Who Even Is An Entrepreneur?: Crash Course Business – Entrepreneurship #1

What makes someone an entrepreneur? Am I an entrepreneur? Are you an entrepreneur? Do I know any entrepreneurs? Is it genetic? Can I catch it? Is it fatal? Wait, what? The word “entrepreneur” seems to be thrown
around everywhere for everyone doing anything. It’s used to describe celebrities and business
tycoons like Beyoncé, Elon Musk, Marie Kondo, and Jessica Alba. But your brother who keeps bringing up his
idea for coffee-flavored toothpaste might make the list too. Mmm! Entrepreneurs pop-up in all types of industries
and can have widely different backgrounds. Some build personal brands, while others work
tirelessly on a physical product they believe in. Really, anyone can be an entrepreneur, given
an idea and the right tools to develop it into a functional business. Together, we’ll develop our business acumen
and learn the importance of grit, determination, and a fair bit of luck. I’m Anna Akana, and this is Crash Course
Business: Entrepreneurship. [Opening Music Plays] Some people define an entrepreneur with buzzwords
like “trailblazing,” “innovative,” “problem-solving,” “passionate,” and
on and on. These might all be traits that entrepreneurs
can strive for. But, at its core, an entrepreneur is someone
who sees a need and takes on the financial risk to start a business to fill that need. That may sound kind of vague, but that’s
kind of the point. There’s no cookie-cutter entrepreneur. Unless you, like, start a business to sell
cookie cutters. In which case, yes, there is a cookie-cutter
entrepreneur. Your idea might take the form of a physical
product with a physical store — called a brick and mortar business. In Montana, Charlie and Barbie Beaton of Big
Dipper Ice Cream took their passion for locally made ice cream
from one shop in downtown Missoula to appearing on Good Morning America. Daaaaaamn. Or instead of a tangible product, your venture
might be a national empowerment network. GirlBoss New Zealand was founded by 20-year-old
Alexia Hilbertidou after she was the only woman in her upper-level physics class. Her goal is encouraging high-school-age women
to pursue STEM and leadership careers. Or you might set your sights on an international
online media empire, like Arianna Huffington, the founder and namesake of HuffPost. She founded her site (with partners) as a
friendly alternative to news aggregators. And she eventually sold it to AOL in 2015
for $315 million US dollars. Get it, Ari. It’s clear that entrepreneurs come in all
flavors. I mean, according to the Global Entrepreneurship
Monitor, over 100 million businesses are launched each year. That’s 11,000 per hour or 3 new businesses
per second. …There they go! So instead of just defining who is an entrepreneur,
since it is such a wide scope – we can instead narrow down our definition by understanding
who isn’t one. Let’s go to the Thought Bubble. Say Congress works for Me-Wow, a feline health
and fitness company. He notices a need — a shocking lack of cat
transportation — and comes up with the idea for the Cat-Cycle, which he pitches to his
boss. Me-Wow immediately sends the Cat-Cycle into
production because it’s a genius idea, obvi and it flies off the shelves. Even though Congress is using an entrepreneurial
mindset, by our definition, he isn’t an entrepreneur yet. The company Me-Wow actually took the financial
risk to develop, produce, and sell the Cat-Cycle. Meanwhile, Beetle sees the same need for cat
transportation and sketches out the Cat-Board in his personal idea notebook after work. He’s gained valuable experience working
for Me-Wow and develops the Cat-Board in the evenings and on weekends before striking out
on his own. Using his personal savings, Beetle commissions
a prototype that he shops around to local stores. A few are interested and he sets up contracts
with them. As his sales begin to grow, Beetle creates
new designs, but he doesn’t pay attention to what his customers like or dislike about
the Cat-Board. Because he failed to make valuable improvements
to the Cat-Board for his customers, sales plummet. It’s a tough decision, but Beetle cuts his
losses and sells his Cat-Board designs to Me-Wow, which revamps his idea as the Dog-Board. Beetle is an entrepreneur because he saw a need and took the financial risk to fill it! It didn’t go so well because he didn’t
