How is entrepreneurship best defined?

Entrepreneurship is best defined as the process of designing, launching, and running a new business because it encompasses a range of activities that go beyond merely managing investments or trading goods. This definition highlights the creative and innovative aspects involved in starting a venture, as well as the ongoing management required to sustain and grow it.

Entrepreneurs engage in idea generation, market research, product development, business planning, and resource mobilization to bring their vision to life. They take calculated risks and navigate challenges in order to establish and grow their business. This comprehensive process requires not only strategic thinking and problem-solving skills but also the ability to adapt to changing market conditions and consumer preferences.

The other definitions, while related to aspects of business, do not capture the full scope of entrepreneurship. Managing investments points to financial stewardship without the essential entrepreneurial drive to create something new. Buying and selling goods pertains more to commerce than entrepreneurship itself, and studying economic theories focuses on understanding markets and behaviors rather than actively participating in creating and managing a business.