Are These Guys Entrepreneurs or Just Dudes who Caught a Lucky Break?
I spent the last two weekends camping in an area that’s blooming with small business success. The part of town recently gained popularity through countless radio and TV commercials. I went back twice to a place I’ve never visited before – even though it’s only a 90 mile drive from my home. I did the usual tree hugging, sun grabbing and fruit market shopping, but in between I caught glimpses of ordinary folks raking in some serious cash.
There was the firewood guy who made 32 bucks from us in the last 7 days. He sells firewood for $4 a bundle and easily sold 300 bundles on the fourth of July. He gets the wood for free from a carpenter friend, ties it up and sits it on his truck. Then, he drinks lemonade and pets his dog while firewood craving campers dish out their dough. He works about 6 months out of the year, and we figured he makes at least $40,000. On the side he sells $4 hot dog buns and $3 ice.
Then, we met the train store guy who converted the front of his home to a storefront in honor of selling his grandson’s favorite trains. His beautiful home, in the prime business district of town sticks out beautifully with its Thomas the Train paraphernalia. As we drove by it, my little boy yelled “Oh Thomas, Oh Thomas,” as I’m sure every little boy does. So, we bought him a $10 mini toy train to go with the rest of his mini toy trains that all connect together. Only this one was double the price of the ones we bought in Chicago. This guy is making a living selling toy trains right from his home. And he’s able to sell them for quite a bit more than competitors because of his location.
So, these two men are happily supporting themselves through their own means. They are making more than others in their field, and it seems as though they’ve chosen businesses that are valued in the area. But, are they entrepreneurs? Are they business men? Or are they just lucky? There can only be one firewood guy per camp ground, so this one was at least smart enough to become the first one. I think we need to credit both men for using their resources and not having to put too much monetary investment into the start of their businesses. But, seeing as though there is not much need or plans for growth, can we really call them entrepreneurs?
7 Comments
Luc Arnold
July 6th, 2007 at 12:29 pm
See i would say that they are entrepreneurs personally.
One type of business owner that is never talked about is the one who generates cash to invest and just does that for 20 years… is that technically a business owner or investor or both? Hmmmm….
David Askaripour
July 6th, 2007 at 2:34 pm
I wouldn’t call them entrepreneurs. They are businessmen. Entrepreneurs are people who continue to grow, expand, innovate, and help others as they go along their journey to success. Well I don’t personally know these guys, but solely based upon what you described, they are businessmen who are making money by ways they’ve found profitable. We entrepreneurs are born into this world, we aren’t made. We are hungry to change the world and offer solutions to the world. Now I give these guys credit for being able to turn a profit. That’s awesome! But are they entrepreneurs? I doubt it. But that doesn’t matter. They don’t need a label. They are content with making their bucks. I’d venture to say that they are doing what they do for 95% money and 5% joy.
lawrence
July 6th, 2007 at 4:37 pm
definitely not entrepreneurs - at least not in the traditional sense.
at best, they’re just regular dudes who have an eye for business - and when to make a buck
Brian
July 7th, 2007 at 10:35 pm
I enjoy your writing, Gina. I’m interested to hear, though, what you think an entrepreneur is?
For what my perspective’s worth — and that probably isn’t much — I believe an entrepreneur is the creative force in an economy that sees and executes on opportunity to create new value.
Sounds like that’s what the guys in your example have done. In one case a man found a creative way to get a rise out of your son, and as you mentioned, untold numbers of others.
In terms of the guy who sells firewood while sitting, drinking lemonade, and petting his dog, why take anything from him? It just sounds like he prefers a quiet life. Good for him for living his own idea of a good life while infusing the economy with value-added services, and to the tune of $40,000. He works for himself to boot.
Maybe they’re lucky. But what’s that matter? After all let’s not fool ourselves… each one of us is counting on luck in some way. Markets are still largely unpredictable. Technology propsels forward. Tastes change. But the curious thing is that when you work hard enough, and when you step up to the plate time and again, “luck” has a way of swinging in your favor.
I appreciate what you wrote because you got me thinking. But I respectfully disagree with your conclusion. These guys are entrepreneurs; they just come from a different variety than you and me.
@lawrence: What’s your take on what an entrepreneur is “in the traditional sense?”
lawrence
July 8th, 2007 at 12:50 am
@brian
business people and entrepreneurs are pretty much in the same boat…
but entrepreneurs, “in the traditional sense”, kick it up a notch, if you will - they add a new dimension somehow to the business or process; the new dimension being a way that hasn’t been done before.
if you’re simply ‘repeating’ an existing concept or business model(something that has been done before), then you’re a business person - not an entrepreneur
here’s an easier way to sum it up:
entrepreneurs = discoverers of new fruit.
business people = are the farmers of the found fruit.
Brian
July 8th, 2007 at 5:11 pm
Lawrence, I don’t entirely disagree with you.
I only want to point to the fact that traditional entrepreneurs are people who assume risk in the founding of some enterprise. Black and white stuff. At least that’s the textbook definition.
Today we talk about entrepreneurs in a different way — we call them risk lovers and passionate persons who work tirelessly to promote some earth-shattering idea in the form of a business model, and almost always off the beaten path.
That’s great — in fact I love the new definition. But it’s divergent from the not-so-glamorous “traditional” definition which was given to us by economist Richard Cantillon sometime around the turn of the 18th century.
Now to be fair I do agree that the “risk-bearing passionate persons” deserve a category unto themselves. But for better or worse, that isn’t the case today. At least I haven’t heard a term for us yet.
Gina Laverde
July 9th, 2007 at 11:44 am
Wow!! Thank you all for the valuable feedback.
Brian, I love your definition of entrpreneur. Beautifully worded!
To me an entrepreneur is really someone who completely involves him/herslef in profiting from what they love, while involving and helping others along the way. I think, to be an entrepreneur you have to always see the bigger picture. Profit needn’t always be the main goal, but it is certainly a major one. When you love your business enough to use it as a tool for helping even the smallest part of society — you are an entrpreneur. You are an entrepreneur because you care to go that extra step.
Now, as for these two guys? They made me think. I came to no conclusions, I posed a question. I am intesrested in what you all think because I find it difficult to say they are NOT entrpreneurs, even though they seem to defy some of my criteria.
If we all claim to be uniqe as people, isn’t it possible that each entreprenur/business person can be unique as well?
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