Tag: production mechanism

An entrepreneur manages the functions of an organization and hence he must possess good negotiating skills in order to ensure coordination over all the departments of the organization.

An entrepreneur is responsible for motivating the employees .He also convey a sense of purpose in order to project an organizational goal and asks everyone to work hard to achieve that goal.

An entrepreneur uses his ideas and knowledge to run an organization thus,he bears the risk involved in setting up an organization.

Dividend/profit is known as the cost as a factor of production.For instance, when an entrepreneur invests his ideas to run an organization,then as a result ,profit is derived which is known as the cost of entrepreneur.

Entrepreneur uses his/her skills ,knowledge and ideas to bring the other factors of production to produce economic goods and services

An entrepreneur uses his skill and knowledge to run an organization and thus, he takes the responsibility of the whole organization in order to ensure the smooth functioning of the organization.