THE IMPACT OF ENTREPRENEURSHIP AND LEADERSHIP DEVELOPMENT ON ECONOMIC DEVELOPMENT

Abstract

The development of entrepreneurship and leadership is the backbone of the development of any society. In a market economy, the state of entrepreneurship changes every day and it is necessary to find new methods of its development and adaptation to market conditions. Today, Serbia is in a difficult economic situation. The global economic crisis halted the country’s belated transitional recovery the moment the momentum began to take hold. The road to its recovery leads through painful measures: rationalization of the oversized public sector and serious financial discipline, as well as the promotion of entrepreneurship and leadership as development strategies, without which sustainable economic growth will not be possible. This paper aims to contribute to the description and analysis of the development of entrepreneurship and leadership, with the intention that it contributes to faster development in Serbia. The paper analyzes the concept, general state, and importance of entrepreneurship, the relationship between entrepreneurship and leadership, and the role of entrepreneurship in economic development. Based on the analysis performed in the paper, the authors concluded that entrepreneurial opportunities arise from market changes and that the modern, rapidly changing and uncertain business environment is a theoretically potential area for entrepreneurial activities.