Why Entrepreneurship?
The Entrepreneurship Race
Are you an aspiring entrepreneur or an early stage entrepreneur? If yes, your mind may be racing with thoughts: How do I scale my business? How do I validate my idea? How do I even get started? How do I get paying customers? How do I become profitable? How do I raise funding? How do I become the next unicorn?
But hold your horses—or your unicorns, if I may say so. Even before you start addressing these questions, we need to address one fundamental question, which lies at the heart of your entrepreneurship journey and will help you give answers to a lot of these questions along the way. If you just get this one question right, this one question can be summarized in just three letters:
W – H – Y ?
Why Entrepreneurship?
Why do you want to jump onto the entrepreneurship bandwagon?
You may have given it a cursory thought, and you may think that the answers are obvious, and you may have jumped onto answering the next set of questions that I just mentioned above. But it is extremely important that you sit back and reflect on why you have started on this entrepreneurial journey.
Before you read this article any further, I would request you to do one thing: take a piece of paper (or open your note taking app) and write down why you began your entrepreneurial journey or plan on beginning one.
This is extremely important.
It is not sufficient to have the answers in your head but to ensure that you put it down in writing.
I trust you have completed this exercise, and it may not have taken you too much of time to come out with the answer. Maybe you had only one singular reason why you wanted to get into entrepreneurship, or maybe there is a combination of multiple factors.
Reasons for Entrepreneurship
We have asked this question to many people, and their reasons for entrepreneurship can broadly be categorized into these five segments:
(1) Autonomy and Control
The first reason relates to autonomy and control. Many aspiring entrepreneurs want to be in control of their lives, and to be completely autonomous in what they do. They may currently be in employment, or they may see others around them in employment, and they may not like the fact that you are tethered to an organization, accountable to bosses, managers, supervisors, and to the organizational goals. You do not have any independence of your own to pursue your own path, to chart your own destiny, and you have to listen to what others tell you to do—and that’s not a very good feeling.
Many aspiring entrepreneurs have a burning desire to be in charge of their own destiny, free from the constraints of traditional employment. They yearn for the independence to pursue their own path and make decisions without organizational constraints. The need for autonomy and control serves as a powerful motivator for those who seek to chart their own course.
(2) Passion and Purpose
The second one in this list relates to the two P’s: passion and purpose. Many times, people who feel very strongly about anything—whether it is a domain, a subject matter, a functional area, an industry, or even a hobby—feel that they are so passionate about something, they might as well work in that domain. And what better way to do that than through the route of entrepreneurship?
Sometimes, mainstream opportunities may be limited in their chosen domain, prompting them to create their own path. The desire to combine passion with autonomy and control further propels individuals towards entrepreneurship.
However, it is essential to note that passion alone is not always enough for success. It must be backed by commercial viability and a realistic understanding of the market.
(3) Money and Wealth
This leads us to the third factor which is the most common refrain that I have heard. This one is all about money—about finance, about financial freedom, about wealth creation. People do have this notion that entrepreneurship brings along with it many opportunities to create substantial and significant wealth in a way that employment opportunities just do not provide.
While this may be true, it is crucial to recognize the inherent risks and low success rates associated with startups. While successful entrepreneurs can indeed earn more than their corporate counterparts, it is essential to approach entrepreneurship with a balanced perspective. The prospect of financial gain should be weighed against the potential for loss and the realistic chances of success.
(4) Fame and Status
The fourth reason could be around fame and status. Particularly in current times, where entrepreneurship is celebrated all over the world, and particularly in your country, you may get a feeling that everybody seems to be jumping on the entrepreneurial bandwagon. You may find that young entrepreneurs who may not have otherwise done much in their lives or achieved anything significant raise a round of funding or two and their names and their photographs are splashed all over media and social media. The media often highlights the achievements of young entrepreneurs, elevating their status and making them celebrities.
This perception of entrepreneurial success may tempt individuals to join the bandwagon, seeking recognition and validation. However, it is crucial not to fall into the trap of FOMO (fear of missing out) and make decisions solely based on such external factors. Each person’s situation and circumstances are unique, and true success should be measured by personal fulfillment and impact, rather than external validation.
(5) Challenge and Growth
The fifth set of reasons is something that I do not encounter too often, but nevertheless it is something that people do mention once in a while: challenge and growth. There is absolutely no doubt that entrepreneurship challenges you to develop skills in multiple different domains, functions, and learn how to be the master of your own destiny.
Unlike traditional career paths, where fallback options and organizational support exist, entrepreneurs bear the ultimate responsibility for their ventures. This constant exposure to challenges forces entrepreneurs to step outside their comfort zones, fostering personal growth and development. Stepping outside one’s comfort zone is where true growth happens, making entrepreneurship an ideal avenue for those seeking continuous self-improvement.
The Sixth Reason
There is a sixth reason why most successful entrepreneurs become successful — they pivot to a different reason why they want to become entrepreneurs. All of these five factors we just mentioned are very inward-looking; they are about you and your needs. However, running a business is not at all about you.
A successful business revolves around addressing customer needs and providing solutions. By aligning their entrepreneurial venture with solving unmet customer needs, entrepreneurs increase their chances of success. This customer-centric approach can encompass all the previously mentioned factors, such as autonomy and control, passion, financial gain, fame, and personal growth. When entrepreneurs prioritize solving customer problems, they create value for both themselves and their customers.
Your Reasons for Entrepreneurship and Customer Needs
I hope this has given you enough food for thought about why you should be getting into entrepreneurship in the first place. If your natural instinct or reaction—the one you noted down on that piece of paper, remember?—does not align with the sixth reason of solving the needs of a particular customer segment, do not worry.
It is absolutely natural for the primary driver initially to be one of the five things or even something else that you may have thought about.
The key thing is that you need to be self-aware, and this introspection would have hopefully shown you a little bit more about what you are thinking about why you should be getting into entrepreneurship. And you also know why the most successful entrepreneurs achieve success.
Points to Ponder for Entrepreneurs
So, is there a way in which you can marry solving the needs of the customer segment with your primary driver?
If you are able to do that, then you are all set to proceed on this journey.
And the next question you should be asking yourself is: What does it take to be an entrepreneur, and do I have what it takes to be one? If you’re wondering what that would be and you need help on that front, I have good news for you. You can assess your entrepreneurial potential and find out your Entrepreneurship Index.
Do leave behind your comments on why you want to get into (or have got into) the entrepreneurship journey and how has this article changed your thought process about – Why Entrepreneurship?
About The Author
Rajiv Maheshwari is a business and start-up advisor, and the co-founder of From The Experts Mouth. He is a management professional with over 25 years of experience, and worked as CEO for a decade, and in leadership roles with NYSE listed companies such as Accenture and WNS.
He is a Chartered Accountant and MBA (Director’s Merit List from IIM Bangalore) and an autodidact, who is on the path of self-directed life long learning and sharing. He is a thought leader, author and keynote speaker and has developed several frameworks to bridge the gap between academia and industry.
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