Entrepreneurship Chapter 2

entrepreneurial orientation toward growth

a focus on rapid growth

top management commitment

managers in an organization strongly supporting corporate entrepreneurship

Characteristics of an entrepreneurial environment

- new ideas encouraged - trial and error encouraged - failure allowed -support of top management

Leadership characteristics of a corporate

-understands the environment -is visionary and flexible -creates management options -encourages teamwork -persists

Four Key Elements of entrepreneurial endeavors

1. New business Venturing 2. Innovativeness 3. Self-renewal 4. Proactiveness

Ways to establish corporate entreprenuership in an organization

-secure commitment by top, upper and middle management -ideas should be indentified with money avail. - use technology -have a group of interested managers -get closer to customers -strong support for corporate entrepreneurship -rewards for performance -implement an evaluation system

8 dimensions of entrepreneurial management

1. Strategic orientation 2. commitment to opportunity 3. commitment of resources 4. control of resources 5. management structure 6. reward philosophy 7. growth orientation 8. entrepreneurial culture

Corporate Entrepreneurship

Entrepreneurial action within an established organization

entrepreneurial orientation toward opportunity

a commitment to taking action on potential opportunities and therefore can pursue rapidly, making the most of windows of opportunity

entrepreneurial orientation toward culture

a focus on encouraging employees to generate ideas, experiment, and engage in other tasks that might produce opportunities

entrepreneurial orientation toward control of resources

a focus on how to access others' resources

entrepreneurial orientation toward commitment of resources

a focus on how to minimize the resources that would be required in the pursuit of a particular opportunity

restoration orientation

an approach to negative emotions based on both avoidance and a proactiveness toward secondary sources of stress arising from a major loss

loss orientation

an approach to negative emotions that involved working through and processing, some aspect of the loss experience and, as a result of this process, breaking emotional bonds to the object lost

New Business venturing (Corporate venturing)

creation of a new business within an existing organization by redefining the companies current products or services, developing new markets, ect.

strategic orientation

factors that are inputs into he formulation of the firms strategy driven by the presence or generation of opportunities for new entry and is less concerned about the resources that may be required to pursue such opportunties

Proactiveness

initiative and risk taking as well as competitive aggressiveness and boldness, which are particularly reflected in the orientations and activites of top management Example: conducting experiments

dual process model of coping with negative emotions

involves oscillation between a loss orientation and a restoration orientation

entrepreneurial orientation toward management structure

more organic focus- has few layers of bureaucracy between top management and the customer and typically has multiple informal networks

entrepreneurial philosophy toward rewards

one hat compensates employees based on their contribution toward the discovery/generation and exploitation of opportunity

Organization Innovativeness

product and service innovation, with an emphasis on development and innovation in technology example: new product development, Product improvements

culture

the environment of a particular organization

Self-renewal

the transformation or an organization through the renewal of the key ideas on which it is built