He must organise managerial functions by setting long term objectives, formulating strategic policies, developing management information system, monitoring and evaluation systems.
He is required to possess management knowledge related to technical, economical, financial, human and administrative aspects.
At the same time it is connected with innovation, planning and taking decisions so as to increase productivity in industry, business and agriculture etc.
It thus plays a key role in the process of economic development.
Entrepreneurship is the name given to the factor of production which performs the functions of Enterprise.
In economics, Land, Labour, Capital, Organisation and Enterprise are the five factors which are thought to be the basis of all the production activities.Our national economy is most suited to the growth of small business enterprise. This creative behaviour and innovative spirit forms a process of an endless chain and is termed as entrepreneurship.Small business units offer a more convenient means of nurturing and developing entrepreneurship by providing the means of entry into business for new entrepreneurship talents. An entrepreneur is also required to manage his business.Entrepreneurship can be described as a creative and innovative response to the environment.Such responses may take place in any field of social endeavour may be business, agriculture, social work and education etc. Stepenek, “Entrepreneurship” is the capacity to take risk; ability to organise and desire to diversify and make innovations in the enterprise.Entrepreneurship in a broader sense can be considered as a process of action undertaken by an entrepreneur (Person) to establish his enterprise.It is a creative and innovative response to the environment.He should have an insight of job requirement, which he should continuously update.An entrepreneur must adopt the style of professional management.Entrepreneurs are also required to play other roles, especially those of capitalist and manager.Managerial function of an entrepreneur is a continuous process of combining the factors related to production.