a person who takes the initiative in combining land, labor, and capital, the three fundamental factors of production, to produce a good or service —note 1. the entrepreneur is the driving force and catalyst behind production, the agent who combines the resources in what is hoped will be a profitable venture, and the person who makes both the short-term tactical decisions about the business and the long-term strategic decisions that set the course of the firm —note 2. entrepreneurs introduce new products, new techniques, or even new forms of business while risking their time, effort, personal capital, business reputation, and invested funds of business associates or stockholders This definition last updated 07/30/2008