MNG10247 Entrepreneurship: Significance and Features Assessment 3 Answer
Entrepreneurship is the ability to accomplish oneself as a recognized businessman by organizing oneself by experiencing several risks and maintaining the zeal of achieving the goal by overcoming challenges. The aim of the report is to explain the significance of the study guide about Entrepreneurship and identifying three major features of entrepreneurs by the help of rationale to justify its importance. Further, it will highlight the major learning outcomes acknowledged in this study guide.
Introduce and describe Entrepreneurship and the purpose of the Study ---
Entrepreneurship can be better determined as the capability to originate, systematize and supervise a business enterprise taking potential risks for the purpose of earning a profit. In other words, the purpose of the study guide is to discover different ways that an entrepreneur has the ability to stand on the business, taking a variety of risks. In fact, it has focussed on some key characteristics of entrepreneurs that make them different from other businessmen in thought, perception, idea and approach. Further, it will provide knowledge and guideline for utilizing individual talents in the process of innovation and establishing something different in action for people. In other words, it will provide stories from the examples of the successful entrepreneurs in order to learn from the background and history the actual process of planning, taking decisions and channelize in a business venture. On the other hand, the purpose of this study is beneficial in recognising the key features that every entrepreneur is expected to develop from gaining experience from others or from situations.
The key three features of a successful entrepreneur consist of a high need for achievement, tolerance for ambiguity and action-oriented nature. These features are chosen as the most appropriate one individually, as it completely defines an overall personality of an individual that makes unique among others. An individual having a high need for achievement has the propensity to push forward and look around for accepting challenging goals. In addition, the feature of tolerating things for uncertainties would never demoralize an individual and carry on with the business goals in a disciplined manner. In fact, it also refers to the ability to tackle uncertain risks in relation to the business. Apart from these, the feature of being action-oriented nature reiterates the idea of managing time in the best possible way without wasting, which an individual has the ability to make an activity completed in a quick process. On the other hand, such features of entrepreneurs can be appropriate collectively as a group or teamwork in various aspects. If a group of small entrepreneurs has planned to set up a joint business venture, then it is significant to share common goals within themselves and a high need for achievement. This feature will help them all together in achieving team goal and target with a quickness. For teamwork, the tolerance level for taking risk is significant to avoid the uncertain possibility of risks that can impact negatively on business processes. A group of partners started a business together needs to have the ability to assess potential barriers and action-oriented to meet business standard efficiently.
High Need for Achievement---
Significance of high need for achievement in the study of entrepreneurship:
It is significant to develop an individual with high motivated zeal to achieve something bigger and different from others. The entrepreneurial mindset is the key factor that encourages an individual with the need and sense of urgency in achieving business goals and objectives (Burns 2017). In other words, this feature helps small business entrepreneurs to prosper on the feedback of their individual performances and learn from earlier mistakes committed by them in the business actions.
Learning Outcomes from studying this feature:
- Understanding the feature of high need for achievement makes an individual set their mission and goal for prospective markets.
- In addition, it helps in gaining knowledge from their own mistakes in setting the wrong challenge.
- It helps in guiding entrepreneurs in a positive direction, as well.
Explanation of the feature: The high need for achievement is an individual approach that can evolve in a young entrepreneur at a very tender age. In other words, the personal behavioural approach and attitudes control a business plan of action towards the path of success or failure for an entrepreneur (Karabulut 2016). It tries to state that if an individual chooses the wrong goal for its own business, then the entire effort may go in waste. Besides, the self-motivated factors can direct an individual nature to energize a high need for achieving the preset target in the business (Indarti et al. 2016). Hence, it determines another factor here that if an entrepreneur gets negative motivation, then its impact on the business venture negatively by various ways such as financial loss, loss of market share and sales decline. Therefore, it has demonstrated the fact that the business ventures need to be rightly selected and faithful for positive motivation and the right approach for initiating a business in the market. However, learning from past mistakes can be effective in strengthening the high need for achieving the goal in future progress in the business (Carsrud et al. 2017). From this context, it can be deduced that if the errors made in the business plan of action can be enhanced further and emphasize on new concepts and strategies.
Learning Activity: The learning activity like Balanced Score Card can be suitable for entrepreneurs through active engagement of the Mid-level managers to prepare scorecard sheets for their juniors. It can provide knowledge of selecting the right objective, target, initiative for business entrepreneurs. This kind of learning activity is appropriate for social entrepreneurs in the market, working for a good cause. For example, businesses of social entrepreneurs can apply this learning activity.
Tolerance for ambiguity---
Importance of being tolerant for ambiguity for entrepreneurship: The nature of being tolerant for ambiguity in business is quite acceptable for any businessman. In other words, the strategic framework of business venture provides a suitable direction for an entrepreneur to be prepared for possible risks (Kusmintarti et al. 2016). Considering this feature, it can be understood that business enterprises formed on the basis of capital structure or effective resources can be a driving factor in carrying forward business in an appropriate manner.
Learning Outcomes from studying this feature:
- It helps inaccurate assessment of risks in businesses of a competitive market.
- It can also benefit in pretending upcoming barriers in business due to product quality and pricing strategy as well.
