Premium Essay

Innovation and Entrepreneurial Culture

In: Business and Management

Submitted By mdunc11
Words 467
Pages 2
An entrepreneurial culture within an organization means having a culture that cultivates behaviors & values and a system that fosters creativity and innovation. “Innovation is the development of new values through solutions that meet new needs, inarticulate needs, or old customer and market needs in value adding new ways.” This culture will sponsor an individual’s need for creativity and higher aspirations. Informing and educating all new employees as they are brought into the fold will foster an environment to create new or improved systems, enhanced products and a more competitive place in the market.
Entrepreneurial organizations seek opportunities for innovation: 1. New Products: When a company supports and encourages an innovative environment it tends to lead to new ideas, products and services. These can be tangible or intangible but both will lead to the generation or development of something new. A company can have a research and development department or do a SWOT analysis or consumer marketing to generate new ideas. 2. Improves efficiency: A company when efficient reduces costs or improves their services. A company’s primary goal is to make money. When efficient a company can perform the same objective or end product for less money, time or labor by producing less waste, expense and unnecessary effort. Finding new innovative ways to be efficient can increase profitability and productivity. 3. Product or Service Differentiation: When a company achieves a product or service differentiation it will give the company a competitive advantage. The physical or value difference needs to place the company apart from its competitors. Innovatively changing up the products to target a specific niche or by distinguishing specific features, durability, coloring, track record (reliability) or service...

Similar Documents

Premium Essay

Innovation in Entrepreneurial Organizatons

...Innovation in Entrepreneurial Organizations The nature of entrepreneurial organizations is that they have the capabilities and competencies to create a culture of embedded behaviors that support the constant focus on identifying and subsequently taking advantage of profitable opportunities. In other words, they exist to find and take advantage of opportunities that have the highest potential return. Bateman (2010) states that, “…an entrepreneurial venture has growth and high profitability as primary objectives. Entrepreneurs manage aggressively and develop innovative strategies, practices, and products” (p. 238). Entrepreneurial organizations do this by being willing to try new things, challenge the status quo, and test out new processes. They encourage creativity, risk taking, and continuous learning and improvement. However creativity must then be harnessed and developed by innovation and it takes innovation to turn great ideas into something of value. Thus innovation should be considered fundamental to an entrepreneurial organization’s success. What then is innovation? Bruton (2012) says it well when he concludes that innovation is, “…a process of intentional change made to create value by meeting opportunity and seeking advantage.” (Innovation, para. 1). And although product innovation is a very important aspect of their business, it is only one area that entrepreneurs are interested and excited about. Rasmussen (2013) explains, “The very nature of innovation is......

Words: 1476 - Pages: 6

Premium Essay

Entrepreneurial Spirit

...The three pillars of GCUs College of Business are Entrepreneurial Spirit, Innovation and Servant Leadership. These are three key characteristics that are critical in building a strong foundation for students to succeed in their professional growth and in business. This paper reviews each of these pillars and how they apply personally to my work environment and career development. Entrepreneurial Spirit The entrepreneurial spirit is composed of multiple characteristics including but not limited to passion, vision, creativity, autonomy, and risk-taking. Possessing an entrepreneurial spirit is an important quality not just for individual success but for that of a business as well. For a business to maintain growth and sustainability it must maintain core competencies and have an entrepreneurial value system that it sticks to (Chaifetz, 2010). Chaifetz (2010), discusses how his company encourages the entrepreneurial spirit amongst his employees to be innovative and challenges them to think of new ideas. As his company has grown it has not fallen subject to common problems such as inflexibility, bureaucracy, and standardization that are often seen when companies expand. In fact, the approach is taken to provide employees with the tools and resources necessary to implement innovative ideas and tailor services for their customers. Not only does this method add to the entrepreneurial culture in the company it also lends to enhanced customer service directly impacting its success. I...

