Managing Entrepreneurship: Innovation & Creativity

This study material explores the concept of managing entrepreneurship, innovation, and creativity. It focuses on the case of Bruick Motors, a company planning to manufacture tailor-made cars based on consumer preferences. Learn about the motivations behind social entrepreneurship and the process of developing a business concept. Discover market research methods, target markets, marketing strategies, human resource management, and business operations.

Managing
Entrepreneurship
Innovation & Creativity

EXECUTIVE SUMMARY
Managing entrepreneurship is defined as the practice concerned with undertaking
entrepreneurial knowledge as well as utilising it with the purpose of increasing effectiveness of
new business venture. The present report is based on concept of innovation in which Bruick
Motors. It is a company which will plans to manufacture Tailor made cars in accordance to
choices or preferences of consumers.

Table of Contents
EXECUTIVE SUMMARY...............................................................................................................
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
My Story: In the beginning..........................................................................................................1
TASK 2............................................................................................................................................2
Research question .......................................................................................................................2
TASK 3............................................................................................................................................4
The Concept plan- The blue Sky Thinking .................................................................................4
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Entrepreneurship, innovation along with creativity are considered as long term
bedfellows that pushes a person to limits (Andrzejewski, 2019). The present report is all about a
tailor made car venture that is Bruick Motors that will design cars in accordance to needs and
wants of target market.
The project is prepared in three tasks. First task is all about story of entrepreneur. Second
task includes research question based on Theme of Society. At last, task three is all about
concept planning that is Blue Sky thinking.
TASK 1
My Story: In the beginning
I am a engineering student who have belonging from Latvia which is small country
located in North Eastern Europe. It is very difficult for an individual like me to become a
successful entrepreneur in the country. I do not have belonging from any entrepreneurial family
as my guardians are simple people that engages in agricultural related activities. Since, I was a
young, I set the goal of establishing an enterprise in order to help my family to live a better and
happy living in their old age. When I was in the age of 21, I completed my graduation as I was
very bright student and lived in many countries that helped me to analyse major requirements of
populations in present or coming era. At present, I live in United Kingdom and I have worked in
many automotive organisation while completing my education in business management and
technology. This made be realise that I have potentials to start a new venture because of my
strong entrepreneurial skills. I have multiple skills that are creative thinking, analytical skills,
effective communication etc that I can use in setting my business with the name of Bruick
Motors. Through my work experience in automotive sector as well as innovative mind, I am
planning to manufacture tailor made car which will be designed and built according to
preferences of consumers and will be filled with more advanced along with innovative features. I
am also a calm person that work systematically so attain objectives that will benefit me to
establish, manage and run my business addition to achieve development in upcoming era.
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TASK 2
Research question
“What is social entrepreneurship? What are motivations in setting up social enterprise?”
Social entrepreneurship is defined to the approach of combination of commerce with
issues in society. It is concerned with recognising social problems together with attaining social
change through employing entrepreneurial principles, operations along with processes. It
emphasis on developing social capital despite of measuring performance in revenues or return in
monetary context. Addition to social problems or issues, social entrepreneurship also emphasis
on problems pertaining in environment (Brem, 2017). The success of social entrepreneurship is
estimated and defined through the ways business improves the nation. Unlike non profits, the
approach still earns profits, however, its main priority is to make social or environmental
changes while making profit. An individual who have potentials to establish on organisation with
the goal of solving social problems as well as effecting social change is termed as social
entrepreneur. These people have willingness to pursue novel applications in order to solve
community related issues. These people takes risk and makes huge efforts so that positive
changes are created in society from their practices or initiatives.
In accordance with Bujor and Avasilcai (2016), social entrepreneurship motivates
entrepreneurs to bring positive changes within society and environment with application of their
practical social entrepreneurship ideas, tactics, strategies and efforts that resolves problems in
community. They also makes attempts for developing pioneering ideas with effective solutions
for current social problems faced in society of particular nation. Social enterprise is the venture
which sustainable addition to effectively pursues solving solving problem or social impacts as
their main mission. By changing mindset of citizens, system of working, spreading awareness
and designing social entrepreneurship resources for the purpose of empowering society, issues
are resolved by social entrepreneurs. Major problems towards which social entrepreneurs focuses
are raising unemployment level, gender inequality, poverty, ineffective government, unethical
framework, regional inequality and many more. A global platform is created by these
entrepreneurs for like minded citizens who makes efforts as team to fight or deal with the issues.
They alleviates issues from society as whole by making excellent use of creative ideas, practices
and strategies.
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The main motivation for setting up social enterprise is community need. There are limited
businesses which create as well as maintain products or services in response to requirements and
needs of social, economical, etc within community that are not met by market. In a community,
people have needs and wants for many things (Hennekam and Bennett, 2016). For example,
some people have wants for electric cars, while some have demand for sports car. So, social
entrepreneurs sets social enterprise with the motivation to meet community requirements in the
manner they expects.
