“CREATION AND DISCOVERY CONTEXTS OF ENTREPRENEURIAL OPPORTUNITIES”
There are various theories of entrepreneurial and the main two theories are Creation and Discovery. The first one which is mountain climbing in the entrepreneurial context which is “Discovery” and the mountain building which “Creation”It is very important to find opportunity while working in the business to keep the business run for a long time and keep growing with its each movement (Foxet al., 2017).
Opportunity means the situation where the person tries to exploit various ways and different ways and bring new ideas for the business that has the potential to increase the profit and generate new profit for the business. Opportunities are generated when the products and services are well settles in the market. A good entrepreneur keeps searching for opportunities in the respected areas he can search and they don’t get satisfied by getting one opportunity they keep searching for the new one and if they don’t get one they even generate their own opportunity (Ospina, 2019).
There even occurs the opportunity gap in the business which means that the ability to swerve the customers better than what they are getting served currently in the market. (Rubleske et al., 2017).
Created and discovered are the two methods which are used for searching opportunity in the business for an entrepreneur. Entrepreneur just not keeps searching for opportunity and adapt to the change which come while working in the business but they often instigate it (Fairlieet al., 2018).
Created and Discovered can be differentiated by domain of application. When the demand in the market and the supply of the products and services in the market to fulfil the needs and wants of the customers are known then the opportunity is discovered but on other hand when the demand and supply of the product and services is not known about the market then here the opportunity is created (Rubleske et al., 2017).
Often when studied ‘’Opportunities are created, not discovered.’’ This means that the entrepreneur tries to bring new opportunity which means the entrepreneur try to bring new innovative ideas which include new product or service for the company. For example, like Amazon Company brings new service which is get Amazon subscription with Amazon fire TV worth 99 pounds free (Amazon, 2021)
In entrepreneurship the discovery perception has been tested with various methods. Once the opportunity is discovered then the entrepreneurs tend to try to exploit them with various activities and the activities involved resources of fund for the opportunity and other resources such as human resource. Raw materials, information protection resources from competitors and the organization build business models. As it is well known that the world is unpredictable so the entrepreneurs use various strategies which can help in exploiting the opportunity and generate profit for the business (Smith et al., 2019).
On other hand,opportunity is discovered that means for example, the entrepreneur see that the customers in the market are tend to get attracted towards the smart watched in the market so the entrepreneur learns about the same and try to bring the same type of product but with extra features which can be an opportunity for the business and bring new customers to the company. Here the entrepreneurs use creative social process for creating new ideas in the business and use various strategies to build new team, bring new resources, bring new knowledge in the working of the business towards bringing the new innovative idea to the business (Gružauskaset al.,2020).
Creation process is where there is less prediction but more controlling. In creation theory there is no need of pre-existing industry or market, rather they are created and build completely new for the market and the customers. Creation process is for social welfare and not for the entrepreneurial perception. In this the actions need to be completely blind and this may even lead to many mistakes and even failure at the end as they are not bringing out product which has information in the market that how is taken by the customers or how is the perceptions of the customers for the same because the customers nature is dynamic and it can change anytime (Foss et al., 2017).
Discovery and creation are very important for the discovery of the opportunity in the business and it is in the hand of the entrepreneur how he or she has to bring the opportunity in the business. And both plays a very unique role for various business and studies has shown that many businesses have faced 97% of success by using the creation process and the discovering process has also shown a vast growth in past few years and helps business to reach new highs (Fultzet al., 2021).
There are various strategies which a business can use to exploit the opportunities in the business and the entrepreneur can use this to get a good grip on the opportunity and the 3 firm level strategies to exploit opportunities are as follows:
- ENVIRONMENTAL ISSUES TO BE CONSIDERED
Environmental issues to be considered by the entrepreneur are very important because it helps in building the opportunity or destroying it. There are basically four factors which the entrepreneur needs to keep in mind and consider and they are Political, Economic, Social and Technological which is the PEST of the company.
- Political –The rules and regulations which are frames by the government of the country and the market running is very important for the company to understand to make sure that they don’t affect the exploitation of opportunity. The political factor involved government stability, availability of fund for the opportunity, etc and these can tend to affect the exploitation of the opportunity (Simarmataet al., 2020).
- Economical –Economical factors involves the factors such as exchange rate, fiscal rate, minimum wage system, inflation rate, etc.
- Social – Social factors involves the customers taste and preference, buying pattern of the customers, how culture affect the business, etc. And these need to be considered by the entrepreneur because these can impact the needs of product and services for the customer (Cepel,2019).
- Technological – Technological factor involves the change in technology due to change in the market of the taste and preference of the customers (Perera, 2017).
