Compare “entrepreneurship” with “startup.”

Question

What will be an ideal response?

Answer 1

The term startup came into vogue during the 1990s dot-com bubble when a plethora of web-based companies were born. While the term has various meanings, we subscribe to Steve Blank’s definition of startup: a temporary organization in search of a scalable business model. In the traditional view of startups, anyone who starts a business is called an entrepreneur. The entrepreneur creates a business based on research to assess the validity of an idea or business model. The business may be funded by seed money from family members or investors, but usually it is funded by the entrepreneurs themselves.
If the business is successful, the startup does not remain a startup. It can develop into an organization in its own right, be merged with another organization, or be bought or acquired by another company. In our parody example, lone-wolf Bob created a technology startup in his parents’ garage and sold it to a hugely successful organization. This traditional view of the startup, however, is not the only path for entrepreneurs. The truth is that entrepreneurs are everywhere, from corporations to franchises, to for-profit and nonprofit organizations, to family enterprises.