Significance of Franchise Entrepreneurship in American Economy

franchise entrepreneurship revitalizes the economy by introducing a new generation of higher-productivity businesses, increasing rivalry among existing businesses
  • Post author:
  • Post category:Resource

“Entrepreneurs throughout modern economic history…have been disproportionately responsible for truly radical innovations – the airplane, the railroad, the automobile, electric service, the telegraph and telephone, the computer, air conditioning, and so on – that not only fundamentally transformed consumers’ lives, but also became platforms for many other industries that, in combination, have fundamentally changed entire economies.” ~ Robert Litan and Carl Schramm

A taste of freedom from the nine-to-five workday gave many Americans the push they needed to break away from the nine-to-five grind and start their own business. There are already over 30 million small enterprises in the United States, and about 4.5 million people applied for a new company license in 2020 alone. A rise of 24% from 2019. Now is the perfect time to push forward and create a mark on the cosmos. You should consider starting your own business for one of these three reasons.

Entrepreneurship is fueled by new technology, allowing Americans to explore side hustles and work-from-home opportunities via the internet. Boosting a company’s exposure and consumer base is one of its primary benefits. Social media and smartphone apps are being used by small businesses to attract clients and generate revenue. Businesses can keep in touch with their clients and sell their items online because of the power of technology. It can also save time by increasing output and automating mundane operations.

A future where your family comes first would be within reach if you experienced a taste of decent work-life balance during the pandemic. Many work-from-home options with flexible scheduling are available through franchising. Franchise entrepreneurship can take responsibility for their destiny while still receiving the guidance and assistance required to succeed. More than 780,000 U.S. enterprises are franchised, according to predictions made by entrepreneurs as recently as last year, when they were projected to open 26,000 new small-business franchises.

Even though the epidemic resulted in many Americans losing their jobs, canceled vacations and less money spent on entertainment helped many Americans increase their retirement savings, especially those with better incomes. Savings were boosted by tax rebates and stimulus grants from the government. Although many funding sources dried up during the epidemic, private equity firms are now looking for future trends and increasing their investments.

Summarily, franchise entrepreneurship revitalizes the economy by introducing a new generation of higher-productivity businesses, increasing rivalry among existing businesses, and displacing less-productive ones. Entrepreneurship is critical because it can raise living standards and create money, not just for entrepreneurs but also for connected firms. Entrepreneurs also contribute to change through innovation, as new and improved products enable the development of new markets.

Liked what you read? Follow us on Linkedin.

Want your franchise news to be covered? Send your Press Release.