Words: 950 - Pages: 4

Premium Essay

Qht1 Task3

...There are many entrepreneurs who come together as an organization and build an entrepreneurial culture to seek opportunities for innovations. An entrepreneurial culture is an environment where entrepreneurs are inspired to create new innovations. Innovation is basically to have a new idea, to change something from the old and make it new. The way people interact with one another and recognize their environment is all a part of a culture. In a business industry setting, entrepreneurial cultures are defined as the business owners getting together to inspire each other to brainstorm new ideas/ products, innovations. There are many companies out there that exemplify innovation. One that comes to mind and I believe everyone can agree is Apple Inc. Apple is known for their cell phones, however they are always improving. How many new phones have they come out with in just the last 2 years? They have phones with different data storage, different sizes, and they are always adding new ways to appease the consumer. But why is innovation important? I have listed a few examples stating why entrepreneurial organizations seek out probabilities for new innovation. One reason these entrepreneurial organizations seek opportunities for innovation is to offer their consumers new products/services. Their development of new products and approaches sharpens the industry which is in the long run is valuable to the consumer. New products and services are the essence of all businesses. This is......

Words: 790 - Pages: 4

Premium Essay


...What is entrepreneurship? 1. Introduction An entrepreneur is one of the factors which very important to promote social and economic development and it are a best combine for the human capital, physical capital and social capital. Entrepreneurs are also engaged in the creative activity of innovators. Entrepreneurship is an entrepreneur, a quality, a way of thinking or an ideology. There are four major elements are significant with entrepreneurial spirit: enterprising spirit, adventure spirit, innovative spirit and social responsibility. Cultivating entrepreneurial spirit can shape the correct social values and create a good environment for the formation of the entrepreneurship. The essay has explained what is entrepreneurship and analysis of this topic. 2. Entrepreneurs Entrepreneurs are those who have innovative and enterprising spirit, and they can organize and utilize economic resources effectively. Usually entrepreneurs dare to take responsibility for business operation, and they have special qualities that create wealth for the enterprise and society. Entrepreneurs can be divided into three types: traditional entrepreneurs, entrepreneurs, and social entrepreneurs. Traditional entrepreneurs have including the creator of private business and outstanding leaders of state-owned business. The former is creating enterprise or make it stronger, and they must assume all operating risk of enterprise. They tend to be the supreme leader of enterprise or have the right of......

Words: 2052 - Pages: 9

Premium Essay

Creating an Entrepreneurship Ecosystem in Kenya

...Introduction Kenya has a vibrant entrepreneurial base with the potential of becoming competitive globally. There is a shift from manufacturing to a flexible labor based economy, a phenomena commonly referred to as knowledge based economy (Formica, 2005). Entrepreneurship as a whole contributes to social-economic wealth by creating new markets, new industries, new technology, new institutional forms, new jobs, and net increases in real productivity (Ngugi, 2014). Despite the vital role entrepreneurship plays in the economy, there are numerous challenges facing entrepreneurship development. The Micro and Small enterprises bear the brunt of it all (Pike 2007). It is estimated that as many as 75% of small enterprises started in Kenya fail within three years of their birth. Indeed an enterprise that is more than three years old is regarded as having achieved some measure of success. Therefore, there is the need to strengthen entrepreneurship to nurture nascent entrepreneurs and achieve the goal of enterprise development. The following are methods of strengthening entrepreneurship in Kenya: Strengthening financial systems The biggest challenge to entrepreneurial ventures is lack of capital to realize entrepreneurial dreams. A lack of resilient financial systems has been a hindrance to development of MSEs and hence entrepreneurship. A sound financial system therefore improves the entrepreneurial ecosystem. Private equity and venture capital are an important source of seed......

Words: 2376 - Pages: 10

Premium Essay

Behaving Entrepreneurially in Today’s Turbulent Competitive Business World Is Becoming Increasingly Importance for Larger Businesses. Drawing on Relevant Theories and at Least One Case Study Presented in the Lectures in

...this essay will explore the impact these factors have on companies. Smaller, more entrepreneurial businesses are rising through the ranks, and if the larger firms are to keep up and retain their market position, they need to follow suit, by behaving entrepreneurially. My key arguments here is organisations do need to behave more entrepreneurially due to globalisation, hyper competition, economic turbulence, technological change, industries merging, ever-changing customer needs and markets becoming saturated. This essay will mainly focus on the analysis of three large companies; IBM (International Business Machines), Marks & Spencer and Continental Tyres. I will analyse where the companies were going right or wrong, and where they could have become more entrepreneurial. I will touch upon relevant theories that firms have used and will mention other companies that aid my analysis on behaving entrepreneurially in larger businesses. Entrpreneurial Culture- What is it? There are two main cultures that concern this argument; the Traditional Culture and the Entrepreneurial Culture (see appendix 1.1). In a traditional culture, employees are expected to adhere to all instructions given, to not make mistakes, to not fail, to not take the initiative, and to stay within their limits. This type of culture is a very restricted one and is not conducive to the characteristics of an entrepreneurial culture; which are creativity, flexibility, independence, ownership...

