What defines an entrepreneur?

An entrepreneur is defined as an individual who creates and manages a business. This definition encapsulates the essence of entrepreneurship, which involves taking the initiative to identify opportunities, develop innovative products or services, and assume the risks associated with starting and running a business. Entrepreneurs are often characterized by their ability to mobilize resources, make strategic decisions, and drive their ventures towards growth and success.

In contrast to managing resources as an employee, which focuses on the operational aspect, or merely investing in stocks, which does not involve creating a business entity, being an entrepreneur requires a proactive stance toward risk and innovation. Furthermore, while consultants for startups play an essential role in guiding new businesses, they usually do not bear the same risks and responsibilities that entrepreneurs do as the creators and operators of these businesses. Thus, the choice representing an individual who creates and manages a business most accurately embodies the spirit and definition of an entrepreneur.