Overview of Entrepreneurship

Entrepreneurship
Is the process and application to drive the creation and development of new and creative ideas (Frederick and Kuratko 2010) Is about changes and understanding uncertainty to identify new opportunities (Alizadeh 2012) Is about adaptation to customers needs and demands through new product and process innovation Is about creative and innovative proposition to pursuit business growth and competitiveness

Evolution of Entrepreneurship

Defining CE

What about Corporate Entrepreneurship?

Corporate Entrepreneurship (CE) is
the total process whereby organisations act in innovative, risk-taking and proactive ways (Bouchard 2001);
to instigates renewal or innovation within the

organisation to develop within the organisation, its internal markets through entrepreneurial thinking to leverage on innovative talents to identify new potential business or venture within the organisation to ensure change, growth and innovation are achieved within an organisation in pursuit of competitive advantage to diversify through internal development

Corporate Entrepreneurship

Principle Types of CE

Creation of new business within an existing organisation Exploitation of existing competencies Creation of new wealth Eg. Samsung

Transformation or renewal of activities or ideas within an existing organisation Motivation to employees to exploit entrepreneurial opportunities Eg. Finance Company

Transformation and changing the rules of competition within the industry with something significantly different Eg. Toyota

Dimensions of CE Capability
Innovativeness
Creation of new domains Identification of capability and capacity Differentiation from competitors Commercialisation, implementation and modification

RiskRisk - Taking
Exploitation of opportunities Mitigation of risks Application of testing and trials Calculation of risks

ProPro - Activeness
Action orientation with execution Assertion of underlying attributes Conceptualisation of competitive orientation Anticipation of future demand

Source: Scheepers, MJ, Hough, J & Bloom, JZ 2008, Nurturing the corporate entrepreneurship capability, Southern African Business Review, vol. 12, no. 3 , pp. 50-75.

CE Innovative Process Models

Simple, linear, step-wise models showing progression from discovery through to the commercialisation of a new product

Simple, linear, sequential models that focus on the marketplace

Sequential models with distinct but interacting stages

Models show an increase in integration between functions and between other companies

Models include fully integrated parallel development

Source: Rothwell, R 1992, Developments towards the fifth generation model of innovation, Technology Analysis and Strategic Management, vol. 4 no. 1, pp. 73-6.

Framework of Promoting CE
Understanding Entrepreneurship & CE Understanding Behavourial Aspects Managing CE Selecting Opportunity

Organise
Identifying Venture Organising Venture Controlling Venture Internal Politics

Developing Business Plan Compensating Corporate Entrepreneurs Funding Implementing

Manage

Operate

Source : Hisrich, RD & Kearney, C 2011, Corporate Entrepreneurship: How to Create a Thriving Entrepreneurial Spirits Throughout Your Company, McGraw-Hill, New York.

Benefits of CE

Barriers of CE

Threat Risk Reluctance

Management Commitment Information flow Specialist Cost

Success Factors
Organisational Leadership Employee Involvement Organisational Culture

Resource Availability

Organisational Structure

Reward Systems

Internal Processes

Summary
Entrepreneurship & Corporate Entrepreneurship Principle Types of CE Dimensions of CE Capability CE Innovation Process Models Framework of CE Benefits of CE Barriers of CE Success Factors of CE