Words: 3831 - Pages: 16

Premium Essay

Jamie Dimon & Bank One

...Running head: JAMIE DIMON AND BANK ONE Jamie Dimon and Bank One Jamie Dimon and Bank One Successful entrepreneur and businessman Jamie Dimon was hired as the CEO of Bank One to analyze and correct many significant issues. Political infighting, rampant overhead costs, poor customer service, low morale, and outdated IT systems were only a few of the daunting problems plaguing the company. Dimon’s task was not an easy one: to use entrepreneurial thinking, innovation, risk-taking and decisive action to save Bank One from impending disaster (Marshall & Thedinga, 2006). Dimon’s Mission Dimon arrived at Bank One in March of 2000 as the new CEO. In addition to learning about the situation at the organization, Dimon was intent to uncover the truths behind Bank One’s challenge – the poor decisions and missteps taken that contributed to the current organizational challenges. Once uncovered, Dimon set out to synthesize his findings and deliver a plan of action that would save Bank One from a continued downward spiral (Marshall & Thedinga, 2006). Dimon’s Signals to the Organization Using his behavior, Dimon sent several very clear signals to the company. The first signal he sent was that he was strongly invested in Bank One’s future success, that he was a part of the Bank One ‘family.’ Dimon accomplished this by purchasing 2 million shares of the company, at a cost of $57 million. This reflected this theory that leaders......

Words: 1592 - Pages: 7

Premium Essay

Factors Affecting the Academic Performance of Bstm Students

...REFLECTING ON CAREER IMPLICATIONS… ((CHAPTER 1—INTRODUCTION) REFLECTING ON CAREER IMPLICATIONS… 1. Attributes of Strategic Management: How do your activities and actions contribute to the goals of your organization? Observe the decisions you make on the job. What are the short-term and long-term implications of your decisions and actions? Have you recently made a decision that might yield short-term profits but might negatively impact the long-term goals of the organization (e.g., cutting maintenance expenses to meet a quarterly profit target)? 2. Intended versus Emergent Strategies: Don’t be too inflexible in your career strategies; strive to take advantage of new opportunities as they arise. Many promising career opportunities may “emerge” that were not part of your intended career strategy or your specific job assignment. Take initiative by pursuing opportunities to get additional training (e.g., learn a software or a statistical package), volunteering for a short-term overseas assignment, etc. 3. Ambidexterity: Avoid defining your role in the organization too narrowly; look for opportunities to leverage your talents and your organization’s resources to create value for your organization. This often involves collaborating with people in other departments or with your organization’s customers and suppliers. 4. Strategic Coherence: Focus your efforts on the “big picture” in your organization. In doing this, you should always......

Words: 2235 - Pages: 9

Free Essay

Entrepreneurial Intensity in Communities

...Factors influencing entrepreneurial intensity in communities Sibylle Heilbrunn Department of Business Administration, Ruppin Academic Center, Israel Abstract Purpose – The purpose of this paper is to explore the factors influencing entrepreneurial intensity. More specifically the study addresses the following objectives: propose a way to measure entrepreneurial intensity within the community context in order to determine entrepreneurial activity over a period of ten years, detect the factors influencing the entrepreneurial intensity, and finally locate Kibbutz communities on the entrepreneurial grid. Design/methodology/approach – Kibbutz communities are the level of analysis. Using a comprehensive questionnaire, a sample of 60 Kibbutzim – constituting 22 percent of the population of Kibbutz communities in Israel – was investigated over a period of ten years. The same questionnaire was administered to the same sample Kibbutzim (Kibbutzim is the plural of Kibbutz) in 1994, 1997 and 2004. Collected data include number and types of enterprises, economic strength, organizational size and age, and features of organizational structure and culture. Findings – Quantitative data analysis revealed a significant increase of entrepreneurial activity of Kibbutz communities in terms of frequency, degree and intensity of entrepreneurship. Organizational size and age have an impact on entrepreneurial intensity as well as the existence of an “entrepreneurial vehicle.” On the entrepreneurial grid......

