- Pure Entrepreneur – A pure entrepreneur is an individual who is motivated by psychological & economic rewards. He undertakes an entrepreneurial activity for his satisfaction in work ego or status.
- Induced Entrepreneur – He is one who is induced to take up on entrepreneurial task due to the policy measures of the government that provides assistance, incentives, concessions & necessary overhead facilities to start a venture.
- Motivated Entrepreneur – New entrepreneurs are motivated by the desires of self fulfillment. They come into being because of the possibility of making & marketing some new product for the use of consumers.
- Spontaneous Entrepreneur – These entrepreneurs start their business thereby natural talents. They are persons with initiative, boldness & confidence in their ability which motivate them to undertake entrepreneurial activity. Such entrepreneurs have a strong conviction & confidence in their inborn ability.