Abstract
In Industry 5.0, entrepreneurship, an entrepreneurial mindset, and entrepreneurial skills will be crucial for success. Entrepreneurs will be able to identify opportunities and innovate, adapting to changes in the market and leveraging new technologies to create value and drive growth. This will require a deep understanding of the industry, strong leadership, and the ability to work collaboratively with others to achieve shared goals. Ultimately, entrepreneurs who can excel in this environment will be well-positioned to thrive and succeed in the era of industry 5.0. The purpose of this chapter is to go through the major entrepreneurship theories that can potentially alter the growth and performances of start-ups and micro, small, and medium-sized enterprises (MSMEs). This chapter also proposed a framework that synthesizes all relevant entrepreneurial dimensions and theories including entrepreneurial mindset, entrepreneurial marketing, entrepreneurial orientation, entrepreneurial ecosystem, entrepreneurial intention and entrepreneurial education in the era of Industry 5.0
TopIntroduction
Industry 4.0 refers to the current trend of automation and data exchange in manufacturing technologies, including the use of cyber-physical systems, the Internet of Things, and cloud computing. Entrepreneurs are using Industry 4.0 technologies to create more efficient and effective manufacturing processes, resulting in increased productivity, reduced costs, and improved quality. For example, entrepreneurs are using smart sensors to monitor and control production lines, using predictive analytics to identify potential equipment failures, and using machine learning algorithms to optimize production schedules. Industry 5.0 builds on the foundation of Industry 4.0, incorporating the use of artificial intelligence, robotics, and advanced materials to create new opportunities for innovation and growth. Entrepreneurs are using Industry 5.0 to develop new products and services, such as personalized healthcare devices and smart city solutions. By integrating digital technologies with physical products and services, entrepreneurs can create more valuable and engaging experiences for customers.
The entrepreneurs are using Industry 4.0 and Industry 5.0 to drive innovation and growth, improving the efficiency and effectiveness of manufacturing processes and creating new opportunities for products and services that can enhance the quality of life for individuals and communities.
Entrepreneurship is vital because it has the potential to raise living standards and generate money, not just for entrepreneurs but also for connected firms (Wennekers & Thurik, 1999). Entrepreneurs also contribute to change through innovation, as new and improved goods enable the creation of new markets. Startups, regardless of their small sizes, play a crucial role in economic development (Carree & Thurik, 2010). This is because they create jobs, which implies lower unemployment rates, and lower unemployment indicates a more refined and developing economy. Because of innovations, new jobs, and bringing competitive dynamics into the corporate environment, startup entrepreneurship is critical (Audretsch et al., 2006). These businesses are notable for experimenting with many business models before settling on the best one.
When people are asked to think of an entrepreneur, they usually think of someone like Howard Schultz, Estée Lauder, and Michael Dell; those who built great firms from the ground up and had a lasting influence on society. However, entrepreneurial ideas and actions are not restricted to people who start a new business in their garage with family members or personal money. Some people in big companies get enamored with a novel concept, spend their time advocating it, work with important players in the organization to establish a constituency, and then figure out how to get the resources needed to make the idea a reality. Entrepreneurial thinking and behavior may also benefit a person's job. By discovering and grabbing new chances, some entrepreneurial individuals effectively maneuver through the surroundings of their different firms and optimize their career potential.
For instance, entrepreneurial orientation (Covin & Wales, 2012), as a strategic strategy, encourages a wide range of innovations within the company. It is regarded as a key driver in the dissemination of knowledge about innovation and exceptional company performance. Entrepreneurial families should approach business operations with an entrepreneurial mindset since it gives them the vision to mobilize expertise inside the family company. When executives are developing plans in the hopes of trying something new and taking advantage of chances that other companies are unable to take advantage of, entrepreneurial orientation (EO) is a critical notion to consider. Organizations that operate entrepreneurially use EO to describe their procedures, methods, and decision-making styles.
Key Terms in this Chapter
Entrepreneurship Education: Entrepreneurship education has been characterised as “a set of institutionalised teachings that informs, trains, and educates anybody interested in contributing to socioeconomic development through a project to encourage entrepreneurship awareness, firm formation, or small business development.
Entrepreneurial Mindset: The entrepreneurial mentality or the way of thinking that allows entrepreneurs to achieve your objectives. Successful entrepreneurs view obstacles, mistakes, and failure as chances to learn new skills that will help them thrive in the future.
Entrepreneurial Marketing: Entrepreneurial marketing is the proactive discovery and exploitation of chances for attracting and maintaining lucrative consumers using creative risk management, resource leveraging, and value creation strategies.
Entrepreneurial Ecosystem: An entrepreneurial ecosystem's essence is its people, as well as the culture of trust and collaboration that allows them to connect successfully. An ecosystem that allows for the rapid exchange of people, knowledge, and resources enables entrepreneurs to swiftly discover what they require at each stage of development.
Entrepreneurial Intention: In a nutshell, entrepreneurial intention is a psychological condition that directs our attention toward certain business objectives in order to produce entrepreneurial outcomes. It is also an acknowledgment that individuals take action to start new businesses or add value to current ones.