Many people are worried about the future of employment; the future of work. Much of these can be attributed to the fear brought about by the impact of technology on the industries. Whether we like it or not, technology has and will continue changing the dynamics of employment. To some, boosting the firms is the solution yet to the majority, entrepreneurship is the remedy. Entrepreneurship comes with several benefits to the community, more so in these times of uncertainty.
In developed countries such as the US, entrepreneurship is part of their identity. It has a significant influence on economic development. Even so, entrepreneurs must embrace modern forms of marketing; they should take care to follow the required procedures; don’t just buy YouTube views from any company. It’s not going to help in any way. Below are some ways in which entrepreneurs boost the economy.
1. Commerce and regional integration
Have you used some products which you don’t know the company which produces? Does it bother you to try and get the activities of the manufacturer? Through technology, businesses have been able to spread their wings into regional and global markets.
When a new business exports its products to nearby countries, the region’s productivity and earnings are boosted. What is the effect of this on the community? This is analogous to the effects of your business on the community. The business brings the community together through interaction and exchange of goods and services. This promotes commerce and the overall welfare of the community.
2. Promotes development of infrastructure
Exchanging goods promotes development of transportations networks and communication channels. Technology has turned the world into a global village. It’s entrepreneurial activities which drive all these. This is true for both developed and developing countries as researchers claim that foreign trade accounts for almost 90% of economic growth. Under what conditions entrepreneurs promote these developments?
It is known to most of us that production involves giving and taking. There must be suppliers and consumers. For this to happen though, there has to be proper communication between the suppliers and the sellers so that the consumers can get the goods and services at the required time. With these to and fro deliveries and communication, the infrastructure of the area must be improved.
3. Creation of jobs
Unemployment, especially among the youth, is increasingly becoming a challenge to most countries. What if people become entrepreneurs? What will be the net effect on those around them? If you have been keen, you can attest that entrepreneurs not only create jobs for themselves but also for those around them. Employment generates more opportunities in the community. For instance, if you set up a new venture today, you will be creating new opportunities for labor, supply of inputs, supply of industrial equipment and even expansion of the industries around.
Expansion of the enterprises around also adds to the opportunities .After production of goods, service of traders are required. The traders then require transport facilities who in turn need warehousing and communication. It can be seen that one entrepreneurship can have significant ripple effects on the economy of a country. You may want to look at the option of Singapore Holding Company. Singapore is strategically located in the heart of Southeast Asia, making it a gateway to a rapidly growing market. Its proximity to major Asian economies provides businesses with easy access to regional markets.
4. Entrepreneurs contributes to national income
In the initial stages, all the wealth generated by entrepreneurs remains in the country of operation. Through payment of government revenues, entrepreneurs contribute to the national income. The amount generated is then used by the government to boost other sectors which in turn leads to growth of all sectors. In the US for instance, there were more than 32 million small businesses as of 2019.These are very encouraging as it shows that the future of the country’s economy is good. The government should therefore provide a conducive environment for the operation of the entrepreneurs because it is the government which benefits in the long run.
5. Localize wealth generation
Entrepreneurs have more impact on the local community. The wealth is generated from the local people and it remains there. The immediate goal of an entrepreneur is to make the business successful at the local level. This leads to improved living conditions within the community.
What is the main contributor of economic growth in your country? How does it compare with the effects of entrepreneurs? We all have a role to play in promoting the spirit of entrepreneurship. Do you remember the story of the hummingbird? Do you believe in gradual changes? Let’s do this and after just a few years, we shall be on the other side celebrating even better contributions of entrepreneurship.