Behavioural Characteristics and Motivation in Relation to Contemporary Enterprise and Entrepreneurship Theory: A Case Study of H&M

This report discusses the behavioural characteristics and motivation of entrepreneurs in relation to contemporary enterprise and entrepreneurship theory, using H&M as a case study. It also examines the business model of H&M and its suitability for managing work in advanced business pressure, as well as recommendations for achieving sustainability.

H&M

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Account and findings of entrepreneurs/ behavioural characteristic and motivation in relation
to contemporary enterprise and entrepreneurship theory............................................................3
Account and finding related with the business model and this suitability for manage work in
advanced business pressure.........................................................................................................5
Conclusion and recommendation related with sustainability of the organisation.......................7
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................11

INTRODUCTION
The term enterprise is a another word of profit business or organisation and this relates or
associate with entrepreneurial ventures. Most of the individuals who accomplish entrepreneurial
success refers as enterprising. Sole-proprietorship, partnership, corporation and limited-liability
organisation are some various forms of legal enterprise. On the other side, an individual who
bear the risk for start new business is known as an entrepreneur and also, an entrepreneur
formulates an organisation which create the firm to realise their own idea through invest
aggregates amount of capital and labour for formulate products and services for profits (Belwal,
Al Balushi and Belwal, 2015). Similarly, entrepreneurship consists of those factors which are
high in risk but also aids to earn appropriate and best reward. This serve entrepreneur and
enterprise to earn or generate high economic wealth. The selected organisation for this report is
H&M which is a well-known clothing branding which perform work as the discount retailer and
with several years of experience they are recognise as one of the best brand of fashion industry.
Moreover, this report highlights on behavioural characteristic and motivation factor related
contemporary enterprise and entrepreneurship theory. Current business model and its suitability
for respect the contemporary business and sustainability will also included in this report.
MAIN BODY
Account and findings of entrepreneurs/ behavioural characteristic and motivation in relation to
contemporary enterprise and entrepreneurship theory
Entrepreneurs perform an important role in an enterprise as they are the individual who
engaged various personnel for perform organisation operations and functions in an intense
competitive and risky environment. H&M was established as a Swedish clothing retailer
organisation named as Hennes & Mauritz AB commonly known as “H&M”. Stefan Persson who
was born in they year 1947 perform the job role of executive chairman between the year 1998-
2020. Further, Stefan Persson learned fashion and retailing business from his father (Dale, 2015).
From the perspective of H&M behavioural characteristic of an entrepreneur perform an
important role because they helps to extend and reach towards a large-scale or number of
customers. Some behavioural characteristic of Stefan Persson was mention as follow:
 Structured Experimentation- With the curiosity the need for structured experimentation
aids organisation for accomplish new opportunities which arise when an entrepreneur

such as Stefan Persson utilise it to perform work in an organised manner. One of the most
effective use of this for H&M is induce of validate idea by deciding and understanding all
factors related with market research.
 Adaptability- Nature of business is too dynamic and entrepreneurship is identified as an
iterative process which face challenges and opportunities at each stage. Stefan Persson
adopt adaptability factors because this helps to evaluate all those situational which aids
H&M to keep moving forward.
With analyse of all behavioural characteristics this is identified that there are various task
performed by H&M that occurred under the Persson's leadership. This is also used for manage
all work with motive of accomplish high success as the chairman (Danson and Burnett, 2014). It
results that management of H&M operate their stores in the global market under the leadership
of Stefan Perrson.
In context of opening new business to deliver clothing products at the home, this is important for
me for engage behavioural characteristic because this helps to adopt behaviour-steps of business.
Moreover, detailed analysis to enter in market consists of more behavioural factors. In the last,
identification leads towards develop of sustainable market conditions for new business.
Motivational Factor related with successful entrepreneurship
Entrepreneurs are those individuals who take financial risk, perform work for long
working hours and also practically as well as emotionally torture themselves in order to
formulate a successful business. Some factors which keep motivate the entrepreneur for perform
their work in an organised manner are mention as follow:
 MONEY- No individual can deny that they work for enhance their profits or to earn
money. Various stories related with entrepreneurial geniuses consider that this is possible
for a person to earn high amount of profits. Also, dedicated entrepreneur like, Stefan
Perrson perform work with induce good idea because this helps to perform work in a
better manner by drive motivational factors for business.
 FLEXIBILITY- Some entrepreneurs face challenges because they are tired of constant
demands related with traditional work. Therefore, to achieve high-position in competitive
market it is important to induce flexibility factors (Drobyazko and et. al., 2019). Like, for
overcome from missteps such as appointment of Fabian Mansson on managing director

