Innovation and Entrepreneurship: Skills, Importance, and Growth

This report discusses the skills needed for entrepreneurial opportunities, the importance of innovation and entrepreneurship for company growth, and the role of innovation in the growth and development of Royal Chicken and Pizza in Dorking. It also includes a business plan and marketing strategies for the company.

INNOVATION AND
ENTREPRENEURSHIP
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TABLE OF CONTENT
INTRODUCTION................................................................................................................................3
TASK 1..............................................................................................................................................3
Critically evaluation of various skills that define entrepreneurial opportunities........................3
TASK 2..............................................................................................................................................5
Importance of innovation and entrepreneurship for company growth and development........5
CONCLUSION...................................................................................................................................6
REFERENCES.....................................................................................................................................7
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INTRODUCTION
Entrepreneurship is a process that involves setting up of business to offer qualitative
products and services to people so that their need are satisfied and company can easily achieve
its objectives. Innovation plays most important role in growth and success of business and
gaining competitive advantage in the market. This report is about entrepreneurship and
innovation such as royal chicken and pizza in Dorking which is one of the leading companies in
UK to provide qualitative products and services. It explains about various skills and knowledge
required in an entrepreneur in order to grab available opportunities and bring innovation and
various changes within company. It also describes about importance of innovation and
entrepreneurship for effective growth and development.
TASK 1
Critically evaluation of various skills that define entrepreneurial opportunities
There are various skills that are present in entrepreneur in order to effectively use
available opportunity to start and run business and earn maximum profit margin.
CURIOSITY: It is most important and essential skill that is required in entrepreneur in order to
discover new problem, opportunity and unsatisfied need and demand of customers. Richard
has curiosity to start business since he was child as he decided to start business at the age of 16
years of magazine and then bring more and more innovative ideas to increase its profitability.
STRATEGIC THINKING: It helps individual to think in innovative manner, creative solution to
recognise available opportunities for growth and success of firm (Xie, X. (2016)). Therefore
entrepreneur can easily bring new innovation, creativity within firm to satisfied need of people
and increase its profit margin. Richard strategic thinking helps him to find new and innovative
business such as magazine, virgin records, virgin Atlantic airlines, virgin music label and virgin
galactic to find to fulfilled unsatisfied need of customers.
RISK TAKING ABILITY: Entrepreneurs also have RISK TAKING ABILITY so that it can easily take
risk and start new business to get first mover advantages for effective utilising opportunities. It
can be stated that Richard has ability to take risk as that motivate him to start new business
and bring innovation to enter into new market segment.
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STRONG DETERMINATION AND CONFIDENCE: Entrepreneurs also have STRONG
DETERMINATION AND CONFIDENCE on whatever steps it takes from growth and expansion of
business thus it try new innovation. Richard confidence and strong determination in his
innovative ideas and business helps him to become successful entrepreneur in UK and earn
large amount of profit.
EFFECTIVE COMMUNICATION SKILL is also present in entrepreneur so that it can easily
exchange information, new ideas to number of employees so that they can work hard for
desired goals and objectives. Effective communication skill in Richard helps him to easily share
its ideas, objectives and strategies to all employees that are working within firm thus
achievement of goals.
TIME MANAGEMENT ABILITY helps entrepreneur to complete various activities and function on
time such as quick and accurate decision so that available opportunity can effectively utilise and
meeting needs of customers within limited time and cost (HE & WU, (2017)). Richard has
effective time management quality so that it was able to manage to introduce various project
within limited times so that customers needs can be fulfilled.
Entrepreneur also have capability to BEAR STRESS, HANDLE REJECTION AND STAY
MOTIVATED, strong and positive to face various challenges with a motive for growth and
expansion of business. Despite of various challenges Richard stay positive, handle rejection in
initial stage of starting business at the same time bear stress to manage number of firms.
Therefore entrepreneur plan and think various ways to develop innovative business model
such as the way it will be run, gained competitive advantages and value in the market so that it
can maximise its profit margin. Richard has planned in advances about various strategies
promote long term growth and survival of business and bring feasibility in team through
providing information about money making process.
