Entrepreneurship can be called the engine of the modern economy. Even the most developed state is not able to cover all aspects of economic activity without the support of a special layer of people involved in the creation and development of their own enterprises. Energetic and active businessmen find use for their organizational skills in a variety of sectors of the economy, filling niches that are inaccessible to the clumsy state mechanism.

By creating enterprises for the production of material goods and the provision of various types of services, entrepreneurs solve the problems of the population. Most jobs are created in small and medium-sized enterprises. In this way, the foundation is laid for the average, without which society cannot develop and prosper stably.

Entrepreneurship creates a special layer of people in society who are able to independently, at their own risk, solve complex problems of managing a business. At its core, entrepreneurialism is a kind of forge of natural leaders, followed by other people. Expanding the layer of entrepreneurs guarantees society self-government, in which most pressing economic issues are resolved without the direct participation of the state.

The role of entrepreneurship in the development of the country

One of the functions of an entrepreneur, which affects the economic life of the country, is to correctly set goals, find resources to achieve them and combine the efforts of many people in order to obtain an end result that is useful for society. In a developed state, the authorities are trying to create all the conditions for removing obstacles that hinder the wide spread of entrepreneurial initiative.

When creating his own business, an entrepreneur should strive to develop a long-term vision of the problems of the economy of a particular region and the entire country. Success in entrepreneurial activity comes only to those who are able to go beyond their narrow specialization and are ready to learn economic knowledge.

It is not surprising that both at the local level and at the state level as a whole, entrepreneurs actively participate in the work of legislative and executive authorities. Entrepreneurial experience also helps in managing government agencies. The opinion of entrepreneurs who know the specifics of economic activity is taken into account when developing economic programs for the development of regions.

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The formation of an effective market economic system in Ukraine is associated with the development of the scale of entrepreneurial activity in all sectors of the economy. Entrepreneurship has the goal, on the one hand, of making a profit as a result of the use of new technologies, the development of new methods of organizing production, and providing services; on the other hand, the most efficient use of resources.

Role and significance entrepreneurship in the economic development of the country is that:

Entrepreneurship influences structural restructuring in the economy, increasing production volumes and provision of services, investment activities and the formation of business infrastructure;

Entrepreneurship contributes to the development of promising areas of economic activity, the implementation of innovative processes, faster updating of the technical and technological base and product range;

The development of entrepreneurship creates a favorable environment for competition;

Entrepreneurship provides strong incentives for highly effective work, promotes savings and rational use of all resources. In most cases, individuals who have their own business and, thanks to this, have stronger incentives, are more interested in high-quality and productive work than employees;

Creates new jobs and conducts charitable activities.

So, entrepreneurship plays a special role in the national economy of the country, accelerating the movement of the economy by increasing efficiency and constant renewal. The accumulated experience of all industrially developed countries without exception with a socially oriented market economy indisputably confirms that entrepreneurship is a necessary condition for achieving economic growth.

In Ukraine, over the past 20 years, there has been a process of formation of market relations in which entrepreneurship plays a major role.

An essential point in determining the role of entrepreneurship is the scale of activity. In this sense, entrepreneurship covers small, medium and large businesses, which forms a special environment that functions to make a profit and structurally transforms the economic system of the corresponding state or its individual territory. The main functions of small, medium and large businesses are generally the same, but there are certain differences. Small businesses dominate quantitatively in all developed countries of the world. Small business reacts faster to changes in market conditions, ensures its saturation with goods and a variety of services, works mainly for the mass consumer, helps to weaken monopolism, and is a carrier of innovation. All these properties of small business indicate that its development is a powerful factor in reforming the domestic economy, overcoming the crisis and providing the prerequisites for economic growth. However, small business, due to the limited scale of activity, relatively small markets for resources and sales, as well as other specific features, is aimed mainly at meeting local needs for goods and services and, therefore, has a predominantly regional focus. Small firms make it possible to create a diverse economic base for the development of the region, provide a significant number of new jobs, create conditions to meet the needs of the population, and to a certain extent reduce the consequences of social upheavals associated with the economic restructuring of society. On the other hand, small firms require much less capital to start them up; they are willing to take on risky activities in order to generate large profits. The small and medium-sized business sector requires effective government support at both the national and regional levels.

Medium-sized enterprises produce a small but stable range of products with low capital intensity and low costs in significant volumes. They, as a rule, are able to quickly adapt to regional markets, make better use of local production resources (labor and raw materials) and ensure that the regional market is saturated with necessary goods and services. Compared to large businesses, medium-sized businesses are more closely related to national interests, are largely dependent on domestic economic conditions and are therefore interested in state protection in the domestic market.

