WHY ARE ENTREPRENEURS SO IMPORTANT FOR ECONOMY ?

Today’s topic of article is really a very interesting and informative one. With this article we are going to discuss the impact of entrepreneurs on the successful development of the economy of the country. People often hear about the concept of economy but they do not normally understand what economy and entrepreneurship have to do so close with each other? It is necessary to know how economy and entrepreneurship can help each other and also how they can destroy each other. These two versions are possible. Actually in developed countries and in those countries where most of the things are right with economy, economy and entrepreneurship help each other. The national economy of the country is running in such a way so as to help the entrepreneurs to have income because the government also knows that the more income the entrepreneurs get the more the budget of the government will get. This is one common truth for all the entrepreneurs and of course it is so natural that the economic machine must work in this way.

So how does it come that entrepreneurs become so important for economy?

There are actually several very important reasons why entrepreneurs are becoming so much important for the successful development of the country’s economy.

• One of those many reasons why entrepreneurs benefit the economy is that because they covers some needs in national market of the country. How do the entrepreneurs decide that they must open this or that company? They do it according to the needs of the country and therefore they try to cover the needs of national market. Of course this helps the economy because it makes the national market to be diverse and therefore much more developed also.
• Another reason how the entrepreneurs help the economy is that actually they provide employment and it makes the economy stronger. More people are becoming occupied and it means that the country will have less problems.
• Expanding to the regional level and commerce is another brilliant benefit for the country’s economy. This means that actually the company be it a small one or a big one will expand the national economy and will just represent the name of the country in the region. Being a successful one in the region it can expand even more up to global economy level and this will make a new place for the country in global economy.
• Another reason why the entrepreneurs are just so important for the development of the country’s economy is that actually they pay taxes to the country. Of course paying taxes is a great importance to the country because entrepreneurs literally fill up a good portion of budget and it is a great motivation for the country to support the national products and the national companies and give them some space for development.

There are many countries where the governments do not help the national products and companies and normally these countries have a very slow growing economy and end up having a failed economy. It is also quite natural because if they don’t give some freedom and space for the companies to develop and just put them under very heavy taxes right from the beginning then the companies will also fail and in this way the economy of the country will collapse. Of course it depends on the country, because some countries get income on tourism and on some other spheres but these countries are small in number and entrepreneurships is really important for the economy of any country.  That is the reason why countries try to change their economic and tax policies all the time so as to help the newly opened entrepreneurs. The best thing actually to do is to make it tax free for the first period of time when the company just opened so as to give a space for the company to grow and develop and then only pay taxes.

As you can see the economic market is a really difficult target to understand. The economy is different from country to country based on the qualities the country has, based on the geography and on some other factors. The economic policies of the countries are also different for the entrepreneurs. Some countries want a quick fulfillment of the budget and they make high taxes right from the start of the companies while others do just the other way. In any case now you understand how the entrepreneurs help to boost the economy if there is an opportunity for them to do so. The economy and entrepreneurship are so closely interrelated and therefore they must help each other and not to destroy. If the country has a good economic and tax policy on the entrepreneurs then they both will help each other to grow up and develop.