Expert Speak

Lifestyle Entrepreneurship: Passion Calling!

A lifestyle Entrepreneur is an individual who creates a business with the purpose of altering his/her personal lifestyle and not for the sole purpose of making profits. A lifestyle entrepreneur focuses more on the life rewards provided to people that enjoy and have a passion for what they are doing. There is a possibility that the business will do particularly well since the individual has a passion for what he/she is doing.

Researchers have defined lifestyle entrepreneurs as individuals who owned and operated businesses closely aligned with their personal values, beliefs, interests,and passions (Ewing Marion Kauffman Foundation, 2004; Henricks, 2002).

Lifestyle entrepreneurs are fueled by the desire to earn a respectable living, find satisfaction in career attainment and achievements, and spend quality time with family and friends (Henderson, 2002).

The unusual characteristics of Lifestyle Entrepreneurs:

  • Motivated by quality of life rather than growth
  • Very limited growth orientation
  • Underutilisation of resources and capital investment
  • Irrational management and non Return-on-investment based decision making
  • Limited marketing and product development expertise and activities
  • Motivated by survival and sufficient income to maintain their and their families’ way of life
  • Low education and training on management
  • Not fully aware of quality management techniques
  • Low involvement within industry growth and industry structures
  • Unwillingness to let go or to sell their ventures
  • Questionable economic sustainability


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