Although entrepreneurial competencies remain the same, rural entrepreneurs differ from the urban entrepreneurs in terms of attitude, aspirations and objectives because of the difference in environment.
As they are having a low capital assets base, they do not want to take more risk and want to see the tangible results of their entrepreneurial initiative within a very short period.
Rural entrepreneurs as per their objectives and social structure can be categorized into the following types:
1. Farm entrepreneurs:
Farm entrepreneurs are such persons whose main occupation is farming. The main source of their livelihood is agriculture. This type includes those persons who have no land of their own but they are willing to stay in the village and aid agriculture.
Therefore, people possessing large piece of land in the village but staying in the towns are excluded from this category.
2. Artisan entrepreneurs:
This type includes those persons who possess some kind of skill like masonry, black-smithy, carpentry, repair of pump-sets, art, board painting etc. Such skill can be inherited and refined or acquired through professional training.
3. Merchants and traders:
It includes businessmen who commercialize in various products mainly needed by the local population of the village and around. They may be producing the goods themselves or acting as middlemen.
4. Tribal entrepreneurs:
Tribal entrepreneurs belong to those who operate predominantly in tribal villages. Their source of origin is tribal community.