Large businesses, as a rule, produce mass products of a stable range, which significantly reduces the cost of production and increases its competitiveness. For the purpose of self-preservation and development, it has a craving for consolidation, absorbing or controlling smaller partners, on the one hand, and uniting into international structures, partially losing independence and allowing foreign entrepreneurs into the country’s domestic market, on the other. Large enterprises create favorable conditions for the development of scientific and technical projects with the aim of quickly introducing the latest achievements of science and technology and manufacturing the latest high-quality products of knowledge-intensive industries - electronic products, personal computers, etc. Thanks to the effect of economies of scale in production, large businesses ensure more efficient operations and sustainable development. In addition, the attractive features of large and medium-sized businesses are qualified management, diversification of production, and an effective mechanism for intra-glue, inter-industry and intra-company capital flow. At the same time, large enterprises are often too conservative and are able to quickly respond to market conditions in the models and design of business products.

So, the formation of a market structure of the national economy requires an optimal combination of small, medium and large businesses. In general, they better satisfy the diverse needs of society, respond more quickly to market conditions and the achievements of scientific and technological progress, and provide the prerequisites for economic growth.

Entrepreneurship is one of the important factors of socio-economic progress and therefore society is interested in creating the necessary prerequisites for its development.

Effective and active entrepreneurial activity can be carried out in the public economy under certain macroeconomic prerequisites:

Availability of rights and freedoms to carry out independent business activities;

The legalized right of the owner to the means of production, product and income from business activities;

Full responsibility for the results of your economic activities;

Availability of a competitive environment;

Openness of the economy, its integration into the system of world economic relations, the right of an entrepreneur to carry out foreign economic transactions;

Favorable political climate;

Positive public opinion.

Modern economists practically identify the concepts: “entrepreneur”, “small business”, “small business”, in turn, considering “big business” as a phenomenon of economic life based on other principles of business organization.

Today there is no generally accepted definition of entrepreneurship in the world. American scientist, Professor Robert Hisrich defines “entrepreneurship as the process of creating something new that has value, and an entrepreneur as a person who spends all the necessary time and effort on this, takes on all the financial, psychological and social risk, receiving the reward is money and satisfaction with what has been achieved.”

English professor Alan Hosking states: “An individual entrepreneur is a person who runs a business at his own expense, is personally involved in managing the business and is personally responsible for providing the necessary funds, and makes decisions independently. His reward is the profit received as a result of entrepreneurial activity and the feeling of satisfaction that he experiences from engaging in free enterprise.” But at the same time, he must assume the entire risk of loss in the event of bankruptcy of his enterprise.

The modern Russian economy has as its main characteristic the active formation and development of market relations and institutions. Entrepreneurship must play a key role in this process. As world experience shows, the more opportunities the entrepreneurial class has to expand its activities, the higher the pace of development of the national economy. In these conditions, a very significant factor is to ensure favorable conditions for the development of business activity in the country.

The realities of Russian economic life are such that entrepreneurs in their practical activities are faced not only with economic, organizational, and legal difficulties in the process of creating their business and its development, but also with the negative impact of certain entities, often of an illegal nature. This, in turn, necessitates maintaining a sufficient level of economic security for entrepreneurship. What is entrepreneurship, in what forms is it implemented, what are the threats to its security and what are the methods of protection against them based on - all these questions have been and remain relevant in Russia.

Entrepreneurial activity can be characterized from two points of view - economic and legal.

From an economic point of view, entrepreneurial activity performs a certain function in the economic development of any country. This function was most vividly described by the Austrian scientist Joseph Schumpeter. He called entrepreneurs “economic entities whose function is precisely the implementation of new combinations.” The function of entrepreneurs is that they implement innovations that play a leading role in economic development. Innovations include the introduction of new products, technologies, the development of new markets and sources of raw materials, the use of organizational innovations, etc. A synonym for the Russian term “innovation” is the increasingly frequently used concept of “innovation”.

Consequently, from an economic point of view, entrepreneurship is an innovative activity, and the entrepreneur himself is the bearer of the innovative function.