The other motivating factor for establishing social enterprise is possibilities to exploit
change as new opportunity. Changes presents possibilities for developing new values in
community which are not explored yet by others. Social entrepreneurs sees changes as
opportunity that encourages them to set and manage an organisation for society so to launch an
innovative business model or concept in dynamic market (Ingram, 2016). The social enterprises
have aim to make changes within standards of living of citizens and empowering them to tackle
or deal with issues in effective and efficient manner. The innovations gained by these
entrepreneurs also creates social values.
Social entrepreneurs are also motivated to set a business in order to provide employment
to people that are not recruited or staffed by other entrepreneurs. It is determined that
unemployment is growing issue in society and to resolve the issue, social entrepreneurs sets
businesses to ensure that employment are provided to talents that are neglected by other
entrepreneurial ventures in the tough competition. Social entrepreneurs have aim to provide
maximum employment as possible to local and global residents which inspires them to set their
own company.
Listening voices of others also motivates entrepreneurs to start their own firms as social
enterprises (Motivation factors for social entrepreneurs to set business, 2013). In present world,
there are so many self proclaimed social businesses that are started with the solution to issues as
they perceive things from their places in society. They finds it most effective approach to listen
the ones that experiences problems and have knowledge about solution from living the issue.
Social entrepreneurs haver reformed business practices that recognises challenges and come with
answers from the one they serve, but not from their own image of the ways they must be served.
Another motivation factor that stimulates social entrepreneurs for setting own enterprise
includes efficient compassion. It is admirable to care for suffering of others and this is first step
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for building social enterprise successfully (Lee, Hallak and Sardeshmukh, 2019). A person can
not teach caring, however, caring is a best kind to be provided in the market or society.
Commitment for establishing sustainable business which effectively utilises optimum finance
along with other resources influences setting social enterprise.
In modern era, there are various number of social entrepreneurs that makes best possible
attempts for solving their own issues or setting own life in better manner through resolving
problems that are faced by others in society. All social entrepreneurs gets influenced from
number of factors which encourages them to set their own innovative business and manage the
working effectively. Social entrepreneur are also motivated to set social businesses through
pertaining challenges, inspirations, past personal experiences along with their social networks.
They work for welfare of society and bringing multiple changes that are positive in nature
(Lichtarski and Trenkner, 2018). The main aim of social enterprise is to serve populations with
best initiatives that benefits the society together with environment. They uses the profits for the
purpose of funding social programs and accomplishing public mission.
TASK 3
The Concept plan- The blue Sky Thinking
Introduction
Business concept is framework that defines the ways in which values will be created. It si
the idea of business that comprises basic information about services and products, unique selling
proposition, target demographics and many more which provides an advantage to entity over
competitors. Effective business concept comprises of new product or novel approach to
commercial existing offerings (Ratten and Usmanij, 2020). Once concept is devised then it is
incorporates into business plan which is written document of future of business. For a new
business, it is crucial to develop business plan for the purpose of summarising all the points
concerned with enterprise in proper manner. Present business plan is based on Bruick Motors
which is a new business of tailor made cars that will be manufactured as per preferences and
choices of consumers. The idea is innovative and advanced as this will design the same cars that
are expected by consumers to have. Moreover, it will be launched in Hertfordshire in UK. The
business idea will provide opportunity to meet requirements of consumers for customised cars.
As it is not possible for an individual to have such a car that includes all their requirements,
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however, Bruick Motors will help them to have a car that have features and facilities according
to their needs.
Objectives
The objective behind the new business of Bruick Motors is to meet demand for tailor
made cars and capturing larger market share, making brand image as well as having huge
proportion of customer base in coming 8 years. The other objective of the business is to earn
around £ 30000 in first year addition to enhancement of 25% each year. As the business will be
manufacturing tailor made car, its vision is to manufacture compelling car through driving and
meeting needs of larger customers and contributing in developing society.
Market Research
It is the effort that is undertaken by business for gathering information concerned with
target markets as well as customers (Steinerowska-Streb and Głód, 2020). Market research is
crucial component of organisational strategy and major element to maintain competitiveness. It
assist new or existing businesses in easily spotting opportunities, lowering risks, designing
suitable promotional materials, knowing where to promote and formulating effective strategies to
gain success. In context to new tailor made care business, market research will be conducted by
following methods:
Primary research: The methodology for collecting data directly from respondents rather
than depending on past done research is said to primary research. To research about market, the
entrepreneur of new tailor made car business can use interview (face to face and telephonic),
online surveys, focus groups, observations, questionnaire and experiment method.