position. Stefan implement steps which helps to achieve success in the international
competitive-market.
Motivation steps related with business of H&M define that to achieve better results this is
important for entrepreneurs to act as an ACTION-ORIENTED leader because this helps for
completion of task as per decided strategy. H&M leader motivate workforce to identify new
directions because this helps to perform all business in a proper manner.
On the other side, it is also understand and analyse that money and flexibility are main factors
and it is useful for our business also, because delivery action provides option to do shopping in
an easy manner. This define there are various factors specifically, motivational factors helps for
induce all those actions that helps for enter in a new market.
Original Entrepreneurial Idea
Current market conditions considered towards formulation of all those actions and
activities which helps to approach more number of customers. Pandemic conditions directly
impact on all operations of industry so this is important for H&M to induce new ideas. From the
perspective of current market conditions this is identified online order and delivery of product is
important feature. So with new approach H&M directly, establish delivery channel because this
helps for cut the commission of mediator (Gupta, 2021). Further, H&M entered in market by
offering the women clothes and than slowly expand the business with enter into the men and
child clothing also. Also, implement the appropriate business idea which help respective
organisation for manage the business in such complex market conditions is to reduce the number
of mediators from the channel because this helps to cut cost that automatically increase company
profits by minimise unnecessary cost.
Account and finding related with the business model and this suitability for manage work in
advanced business pressure
H&M is performing their business approximately in more than 75 countries so this is
crucial for organisation for formulate an appropriate plan related with business operations.
Business model refers to different sources which is used for identify all revenue system in order
to improve customer base for H&M products. Creating value and offering good quality of
fashionable clothes at affordable price is a important factor of H&M business model. Some of
the features which make the respective organisation unique and attractive is that business model
helps H&M to offer products for men, women and the children at those price which is suitable

and affordable. Also, the current market products such as cosmetic, home textile and decoration
items helps the customers for purchase all items from a same shopping place. Some challenges
faced by H&M in the current market and also, within new business are mention as follow:
 H&M Marketing- From the previous years this is understand that marketing perform an
important role for exists in current environment (Hadad, 2017). But this is complex for
current marketing conditions to manage task in a proper manner as disruption which
happen online is slowly respond and adopt by management.
 Slow adoption of online- H&M strategy is focused towards open of their outlets at
different places but this results that management of H&M was too slow for identify the
potential of E-commerce. Like, H&M started selling their products with online system in
the year 2010 which is almost a decade later as compare to their competitors.
In the context of new business of H&M, both challenges formulates problems for the authorities
and this is because the idea is based on delivery of products at home. It refers that buyer
purchase products from online platforms. So it create issue if H&M not generate and adopt
online business platforms for manage trade.
Difference faced by organisation to generate sustainability
The term sustainability perform a crucial role and according to the current market
conditions this is complex for business to manage and control overall work because they are
pandemic. With understand of overall work perspectives this is analyse that H&M consider
towards all those perspectives which helps for manage work in the competitive-environment.
The current market scenario, define sustainability is most crucial factor and this helps for
identify insight like, online-presence of organisation is too weak (Henry and Dana, 2019). Due to
these it is challenging and complex for authorities and management because most of the
competitors perform their work through use of online systems and communication channel
because this helps for increase customer base by approaching a large-number of customers.
According to the current market scenario, this is understand through monitoring the
organisation observations that theory perform an important role for the entrepreneurs who start
new venture with engage H&M company functions with operations. This is also used to
complete the overall work in an organised manner and for this scientific management theory
perform an important role because it aids to perform all functions and operations in a systematic
manner. For engage delivery channel top management of H&M considered towards analyse of

overall workflow which enhance economical efficiency of business. Management theory
considered with look on all task or job on scientific basis this is easy to identify the best way for
perform the job role in an organised manner. Some of the major differences related with business
of H&M and delivery channel are mention as follow:
 DIFFICULT TO HIRE- One of the major problem related with business is to identify
right number of workers for each job. This results person face problems because no
training results that engaged workforce is not able to perform work with maximum
efficiency (Liguori and et. al., 2019). Monitor work-performance and instructions related
with training factor results that management is able to provide instructions as per new
delivery channel requirements.
 DIVIDE OF WORK- By dividing overall work between management, employees and
labour this is understand that appropriate plans and training is offered by management as
this helps to perform all operations and roles related with delivery channel in an
organised manner. Moreover, current market conditions also considered that to select
overall conditions this is important for workers to manage work in an efficient manner
for overcome from current competitive-market.
The current decisions related with H&M is to restructure all stores within this year and also this
provide signals to management for open new store at different platforms. H&M receive and gain
market share and this helps to restructure and optimise all physical estate specifically, to
construct all factors in a simple manner. However, H&M as well as other retailers face long term
challenges because of the thunderbolt conditions related with Covid-19.
Conclusion and recommendation related with sustainability of the organisation
With understand of overall fashion industry this is identified that enterprise who perform
their work in an organised manner specifically, with engage of circularity and digitization at the
same time. This also results that if H&M want to dominate fashion industry then this is important
for organisation to engage of all those factors which is useful for achieving sustainability. Also,
the H&M group considered world second-largest clothing retailer and this helps for select all
those perspectives which seems to implement change in the business (Lyon, 2016).
This also seems, all potential catalyst related with change helps for induce all those
factors that aids company to implement right opportunity specifically, to manage all work in a
proper manner. Moreover, for overcome from the current market conditions management

