From a Humble Masseuse

I used to sell back massages. I would offer the "best" back massages that money could buy. I would use different techniques—my favorite of which was the "karate chop" method. I was a mere middle schooler, probably around 10 or 11 years of age, but I was practicing an integral part of our economy–entrepreneurship. 

Entrepreneurs at work. Photo

An entrepreneur is a person who assumes the risks and rewards of undertaking a new business idea. The entrepreneur is seen as an innovator of new ideas. In fact, as you might expect, our economy depends on the development of new businesses that come as a result of people taking risks. 

A classic example of entrepreneurship can be found in the humble lemonade stand. In this instance, the entrepreneur assumes the risk of initiating a new idea. He or she may have a take out a loan to fund the creation of their stand (they might have to ask their parents for funds to buy lemons etc.). They may also put in sweat equity, a contribution to a project of sweat and toil. Instead of hiring a worker, they can make their own stand and their own lemonade, thereby decreasing their expenses. If their business succeeds and their revenue exceeds their cost, they will reap the rewards of the venture. However, the entrepreneur must also accept the risk of not being profitable.

But what happens when entrepreneurship decreases? And what could possibly make that happen? 

Uncertainty is dangerous. Photo

Uncertainty in the market is one of the biggest hinderances when it comes to the creation of new business. If people can't accurate predict the future and can't trust the economy, then they are less willing to take on the risk of a new business. This eventually slows economic growth and leaves consumers without new products and services. Lemonade will be scarce and a good back massage will be few and far between. Doesn't sound very good to me!

You might be an entrepreneur if you draw stuff on walls. Photo

In today's day, a pertinent example of entrepreneurship on a grand scale is the "entrepreneurial ecosystem" of Silicon Valley. It is full of talent and is supported by government and non-governmental organizations that foster its innovations in technology. You may not realize it, but that new app that you just downloaded is playing a large part in keeping our economy functioning properly! It all stems from an entrepreneur who took an initial risk. After his or her company gains traction, he or she can even hire employees! 

Have you ever started your own business like my back massaging venture? Maybe you even operated your own lemonade stand for some time. Have you ever had or heard of any really stupid business ideas? Comment below I want to hear your stories about entrepreneurship!