For an entrepreneur is very important organize his key operational activities to make fundamental business decisions with respect to ‘focus’ — the strategic relevance and prioritization of these activities to achieve a developmental milestone; ‘locus’ — where you should geographically conduct these activities; and ‘modus’ — the way in which these different activities are executed. At the business model level, the focus, locus, and modus of the entrepreneur’s activities represent the company’s output, so represents the unique way in which a business executes its strategy to the market. Focus: Focus decisions are related to the strategic importance and allocation of a company’s resources to business activities, like where to invest additional resources or disinvest resources. The entrepreneur has to focus his attention on what business activities demand priority, resources, and attention. The key decision process here is to prioritize which activities to focus on during a specific stage of growthContinue reading
General Management Articles
How Creativity, Innovation, and Entrepreneurship are Related?
There is an important relationship between creativity, innovation and entrepreneurship. In fact, creativity is the ability to develop new ideas and to discover new ways of looking at problems and opportunities; innovation is the ability to apply creative solutions to those problems and opportunities in order to enhance people’s lives or to enrich society. Entrepreneurship is a result of a disciplined and systematic process of applying creativity and innovations to needs and opportunities in the marketplace. Innovation is the specific tool of entrepreneurs, the means by which they exploit change as an opportunity for a different business or a different service. All products or services are the combination of three factors: nature raw materials, labor (physical and mental) and capital. Entrepreneurs, as innovators, are people who create new combinations of these factors and then present to the market for assessment by consumers. Porter (1985) argues that, while successful businesses willContinue reading
5 Essential Skills Needed to Be an Entrepreneur
Entrepreneurs need to have a wide variety of skills to run a successful business. Unlike personal characteristics and attitudes, which can often be hard or impossible to change, entrepreneurs can acquire skills if they are willing to learn them. Additionally, they can hire people to work for them who have the needed skills. The following skills are very important if the entrepreneur want to succeed in his business: Problem solving: Every customer have to deal with problems and every entrepreneur has find solutions to them. The successful entrepreneur sees opportunities in these problems where many of the rest of us only see difficulties. A lot of time, the best new ideas come from the need to solve a problem. The entrepreneur has to be good in identifying the problem, and then has to be able to identify solutions that can be good from the customer perspective. Communication: Entrepreneurs have toContinue reading
7 Characteristics of an Entrepreneur
Entrepreneurs have in common some characteristics and skills, but anywhere there is a wide range of individuality among them. Some entrepreneurs receive formal training and skill development, while others have a natural flair for it, still others break every rule or use very unusual approaches, but still succeed. There is no recipe for becoming a successful entrepreneur, but there are certain characteristics that are associated with entrepreneurial success, here are described several important ones: Aptitude: Most people have a wide range of aptitudes-natural talents, tendencies, or capacities. Entrepreneurs can apply their aptitudes to their business ventures. Every potential entrepreneur has to analyze his aptitudes and talents, which are an important part of his starting background. Then, with practice, hard work, and education, those basic aptitudes and talents can turn the potential entrepreneur into a real business man. Risk tolerance: Risk can be defined as the possibility of failure or adverseContinue reading
External Environment Factors Causing Uncertainty in Organizations
Businesses are bound to encounter several forces whenever they are in operation. In some cases, these forces are over and above their control. In spite of this reality, there is no single business which can exist without going through the external environmental forces. It is therefore imperative for a business establishment to put into consideration all the possible external forces which may affect its operations either positively or negatively. In this regard, opportunities and threats are worth noting because they account for the external factors which would often affect a business environment. When the external factors are considered and concurrently compared with the internal factors, it will be possible for a business management to formulate the right policies of dealing with the inevitable external forces. Some of the factors which may cause uncertainty in the external business environment are inadequate needs of customers, technological changes, regulations and elimination of foreignContinue reading
Impact of Transformational Leadership on Employee Motivation
Transformational leadership in its leadership style has effectively built trust between employees and management and this usually lead to a smooth and pleasant working relationship that does not give room to suspicion in case of any change in policy or organisational change. Employees trust the leadership and they in turn are committed and loyal to the organisation. The employee is in a perfect emotional state of mind, since there is no fear of unknown or any need to panic. However, the trust sometimes could lead to exploitation since leadership knows that employees so rely on every of their judgement this but its been argued that the integrity of the transformational is to ensure the individual development of the employees. This leadership cares and is concerned about the employees and also inputs the company’s value in the mind’s of employee and constantly reminds them of the vision and goal to theContinue reading