Adaego Ononuju - Entrepreneurs and their effect on employment

1. Adaego Ononuju - Entrepreneurs and their effect on employment In economies where entrepreneurs can operate flexibly, develop their ideas, and reap the rewards, the benefits to society are greater. When regulatory barriers are high, entrepreneurs move to countries that are more open to innovation or turn away from productive activities to activities that do not generate wealth. According to Adaego Ononuju, the government must cut red tape, streamline regulations, and prepare for layoffs at incumbent firms that fail as a result of new competition to attract productive entrepreneurs. Entrepreneurs introduce innovations and induce economic growth Entrepreneurs often develop new technologies, develop new products, innovate processes, and open up new markets. Innovations often lead to economic growth. Innovators contribute to economic progress in a key way. In comparison to incumbent firms, new firms invest more in seeking out new opportunities. Existing companies might be less probable to innovate because of corporate inertia, which numbs their responsiveness to demand changes, or because new interests would compete with their selected range of products. Incumbent companies often miss out, sometimes deliberately, on opportunities to adopt new concepts because of the fear of cannibalizing their demands. For developers and innovators (who sometimes come from selected firms) setting up their own company often seems to be the only method to commercialize their thoughts. By launching new companies, entrepreneurs intensify competition for existing companies. Consumers profit from the resulting lower costs and greater product types. Researchers have grown a measure of market mobility, which identifies the impacts of new business building on existing firms. A difference in the ranking of specified firms by several workers implies a transfer of market share and higher market mobility. According to Njideka A Ononuju, this impact is especially strong when considering the entrepreneurial movement five years before the start-up, which points to a significant time lag in the impact of start-ups on market mobility. Furthermore, the latest business formation has an indirect competition-enhancing impact by pushing specified firms to enhance their implementation.