Is Entrepreneurship Better Than Job? A Comparative Study

Overview and Background of Research

Entrepreneurship is a process that describes about the willingness and capacity to develop, manage and organize a business through considering risks to make profits (Ferreira, Fernandes and Ratten 2017). Hence, the chief characteristic of an entrepreneur is to innovate new ideas for business. On the other side, job refers a paid position for regular work where the opportunities to experience risk and earn profit is low. However, employees with higher skills have strong conflicts in their minds, regarding the significance of entrepreneurship and job, especially in the current global business scenario, which is increasingly becoming more integrated, inclusive, interconnected and dynamic. This is because, both have certain advantages and certain disadvantages for which it becomes difficult for them to choose between any one of these two options as their career. Keeping this into consideration, this research paper intends to observe that whether entrepreneurship is better than job or not.

To take proper decision on a career path is very crucial for a person, as it does not only help that person to earn higher amount of profit or to earn higher amount of remuneration, but also give job satisfaction and influence various aspects of life positively (Failla, Melillo and Reichstein 2017). However, sometimes it becomes difficult for any person to choose between business and job, as both have positive and negative impacts. Some people want to start their own business as they do not work under the supervision of any other. They can be considered as risk lover. Through applying proper business strategies and innovative entrepreneurial skills, some of them become successful entrepreneurs. On the contrary, risk aversion mentality leads many people to do jobs with secured position and fixed salary. However, for employees, the chance of earning excess amount of income is very low (Kautonen, Kibler and Minniti 2017). In this context, government policies also play vital role as these provide assistance and assurance to people. Hence, this research paper has considered government policies regarding job and entrepreneurship of the United Kingdom (UK). To increase the number of job opportunities along with a flexible labour market, the UK government has modernized its employment law and has protected employee rights as well. Moreover, the government also provides job search support and benefits systems to people for increasing the number of employment (Jaehrlinget al. 2018). On the other side, U.K is an ideal place to start a business. The country has lowest rates of corporate tax in the G20. In addition to this, the government of this developed country offers various financial and legal supports to entrepreneurs for conducting their business successfully (Pierrakis 2018). Thus, both entrepreneurship and job have their certain set of implications that attract people. Consequently, it becomes difficult for people to choose the correct career path. Hence, the research paper tries to analyse that whether doing business is better than job for people, who work in various organizations with higher posts and noticeable salaries.

The research paper wants to analyse that starting a business is better compare to doing a job with fixed salary under the leadership of another person. For this, critical analysis of these two options of career is important. Moreover, this research topic is significant because the number of entrepreneurship and business organizations in UK is increasing significantly. Moreover, students and other people are trying to set their career as an entrepreneur rather than working in an organization. Hence, this paper can significantly highlight this issue by conducting proper research.

Rationale of Research

The paper aims to differentiate between entrepreneurship and job and to figure out whether entrepreneurship is better compared to jobs for people working in various organizations with higher posts in the global framework as well as in the commercial domain of the U.K.

The primary objectives of the concerned research are as follows:

• To analyse both advantages and disadvantages that people experience in business and job
• To observe that entrepreneurship is better than job for people with higher skills in U.K
• To highlight various aspects of entrepreneurship that can influence a person positively in his or her life
• To analyse that business has long term prospect compare to job

Based on the research objectives, the primary research question for the concerned projectis as follows:

Is entrepreneurship better than job or vice versa?

The secondary research questions, which the concerned project intends to address are as follows:

• What are the advantages and disadvantages that a person can experience in entrepreneurship and job?
• Why do people choose entrepreneurship as their career in U.K?
• Can entrepreneurship influence a person positively in his or her life?
• Do government policies influence people to choose entrepreneurship over hob in the U.K?
• Can business provide profits during long-term compare to job?

The paper tries to see that whether doing business is better than doing a job or not, especially for those people, who are working in different companies with higher positions along with higher remunerations.

The research paper considers two hypotheses to obtain the desirable outcome, these are, null hypothesis (H0) and alternative hypothesis (H1).

H0: Entrepreneurship is better than job

H1: Entrepreneurship and job has equal opportunities

In the contemporary period, with the development of the global commercial dynamics and with integration and inclusiveness of the international business scenario, much due to the international factors like that of Globalization, Liberalization, technological progress, infrastructural development and higher inter-connected economies of the countries, the aspects of employment as well as entrepreneurship, both have experienced significant dynamics and developed considerably with time (Peng2016).

In this context, there have been extensive researches, across the global framework, over the decades, trying to explore the different aspects of employment as well as entrepreneurship, their characteristics, positive and negative implications as well as sustainability and prospects in short run as well as long run. Various opinions and evidences can also be seen to be found regarding these aspects varying across people, industry, work types, culture, geographical domains as well as with time.