All such skills and knowledge that are inherited in entrepreneur can be explained through
various models such as revenue model innovation. Revenue model helps in analysis current and
future earning of business and various strategy that can be used by firm to generate revenue
(Aimin & Zilian, (2018)). Such as in mark-up model entrepreneur add its profit margin over
charged incurred in manufacturing of products and services thus it is most common and oldest
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method that is used by every entrepreneur. Therefore entrepreneur earn money by offering
product over than their actual cost. Arbitrage revenue model entrepreneur charges
differentiate price from customers through offering qualitative and standard products and
services. Licensing revenue model is innovative method in which owner or investor grant right
to other people to use technology and brand image of firm at predetermined cost. Some of the
entrepreneur use commission revenue model to earn money such as it charge commission for
every action and transaction that is conducted between two parties. Thus, it is most common
strategy to earn profit from online market place and business that offers their products through
use of digitalisation. Online hosting companies such as You Tube, Netflix provide specific
services for particular period is also used by entrepreneur to expand their market share.
Entrepreneurs also earn profit through advertisement of products and service of another
company to large number of people so that they use advertisement model. Fee for service
revenue model state that customer pay for actual services that they have received for a
particular time period For example -cloud based industries and telecom enterprise.
Entrepreneur takes interest from customers for loan amount that they have given to individual
so bank and financial enterprise used interest model of revenue (Bo, (2017)). Leasing asset to
other people for particular period of time is also used by entrepreneur to earn large amount of
profitability and increase sales volume of business. Therefore from above analysis it can be
illustrated that it depends upon skill and ability of individual to earn money in order to satisfy
its needs. Entrepreneur must have creative thinking, ability to take risk and bear various
challenges and determination to perform various task and gain first mover advantages by in
taking risk associated with business (Xiang, (2017)).
TASK 2
Importance of innovation and entrepreneurship for company growth and development
Innovation is important for growth and development of company as there are various
changes in environment such as customers taste, preference, and technology. Firm that want to
expand its market share and gain competitive advantages has to continuously bring changes
and innovation so that requirement and unsatisfied need of people can be fulfilled. Therefore
Royal chicken and pizza in Dorking through continuous innovating its technologies and products
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is able to build strong brand image in the market and gain customer satisfaction (Dexiang & Xin,
(2017)). Innovation helps Royal chicken and pizza in Dorking in reinforce of brand by
continuously creating awareness about company products and services and promote growth
and sustainability of organisation. It also helps in effective utilisation of resources of company
within limited cost and time so that profit margin of Royal chicken and pizza in Dorking can be
increased. At the same time innovation and new ways in delivering of product helps company
to charge competitive pricing from customers. Company by offering its products through social
sites is able to increase its sales and customers loyalty. Marketing of products through social
media is another innovation that promotes growth and development of company as it not only
attracts existing customers but also new to make purchase. Innovation is one of the most
important factors that help Royal chicken and pizza in Dorking to gain competitive advantages
and increase its market share. Entrepreneur by bringing innovation is able to reduce cost
increase profit and customer’s satisfaction and loyalty of firm (Zeng(2016)). Entrepreneurship
helps in starting new business and brings innovation within country to enhance living standard
of people. Entrepreneur by deciding to start new business is able to provide wide varieties of
choice to customers to choose among and effective satisfy their needs. Entrepreneurship
creates large number of job opportunities and enhances skills of employees so that better
services can be provided to people. Growth and development of entrepreneurship bring new
innovation through continuous research and development so that products can be
manufactured within limited resources. Importance of innovation and entrepreneurship in
growth and development, competitive performance interrelated with internal roles and
marketing can also be analysed through diffusion innovation model. Innovation theory stated
that the way an idea is accepted by number of people or gain momentum within social system.
The model also explains that some of people easily accept new ideas whereas other resists to
such changes so the company uses different way to influence people to make purchase.
Innovators such as the owner of Royal chicken and pizza in Dorking by deciding to start new
business and brining innovative ideas such as launching organic food products and online
marketing, offering of products through its own websites so that people prefer products of
company over other competitors. Early adopters are people that easily adapt to changes such
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as younger generation select company products as they are of high quality and standard which
is important for their better health. It also provides ease and comfort to people by delivering
products at their doorsteps (Guoping & Xin, (2016)). Early majority refers to people that
analysis and evaluates experience of other people while they have make purchase so middle
class people of UK by watching positive feedback of Royal chicken and pizza in Dorking
customers were influenced to buy products of company and accept new changes. Late majority
it includes people that lately adopt innovation such as some of people does’ not purchase
products of firm but continuous growth and expansion influence them to choose company
products. Company in order to grow and sustain in market, build strong brand image has launch
innovative products and method to deliver services to attract existing as well as new customer.
Laggard are people that very conservative in nature so Royal chicken and pizza in Dorking
owner by planning strategy to introduce organic products and marketing strategy is able to
motivate people who are conservative towards their tradition. Therefore it can be stated that
innovation and entrepreneur helps in effective marketing of business and performance of
various activities or internal roles so that company can gain competitive advantages and grow
and developed its market share (Tan & Ang, (2017)).