incorporate customer feedback. But now he knows where he went wrong and won’t
make the same mistake in his next entrepreneurial endeavor. Thanks Thought Bubble! For a while, the classic story of an entrepreneur
was someone who created one business that became a long-term project, like opening a new restaurant or founding
a tech startup to make flashy phone games. But that’s not the whole picture anymore. There’s been a shift in the global job market
that has opened the door for entrepreneurship to become more mainstream. Specifically, I’m talking about the rise
of the Gig Economy. Contract work, called gigging, is becoming
more popular and taking up more of the labor market. And I don’t just mean gigs like musicians
and comedians hopping between open mic nights. Instead of a long-term relationship where
employees are paid salaries by the hour or year, businesses are temporarily hiring people
for specific projects. This shift has made it financially easier
for entrepreneurs to find people to get their businesses going, without committing long-term
to paying employees. And it’s allowed early-stage entrepreneurs
to find flexible work to support themselves as they develop their product or service. This doesn’t mean everyone in the gig economy
is an entrepreneur, it’s just given more people the opportunity. So a more traditional path might be joining
an accounting firm right after college and working 9 to 5, Monday to Friday until you
retire. Or die of boredom. Spreadsheets? For LIFE?? NO THANKS Some people might feel fulfilled with that
kind of steady employment. And the stability that comes from being a
salaried employee with health insurance can be incredibly valuable. Others, like us entrepreneurs, might itch
for more independence. In the gig economy, you could have a couple
ways to make money, in addition to or instead of that 9-to-5 job. And you can go online to look for gigs from
anywhere — not just your real-life community. So you might consult for a network of women
small business owners on their day-to-day accounting, create vlogs with tax software
tips, and sell unicorn knit hats on Etsy that are knit out of the softest fabric there is. On the plus side, this allows workers to build
robust portfolios of work and find fulfilling gigs. Having separate jobs can also provide a stronger
sense of income security than one full-time job. Even if you lose one, you’re still making
money. All hail the side-hustle! Today’s entrepreneurs are well-suited for
the gig economy because we know how to hustle. We’re independent thinkers who are comfortable
with developing our own diverse income streams, marketing ourselves, and connecting with others. I mean, who hasn’t had a Lyft driver who
moonlights as a cinnamon roll artisan, right? But there are still problems with the gig
lifestyle. Sure, someone might become a Lyft driver to
help fund their sugary dream. But they’re almost certainly not doing it
because driving strangers around is their passion. For some people, participating in the gig
economy is a necessity, not a choice. Scrambling to pay rent and afford food is
another reason to have a bunch of gigs. And, depending on the country and government,
gig workers can have fewer legal protections – like mandatory breaks and standardized pay
— or they might have a harder time maintaining insurance and retirement accounts. This makes some countries more attractive
to entrepreneurs, such as New Zealand, Singapore, and Denmark, based on The World Bank’s annual
analysis of the “Ease of Doing Business.” But even in those countries, there’s a difference
between legally being able to take a break and actually taking a break. It can be a struggle to turn off the hustle
— especially for those of us trying to create a personal brand with our art or online presence. But taking time for fun hobbies and spending
time with friends and family are important parts of being successful, and so necessary
to stay mentally healthy. Trust me! So it’s not all blue skies and rainbows. But if you ever wanted to be an entrepreneur,
the gig economy has made it more possible now than ever. Even still, entrepreneurship isn’t easy. Taking a financial gamble is stressful, and
