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Entrepreneurs initiate and sustain the process of economic development in the following ways 1. Capital formation: Entrepreneurs mobilize the idle savings of the public through the issuance of industrial securities. Investment of public savings in industry leads to a productive use of national resources. The rate of capital formation is increasing, which is crucial for rapid economic growth. S. NARENDER 1 ➢ Entrepreneurs locate and exploit opportunities. They convert latent and idle resources such as land, labor and capital into national income and wealth in the form of goods and services. ➢ They contribute to increasing the net domestic product and per capita income in the country, which are important yardsticks for measuring economic growth. S. NARENDER 2 ➢ Entrepreneurs create employment both directly and indirectly. Direct, self-employment as an entrepreneur offers the best way for an independent and honorable life. ➢ Indirectly they provide jobs to millions by setting up big and small business units. Entrepreneurship thus contributes to reducing the unemployment problem in the country. S. NARENDER 3 ➢ Entrepreneurs in the public and private sectors help eliminate regional disparities in economic development. ➢ They set up industries in backward areas to avail various concessions and subsidies offered by the central and state governments. ➢ Public sector steel plants and private sector industries of the Modis, Tatas, Birlas and others have put their int…

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