Words: 6120 - Pages: 25

Premium Essay

Assigment1 Drucker Case Kozous

...Assessment#1- Analysis of Understanding Entrepreneurial Leadership in Today’s Dynamic Markets fobjbdema BUS508 - Business Entreprise Dr.ddddddddd Discuss the common elements described in the theories/philosophies of Case, Kouzes, and Drucker including how their principles /strategies relate to the new definition of entrepreneurial leadership presented in Understanding Entrepreneurial Leadership in today’s Dynamic Markets. In discussing the new definitions entrepreneurial leadership as presented in “Understanding Entrepreneurial Leadership in Today’s Dynamic Market its probably best to describe the climate or environment which is often illustrated as one that is dynamic market , uncertain or a very competitive market which requires innovative thinking. In this type of market the fluidity, energy, motion, constancy and ubiquitousness of changes in the market occur very frequently and head to head competition between firms is common place and the pace, magnitude and direction of change is continuously accelerated and harder to predict. Teece, Pisano and Shuen (1997) as referenced by Fernald and Solomon in their paper, described today’s dynamic Schumpeterian world of innovation–based competition, price /performance rivalry, increasing returns and the ‘creative destruction of existing compeitencies.”(p.509) "creative destruction" was popularized by and is most associated with Joseph Schumpeter, particularly in his book Capitalism, Socialism and Democracy, first...

Words: 1446 - Pages: 6

Premium Essay

Entrepreneurial Strategy

...Entrepreneurship and Innovation Session 3: Entrepreneurial Strategy Baden U’Ren Level 4, Room 9 5595 2212 Overview  Review of the readings  Innovation and Entrepreneurship  Entrepreneurship in a Corporate Context  Entrepreneurial Strategy What is Innovation? Something NEW that creates VALUE What is Innovation? “Innovation is the specific tool of entrepreneurs, the means by which they exploit change as an opportunity for a different business or service. It is capable of being presented as a discipline, capable of being learned, capable of being practiced” - Peter Drucker Source: Schaper & Volery (2007) Entrepreneurship and Small Business 2nd Edition. Wiley. p.69  Creativity  ideas, concepts & inventions  Innovation  the process of development and commercialisation  Entrepreneurship  couples opportunities and resources Innovation Exploit Incremental Explore Radical Kirzner The producer-entrepreneur •Alert and responsive to opportunities that exist •Exploits disorder (gaps) to move the market back to equilibrium Schumpeter The innovator-entrepreneur: •Creates products and processes to disturb market equilibrium •Creates opportunities Innovation & Performance Some ‘stylised facts’ about the relationships between innovation and performance:  Relationships between R&D, patents, new products and performance are strongest at the industry level, weakest at the firm level  Returns from process......

Words: 733 - Pages: 3

Premium Essay


...Introduction Arguably, researchers are increasingly acknowledging the importance of entrepreneurship in economic growth. Entrepreneurship in any society is influenced by various environments. Whilst entrepreneurship supports economic growth by turning knowledge into new products, new jobs and new firms, the entrepreneurial process is not full of roses; it comes with its own challenges. The writer will discuss about entrepreneurship, define concepts and sum up the discussion through a conclusion. Definition of key terms Entrepreneurship Timmons (2000), believes entrepreneurship is the process of creating or seizing an opportunity and pursuing it, regardless of the resources currently controlled. Wennekers and Thurik (2001) argued that entrepreneurship is the ability and willingness of individuals, on their own, in teams within and outside existing organizations, to perceive and create new economic opportunities (new products, new production methods, new organizational schemes and new product-market combinations) and to introduce their ideas in the market, in the face of uncertainty and other obstacles, by making decisions on location, form and the use of resources and institutions. Unlike Timmons (ibid), Wennekers and Thurik believe that entrepreneurship is not limited to creating or seizing a business opportunity, there has to be willingness and ability to perceive new economic opportunities(new products, new production methods, new organizational schemes and new...

