What is Business Creation?
Business creation is the implementation of a new combination of production factors, according to the French Institute of Statistics (INSEE). Starting a business involves making key financial decisions and following a series of legal activities. It begins with an idea and market research, which will help you decide whether there is enough demand for your product or service to make it successful. Then you can write a business plan, register your company, and promote your offering.
Creating your own business can provide many benefits, such as job security and the ability to choose how you work and who you work with. It can also be a way to pursue a passion or hobby that you have always wanted to do. However, it is important to understand the challenges of starting a business before you make any decisions.
There are many ways that businesses can benefit the world, but one of the most obvious is by creating jobs. When companies create jobs, they are able to bring people into the workforce and reduce unemployment rates. Additionally, businesses can create wealth that can be used to improve the lives of others.
A lot of literature focuses on studying the profile of entrepreneurs and their decision-making process when it comes to starting businesses. Some studies identify cognitive variables as among the determining characteristics in the process, defined as those personal attributes that influence the perception of reality and condition decision-making. These include the entrepreneur’s attitudes, aptitudes, and motivations (Baron Reference Baron2004; Garcia, Martinez, and Fernandez Reference Garcia, Martinez, and Fernandez2010). In this way, researchers try to explain how individuals decide to take advantage of opportunities and start their own businesses.