User talk:Deepthi330

The Entrepreneurial Process Entrepreneurship can best be understood as a dynamic process which evolves around the following three core components:

The Entrepreneur The Opportunity The Resources

These are the components of the New Venture Model which illustrates the importance of obtaining and maintaining a best fit between the entrepreneur initiating the new venture, the opportunity being pursued and obtaining the necessary resources required to exploit that opportunity. Without this best fit scenario successful new venturing would not be possible as it depends upon the co-existence of these vital components in appropriate amounts. In other words, for successful new venturing the following ingredients are required:

The right Entrepreneur(rE) with the right Opportunity(rO) with the right amount of Resources(rR) can create a Successful New Venture(SNV).

Or as this simple equation demonstrates: rE + rO+ rR = SNV

We will now examine each one of these components in more detail. First, we will look at the entrepreneur component.

The Entrepreneur The first component in the entrepreneurial process and the New Venture Model is the entrepreneur. When most of us think about the term entrepreneur, a number of well-known household names probably come to mind such as Richard Branson, Bill Gates or Anita Roddick. Highly successful in business, these entrepreneurs are the super-heroes of entrepreneurship. However, they represent only one dimension of the term, which is also, perhaps, the most popular interpretation of entrepreneurship, new business creation. By embracing a wider interpretation of entrepreneurship we can gain a much deeper understanding of the term and its vast potential for social and economic change.

In a broad sense, an entrepreneur is an individual who initiates change for social good. Entrepreneurs identify opportunities for new ventures, which will in some way add value to the lives of the people they touch or interact with. Thus, entrepreneurs can be found in every walk of life.

For example: Entrepreneurial people can be found not just in newly established businesses but also in the public and voluntary sectors, such as government departments, community development organizations and charities. These are individuals who try to bring about social change and to improve the status quo within their communities. This is known as Social Entrepreneurship.

Social EntrepreneurshipSocial entrepreneurship is a new area for social and community development. Social entrepreneurs build organisations that are not primarily profit making, rather, any money that is made is reinvested in the venture or put to good use elsewhere in the community which it serves.

Social entrepreneurs seek to:

Identify and develop opportunities for organisations with sustainable social value Identify innovative sources of funding and resources Be accountable to their community

Social enterprises help to promote social and community development in a locality by:

Enabling individuals and communities to work towards regenerating their local areas Developing new ways to deliver social services Creating greater social cohesion by establishing inclusive ventures to meet the needs of all sections of the community

Within established public and private sector organisations, such as businesses, hospitals, charities, etc. Some employees act in an innovative manner when carrying out their jobs. In some organisations, such as L?Oreal, developing an entrepreneurial approach to problem solving is actively encouraged and regarded as a means of developing a 'can-do' attitude within staff. This is called Intrapreneurship or Corporate Entrepreneurship.

IntrapreneurshipIntrapreneurship is when an organisation encourages and develops the entrepreneurial talents of staff in order to establish an innovative and effective organisation and maintain competitiveness.

Organisations encourage intrapreneurship because:

Organisations can fade and die if they do not remain innovative and competitive Good staff will leave for greener pastures where they are given more encouragement

Factors that allow for successful innovation within large organisations are:

Senior staff commitment and a clear vision which has been communicated to and accepted by all staff Small teams, working in a flat organisational structure Freedom and encouragement to develop ideas, without a fear of failure

Some academics in the course of their careers have come up with ideas with potential for commercial exploitation and/or social benefit. Many of these individuals have gone on to establish new ventures in collaboration with their educational institutions while still maintaining their academic positions. This is known as Academic Entrepreneurship.