Over the last few years, there more and more entrepreneurs emerging, launching their various ideas into the world. These people came from various different background, leaving everything behind to tell the world about their new ideas or trying to aim to become a millionaire. The problem is that not all people realize that creating that business is not as easy as it looks, yet there are still people who will sacrifice everything without thinking through.
Ever since the introduction of the internet, the rate of entrepreneurship rise higher than ever, despite the bitter economic. According to the 2012 Global Entrepreneurship Report, 69 percent of U.S entrepreneurs start their business at home (ESTEEM, 2013). The rate of graduates starting their own companies instead of looking for a stable job are increasing by the year. The internet generates enthusiasm for entrepreneurship, due to the revolutionized interaction with the consumers, there are so much opportunities to find and meet the needs of the vast consumer range. Thus why most of the new entrepreneurs are young, because they know and understand what does the consumers want and being young makes them much more reckless and making them willing to take more risk. Take, YouTube, Facebook and PayPal these small start-ups business quickly rises to become a gigantic company and their owners, millionaires (Donaldson, 2011).
One of the most difficult thing when starting up a business is getting the initial financing, which thanks to the internet this has become much easier. With the internet, entrepreneurs are able to post and pitch their business ideas online where many potential investors can notice and pick which idea they would like to fund. Because of the successful entrepreneurs that has emerged from the last 10 years, government and universities in the U.S are carrying out programs that support Research and Development as well as offering low-interest loan for these young entrepreneurs to launch their idea and grow (Reid & Schramm, 2011). It is also possible nowadays to seek funding from the consumers themselves through websites like Kickstarter, indigogo and rockethub. These websites allows the entrepreneurs to promote their ideas or project to the public and ask for funding in exchange for rewards related to the idea. A smartwatch project that connects to the smartphone founded by a young entrepreneur, Eric Migicovsky called Pebble raised $10 Million in Kickstarter (Chang, 2012).
Despite all the various success in creating the online business, it is not easy as it seems. There are a lot of factor that needs to be taken into account behind every online businesses. The most common one is the competition. Entrepreneurs, no matter how original their ideas are will always have a competition sooner or later, if their idea is good. Take Kickstarter, although the website started with an original concept but right now there are more than 50 different websites that is similar to Kickstarter. Next is the traffic or the consumer, they are never free and when they do entrepreneurs pay them with a different currency, time. Entrepreneurs need to spend either time or money if they want to have consumers start to look at their business. And these consumers never purchase anything from strangers, no matter how good the products are, no one will just click an ad and buy them straightaway especially in online business. These online business needs to be known by the consumers in order to build trust. Even the famous start-up, Task-Rabbit are offering vouchers to GAP customers for their product in order to get their business known (Lawler, 2012). One of the most important thing in the online business is the technology. These entrepreneurs needs to know the basics of the ever changing website, how to make them, how they interact with the consumers, the function and update them regularly so that their business doesn’t fall behind. Lastly, don’t expect to make millions because out of all the entrepreneurs that emerged only small fraction of them made it, though it doesn’t mean that entrepreneurs are poor. They are not and they can live in a nice house but don’t think that by becoming an entrepreneur, means becoming super rich. (Morrow, n.d.)
Chang, A. (2012) ‘Hands On With Pebble Smartwatch, the Most Successful Kickstarter Project Ever’, Wired. [online] 14 May 2012. Available at: http://www.wired.com/gadgetlab/2012/05/hands-on-with-pebble-smartwatch-the-most-successful-kickstarter-project-ever/ [Accessed 30 November 2013].
Donaldson, L. (2011) ‘Why The Internet Is Driving Entrepreneurship – And What It Means For You’, Open Forum. [online] 24 October 2011. Available at: https://www.openforum.com/articles/why-the-internet-is-driving-entrepreneurshipand-what-it-means-for-you/ [Accessed 30 November 2013].
ESTEEM. (2013) ‘The Internet and Entrepreneurship’, ESTEEM. [online] 27 September 2013. Available at: http://esteem.nd.edu/news/43098-the-internet-and-entrepreneurship/ [Accessed 30 November 2013].
Lawler, R. (2012) ‘TaskRabbit Partners Up With Gap, Giving Free Gift Vouchers To Customers Who Spend $75 Or More In SF And NYC Stores’, TechCrunch. [online] 7 December 2012. Available at: http://techcrunch.com/2012/12/07/taskrabbit-gap/ [Accessed 30 November 2013].
Morrow, J. (n.d.) ‘5 Harsh Realities of Making a Living Online’, copyblogger. [online] Available at: http://www.copyblogger.com/internet-marketing-reality/ [Accessed 30 November 2013].
Reid, D. & Schramm, V. (2011) ‘Young Entrepreneurs Create Their Own Jobs’, Huffington Post. [online] 26 April 2011. Available at: http://www.huffingtonpost.com/dylan-reid/student-entrepreneurs-cre_b_853903.html [Accessed 30 November 2013].