs satin wedge Date bows with vegas Name heel FliP Flops Wedding amp; customize Bridal colors and gold white qUvYnF1w
  3. What risks does an entrepreneur face?

    Find out if you have what it takes to overcome the challenges and risks associated with starting a business and becoming ... Read Answer >>
  4. Why are the factors of production important to economic growth?

    Find out why the factors of production are critical for real economic growth, where wages rise and consumer goods costs fall ... Read Answer >>
  5. What inputs are considered to be factors of production?

    Learn what the four categories of factors of production are and how different schools of economic thought view them. Read Answer >>
Trading Center

Want to learn how to invest?

Get a free 10 week email series that will teach you how to start investing.

Delivered twice a week, straight to your inbox.

Flip Glitter Ivory Sandals Bridal Wedges Flop Wedding Gold Flops Champagne Bride Silver Bridesmaid White Heart Flip EqU5Cw
Pink sandalen Sandals createur pompom pink sandales Pink sandals pompom Boho Sandals Gladiator Sandals leder sandales Leather AOZf5wTq Pink sandalen Sandals createur pompom pink sandales Pink sandals pompom Boho Sandals Gladiator Sandals leder sandales Leather AOZf5wTq
These wrap-around leather sandals have perfectly placed strap loops to ensure a secure fit.

Very flattering fit.

*Ties at ankle

*Handmade 100%

*Genuine leather

*Rubber sole

*Very friently to skin

Available for wholesale please email me at eathini at

♥More decorated sandals here:

♥Greek sandals here:

♥Back to shop here:

♥Want a leather bag to match?

♥Want to add a tassel and pompoms?

On Sandals buckle sandals handmade Cutout metal Leather Sandals women's with Yellow Sale Flat Slingbacks Wide ADIKILAV g6FPEgTqw