Michael is a middle-aged professional who lost his job five months ago when his former employer downsized. He has been actively looking for work at all of the nearby companies, but he hasn't been able to find a job that truly utilizes his talents or abilities or that offers an income anywhere close to what he earned in his previous position. He is beginning to feel that the only way to survive in his current situation is to start his own business.

Michael might well become a:

A. necessity entrepreneur.

B. frictional worker.

C. venture capitalist.

D. intrapreneur

The correct answer is letter "A": necessity entrepreneur.

Explanation:

Necessity entrepreneurs are individuals who in front of hardship analyze ideas that could make them get out of the adverse situation. There are different reasons why those people can be motivated to engage in a venture such as natural disasters, financial bankruptcy, or any other major event that could impact society.

Necessity entrepreneurs work under the pressure that if their projects fail, their conditions will get even worse. The latter is an extra motivation to work harder so the business succeeds.

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