considered that sustainability is achieved through accomplish sustainable goals as this helps to
generate positive culture in organisation.
 POSITIVE CLIMATE- H&M is expanding their business as well as online-presence
among all over the world. This also results continuity aids the management to overcome
from the current pandemic conditions by performing all work in a positive manner. Also,
this aids management to achieve goal of positive climate. For this the organisation
expand their digital presence by promote their brands such as Monki, Weekday, etc. In
context of sustainability, positive climate goal attract individuals because most of the
consumers purchase those products that are safe for environment.
 LARGEST CLOTHING FIRM- H&M is one of the largest clothing organisation and as
per their research and development department this is identified that current situations
highlights individual or customer desire towards purchase of products or services through
digital situations and also, this is important factors because it integrated all channel in a
proper manner (Mäkimurto-Koivumaa and Belt, 2016). To achieve sustainability right
and effective approaches are used and they are implemented among all departments.
 INFORMATION AND DATA- With the current market scenario, this is identified that
information perform an essential role and this is used for align or supply all factors. This
considered by completion of all work with reliable and relevant information this is easy
for management of H&M to establish delivery business in an appropriate manner.
Moreover, pandemic conditions impacts on the day-to-day operations so to deal with it
facts and figures is important to analyse. With analyse of information factors this is
identified that reliable information and statistics helps to manage and complete work in a
sustainable manner.
 PROGRESS ON SUSTAINABILITY- The integral part for whole business consider that
sustainability perform an important role and to accomplish it management improve their
targets as this helps for accomplish all factors in a well-defined manner specifically, by
focusing on the environment condition in order to interconnect company goals with
sustainable factors of business (McElwee and Atherton, 2021).
From the perspective of H&M, this is identified management consider towards improve
their digital presence through engage modern techniques in company operations and functions.
This define that current market conditions require digital presence of an organisation so the first

recommendation is to generate positive climate in business. This aids H&M to overcome from
the challenge of divide of work because each individual feel comfortable and positive in positive
climate. Also, with analyse of market conditions it is recommended that to manage business at a
large level, effective research and development team is formulated because this helps for analyse
market conditions and than to formulate appropriate strategy. So the recommendation relates
with formulation of all those perspectives that generate positive factor and value to manage all
work according to global level (McKellar, 2020). Last, recommendations relates with the use of
appropriate information and data because this helps for manage all work through engage of
relevant data and figures.
CONCLUSION
From the basis of above report this is concluded that enterprise and entrepreneurship
perform an important role and according to current market conditions both are crucial because it
helps to maximise economic conditions of country. Similarly, this is also identified that
enterprise and entrepreneurship both are different so to manage the work in a proper manner
management induce accurate and effective systems which helps for accomplish the sustainability
in business. Also, this considered that by invest money at the right place an entrepreneur is able
to accomplish better results and outcomes such as profit earning and establish of business in an
intense competitive market. The market size of H&M is too large and this helps management for
completion of work through manage task in a global manner. Positive climate and sustainability
are the important factors for engage of new operations and functions in the H&M. Current
environment consider towards survey of all those factors that put employees towards all those
places which generate sustainability in business. All action-oriented steps helps business
management of H&M to complete all work according to the structured experimentation. This
also helps authorities for attain sustainability in the market. With understand of consumer
opinion this is easy to induce all factors through which better and appropriate factors consider for
achieve the global change award.
With understand and analyse of all market perspectives it is identified Innovation factor
perform an important role because this helps to manage work in a well-defined manner. Also,
with collect all factors it is understand that positive outcomes is used or generated as this make
the organisation more global. Despite of all efforts this is identified scientific management theory
and strong structured perspectives aids towards the induce of sustainable policies specifically, all

those which provide more values to manage work in a more proper manner. Also, most of the
current market conditions considered towards implement of global factors which is used to
explain all those factors that provide better situational factors like, H&M use e-commerce
platform for manage work in a proper manner and with implement of better partnership factors
this is easy to obtain sustainability. Some recommendations which ensure that organisation will
remain entrepreneurial are mention as follow:
 Expansion of E-commerce offerings- Social sites matter for particular fashion brands
and this define about all those situations which promote company brand in all social
factors. With interact of customers on the social sites this is identified social and digital
presence is an active platform where customers encounter the products. Popular social
media platform such as INSTAGRAM, Facebook, You-tube advertisement, etc. are
utilised by organisation because on this sections individuals are always active. Further,
this is used to complete the work with search patterns that support constant growth for
business.
 Use of the latest technologies- In the present scenario, market is facing technological
revolution and this means advancements perform an important role and it helps for
manage work with most common factors. Technological in fashion industry is to engage
the artificial intelligence and applications because this helps for manage work in a more
proper manner such as AI-powered chatbots helps for improve overall customer services
by induce current technical factors in business. Also, rational to recommend modern
technology is that almost each individual is active on social sites which register their
digital presence.

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