James Miller

 The Role of Entrepreneurship in Economic Development Student’s Name Institutional Affiliation Course Details Professor’s Name Date The Role of Entrepreneurship in Economic Development Entrepreneurship as a way of establishing a business plays an important role in economic development of a country. Entrepreneurs plan a business strategy, allocate capital and take risks to run it. According to Wang et al. (2023), entrepreneurship contributes to job opportunities due to demand of labour required to run the industry. It has also introduced the use of technology, and ability to support small-scale businesses in the society. Besides taking risks, innovators do research on challenges that face the business sector of the country and fixes them appropriately. As a result, the economy grows stronger and the nation will have enough resources to feed its dependents. The major impact of entrepreneurship in economic development is creation of job opportunities. According to Norstedt and Germundsson (2021c), when enterprisers establish a business, they need people to work on it since running it alone is not feasible. Therefore, the innovation has brought about job opportunities for unemployed individuals. It is possible that when entrepreneurs arise in a good number, there will be adequate job opportunities. For instance, as businesses grow, they create a higher demand for goods and services in other companies, which in turn results in creation of more works (Fatimah et al., 2023). For this reason, the economy is strengthened due to reduced rate of unemployment especially among youths. Moreover, it has integrated technology into business operations. Nowadays, people find new ideas and services online to solve problems that emerge in the field of business which therefore transform the old ways of operating them (Chen et al., 2021). For example, companies like Jumia, Kilimall, and Alibaba have applications and websites whereby customers can order their goods online and have them delivered to their door-step. This shift has replaced the traditional method where customers had to physically visit the shops to buy their goods. As per Clarysse et al. (2022), entrepreneurs are the drivers that bring changes to economy by introducing the use of technology that pushes industries forward. This simply clarifies that for a country to develop, business owners should improve their businesses using technological ideas. As a result, the use of technology in business industries brings about improved access to goods and services. Furthermore, entrepreneurship has boosted local communities by supporting their small-scale businesses and farm activities (Tariq, 2025). Considering the growth of large companies in the community, local hotels and shops gets more customers from its workers (Song, 2024). The growth of a business bolsters the industries in its vicinity as well. In addition, entrepreneurs may establish a cafe and source ingredients from local farms or bakeries. According to Q. Wang and Richardson (2021), people can invest and bring development strategies in their communities. As such, this routine ensures that the wealth created circulates around the community thus reducing over-reliance on external products. In conclusion, economic development of a country is mostly driven by entrepreneurship. Creation of job opportunities reduces unemployment rates especially among the youths. For this reason, it trains the nation to rely on its own resources. However, businesses may start as small but when they grow more successful, the community benefits and grows more strongly. Ultimately, it is essential for the government to support people in the business sector because it gives rise to creation jobs and the use of technology. As such, there will be improved landscape of economy in the country. References Wang, N., Cui, D., & Dong, Y. (2023). Study on the impact of business environment on private enterprises’ technological innovation from the perspective of transaction cost. Innovation and Green Development, 2(1), 100034. https://doi.org/10.1016/j.igd- Norstedt, M., & Germundsson, P. (2021). Motives for entrepreneurship and establishing one’s own business among people with disabilities: Findings from a scoping review. Disability & Society, 38(2), 247–266. https://doi.org/10.1080/- Fatimah, Y. A., Kannan, D., Govindan, K., & Hasibuan, Z. A. (2023). Circular economy e-business model portfolio development for e-business applications: Impacts on ESG and sustainability performance. Journal of Cleaner Production, 415, 137528. https://doi.org/10.1016/j.jclepro- Chen, C., Lin, Y., Chen, W., Chao, C., & Pandia, H. (2021). Role of Government to enhance digital transformation in small service business. Sustainability, 13(3), 1028. https://doi.org/10.3390/su- Clarysse, B., He, V. F., & Tucci, C. L. (2022). How the Internet of Things reshapes the organization of innovation and entrepreneurship. Technovation, 118, 102644. https://doi.org/10.1016/j.technovation- Tariq, M. U. (2025). Innovative business models. In IGI Global eBooks (pp. 147–174). https://doi.org/10.4018/-.ch005 Song, J. (2024). Corporate ESG performance and human capital investment efficiency. Finance Research Letters, 62, 105239. https://doi.org/10.1016/j.frl- Wang, Q., & Richardson, L. (2021). Fostering art and cultural entrepreneurship in underserved communities: a case of Newark, NJ. Journal of Planning Education and Research, 44(2), 909–922. https://doi.org/10.1177/-x-