The terminological essence and content included in the concept of “entrepreneurship” changed and were streamlined in the process of development of economic theory. In Western economic theory, the introduction to entrepreneurship and its development is associated with R. Cantillon, A. Turbot, F. Quesnay, A. Smith, J. B. Say, as well as with K. Marx, I. Schumpeter, A. Marshall, F. Hayek, L. Mises, I. Kirzner, M. Weber, W. Sombart, P. Drucker and other researchers. These scientists and the schools they led identified the main points and characteristics of entrepreneurship - bearing risk and economic uncertainty (R. Cantillon and F. Knight), removing the system from a state of equilibrium and bringing it to this state (L. Mises and F. Hayek), revolutionary change of factors of production (J.B. Say and I. Schumpeter), organization of the practical implementation of an innovative idea (I. Timmons and P. Drucker, F. Taussig and G. Schmoller), the use of various types of innovations in the production process in order to increase the difference in the value of the individual and market value of goods (K. Marx).

The evolution of the terminological, substantive essence of an entrepreneur and entrepreneurial activity is associated with the history of the formation of exchange, production and distribution of goods and services, with the level of development of scientific and technological progress.

A fairly simple and very comprehensive definition of entrepreneurship is given by V.I. Dal. In particular, he writes that “undertake” means “to undertake, to decide to carry out some new business, to begin to accomplish something significant”: hence “entrepreneur” means “to undertake” something. It is generally accepted that one of the first to become seriously interested in entrepreneurship was A. Smith. However, ten years before him, these problems were intensively studied by R. Cantillon. It was he who formulated the thesis according to which discrepancies between supply and demand on the market enable individual subjects of market relations to buy goods cheaper and sell them more expensive. It was he who called these market subjects entrepreneurs.

In modern economic literature there is no clear definition of the essence of entrepreneurship. In most cases, the essence of this phenomenon is replaced by the purpose of entrepreneurial activity. So, for example, in the “Big Economic Dictionary” edited by A. N. Azriliyan the following definition is given: “Entrepreneurship is an initiative independent activity of citizens aimed at generating profit or personal income, carried out on their own behalf, under their property responsibility or on behalf of and under the legal responsibility of the legal entity.” Unfortunately, this approach prevails today in Russia and is enshrined in legislation, in particular, in the law “On State Support of Small Business in the Russian Federation”, in the Civil Code of the Russian Federation and others, in the works of domestic scientists dealing with the problem of entrepreneurship.

According to modern Russian legislation, entrepreneurial activity (or entrepreneurship) is an independent activity carried out at one’s own risk, aimed at systematically obtaining profit from the use of property - the sale of goods, the performance of work or the provision of services, by persons registered in this capacity in the manner prescribed by law.

A similar definition of entrepreneurship is accepted in world practice. For example, in the book “Introduction to Business” by American authors A. Stoner and E. Dolan, business is characterized as activity in private enterprises that produce goods and services, strive for profit and compete with each other. Analyzing different points of view on the definition of entrepreneurship, we can conclude that entrepreneurial activity is the realization of the special abilities of an individual, expressed in the rational combination of factors of production based on an innovative risk approach.

The entrepreneur uses the latest equipment and technology in production, organizes labor in a new way, and manages differently, which leads to a reduction in individual production costs, on the basis of which the price is set. The entrepreneur organizes marketing activities as efficiently as possible. He, better than others, determines the market in which it is most profitable to purchase means of production; more precisely, he “guesses” which product, at what time and in which market segment there will be the greatest effective demand. As a result, he makes more profit than ordinary businessmen. In addition, an entrepreneur constantly takes risks. He does not avoid risk, as is usually done, but takes it consciously in order to receive more income than others - a kind of compensation for this risk.

Entrepreneurship can be defined from various perspectives, such as:

• - activities aimed at maximizing profits;
• - initiative activity of citizens, which consists in the production of goods and services aimed at making a profit;
• - direct function of property sales, its main production function;
• - the process of organizational innovation in order to make a profit;
• - actions aimed at increasing capital, developing production and appropriating profits;
• - a specific type of activity aimed at the tireless search for changes in the existing forms of life of enterprises and society, the constant implementation of these changes.

Most practitioners and researchers focus on making a profit, considering it as the ultimate goal of entrepreneurship. However, entrepreneurship has as its ultimate goal not so much profit as the continuity of the reproduction process associated with the reproduction of demand and the satisfaction of the constantly changing, ever-increasing needs of an individual or social group, society as a whole.

In this regard, entrepreneurship is more correctly defined as a process of continuous search for changes in the needs, demand of the end consumer for products and services, satisfying this need by organizing production, sales, marketing, logistics, management, focused on the best innovations that bring maximum productivity in each of them. stages of the reproduction process.

