Use of Creativity in Solving Prctical Problems Faced by Entrepreneurs

Problems Faced by Entrepreneurs:

A business enterprise, be it big or small, is confronted with problems in varying degrees. While some take these problems negatively, others take it as a challenge to be faced in order to improve the business. While problems may require short or long-term solutions, it is always good to address
the problems promptly to prevent business failure.

The following are some of these problems:

1. Managerial problems- lack of managerial knowledge and skills on the part of the entrepreneur and his/her staff give rise to problems in all aspects of the business.
2. Financial problems- inadequate capital is one of the main problems common to business enterprises.
3. Marketing problems- the problem of competition, taxes to pay, and advertising cost to sell the product are always present.
4. Over-regulation and taxes- corporate income taxes reduce the amount of income and reinvestment.
5. Problems relating to facilities- problems of power supply, transportation, and communication can slow down production and sales.

How the manager or entrepreneur tackles the problems maybe the key to the success or failure of the enterprise. It is also the test to the ability and skill of the entrepreneur to run a business.

Creativity or innovativeness is the ability to think of new ideas and new ways of doing things. In entrepreneurship, creativity is much needed. New ways of advertising are needed to sell the products and new ways to packaging a product attract customers.

A creative entrepreneur continuously seeks unique opportunities and ideas to respond to the needs of consumers.

Creativity requires imagination and critical thinking. A creative mind sees problems as opportunities and challenges to think, invent, and try out new ideas.

For better understanding of creativity as a requirement in entrepreneurship, it is good to know the value of creativity to the success of entrepreneurial activities.