CONCLUSION
From the above report it can be concluded that entrepreneur decide to start and run business
by considering associated risk. Entrepreneur has number of skills such as effective time
management, communication, determination and innovative skill for effective operation of
business. It can also be concluded from above report that entrepreneurship and innovation is
essential for firm development and growth at the same time it is related to marketing and
internal roles.
Business plan
Executive summary
Business plan has explained about company strategies and various steps that it is
planning to take in order to gain competitive advantages and increase its market share. It has
describes about business idea, industry in which company operates, business model and point
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of difference that helps firm to expand its business. It had also explained about prospective
customer, marketing plan and various sources of fund that company has used to run and
establish business.
Start-up business idea: Royal chicken and pizza in Dorking has business idea to introduce
innovative and taste food products for customers such as fried chicken, pizza, peri peri chicken
and burgers. As in recent trend most of customers like to have taste and innovate food in order
to satisfy their unwanted needs
Industry profile: Industry in which Royal chicken and pizza in Dorking operate has high level of
competition as there are number of restaurant that are providing food products to people living
in UK. Such as KFC and other competitors so company can expand its business through bringing
innovation to deliver quality services to customers.
Business model: Royal chicken and pizza in Dorking has create business value by delivering
qualitative services to people through effective organisational structure, effectively targeting
customers and innovative strategies and food products to fulfil needs of people.
Point of differentiation: Company has created point of differentiation by launching qualitative
and innovative products such as Wraps, cheese dip, peri peri chicken to attract large number of
customers and gain competitive advantages.
Prospective customers: Younger generation and people that belong to high class at the same
time having craving for delicious and tasty food are prospective customers for Royal chicken
and pizza in Dorking.
Marketing plan_4 ps
Products: Varieties of food products are available at Royal chicken and pizza in Dorking to meet
need of every individual. At the same time quality of products is maintained to provide better
customer experience.
Price: Firm sells its qualitative products and services at reasonable cost to influence number of
people.
Place: Company has its restaurants across UK and at high street so that customers can easily
come and have delicious foods.
Promotion: Royal chicken and pizza in Dorking has planned to promote its products through
using effective taglines, providing various promotional offers and discount to increase sales.
Competitor analysis: There are large number of competitor with varieties of products and
services so Royal chicken and pizza in Dorking has planned to maintain its quality of products in
order to gain competitive advantages.
Sources of funding: Company has gathered fund through investors and loan from bank to start
and run various function of firm smoothly and effectively.
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Intellectual-property: It has copyright, trademark and patent its products and technologies to
build and maintain strong bran image in the market and enhance its market share.
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REFERENCES
Books and Journals
Aimin, W., & Zilian, L. (2018). Does Technology Import Promote Enterprise'Independent
Innovation?——An Analysis of Rugulating Effect of Technology Environment. Journal
of Macro-quality Research, (1). 9.
Bo, G. E. N. G. (2017). Research on the Innovation of Enterprise Management in the Internet
Era. Management & Technology of SME, (9), 4.
Dexiang, W., & Xin, L. (2017). Government Subsidies, Political Connections and Enterprise
Technological Innovation Investment. Public Finance Research, (8). 7.
Guoping, C., & Xin, Z. (2016). The Effect of Enterprise Service Innovation Ability on Innovation
Performance——The Regulatory Role of Organizational Innovation
Atmosphere. Science & Technology Progress and Policy, (6). 5.
HE, J., & WU, M. (2017). The Influence of Banking Market Competition on Enterprise
Technology Innovation. The Theory and Practice of Finance and Economics, (2). 3.
JIN, J., LIU, B., & SUN, M. (2018). On Factors Influencing Enterprise Innovation: A Literature
Overview. Journal of Wuhan Business University, (6).10.
Tan, O. S., & Ang, R. P. (2017). Universities, Research, Innovation and Enterprise. In Lee Kuan
Yew’s Educational Legacy (pp. 89-102). Springer, Singapore.
Xiang, Z. (2017). Organizational Learning and Enterprise Innovation Performance: the Mediating
Effect of Strategic Flexibility. Innovation, (2). 3.
Xie, X. (2016). Study on the Identification of Key Factors of Core Enterprise Knowledge
Innovation Ability—Perspective of Distributed Innovation. DEStech Transactions on
Environment, Energy and Earth Sciences, (peee).
Zeng, Z. (2016). A novel model for enterprise technological innovation capability evaluation
with 2-tuple linguistic information. Journal of Intelligent & Fuzzy Systems, 31(1). 541-
546.
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