Words: 2070 - Pages: 9

Premium Essay

The Cognitive Preferences of Successful Entrepreneurs in Malaysia

...Entrepreneurship Research, April 2008 KC Lim Contents Abstract 1. Introduction a. b. The Continuing and Evolving Research on Entrepreneurs The Importance of Successful Entrepreneurship Today and Tomorrow 3 4 4 5 2. Literature Review a. Introduction i. Definition of Entrepreneurs Previous Areas of Entrepreneurship Research i. Personality Traits • Motivation • Risk Propensity and Uncertainty ii. Cognition • Intention and Opportunity Seeking • Innovation iii. Population Ecology c. Topic for this Study/Theoretical Framework i. The Broad Research Problem 5 5 7 9 9 10 10 10 11 12 13 13 13 14 14 15 16 16 16 16 18 18 19 22 24 27 27 29 30 b. 3. Hypothesis for Research a. Hypothesis Statements 4. Methodology 5. Analysis of Survey Data a. b. Data Compilation Analysis & Findings i. Background Data of Respondents ii. Findings 1. 2. 3. 4. 5. Cognition in Basic Business Areas Do Emotions Figure? Preferences for Source of Funds Preferences in Knowledge Acquisition More Specific Business Aspects i. Holding Company Together ii. Growth Factors iii. Continual Growth . HELP University College, 28 October 2009 Page 1 of 43 Entrepreneurship Research, April 2008 KC Lim 6. Limitations 7. Recommendations 8. Conclusion 9. Appendix 10. References 32 32 33 35 36 . HELP University College, 28 October 2009 Page 2 of 43 Entrepreneurship Research, April 2008 KC Lim Abstract This paper presents the findings of a general opinion survey on successful......

Words: 17064 - Pages: 69

Free Essay

Comparison of Entrepreneurial Activities in the Usa and China

...Comparison of entrepreneurial activities in the USA and China Table of Content Page 1 Introduction 3 2 Comparison of entrepreneurial activities in USA and China 4 2.1 Culture 4 2.2 Government policies 6 2.3 Funding and financing 9 2.4 Education and training 10 3 Conclusion 11 Bibliography 13 1 Introduction Entrepreneurship is one of a major factor influencing the economy of countries in terms of international trade, infrastructure, employment and living standards as well as capital growth. It also reflects the effectiveness of government policies. Entrepreneurship relates to national policies (taxation, regulations, ease of doing business), entrepreneurship financing (banks, government support), economic circumstances (economic freedom), marketing (competitiveness), public agency assistance (government support), and expertise etc.. The level of entrepreneurial activity not only interacts with the factors above, but also with cultural or geographical factors and regulations. Personality characteristics, behavior and motivation are also the major elements, which should be taken into consideration. There are many determinants of being or becoming self-employed which are dealt with in the literature, such as employment status, minority behavior, immigrant behavior, family firm effects and attitudinal effects (Freytak/Thurik 2006, 6). The assignment compares the level of entrepreneurial activity between the U.S. and China as...

Words: 3030 - Pages: 13

Premium Essay


...INTRODUCTION – ‘Intrapreneurism is a form of management which, potentially, offers the venture a way of combining the flexibility and responsiveness of the entrepreneurial with the market power and reduced risk of the established organisation’ Gifford Pinchot, in the mid-80s, created the word “intrapreneur” which described employees of large businesses who were hired to behave and think like entrepreneurs. Pinchot defined intrapreneurship as “behaving like an entrepreneur when you’re employed at a large corporation for the benefit of the corporation as a whole” and believed that being appointed as an intrapreneur before giving a shot at entrepreneurship is a great method developing management skills and techniques before stepping into the entrepreneurial world. Apart from just a set of skills and great techniques there are also personality and character qualities that make up a successful intrapreneur or entrepreneur. “The most successful are risk takers who are driven by a vision of something that is better in the world,” Pinchot says. “They are honest and use a balance of intuition and analysis to make their decisions.” Other scholars have defined intrapreneurship in many different of ways. Expressions such as corporate entrepreneurship (Burgelman, 1983, Vesper, 1984; Guth and Ginsberg, 1990; Hornsby et al., 1993, Stopford and Baden-Fuller, 1994), corporate venturing (MacMillan, 1986; Vesper, 1990), and internal corporate entrepreneurship (Schollhammer, 1981, 1982;......

Words: 3622 - Pages: 15