In this definition, the emphasis is not on maximizing profit, but on the consumer, on his needs, the satisfaction of which, thanks to the high level of business organization, can bring maximum profit. After all, what a company thinks about its products is not the most important thing, especially for the future of the business or for its success. What the consumer thinks about his purchase, what he sees as its value - this is what is decisive, determines the essence of the business, its direction and chances of success.

Entrepreneurship is not just any business; it is a style of management that is characterized by the principles of innovation, anti-bureaucracy, constant initiative, and a focus on innovation in the processes of production, marketing, distribution and consumption of goods and services. Whereas business is a reproductive activity in the sphere of organization, production, distribution and sale of goods and services without innovation, without initiative in the development of innovative processes. This is the implementation or organization from year to year of the same production, sales, distribution or other activities within the framework of proven technologies, norms and rules to meet existing needs.

In accordance with the accepted structure of the reproduction process (production, exchange, distribution, consumption), four main areas of entrepreneurship are distinguished:

• 1. production,
• 2. commercial,
• 3. financial
• 4. sphere of consumption.

Other types of business activities, for example, innovation, marketing, are included in the four main areas of entrepreneurship. To the greatest extent, entrepreneurship is characterized by such features as self-sufficiency, initiative, responsibility, risk, active search, dynamism, mobility. All this taken together must be inherent in economic activity so that it can rightfully be called entrepreneurial or business.

Entrepreneurship is a generally accessible type of activity. According to Russian law, any citizen capable of acting can be an entrepreneur. Citizens of foreign states and stateless persons can act as Russian entrepreneurs. However, not everyone who has the right to become an entrepreneur can actually be one. To become a successful businessman you need abilities, knowledge, ability to work, and energy. Without all this, you can sometimes achieve momentary success, which will be replaced by losses, failure, or even bankruptcy. In addition, you should know that true entrepreneurship is not about cutting coupons, but about everyday hard, exhausting work.

To be on an equal footing with those around you, imagine that you are running a hundred meters. Only the others started 100 m ahead of you. This means that in order to catch up with them, you have to work twice as hard.

Professor V. Bogachev gives a very interesting definition of entrepreneurship: “An entrepreneur is a poor fellow and an eternal debtor: an ideological optimist who has voluntarily chosen a life career in which he will have to change the object and, perhaps, the sphere of business more than once, probably go broke and try to get back on his feet again. An merciless self-exploiter without regular working hours and vacations, who does not allow himself, even with successful business, to spend more on his own consumption than a skilled hired worker.”

Achieving a goal, striving for something new, is almost always associated with a rather painful process of limiting one’s own desires and, above all, laziness. And this does not depend on what country the entrepreneur operates in.

Entrepreneurial activity can be carried out in two ways:

• 1) direct production of any goods, product or service;
• 2) the production of intermediary functions to promote goods from producer to consumer.

Entrepreneurial activity is a special type of activity aimed at making a profit, which is based on independent initiative, responsibility and an innovative entrepreneurial idea.

Entrepreneurship shares common features of any economic activity. At the same time, it is characterized by a certain content, focus, and sequence of procedures carried out by the entrepreneur.

An entrepreneur is called upon to satisfy the needs of a certain circle of consumers in the final product, selling them the product and receiving cash proceeds for it. The final product of entrepreneurial activity, sold to the consumer in the form of a product, can be very diverse. This is everything that a consumer needs and that an entrepreneur can sell to him: buildings, structures, housing, property assets, consumer goods, information, intellectual products, money, currency, securities, all types of services, construction and other work.

To sell a product, you must have it. Therefore, the entrepreneur purchases, receives, or produces the product himself and promotes it for sale to the consumer, the buyer. The process of an entrepreneur obtaining a product needed by a consumer requires the presence of a number of factors of entrepreneurial activity. This is everything that an entrepreneur uses in his activities, that is, the means of production and circulation of goods in the form of labor, material, information, financial resources used for the production, transportation, and sale of goods. Partially, an entrepreneur himself may possess such factors. If he does not possess them, then he acquires factors from their owners, owners for a sum of money and with their help produces, receives, obtains and sells goods to the consumer.

In the simplest case, when the factors themselves are the goods the consumer needs, the entrepreneur purchases them and sells them to the consumer. In such a situation, he becomes a trade intermediary between the owner of the goods and the consumer. An entrepreneur purchases business assets for money, then converts them into goods and sells them, ultimately receiving money. The proceeds, the money received as a result, must be more than the money spent on factors in order to make a profit.

