Are You Really an Entrepreneur? The Blogging Case Study

I read a great definition of entrepreneur recently:

“One who creates value by shifting economic resources from low yield activities to areas where they would be more productive.”

As abstract as this may sound, it hits the nail on the head and provides a great basis for any kind of “entrepreneur” litmus test.

The idea of being an entrepreneur is a popular one, especially in the United States where rags-to-riches stories abound. The very idea of an “American Dream” is often closely linked to successfully deciphering the capitalist code.

Yet, to be an “entrepreneur” in the true sense requires very specific set of attitudes, beliefs and behaviors that are all too often misunderstood. If you’re going to become a true entrepreneur, you’ll need to understand one very important distinction right away-

Self Employed v. Business Owner
For an in-depth look at this critical distinction, be sure to check out The E-Myth and The Cashflow Quadrant.

So, first, what’s similar between the self-employee and the business owner (or entrepreneur)?

Right off the bat, this should be obvious enough: Both own a business and both profit from the operation of that business.

The critical difference rests in the individual’s role in the owned business. Of course, the self-employed individual works in the business and, in many cases, actually is the business. Michael Gerber refers to this difference as working in a business vs. working on a business.

Internet Entrepreneur v. Blogger
Let’s look at one classic example in the Internet business world that continues to baffle me.

I remember starting my first websites after learning about the impressive success of other Internet entrepreneurs with affiliate marketing business models employing easy-to-use blogs as a content management system.

The basic idea here – as in virtually all affiliate marketing arrangements – is to create relevant content that promotes specific ads and then generates a boatload of cash.

Since blogs have become commonplace in the niche marketing world, tons of new bloggers enter the blogosphere each day hoping to claim their piece of the internet-profits pie.

What I find remarkable about this movement – one which I pursued for a brief period in my earliest days of internet business – is many of these “bloggers” consider themselves *internet entrepreneurs.* As we can see, traditional “blogging” is merely self-employment online, even in the most successful cases.

Yes, there are plenty of exceptions to this rule, but I want to be clear: I am speaking of viable Internet business models only – not blogging for pure enjoyment or genuine contribution. I also want to rule out those bloggers who truly recognize the self-employment nature of their work. Hey- if that suits you, then so be it. Some have even effectively combined profit and passion in some very inspiring ways and deserve a respectful nod here.

Also, I certainly don’t want to dismiss blogging as a viable part of an Internet business model’s big picture. Obviously, I find a lot of value in continually contributing to the content here at MindfulEntrepreneur.com and I know it will definitely contribute to my success with future products.

But as I have come to understand the most effective forms of Internet business models, and especially those that most suit my long-term business vision, I have learned to use blogging more for niche profile-building and pure enjoyment than anything else.

As of this writing, I continue to run some ads and affiliate links here. The vast majority of my online income comes from product sales and not affiliate earnings, but I think the ads actually add value to my site for visitors and me. I’m sure this presentation will change soon enough.

Mindset is Everything
I return to this central point again and again, but I do so for good reason: it’s a good point!

Your mindset – that is, how you think about your role in any business – plays a very strong role in determining the ultimate success or failure of your venture. If you constantly see yourself as absolutely essential to daily operations, your “business” will be nothing more than a job. On the other hand, if you manage to remove yourself from the equation, even gradually at first, you will see great long-term results!

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