so is working long hours to try and get a project off the ground. I know for me, the lack of structured work
time often means that my business has no off time. And if I’m not careful, I can work around
the clock and get myself exhausted. But tons of us take the leap to start a new
business and stick with it through the ups and downs, so what exactly keeps us motivated? At the top of the list is freedom. Entrepreneurs get to be their own bosses. This can mean setting your own hours and deciding
on dress codes… or lack thereof. Sweatpants all day everyday amirite? Maybe you want to work from bed or while you
travel, writing emails by a pool. And for traditionally underrepresented groups
in business like women, people of color, or the LGBTQ community, ding ding ding,
I am all those things. It can mean defining your own destiny. You can create an inclusive company culture
and work environment, rather than feeling stuck in an uncomfortable — or even possibly
illegal — situation with a boss or coworker. If someone keeps talking over you and dismissively
says women can’t be funny, you don’t need to hire them for your writer’s room or film
set. Or if a coworker from a previous job got fired
for having a natural hairstyle, you can create a business where that would never happen. You wield the power. A study in the Social Science Research Network
journal found that entrepreneurs start companies because they mostly believe that: They are inherently more valuable than how
they appear on paper. They are wasted working for someone else Their resumes don’t show “the real them” Large companies can’t appreciate their full
potential. And
They are capable of turning their internal value into real life money. Basically, entrepreneurs believe in themselves. And sure, building self-confidence over time
isn’t always easy, but it can be a powerful motivator. And then, there’s potential wealth. Yes, there’s financial risk in starting
a business, but there’s money in running a successful one. Entrepreneurial lore is full of rags-to-riches
tales, where people pitch the next SnapChat and are launched into the business stratosphere. Like, Oprah Winfrey has said she spent her
early childhood wearing overalls made of potato sacks. But she became North America’s first black
multi-billionaire and “Queen of the Daytime Talkshow.” Sure, this is the stuff of inspirational posters,
and not everyone can make it this big. But entrepreneurship does create a culture
of opportunity that might work for some non-traditional workers. Of course, every entrepreneur with a massive
success has also had hundreds of failures. Yep, the dreaded F word. Lean Startup methodology is basically the
globally recognized guidebook for entrepreneurs created by Steve Blank and Eric Ries. And it says stumbling is perfectly fine if
we learn as we go. But to identify and learn from failures, every
entrepreneur has to ask themselves: what does success look like to me? Is it earning $30,000 a year in your food
truck and skiing every weekend? Is it selling your idea for a million dollars? Is it becoming the CEO of a mid-size media
production company and writing novels on the side? Thanks for hiring us, Hank! Also where is the sequel and when can I star
in the movie adaptation? Or is it owning 6 cats and producing your
own films? Whatever success is, it’s entirely up to you. Of course no one wants to fail. But together we’ll learn how to redefine
failure and pick up the pieces if it’s truly unavoidable. It’s not that successful entrepreneurs never
faced failure; it’s that they didn’t quit. So the bottom line is /anyone/ can be an entrepreneur
with a little grit, determination, and luck. And remember, you may have stopped believing
in unicorns, but they’ve never stopped believing in you. Next time, we’ll talk about that fundamental
piece at the core of any entrepreneur: their ideas — where ideas come from, who to take
them to, and how to turn them into feasible businesses. Thanks for watching Crash Course Business. And thank you to Thought Cafe for the amazing graphics. If you want to help keep Crash Course free
for everybody, forever, you can join our community on Patreon. And if you want to learn more about labor
markets, check out this Crash Course Economics Video.