Explanation of the feature: The level of tolerance comes in an individual from inbuilt nature acquired from a family business, or it can be developed in an individual experiencing from the external environment. In other words, the ability to identify risks from fair or uneven sources by an individual in business speculation makes proficient entrepreneurial skills (Ismail et al. 2015). By this context, it implies the fact that studying about entrepreneurship for setting up a business different from other businessmen requires an extraordinary quality that can think ahead of others. Hence, evaluating risk is one such quality that is essential. On the other hand, entrepreneurs in partnership businesses generally depend on partners’ ideas, concepts and strategies as well. In fact, resilience in handling any kind of difficult situations in business makes an expert entrepreneur (Srivastava et al. 2016). Referring to this, it tries to signify the importance of being a good partner in a business. If an entrepreneur always looks forward to positive aspects of business, then it can turn vulnerable to danger. Therefore, it is expected to be constantly changing policies according to market trends and peoples' demand. Managers of IT sectors tend to fall under risks due to the increasing demand for automation and innovation in software formation.
Learning Activity: Learning activity like Prospect Theory of Risk within the business environment among the senior and mid-level management officials. This kind of activity will involve IT or Internet entrepreneurs to sit with a deal or no deal in business meetings focussing on an issue of a company and discussions on different perspectives. Hence, it can be beneficial for such type of entrepreneurs to finally point out the exact risk and challenge in the path of business activities set by the higher management. For example, internet entrepreneurs can implement this risk theory of learning activity for measuring risks, as e-business is highly competitive in the market.
Understanding the purpose of the feature: The approach of being action-oriented in a business can be impressive, as it provokes an individual to complete work within the set time. In fact, an entrepreneur looking for opportunity development can attempt to be a quick and smart entrepreneur in an international market (Williams and Eerde 2017). It tries to depict that if a tiny business capitalist is ready to utilize every possible means of opportunities in business from various sources, it can prove to be beneficial without wasting time. In other words, it can also be understood in a way that if managers in organisations are acting quicker, giving value to time in accomplishing certain goals providing independent solutions, such kind of action-oriented nature of managers makes them one successful entrepreneur.
Learning Outcomes from studying this feature:
- It provides strategic means of using different opportunities in business.
- It opens a new scope of expanding businesses in a new direction
- It also guides how to manage time as the primary concern in business.
Explanation of the feature: The consequence of the feature understood from above can be fruitful in many ways for entrepreneurs. As a supplementary, the temperament of the action-oriented style of doing business can bring unpredictable results (McGrath and O’Toole 2016). This context can be conflicting in accepting the reason in a different perspective of business intervention. If a business owner takes quick decisions in a certain opportunity that does not have any reality, then the nature of being quicker in style can be a failure in achieving the goal. On the other hand, entrepreneurs having competence, expertise in the field of business type by learning from past experiences are more accustomed to take right decisions and judge the extent of risk. Businesses formed with action-oriented programs such as training and development can acknowledge the minds of individuals (Rennemo 2015). Hence, based on the explanation of this feature, it can be understood that if by the support of training program entrepreneurial mind can be sharpened in a better way that enables them to take quick actions in business plan of actions.
Learning activity like business communication pyramid by involving employees of an organisation through a chain of activity for solving the problem. In this activity, the Mid-level managers and the Top-level Management team takes actively part to communicate properly in solving the problem quicker with an appropriate solution. From this kind of activity, entrepreneurs can learn to focus on time, think beyond problems and becomes skilled enough to produce a solution to a problem quickly. In fact, this can improve the communication of the staffs as well. For example, social entrepreneurs operating financial services in the market can devise this activity plan for its employees for the development of communication skills.
The overall guide has focused on various kinds of approaches taken by successful entrepreneurs in Australia, Canada and other countries as well by throwing a brief success story of their business ventures. In addition, the purpose of this guide is to provide appropriate knowledge about multiple aspects of entrepreneurs and their strategic style and approach in business. Further, it has underlined the value of distinct stakeholders associated in a business venture for a start-up, business and the challenges that need to be taken for small startups. Apart from this, the content has sharply highlighted the nature of being a problem solver in a difficult situation by giving an example of different types of entrepreneurship like diversity entrepreneurship, internet entrepreneurship and indigenous entrepreneurship as well. It has drawn examples of different kinds of social entrepreneurs in the market who strived for sustaining their business successfully in the global market. Moreover, it has valued some internet entrepreneurs as well in the market struggled hard by discovering different organisational principles for making a thriving E-business market in international entrepreneurship.
Considering these examples of entrepreneurs’ life story has increased the essence of this content effectively for recognizing the ideal concept of Entrepreneurship. However, other than these, the material has also drawn light upon other features like Self Confidence, High Energy Level and Desire for Independence in a business enterprise. Hence, these are equally important in understanding other aspects of nature that can empower an individual for understanding entrepreneurship in a better way. By the help of family business as a suitable example, it has provided an adequate idea of contradictions that can destroy even a family business too leading in the market. Therefore, it can be understood that businesses can be made fruitful and sustainable by developing on all relevant features altogether in a growing competitive market.