Keeping this into consideration, this section of the research proposal tries to conduct an extensive and elaborate review of the literary works and empirically as well as theoretically supported scholarly evidences present in the aspects of employment and entrepreneurship and their features as well as implications, over the years, across the global scenario, in order to explore the different assertions and perceptions of the scholars across the globe.

The term “Job” being a multi-dimensional concept itself, has been defined by different scholars across the globe from different perspectives. In this context, Mourshed, Farrelland Barton (2013), define the term “Job”, in the global context, as a group of homogenous roles and tasks which are related by the similarity of the functions. In this context, the assertions of the authors, can be seen to be supported and augmented by the work of Freyand Osborne (2017), who define “job” in the global commercial scenario, as a role consisting of duties and tasks which are:

1. Definitive and specific as well as mostly homogenous in nature
2. Which can be cardinally measured and rated as per accomplishment of the individuals bestowed with the duty to perform the concerned job (Richardson2013)

In this context, Lingand Loo (2013), assert that the individuals, in the work environment, in a global framework, often identify themselves with the roles or job which they perform in their professional lives and the types of jobs which they do and the uniqueness and usefulness of the same also help to motivate them in their professional domains. Barrick, Mountand Li (2013), provides the most practical definition of the term, by defining jobs as the acts of individuals, of that of providing service to a particular organization in lieu of monthly salary or benefits. The individuals having the skill-set and serving the organizations are known as employees and they generally opt for the jobs in the search of financial security and wellbeing, thereby assuring a higher standard of living in general (Niessen, Weselerand Kostova2016).

Research Aim

On the other hand, with the increasing expansion of the global commercial domains, the term “Entrepreneurship” has been gaining immense popularity and the same has been subjected to considerable study and exploration with debates and differences in perceptions existing regarding the definition of the same. In this context, Whaples, define the term “Entrepreneurship” as the activity of developing, managing and organization and managing of a business venture by an individual, supported by his or her capacity to take the risks of venturing into the same, with the primary intension being usually of that of making profit (Drucker2014). According to Scarborough (2016), the aspect of entrepreneurship necessarily implies not working under any organization or for any other individual and the concept has been gaining increasing popularity with each passing day, primarily due to the rising interests of the people already employed in different organizations, especially those in higher posts and with managerial capabilities, with the intention of becoming their own boss (Naudé2014).

In this context, a new notion of “Social Entrepreneurship” can be seen to be evolving in the contemporary period with the increasing popularity of entrepreneurship among the participants of the global commercial scenario. Dees (2017), in his working paper, defines the term as the phenomenon of building and using start-up companies by the entrepreneurs for developing and funding as well as implementing plans and solutions for different social, environmental as well as cultural welfare issues. Augmenting this assertion, Keohane (2013), argues that these types of entrepreneurs are in general bothered with welfare maximization and not profit maximization and try to make their marks in the societies by addressing critical issues with their unique and innovative ideas as well as capabilities.

There exist considerable debates across the globe, over the years, regarding the positive as well as negative implications of jobs or of getting employed and working for an organization. In his elaborate and empirically evidenced work regarding the advantages of flexible labour markets in the global economic scenario, Chassin(2013), highlights several positive aspects of finding and engaging in a job (specifically focussing on full-time employments), with the primary ones being as follows.

1. Financial securities and sense of safety-As argued by the author, the presence of a fixed job with monetary benefits (mostly in terms of salaries) being achieved at regular intervals, increases the financial securities of the workers and their families, which in turn makes them feel financially safe and able to meet their demands and also fulfil their materialistic desires (Xinzheng2012). The workers, as argued by the author, also do not need to bear the risks that arise in the operational framework of the organizations.
2. Increased standard of living-As per the assertions of Bianchi (2012), the presence of job and the increment in the monetary compensations with time also increases the standard of living of the people employed, which in turn also enables them to secure their as well as their families’ future, in terms of health, education, lifestyles as well as entertainments.
3. Fixed schedules-The fixed working hours, in most of the workplaces also enable the workers to maintain labour-leisure balance and both personal and professional life. However, this aspect is subjective, varying across organizations, industries, work-culture across different countries and also the job roles of the individuals (Blattmanand Ralston2015).