Entrepreneurial activity is organized in such a way that all actions are carried out within a certain time; for this, entrepreneurship requires a high level of organization. The duration of an operation has a significant impact on its efficiency and profitability. Typically, the shorter the transaction period, the higher its effect for the entrepreneur. On the one hand, costs are reduced, and on the other, the turnover of funds increases and therefore less money is tied up in circulation. Thus, there is reason to assert that time is a factor in entrepreneurship.

Entrepreneurial activity represents a set of sequential or parallel, simultaneously carried out operations. Each business transaction is one completed cycle of entrepreneurship. In relation to such an operation, it is permissible to use the term “business transaction”. Moreover, the deal is not understood as a secret illegal conspiracy. In business, a transaction is understood as an interaction between two or more business entities or persons based on a written contract or oral agreement in the interests of obtaining mutual benefits.

An entrepreneurial idea is an identified possible interest of a manufacturer that has the visible outlines of a specific economic form. Identification of such interest can be carried out by combining the capabilities of the entrepreneur with the needs of the market, or, conversely, by combining the needs of the market with the capabilities of the entrepreneur.

Entrepreneurship acts as a special type of economic activity, because its initial stage is associated, as a rule, only with an idea - the result of mental activity, which subsequently takes on a materialized form.

Entrepreneurship is characterized by the obligatory presence of an innovative moment, be it the production of a new product, a change in activity profile, or the founding of a new enterprise. A new production and quality management system, the introduction of new methods of organizing production or new technologies are also innovative aspects.

In entrepreneurship, it is advisable to consider two main elements:

• 1. Innovative innovative activity as an entrepreneurial function;
• 2. Actions of the entrepreneur as the bearer and implementer of this function.

As a result of each type of entrepreneurial activity, the goals set by the entrepreneur are achieved. The main goals of entrepreneurial activity can be:

• 1. receiving profit from capital, financial, resource and material assets invested in a particular business entity;
• 2. meeting the demand of society for the specific needs of its members or country, region.

In the process of production or intermediary activities, goals may have a wider range. For example, goals could be:

• - accumulation of funds to conquer new markets and develop production;
• - improving social conditions for the organization’s employees;
• - optimization of customer demand for the organization’s products;
• - providing assistance in improving the ethical and moral standards of society, improving consumer culture, etc.

To achieve goals, specific tasks of entrepreneurial activity are determined and solved within the framework of the current or future policy of the enterprise. The organization's policy determines the direction and methods of carrying out business activities, its style, which ensure the effective behavior of the organization in existing or changing environmental conditions. The tasks of entrepreneurial activity and their solutions that contribute to the achievement of set goals can be divided into two areas.

The first direction is a set of tasks, the solution of which ensures the success of the innovative activity of the entrepreneur.

The second direction is a set of tasks, the solution of which shapes the efficiency of the production process or intermediary activities that have been carried out or have just begun to be carried out.

Achieving profit growth, for example, requires solving a complex of problems such as providing the production process with the necessary production factors; search for sources of financing; analysis of enterprise survival in changing competitive conditions; satisfying the needs of customers or clients; increase in sales; reduction in the number of employees; development of marketing strategies; supplier selection; choosing a business partner; increasing the liquidity of the organization; development of environmental protection measures, etc.

The economic essence of entrepreneurial activity lies in the search and implementation of new combinations of production factors (updating products, technology, organizational approaches) in order to satisfy obvious or potential demand. The subject of innovative creative economic activity can be either an individual entrepreneur or a group of people acting within an organization and taking the initiative to release a new product, implement new solutions, new approaches, etc.

The main subject of entrepreneurial activity is the entrepreneur, interacting:

• - with the consumer as his main counterparty;
• - with the state, which in various situations can act as an assistant or an adversary;
• - with hired workers;
• - with business partners.

Current Russian practice has led to the fact that the definition of “entrepreneur” is assigned to every person who has entered or is entering the sphere of business activity. And this is obviously true, because during a period of social transformation, risk, responsibility, etc. are inherent in any individual commodity producer and intermediary who independently organizes a business.

Market: essence, functions and structure. Modern market models.

