Entrepreneurship: The role of risk management

This post examine the risk management in the life of sole traders. It considers most self sustenance as the engine of growth in any economy and critically reviewed the

theoretical and empirical literatures on risk management practices in most nation, form the last to current trend. It suggests some approaches by which risk can be managed by self employed: the paper exposes more about the risk that may affect industrial economy entrepreneurship development subjected to risk management, seen is a major key, factor in solving different problems to enhance great economy growth. To achieve the purpose of this study, twenty-one (21) questionnaires were administered on risk management effect on entrepreneurship toward the economy development. The study conclude that entrepreneurs most reduce t lack of reasonable risk during the economy, efficiency and effectiveness processes.

The concept of risk management has been described as the process of taking calculated risks. Risk management involves a systematic approach that identifies the prioritizes the risk and implements strategies to mitigate the risks. The approach to risk management include both the prevention of potential problems and early detection of actual problems. In this case, entrepreneurship is a broad that can be define in various ways but over definition will focus, the major attributes of different entrepreneurs. According to Idowu and Togun (2004) entrepreneurship is the process whereby individuals takes risk to create value by combining the necessary resources and skills in certain ways and in so doing create more product and service to the market at a risk to make profit.

`Economy development has now become a national phenomenon rather than a concept which must be generally acceptable to reduced global economic crisis when government rate resulting to thuggery, robbery among others. Since government cannot provide sufficient means of survival or Government job for all her citizens of that nation.

          Most of the underdeveloped countries depends government to crate job. Onwuliri (2009) stated that the development of the nation economy and the growth, employment opportunities actually depend on the investors of a particular countries. So government needs to encourage talented citizen and self motivated individuals to seek careers in creativity.

          Creativity involved risk management by identifying risk, evaluating its potential impact, and measures the degree of risk involved and find a ways of eliminate the risk of reduce its impacts (Akinsulire 2008).

          Objectives

·                    To focus into risk analysis of entrepreneur or sole traders

·                    To work into risk management associated to the sole traders

·                    To suggest way out to eliminate risk.