However, there are also several crucial negative aspects faced by a conventionally employed salaried person, as can be seen to be highlighted by Oren (2012). The primary negative implications, highlighted by the author are as follows:

1. Stagnancy-According to the author, prolonged employed in one organization tends to make people comfortable in the monotonous job which they do, thereby nullifying or hugely decreasing their chance to explore other career opportunities, which in turn stagnates the utilisation of their full potential and talents.
2. Decreased sense of satisfaction-As argued by Nordenmark, Vinbergand Strandh (2012), the jobs performed by salaried employees are often of no interest to the employees themselves and are performed under the instructions of the organizations, which makes the sense of serving or achievement as well as fulfilment blurred. Often the potential of the employees is also mis-utilised or over-utilised, thereby draining them out of their personal value or desires. The authors also assert that monotony and mechanical jobs decrease the self-esteem and worth perceived by the employees.
3. Limited prospects of growth-While evaluating the labour productivity of employees especially in the manufacturing sector, Livia (2012) also rightly argues that no matter how many promotions and pay-raise an employee gets, his or her growth stagnates at a certain level in a fixed salaried job, thereby providing the person a comfortable life which however lacks motivation to progress.

All these factors together, can be seen to have led to the increased popularity of the notion of entrepreneurship as more and more people across the globe can be seen to be indulging into this activity with the dream of building something productive and meaningful on their own, where the scopes and unlimited and where they can utilise their potentials, unique talents and skills to the fullest (Ackermann2012).

Like that of jobs, there also exist substantial positive as well as negative aspects of the phenomenon of entrepreneurship in the global framework, varying across people, places, nature of entrepreneurship and many other factors.

In this context, Anderson, Drakopoulou Doddand Jack (2012), discusses several positive aspects of entrepreneurship, which probably contributed to its increasing popularity. The primary positive points highlighted by the authors are as follows:

1. Own control on actions-The first and foremost positive feature of entrepreneurship, as highlighted by the authors, is that of the presence of freedom to choose what to do and a person’s own control over his or her actions, thereby creating the prospects of realisation of his or her full potential, which in turn increases the level of satisfaction in the professional life of the entrepreneurs (Shane2012).
2. Flexibility and Freedom-Augmenting the above argument, Shane (2012), also highlights that flexibility of schedules and facility of designing the work plan and work hours around other commitments and priorities of life is what makes entrepreneurship more attractive to an increasing number of people across the globe in the contemporary period. Supporting this perception, Kirzner (2015), asserts that venturing in his or her own business enables a person to work whenever, however and wherever they want, which in turn lightens the burden of rules and routines and most of the entrepreneurs do not feel the conventional work stress as they generally tend to love what they do.
3. Rational Income-One of the most crucial aspects of entrepreneurship, as Zanakis, Renkoand Bullough (2012), point out is the rationality of the income of the entrepreneurs. According to the authors, the income of an entrepreneur is directly linked to his or her efforts and success in the venture and the prospects and chances of increase in the same are limitless, solely depending on the capabilities, skills and success of the entrepreneurs in their ventures.
4. Excitement and Passion-Baum, Freseand Baron (2014), venturing in the phycological aspects of entrepreneurship, discusses about the non-monetary and ordinal aspects which make entrepreneurship attractive to many. As per the empirically supported assertions of the authors, many indulge in entrepreneurship, often leaving highly paid secure jobs for the excitement to do something new and innovation on their own and entrepreneurs generally enjoy the daily challenges they face and the facility of grabbing new opportunities each day, by utilising their skills, abilities and their determination (Welteret al.2017).  

Research Objectives

However, like any other phenomenon, entrepreneurship also has several crucial negative aspects along with the positive sides of the same, few important ones being elaborated and explained by McMullenand Dimov (2013), to be as follows:

1. Risks-As the authors highlight, the primary drawback of entrepreneurship, is that of the presence of high risks (both financial as well as non-monetary ones) in the domain of venturing. As an entrepreneur, people need to take the responsibilities of all the operations and actions performed by them and thus, being new in the domains, are susceptible to all kinds of risks which they need to face (McMullenand Dimov2013).
2. Competition-Baba (2013), in this context also argues that one of the most crucial challenge faced by any entrepreneur, especially in the contemporary global business scenario, is the challenge of staying competitive and sustainable as with time, the level of competition in almost all types of industries are increasing and according to the author, in order to face the competitions, especially from the resource reach large firms, experiencing economies of scale, it becomes necessary for the entrepreneurs to be highly innovative not only once but consistently in their operational framework, so as to win over others and gain clients as well as profits (Parrishand Tilley2012).
3. No fixed work schedule or salary-As Chowdhury (2017), argues, the entrepreneurs, unlike salaried employees, do not usually have fixed working schedule or regular salary. The entrepreneurs generally need to work longer and in an unpredictable schedule unlike that of employees as the major decision-making responsibilities and other crucial operations are subjected to their surveillance and approval. The author also asserts that there remains no security in terms of monetary gains for the entrepreneurs and like the scopes of unlimited expansion of profit, there also lie scopes for huge monetary risks.
4. Administration-As highlighted by Klonek, Isidorand Kauffeld (2015), the entrepreneurs in their professional domains have to take major decisions for their business venture and also need to administrate the various operations in the same, which include production, financial, management and marketing aspects. Although they might have dedicated department and experts in each domain, however all their plans and proposals are usually subjective to the approval from the entrepreneurs, which makes it one of the foremost challenges for them as much of the success of their brainchild depend on their decisions and actions (Brizek2014).

