Role of Entrepreneurship in Economic Development

Abstract

Entrepreneurship is the process of discovering opportunities, allocating resources and taking calculated risks to establish and manage new business plays a crucial role in economic development. Through innovation, entrepreneurs launch new products, services, technologies, growing, competitiveness and productivity. This innovation spurs job creation, as expanding businesses hire employees, boosting consumer spending and reducing unemployment. Entrepreneurship promotes a culture of self- reliance, inspiring others to embark on similar paths and fostering a cycle of growth. Successful entrepreneurs contribute substantially to economic development by generating income and paying taxes, thereby supporting public services and infrastructure. Overall, entrepreneurship acts as a catalyst driving economic development through innovation, job creation and sustainable growth. This research paper affirms that the extent of entrepreneurship within a specific country exerts a notable and positive impact on the country’s economic advancement. Entrepreneurs plays a beneficial role in fostering economic growth by efficiently utilizing key resources such as labor, land and capital to create international revenue and wealth through the provisions of goods and services. The research suggests fostering an environment conducive entrepreneurship to encourage entrepreneurial activity as a tactics for enhancing employment. Moreover, providing assistance to current entrepreneurs and preventing business closures could contribute to the attainment of economic growth. Concluded this study, entrepreneurship serves as a dynamic force that drives economic progress, stimulates innovation, and brings about change is societies and economies.