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100 thoughts on “Who Even Is An Entrepreneur?: Crash Course Business – Entrepreneurship #1

  1. One small piece of feedback: When Anna started talking about Congress in her example, I was confused at first because I thought she was talking about the political body. It would've been better if she had said "Congress the cat", or even better, if she had mentioned beforehand that the examples will feature her cats. Otherwise, awesome Crash Course subject — looking forward to what will be covered throughout the course!

  2. Trying to build an indie game dev studio that makes turn-based RPGs. There are none of those anymore and I need more in my life, so I'm just gonna do it myself. One day, I will be on the list of entrepreneurs. Maybe once I get an animator/pixel artist

  3. Guess am a Entrepreneur since am making my own game and game making company all by my self, also Music 12:02 oh and i have 3 Cats 😀

  4. 10:01 1,2,3,4,5 all true 🙂
    Also, the word 'Lean' can be thought as 'No waste'
    A lean mindset allows to fail safely which basically means to learn faster.
    Great video thanks a lot!

  5. the grand grand grand majority of gig economy workers are decidedly NOT "funding their dreams". they're all basically poor and have no time for anything

  6. Most new businesses fail. You shouldn't gamble unless you can afford to lose until you win big, and most people can't afford to lose even once, so for most people gambling on a new business is a terrible idea. If we want a world where more people are entrepreneurs, we need to first build a world where more people can afford to fail.

  7. These business Crash Course videos have been awful, because they normalise the horrible state of US labour and in many cases even try to sell our horrible inhuman business culture as a good thing. Way to be champions of the shitty status quo and increase world suck, Crash Course.

  8. Gladly I'll wait for the next episode !! This is a topic that I love and this series will be quite useful to me because I want to start my own business before being 30 besides I'm happy to learn with this new host, a gorgeous and intelligent woman as Anna Akana, that's why this is one of my favorite youtube channels.

  9. Can you guys make a series on resume writing and how to do well on interviews.
    And networking I guess along with it.

  10. I heard the claim that the entire economy is slowly transitioning to the gig style economy.
    Where everyone is essentially a contract or temp worker.
    Does anyone have any idea if this is or isn't happening?

  11. Isn't this girl who Ruined RWJ's show? .. i think she slept with him or something .. made him pay for her life style ..then left him . That's what I call an entrepreneur

  12. Anna's presentation is great; clear, enthusiastic, engaging.

    And props for such a cat-friendly background too. I'm sure a cat would love knocking that mug off the table, eating the plant, and tearing that lamp to shreds. 😀

  13. I hate the word 'Entrepreneur' …its so pretentious and grandiose …as is 'businessman' [cringe]… I'm 'self-employed' – makes me sound like a bit less of a doink than I usually am.

  14. IF YOU ARE IN A MLM (multi level marketing) YOU ARE NOT AN ENTREPRENEUR! You are in a scam. Get out now while you still can. No one makes ANY money selling those crappy over priced oils.

  15. Let me save you 13 minutes: 99% of the time, an entrepreneur is a person who quits their perfectly good job (or never got a job) to pursue something that they tell everyone will make them richer than rich, only to watch as every million dollar business idea fail over and over again, because they don't actually have any business acumen or money to get a start. They call themselves 'hustlers,' though hustling is usually just their term for 'not paying people for products and services.'

  16. Defining terms is important, but can be a problem when you fail to do it for yourself.

    What are the necessary conditions for being an entrepreneur?

    In your example, you unnecessarily point out that the financial risk is taken on by the cat, but your examples of two female entrepreneurs were both backed by investors.

    So, is it a necessary condition to your definition of "entrepreneur" or not, and why?

    Why is that an important distinction, in fact, why are any of the markers you choose important? Should I just take your word for it?

  17. I love the skirting around the issue that this is only possible for people who are either born rich, or uncommonly lucky (which isn't a viable strategy). "Rags to riches" tales are nothing more than propoganda. They're such an exception, and they're so often brought up without mentioning the 99.9% of "rags to riches" stories which instead end with destitution.

    I also don't appreciate the framing of the gig economy as a positive thing. The gig economy is borderland criminal. Its an abusive, amoral business model, even if it benifits a very small proportion of workers

  18. Something like 80% of small businesses survive their first year. Surviving through 5 years is one of the tick-marks for 'successful small business', and about 50% achieve this. Note that 'profitable' does not enter anywhere in those figures.