However, in spite of the presence of risks and several negative implications in the domain of entrepreneurship, the same can be seen to be gaining increasing popularity across the globe, especially in the contemporary period of increased and integrated economic and commercial activities.

From the above discussion and review of the existing literary evidences, it can be seen that a lot has been discussed regarding the features and importance of jobs as well as internships in the contemporary global domain as well as about the positive and negative implications of both these phenomena. However, little can be seen to have researched in the aspects of comparing and contrasting these two phenomena and their advantages and disadvantages over one another, in general framework as well as in diversified places, industries and people. Keeping this into consideration, the concerned paper proposes to study these aspects, with the aim to study whether entrepreneurship is better than job or vice versa. The research also proposes to view the advantages as well as disadvantages of both jobs and entrepreneurship, by capturing the individual perceptions of both salaried employees as well as entrepreneurs regarding the same.

Research approach represents a plan that includes various steps of broad assumptions related to the detailed methods of data collection along with data analysis and interpretation. This approach is based on the research problem and can be divided into two parts, which are, data collection approach and data analysis approach (Johnston 2014). Data collection is divided into two sub parts, which are, quantitative and qualitative. Moreover, data analysis is divided into two parts as well. These are inductive analysis and deductive analysis. Inductive approach begins with observations and theories that are proposed as an outcome of observations (McFarland, Waliczek, Etheredge and Lillard 2018). Moreover, this approach does not consider any hypothesis. A deductive approach, on the other side, indicates to develop a hypothesis, based on existing theory and to design a research strategy for testing this hypothesis (Pearl 2014). This research paper considers deductive approach, where null hypothesis and alternative hypothesis are already formed.

Research design is the set of procedures and methods that are used to collect and analyse variables related to the specified research problem. This design represents study type, such as, descriptive, experimental, semi-experimental and meta-analysis and sub-type (Ioannidis et al. 2014). This paper considers descriptive type of research. This type of research design describes about characteristics of a population, based on which the entire research will be conducted. Hence, it is a statement of affairs and researcher has no control over variables.   

Research objectives are the outcomes that the researcher wants at the end of the entire research process. To fulfil research objectives, this research paper considers working people of various organizations with higher posts as primary method to collect data. The chief objective of this research paper is to observe that whether entrepreneurship is better or not for those people compare to job.

Research Questions

Data collection is the main part of this research paper, as the entire research process and outcome depend on it. For this paper, primary data are required that can be achieved through conducting interview on people. People, who are working in different reputed organization with higher posts, are considered as main sources of data. Moreover, information is collected from other sources like entrepreneurs of both start-up and established business organizations. Entire people working in different organizations with higher posts in U.K are considered as population for this research process.

This research paper requires both quantitative and qualitative data (Almalki 2016). Quantitative data will be obtained from income of people, who are employed in large-scale organizations and profit of various entrepreneurs. On the other side, qualitative data will be based on job satisfaction and other ordinal factors that cannot be obtained numerically in both business and job sectors.

It is not possible to consider all people, who are employed in reputed companies and who are doing business in U.K. Hence, it can be convenient to apply sampling technique for choosing a small portion of entire population as sample. In this paper, non-probability sampling technique is adopted where samples are selected by applying subjective judgment of the researcher (Etikan, Musa and Alkassim 2016). In this process, sample size is taken as 20 from various organizations with higher positions. Moreover, this paper will also conduct research on other 20 person, who have stated their business successfully.

Ethical consideration is an important factor that helps a research paper to conduct the entire process successfully. For this paper, first ethical consideration is that no forceful participation of the participants will be considered in the sampling methods. They will not be forced to give any option and they can leave the entire interview session at any time when they need. Secondly, all data collected for this research will be for personal purpose and will not be used for professional purpose. Thirdly, this paper will protect all collected data legally and prevent carefully from any unethical usage. Moreover, all information will be kept secretly and to confer any other person, proper permission will be required to grant.

The total span of the research being that of three years, the different activities to be performed while conducting the concerned research are planned according to the given project timeline and the tentative project milestone is as follows:

Sequential Activities/ Period	Month 1-6	Month 7-14	Month 15-28	Month 28-36
Ideation of the Project	ü
Designing the plans to conduct the research		ü
Sample identification, Sample selection and Collection of requisite data		ü	ü
Analysis and Interpretation of the data collected, Discussion of the results			ü
Process of Publication of the report				ü

The research is proposed to be conducted on the basis of the proposed project milestone as provided above.

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Problem Statement

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