Entrepreneur Case
Essay by XxchadxX200 • March 19, 2013 • Essay • 277 Words (2 Pages) • 1,391 Views
Entrepreneurship
Entrepreneurship is the process of planning, organizing, operating and assuming the risk of a business venture. An Entrepreneur is someone who engages in entrepreneurship. Some entrepreneurs have been very successful and have accumulated vast fortunes for their entrepreneurial efforts.
Entrepreneurs play a major role in society; they are the drivers behind small businesses which in turn contribute to a country's economy. The contribution of small business can be measured according to job creation, innovation and importance to large businesses.
Total Quality Management (TQM) - This is a concept that focuses on managing the total organization to deliver quality to customers.
Strategy for Entrepreneurial Organizations
One of the most basic challenges facing an entrepreneurial organization is choosing a strategy i.e. choosing an industry in which to compete, emphasizing distinctive competencies and writing a business plan.
Choosing an industry
Small businesses are strong in certain industries such as retailing and services; on the other hand they are fewer in manufacturing. The differences are affected primarily by investment costs necessary to enter these markets.
Other industries include construction, transportation, finance and insurance.
Emphasizing distinctive competitive advantage
The distinctive competencies of a small business usually fall into 3 categories:
* Identify niches in established markets
* Identify new markets
* First mover advantage
Writing a Business Plan
Once an entrepreneur has chosen an industry in which to compete and have determined distinctive competences to emphasize, these choices are usually included in a document called a business plan. In this document the entrepreneur summarizes the business strategy and how they are implemented.
Entrepreneurs should exercise caution when selecting an industry recognizing that some are more difficult for small businesses. By emphasizing distinctive competencies and relying on a well formulated business plan, they increase their chances of success.
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