Peter Drucker a renowned management theorist, in his book –Innovation and Entrepreneurship writes, “Entrepreneurs, by definition, shift resources from areas of low productivity and yield to areas of higher productivity and yield. Of course, there is a risk they may not succeed. But if they are even moderately successful, the returns should be more than adequate to offset whatever risk there might be.”

By this observation, there are two main elements at work here – availability of resources, and risk. An entrepreneur should therefore be able to identify the available resources, and design means to move them from “the areas of low productivity to areas of higher productivity”, and be willing to accept an appreciable level of risk.

“The Entrepreneur always searches for change, responds to it and exploits it as an opportunity”, Peter Drucker again suggests. The mere fact that one has possession of the resources, have a relatively high level of technical know-how, and some execution capacity does not make one an entrepreneur. One needs to go beyond what is, into what could be, and in so doing transform the ordinary into extraordinary. This is innovation! It means finding a new way of doing things that are markedly different from everyone else’s approach, and expecting different results. This may be by way of improvisation. A refined improvised product could very well lead to a totally new product, and maybe, to the development of a new market.