Secondary research: The research method which includes usage of already available
data or information is termed as secondary research. The entrepreneur of Bruick Motors could
use secondary research for summarising existing data, collating it to enhance overall
effectiveness of research and determining existing competition level in automotive industry. The
top players or rivals for new business will be Ferrari, Acura, ford Motors Company, Duesenberg,
etc. Analysing their strategies, tactics and programs will help the new enterprise to sustain in
competition and attaining high growth options.
Target market or customer
Target market is the group of potential people to whom organisation prefers to sell its
offerings (Wagner, Valls-Pasola and Burger-Helmchen, 2016). The new business of tailor made
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cars will be launched in Hertfordshire so it is crucial to determine its target market or potential
customers. In this context, target market for Bruick Motors will be upper class population as the
prices of the cars will be only affordable by them only. The company will only target population
between age of 22 years to 55 years as they have huge preferences or demands for innovative
features in cars.
Marketing
Marketing is the action to promote and sell commodities within end consumers or target
market. It comprises of advertising, selling along with delivering products to target market. In
the new business of tailor made cars, marketing is important for attracting consumers, informing
them about the business and its services. To promote the new business, social media marketing
can be used to market the business among target customers. Various social media platforms that
may be used by the business are Facebook, Twitter and Instagram. Along with this, it can also
use paid advertising that engrosses multiple approaches of promotions and marketing like TVCs,
print media advertising and so on.
Human resource
Human resource are people that are employed by an organisation to carry out all types of
operational activities as per provided instructions (Kuratko and Morris, 2018). These are
lifeblood of business as their job is to ensure that the company gets most of its manpower. For
the new venture of tailor-made cars, human resources will be recruited from multiple sources.
The company can use press advertisement, campus interviews, employment exchange, e-
recruitment portals and placement agencies for the purpose of recruiting pool of applicants.
Further, required talents can be selected through preliminary interview, receiving applications,
screening of applicants, employment tests, interview, reference checking and final selection.
Various training and development programs will also be arranged for selected human resources.
The entrepreneur will provide job roles to different human resources as per their abilities,
knowledge, specialisation and experiences.
Operations (Business Model Canvas)
Business model canvas is a tool that is utilised for the purpose of visualising all building
blocks while starting an enterprise. It is a visual chart that includes elements explaining firm's
value proposition, finances, infrastructure and so on. For Bruick Motors, business model canvas
is as follows:
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Key partners
 Governme
nt
 Suppliers
 Investors
 Marketers
Key activities
 Research and
development
 Manufacturin
g of cars
 Distribution
 Charge point
infrastructure
Value
proposition
 High
perfor
mance
along
with
modern
design
 Energy
efficien
cy
 Manufa
cturing
as per
custom
er
prefere
nces
Customer
relationships
 Customer
intimacy
 Personal
assistance
 Direct to
customer
Customer
segment
 High
income
group
 green
buyers
 Mid tier
manageme
nt
 Car
enthusiasti
c
Key resources
 Employees
 Engineering
and design
 Finance
 Technology
 Intellectual
resources
Channels
 Website
 PR/Media
 Physical
stores
Cost structure
 Advertisement and promotion
 Acquiring raw material
 R&D Costs
 Salaries and wages
Revenue streams
 Automotive leasing
 Sales of cars
 Services
Legal Issues
In the period of establishing a venture, multiple kinds of legal issues are faced by
entrepreneurs (Černevičiūtė and Strazdas, 2018). Legal issues are parcel as well as part to run an
organisation and are effectively deal by entrepreneurs when they arise. Certain legal issues which
can be faced by new business venture of Tailor made cars are mentioned below:
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Licensing: It is major legal issue that can be encountered by the new entrepreneurial
venture. The entrepreneur have to make sure that all the formalities are completed in accordance
with requirements of local, regional and central government for licensing of business. If not done
properly, then the venture might face fees and penalties that can be easily avoided. Moreover,
cost of license also depends on multiple factors prior to getting licence for venture.
Trademark: It is another legal issue that could be faced by the new venture. It is crucial
to do plenty of research before naming or introducing new product. When entrepreneur think of a
name, it always have chance that someone may also have that cab be a legal issue for the new
business of tailor made cars.
Financial
It is the term related to matters of management, creation as well as study of money
together with investments. To establish a new venture, huge quantity of finance is required by
entrepreneur. In other words, when an entrepreneurs decided to start business then the
requirement of funds arises for meeting expenses related to establishing, managing and running
the enterprise (Surie, 2017). In business of Tailor made cars, finance is required to purchase
fixed together with current assets, raw materials, daily operations and paying salaries. The
entrepreneur can emphasis towards many sources of funds in order to make proper arrangement
of required finance and completing operational activities promptly. Some of the sources are as
mentioned:
Angel investors: It is high net work person that provides finance backing for start-ups or
entrepreneurs in exchange of ownership equity in business. In initial stages, the entrepreneur of
Tailor made car business can take help of the source and collect high investment values. They do
not balk in making bigger investment and believes in potentials of venture.