    It is recommended by people who look at spreadsheets all day that you have a plan where your small business is a massive sunk cost in personal time and monetary resources for 5 years with little results before you figure out how to turn it around. You also have a plan for mediocre results, and one for great results. Be realistic in your judgment of results, as you will be presenting all three plans to people who look at spreadsheets all day at your local banks or credit unions when you ask for a small business loan. They will then judge you and your prospective business. You will most likely need to do this 7 times, adjusting based on feedback.

    If you're lucky, you will find a group of angel investors, who look at spreadsheets all day, that will take partial ownership in your business and do very little else other than feed you money while taking chunks of your business and look over your shoulder a couple of times a year.

  19. …no. You can be an entrepreneur if you have the MONEY. Which is hard to come by in a gig economy, because that can eat away at your physical and mental health, which eats up your money, which means you have to work even harder, which is bad for your health, etc…
    I love CrashCourse, but this is just too, too optimistic.

  20. 0:23 Isn't Beyonce is a singer/actress, and Marie Kondo an author? If you wanna virtue signal, at least choose actual entrepreneurs.

  21. Been with you for years.Watched and liked many courses. I would never have thoughtyou would do a 180 and go into political propaganda. Shameful

  22. Gig economy, or more accurately the return of the day labourer.

    Miners and factory workers in the 1800s would be thrilled, I am sure, that they have been granted the lofty title of "Entrepeneur" post-humorusley by some youtuber.

  23. Where do entrepreneurial non-profits fit into this scale? Can one be an entrepreneur without personal financial risk (donors are taking the risk)?

  24. I'm sorry, but I only could take 6min of this rambling before getting a headache. Imagine being stuck in an office space with the her .. worst nightmare.

    Any game developers got tips for freelance work
    im fairly proficient in unreal engine 4 and can model in blender.

  26. It was all going so well until she decided that she need to tell us how she is a super intersectional minority. Well done all the woke points go to you! ffs

  27. Gotta say, had my first taste of entrepreneurship when out of the blue, I got the opportunity to vend at a weekend fan convention. The local comic book shop that was intending to run the card gaming tournament pulled out and I stepped in. Never so much as ran a lemonade stand, but when the opportunity arose I sank about £1000 into buying card gaming merch for stock, and made a profit of about £300 by weekend’s end.

    I’m not gonna lie, there is a high that happens as you watch your stock spreadsheet go from loss to profit, and every sale you make and every bit of cash that enters your pouch is a rush. I was ecstatic counting my earnings. I’ve vended again at another convention and it’s nice for the occasional money-maker, but it’s made me hungry to be an entrepreneur full-time at some point. My head’s now constantly spinning with ideas for businesses, listening to my friends off-handedly mention some lacking function or glaring problem gets my gears spinning.

    I’m prepared to work as an engineer (graduating soon) for a few years and settle my life first, but t won’t be long before I take a stab at being an entrepreneur

  28. Watch Warren Buffett and bill Gates entrepreneur instead of this….this video is not as good as other videos

  29. This may turn out to be one of the more controversial Crash Course classes. The description of the Gig Economy alone (many consider the gig economy to be an unmitigated bane on the working populace, something to be avoided altogether if possible) is going to cause flamewars galore. Even Entrepreneurship (or at least the unremitting promotion of it) is controversial in itself — capitalism either at its finest or at its worst.

  30. 😆😆if you consider🤔 yourself an entrepreneur 💯💥 you deserve to get smashed in the face with a hammer 🔨💢💢💓💓

  31. Since youtubers dont have to make an investment prior to posting videos and profiting from it, can they be considered entrepreneurs? Since they dont take financial risk at first

  32. Freelance/gig workers never, ever have more income security than full time workers, that's bonkers ridiculous to claim.

  33. Ive been avoiding Ana's corny videos and now she is in one of my favorite channels 👎. Get this entitled woman out this aweosme channel. PLEASE. 🙏

  34. I don't know if it was intentional, but the entrepreneur in the thumbnail is dressed exactly like Andrew Yang. Awesome!

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