Why is entrepreneurship considered risky?

Question

(1 point)
Entrepreneurs often risk their own time and money investments in creating a new business
• Entrepreneurship guarantees profits
• Entrepreneurs never have to invest their own time or effort.
The government does not encourage entrepreneurship because it does not benefit the economy

Answer 1

Entrepreneurship is considered risky primarily because entrepreneurs often risk their own time and money investments in creating a new business. This involves uncertainty regarding the success of the business, potential financial loss, and the commitment of significant personal resources.