Banking institutions: This is most common and easily approachable source of funding
that most number of entrepreneurs approaches. For introducing the innovative venture of Tailor
made cars, the entrepreneur could take bank loan from reputed or well popular banking
institution by keeping something as security as because of some uncertainty if borrower is unable
to make payment then banking institution can recover the amount from the secured asset.
Risks, contingency and exit strategies
In a new business, various types of risks have huge chances to occur. In case with the
new venture of tailor made car, the risks or contingencies that can arise in future are as follows:
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 Compliance risk: Entrepreneur of venture faces abundance of regulations and legislation
to adhere with. In context to Tailor made car business, compliance risk have huge
chances to arise as government of UK makes necessary changes in legislation as per
requirements.
 Financial risks: It includes credit extended to customers and debt load of company.
When the entrepreneur will not be able to arrange required funds then the venture can
face finance related risk that can hamper its operations.
Exit strategies are those tactics which are adopted in situation of business failure
(Hennekam and Bennett, 2016). In case with tailor-made car venture, strategies including
merger, selling in open market, liquidation and initial public offering can be used. Among the all,
merger is common exit strategy that is mostly adopted by entrepreneurs if they fail in achieving
break even profits. In this, they gets merge with powerful company in same field and sell all their
rights, resources and other with the strong business.
CONCLUSION
From the report, it is concluded that innovation and creativity creates demand as well as
entrepreneurship bring innovations in market. Creativity is said to starting level of innovation.
Social entrepreneurship is the concept in which a person takes willingness to contribute in
resolving issues pertaining in society. Efficient compassion, listening voices of others, generating
employment, exploiting change as new opportunity and community needs are key motivations
that influences establishment of social enterprise. Blue Sky Thinking is brainstorming with
limited limits. It includes business concept, objective of venture, market research, marketing,
human resource and many more aspects.
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REFERENCES
Books and Journals:
Andrzejewski, S. A., 2019. Entrepreneurship, Innovation, and Creativity: Gendered Constructs
or Equal Domains?. Go-to-Market Strategies for Women Entrepreneurs, Emerald
Publishing Limited. pp.45-56.
Brem, A., 2017. Creativity and routine: Conceptual considerations on managing organisational
ambidexterity in entrepreneurial ventures. International Journal of Entrepreneurship
and Innovation Management. 21(3). pp.261-273.
Bujor, A. and Avasilcai, S., 2016. The creative entrepreneur: A framework of analysis. Procedia-
Social and Behavioral Sciences. 221. pp.21-28.
Hennekam, S. and Bennett, D., 2016. Self-management of work in the creative industries in the
Netherlands. International Journal of Arts Management. pp.31-41.
Ingram, T., 2016. Relationships between talent management and organizational performance:
The role of climate for creativity. Entrepreneurial Business and Economics Review.
4(3). pp.195-205.
Lee, C., Hallak, R. and Sardeshmukh, S. R., 2019. Creativity and innovation in the restaurant
sector: Supply-side processes and barriers to implementation. Tourism Management
Perspectives. 31. pp.54-62.
Lichtarski, J. and Trenkner, M., 2018. On the co-existence of innovation and creativity in the
lean management environment. In Forum Scientiae Oeconomia (Vol. 6, No. 3).
Ratten, V. and Usmanij, P., 2020. Entrepreneurship and Organizational Change: Managing
Innovation and Creative Capabilities. In Entrepreneurship and Organizational
Change (pp. 1-6). Springer, Cham.
Steinerowska-Streb, I. and Głód, G., 2020. Innovations in Polish family firms. Exploring
employee creativity and management practices that stimulate innovative
thinking. Journal of Entrepreneurship, Management and Innovation. 16(2). pp.231-260.
Wagner, M., Valls-Pasola, J. and Burger-Helmchen, T. eds., 2016. The Global Management of
Creativity. Taylor & Francis.
Kuratko, D. F. and Morris, M. H., 2018. Examining the future trajectory of
entrepreneurship. Journal of Small Business Management. 56(1). pp.11-23.
Černevičiūtė, J. and Strazdas, R., 2018. Teamwork management in Creative industries: factors
influencing productivity.
Surie, G., 2017. Creating the innovation ecosystem for renewable energy via social
entrepreneurship: Insights from India. Technological Forecasting and Social
Change. 121. pp.184-195.
Online:
Motivation factors for social entrepreneurs to set business. 2013. [Online]. Available through:
<https://www.northeastern.edu/sei/2013/02/what-motivates-the-best-social-
entrepreneurs/>
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