The entrepreneur should plan a proper exit strategy in the beginning of the business to define the goals of the organization and it helps in making the business know about the opportunity and the opportunity does not last for forever. Exit strategy is necessary for the business to define the end goals and objective of the business. Entrepreneur need to decide in the initial stage of the starting of the business that the business will make the exit from the market if in case so with which method (Gilbertet al., 2020).There is various exit strategy which the company can use and they are as follows:
- Merge. In merge two businesses come together and combine into one. The companies need to decide a new name for the business which will create a new place in the market and a new brand value in the market (SINGH,2017).
- Acquisition.An acquisition is the process where one business buys the other business. Here all the assets and the name of business are sold to the other company in power (Leahyet al., 2020.).
- Initial Public Offering.IPO is the process where the shares of the business of open for the public to purchase for a certain amount (Lemley et al., 2021).
BUILDING ENTREPRENEURIAL TEAM
It is very important to have teams and team is one of the key aspects which build s the success for the company. Different teams should be building in the organization for example finance team, HR team, etc. Teams working together can continuously bring growth to the company and help in run the business (Lacerenzaet al., 2018).
According to the report it has been stated that 69% of the work fails due to people problem and 3% work fails due to lack of funding, resources, etc. Selecting the right people for start-up of the business might minimize the problems which are interpersonal which results in failure (Kollmannet al., 2017).
Team can be built by an entrepreneur or by the business according to the following: -
- Design- the co-founders of the companies should be selected in such a way that they are complementary to each other.
- Launch-While launching of the business the aim and expectations of launching of business should be clearly set.
- Establishing work and the culture of managing work and norms according to the expectations set (Ben-Hafaïedh, 2017).
There should be equality in the teams and the members chosen in the team should have same sets of skills and knowledge because this helps in faster decision making because the team will think in the certain same way. There should be some qualities which should be involved in the members of the team and they are they should have different sets of skills and capabilities, they should be supportive to each other, they should be comfortable in working with each other, they should be open about their problems, they should share opinions, etc. And the researchers have said that the team should be left as a lone wolf because they will work as a wolf pack and they will build strong (Lazar et al., 2020).
“FIVE (5) DIMENSIONS OF ENTREPRENEURIAL ORIENTATION”
When any organization thinks of bringing new idea or discovery an idea in the existing market so Entrepreneurial orientation is a key concept where when the entrepreneur is trying to exploit the opportunities than the other organizations might not be able to exploit. Entrepreneurial orientation refers to the practices, decision making which are used by the entrepreneurs for exploiting opportunities (Martens et al., 2018).This can be understood by understanding how the organization is relative to the five dimensions:
- Autonomy –autonomy means whether the organization gives the individuals and the team of individuals the right to bring new ideas for the business and give freedom for giving opinion in brining ideas for running of the business (Saha et al., 2017).Some of the large organizations gives autonomy to the employees to bring their point of view and new ideas for the organization to bring it out as an opportunity, one example for the same is Next Plc. Gives the employees of the organization to bring their ideas and thoughts for the business and even invest money for their training and development so that they use the freedom in right direction (Next Plc, 2021).
- Competitive Aggressiveness –Competitive aggressiveness means that directly challenging the competitors of the business rather than ignoring them or avoiding facing them. This process includes spending lot on advertisement, promotions, etc. One of the examples if an attack ad which means advertising by comparing the company with other companies (Jancenelleet al., 2017).
- Innovativeness – Innovativeness means tendency to try something new and experimenting new things in the business. Bringing new products and services for the customers in the market without knowing the main demand of the customer is a kind of experiment which the company does. For example, Chocolate with Biscuit (Falahatet al., 2018).
- Pro activeness –Pro activeness means a tendency of predicting the future needs and wants of the customers in the market and according to it brining out various plans and ideas which can help in adapting the changes which can come in further time (Sadiku-Dushiet al., 2019).
- Risk Taking –Risk taking means that the company involves in bold moves rather than involving in cautious actions. For example, a coffee organization introduce instant coffee but star bucks thought of making the customer help to get the coffee in affordable price which will be make at home thing (Martens et al., 2018).
According to the above study about the 5 dimensions, the three dimensions which is present in me is; First I am proactive which means that I predict the further happening which can happen by my actions or what necessity can arise in future and for the same I make plans in advance to overcome obstacles.
Second, I am innovative in nature which means I keep on trying new things in my field of study which helps in bringing new knowledge to me and use it in a better way.
Thirdly, I am competitive aggressive which means that I do not fear the challenged which comes in front of me and I face them completely with full confidence and learn from the challenges and obstacles.
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