Entrepreneurship, Enterprise and Innovation: A Study on Digital Currencies in Banking Sector

This presentation discusses entrepreneurship, enterprise and innovation in the context of digital currencies in the banking sector. It covers the characteristics of entrepreneurship, internal and external factors, and the process of a business start-up.

Entrepreneurship,
Enterprise and
Innovation

Table of content
 Entrepreneurship, enterprise and innovation
 Entrepreneurship qualities
 Internal and external factors
 Process of a business start-up

Entrepreneurship, enterprise and
innovation
 Entrepreneurship
It is the extraction or creation of value and the ability to organise, develop
and run a business in order to make profit along with its uncertainty and it
is viewed as a change. In order to make the entrepreneur successful they
must have the ability to take the risk and must be open minded and grab
the opportunities to earn the profit.
 Enterprise
The another word used for the company or for a profit business is
enterprise. It is a project, undertaking or business venture, willingness to
take part on a new project. It is mostly associated with entrepreneurial
ventures. In business enterprise it is generally used with the word
business.

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Entrepreneurship Theory:
Theory of Social Behaviour
 The behavioural model of entrepreneurship is presented
by Kunkel. The supply of entrepreneurs is a function of
political, economic and social structure. Individual
performs various or different activities by which some
activities are accepted by the society and some are not
accepted and the accepted are treated as reward for an
organisation. There is generally consistency between
structures, actual incidence and objectives of
entrepreneurs. In practice it is also governed by particular
combination of circumstances and that are normally not
available in the environment.

Describing about the new product as well as
its uniqueness and success factor in market
The bank will launch Digital Currencies as its new product in the market. The term digital
currency is termed as any currency or money like asset which is solely managed as well as
stored digitally in the computer systems. The Digital currencies can support the customers in
doing business transactions with the companies present in foreign countries as it is the most cost
effective process and required no documentation process. The following points represents the
competitiveness or uniqueness of the new Digital currency product:
 Facilitate efficient transfers:
 Low transaction costs:
 No physical damage:
 Faster settlement rates:
 Available 24*7 and no bank account required:

 The new business idea is seen as the viable option with a strong opportunity for future
growth as large number of customers have proper access with mobiles or laptops as well as
they also have proper internet connections with them. This can be the most profitable option
for the bank as this new digital currency will support the bank in gaining attraction from
large number of customers. In addition to this, the government is also taking effective
measures in order to promote digital currency transactions as they are safer options as
compared to other transaction options.

Describing about the financial feasibility
The company will invest in the necessary project elements which is critical in terms of launching
digital currency in appropriate manner. The company will need around 135000 euros in order to
effectively launch its digital currency. This element will cover the following costs that needs to
be incurred in order to make successful launch of digital currency in marketplace:
 Cost of technology:
 Hosting charges:
 Initial legal counsel:
 Government registration:
 Initial advertisement:

Entrepreneurship qualities
The characteristics of entrepreneurship relate to models from
the banking sector is launching digital currencies.
 Innovation: In order to generate new ideas to earn profit
and start a company the entrepreneurship need to be
highly innovative. In the competitive market the
company can stay for the long run by making the goods
and services innovatively. The banking sector is
launching digital currencies which should be innovative.

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 Ability to take risk: While starting the new venture or
business the entrepreneurship must have the ability to
take the risk as in business the high risk is involved. In
order to gain the market share, build brand image and
profitability the risk is involved. Higher the risk the
higher chances of gaining the profit. In context to
banking sector the entrepreneurship uses the theory of
leadership. As the one must have the ability to take risk
in the business which is very essential to get successful
in the long run.

Internal and external factors
SWOT analysis
Strengths Weaknesses
• High level of security
• More autonomy
• Faster transactions
• Lack of stability
• Security issues
Opportunities Threats
• Innovative idea
• Promoting digitalisation
• High level of instability
• Hacking issues

Process of a business start-up
The process of a business start up is mainly incorporated by four stages
which is discussed below in relation with the new business idea:
 Early stage: This phase is characterised by the beginning of a phase
where an idea is initiated in order to develop it into reality through
transformation.
 Growth stage: This stage is associated with the generation of positive
outcomes implying growing customer engagement and earning of
profit margins.
 Expansion stage: The expansion stage during the process of a
business start-up implies widespread growth which is followed by
more hiring of personnel in order to increase the magnitude of scope
of operations.
 Exit stage: This phase is not compulsory and it is faced by only some
start-up or does not always occur in case of bringing any new
innovation.

Conclusion
From the respective presentation, it has been concluded that entrepreneurship is a broad concept
which relates to the initiation of a new business idea and innovating ideas within an existing
enterprise. The new business idea of digital currencies has been discussed in this presentation
including its uniqueness and competitiveness and it has been justified that how this business idea
is viable and feasible to implement. The characteristics and skills of entrepreneur has been
discussed in relation with the execution of new business idea. Internal and external factors has
been evaluated using swot and pestle analysis.

References
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