6. Economic resources, their structure and main feature. Factors of production, their types and content.

7. Competition and monopoly in a market economy. Antimonopoly policy and development of competition.

8. Perfect competition

9. Models of imperfect competition: oligopoly and monopolistic competition.

10. Monopoly. Price and production volume under pure monopoly. Monopoly power and its indicators.

11. Ordinalist approach to consumer behavior.

12. Cardinalist approach to consumer behavior.

13. Pricing in the labor market. Equilibrium wage level.

14. Social inequality, poverty and wealth and their measurement. Lorenz curve.

15. Entrepreneurship. The role of entrepreneurship in a modern market economy.

16. Structure of the modern economy. Sectors, industries, regions, types of enterprises. Structural policy.

17. Economic growth and its types. Neoclassical and Keynesian models of economic growth.

18. Public goods, “market failures” and the need for government regulation of a market economy. Economic functions of the state.

19. Employment of the population: essence, functions, forms.

20. Basic macroeconomic indicators, principles of their calculation. System of National Accounts

21. The need for government intervention in economic processes. Methods and tools of state regulation of a market economy.

22. The relationship between reproduction and cyclicity. Types and characteristics of economic cycles.

23. The state budget and its role in regulating the economy. Budget deficit and surplus and their financing.

24. Public debt - internal and external. Public debt policy.

25. Unemployment: concept, causes, forms, socio-economic consequences. Employment promotion policy.

26. Level and quality of life. Living wage.

27. Inflation: essence, causes, types, socio-economic consequences. Phillips curve. Anti-inflationary policy.

28. World economy and international division of labor. International economic relations and their forms.

29. Current trends in the development of the world economy.

Foreign economic activity and foreign trade. Efficiency of foreign trade. Protectionism.

15. Entrepreneurship. The role of entrepreneurship in a modern market economy.

In the modern economy, entrepreneurship is the independent initiative activity of business entities with the aim of generating business income.

Characteristics entrepreneurship is: exploratory in nature, focused on constantly finding new business ideas; represents organizational work; is subordinated to special goals: aimed at making a profit or other benefit, gaining a greater degree of freedom and independence; carried out independently

Functions: 1.combinational, expressed in the combination of economic resources into a single reproduction process, their replacement and replacement, attraction of additional resources, etc.; 2. innovative, associated with the discovery of new opportunities to increase the income stream; 3. social, realized in more complete and high-quality satisfaction of the needs of the population, increasing social stability of society; 4. economic, promoting the growth and development of the economy, GDP growth, ensuring the continuity of the circulation and circulation of capital, its expanded reproduction.

In the modern Russian economy, 4 forms of entrepreneurship have emerged: sole proprietorship, partnership, corporate and state entrepreneurship. Sole proprietorship– the simplest, most economical form, when the functions of owner and manager are personified in one person. This form is effective in the service sector, trade, etc., but does not allow realizing the advantages of specialization and has limited opportunities for growth due to a lack of financial resources and attracting funds from external sources. An individual entrepreneur bears unlimited liability, i.e. In case of bankruptcy, debts are covered not only by the assets of the enterprise, but also by personal property. Affiliate form involves the pooling of capital and other resources by several entrepreneurs and the formation of joint property. Corporate form of entrepreneurship - the most complex way of organizing entrepreneurial activity, the functions of which are distributed between owners, managers, functional services and specialists, and individual business units. Public entrepreneurship associated with the activities of state institutions aimed at the profitable use of state property. It is carried out indirectly - this is its specificity.

An entrepreneur is constantly under the influence of a wide variety of factors, i.e. parameters that determine the possibilities and nature of manifestation of the properties of the entrepreneurial function. External factors: Natural and demographic– determine the industry specialization and location of enterprises, the level of costs and the possibility of using labor. Socio-cultural– influence the formation of needs and characteristics of demand, the specifics of business organization and business ethics. Technological– determine not only the nature and forms of production, but also the methods of entrepreneurial activity. Economic– determine the conditions for the distribution of limited resources and the level of entrepreneurial activity. Institutional– determine the intensity of commodity exchange operations, expanding opportunities for entrepreneurial activity. Legal. Political.

To internal factors: Development of property relations; Features of the internal organization of economic cells.

Forms of entrepreneurship.

Classification characteristics	Forms of entrepreneurship
By type and nature of economic activity	Production and non-production entrepreneurship
By industry	Industrial, agricultural, trade, transport, insurance, banking and other forms
Based on the dominant factor of production	Labor-intensive, capital-intensive, material-intensive, knowledge-intensive
By capital ownership	National, foreign, joint ventures
By organizational and legal forms	Business partnerships and societies, production cooperatives, state (municipal) unitary enterprises
By degree of legality	Legal and illegal
By scale	Large, medium, small enterprises

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