Monday, October 15, 2007

No Room for Entrepreneurs

I saved this clip, "No Room Room for Entrepreneurs" by Mary Anastasia O'Grady published in the Wall Street Journal October 8th (available only to subscribers but I just found a reprint of it online at the Hispanic American Center for Economic Research) because I have always been a fan of the work of economist Joseph Schumpeter (1883-1950). He was one of the most brilliant minds who ever lived, and had an electrifying personality to go along with it. Without his knowledge, we would never have understood the concept of what it means to be an entrepreneur.

Schumpeter felt entrepreneurs are not moved by a wish to grow rich but rather the desire and will to conquer, to prove oneself superior to others and to succeed by utilizing one's energy and ingenuity to make something progressive happen -- not for the sake of success alone. I really believe in that theory.

But back to O'Grady's fine opinion piece.
In a speech last year to European finance ministers in Vienna, Mr. Schramm explained Schumpeter's fears: He "worried that entrepreneurial capitalism would not flourish because the bureaucracies of modern government and big corporations would dampen innovation -- the process of 'creative destruction' would be too ungovernable for a modern, Keynesian-regulated economy to tolerate." As a result, Mr. Schramm said, Schumpeter thought that "the importance of entrepreneurs would fade over time as capitalism sought predictability from governments who would plan economic activity as well as order social benefits."
Schramm is president of the Kauffman Foundation of Entrepreneurship.

What do you think? Agree? Disagree?


Laela said...

Wow...that quote is amazing! So are Schumpetere's notations that entrepreneurs are driven to succeed and be progressive. I know that that's my motive in life, not necessarily to get rich (although earning something for your hard work is always a plus). To further the aid for fellow women entrepreneurs trying to make it in the world, I ran accross this contest that may help some of you that are trying to find the startup cash you need to get your business off the ground. It's called “Make Your Dreams Come True with Mirassou.” They are awarding one aspiring business woman $50,000 plus a team of highly professional consultants to help kick start your business. Check it out here for more info and to enter. It would be a great asset for you future female leaders of tomorrow. I work with them, so I have the inside scoop. Thanks again Laurel for the great post and article.

Laurel Delaney said...

Hi, Laela ... please contact me offline, thanks. I can be reached at 773-381-1700. I want to talk with you further about Mirassou's contest.

Thanks for your post.