Entrepreneurship, Creativity, and Innovation: A Detailed Report

This report examines the critical role of innovation and creativity within an entrepreneurial context, specifically focusing on small and medium-sized enterprises (SMEs). It defines innovation as the successful exploitation of new ideas, and creativity as the ability to think and act in a new and novel manner. The report emphasizes the importance of both for achieving a competitive edge in the market. It differentiates between creativity, the generation of new ideas, and innovation, the implementation of those ideas into practice. The report highlights the need for SMEs to foster creativity to generate new ideas, improve existing practices, and adapt to the dynamic global market. It also discusses the crucial role of innovation in converting creative ideas into valuable products, services, or processes, with innovation requiring financial resources. The report explores the close relationship between change and innovation and underlines the importance of managing innovation as a key managerial competency. It also underscores the role of creativity in problem-solving, enhancing productivity, and achieving organizational targets, and concludes that businesses must be both creative and innovative to succeed in the long run. The report highlights the role of creativity in connecting different ideas to create new products and services, and the importance of imagination and unconventional thinking for entrepreneurs.

Entrepreneurship Creativity and
Marketing
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TABLE OF CONTENTS
PART 2 INDIVIDUAL ASSIGMENT ...........................................................................................3
INTRODUCTION ..........................................................................................................................3
Importance of innovation and creativity in an entrepreneurial SME context .................................3
CONCLUSION ...............................................................................................................................7
REFERENCES ...............................................................................................................................8
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PART 2 INDIVIDUAL ASSIGMENT
INTRODUCTION
The concept of innovation is regarded as the successful exploitation of the new ideas.
Innovation does not necessarily imply the commercialization of the only main advancement
within the technological state of the art. But it also involves use of even smaller scale changes in
technological know how (Addis, 2009). Companies can attain competitive edge by the means of
creativity and innovation. Another concept is regarded as creativity which demonstrates the
ability to think as well as act in a manner that is new and novel. The present study is comprised
of demonstration of understanding in relation to importance of innovation as well as creativity in
entrepreneurial context.
IMPORTANCE OF INNOVATION AND CREATIVITY IN AN
ENTREPRENEURIAL SME CONTEXT
Innovation is referred to as thinking in creative manner regarding something that already
has presence. In other words it is the introduction of something new as well as effective in the
market. In contrast to this Creativity is regarded as the act of creation of the new ideas,
imaginations as well as possibilities. The procedure of creativity is imaginative. Moreover under
innovation the procedure is productive. There is greater number of difference that exists between
creativity as well as innovation. Creativity is referred to as the quality of thinking new ideas as
well as putting them into real terms (Bassett‐Jones, 2005). Further the act of execution of the
creative ideas into practice is considered as innovation. It has been assessed that creativity can
never be measured. However the measurement of the innovation can be made in an effective
manner. The role creativity can be greatly viewed towards generation of the ideas that are new as
well as unique. While innovation is related with introduction of something that is better in the
market. This has been gained that the creativity does not need money. In contrast to this
innovation to a greater extent requires money.
In the today's world because of globalization as well as excessive industrialization the
products are being manufactured as well as exported to international markets. There is easy
access towards every product. The base of the customer is able to access several; kind of
products that range in type as well as quality (McLean, 2005). By the means of creativity one is
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able to think about the way in which improvement can be bought within the existing practices of
the organization. Creativity comes up with most unthinkable ideas as well as bringing innovation
in the existing practices. Innovation is regarded as the procedure that makes creation as well as
implementation of new ideas. It is considered as the procedure of taking ideas that are useful and
converting them into useful products, services or processes or methods associated with
operations. These are effective ideas that leads to creativity which is considered as requirement
for innovation. Creativity is considered as the ability towards combining the ideas in manner that
is unique or useful association between the ideas. It has been assessed that creativity provides
new ideas for bringing improvement in the quality within the firm as well as innovation put such
ideas into action (DiLiello and Houghton, 2006). Change as well as innovation are closely
related though they have no similarity. Change is comprised of new as well as better ideas. For
both established firm well as new business, innovation as well as change as greater importance in
the dynamic changing environment. When an organization fails towards innovating and change
as required, its customers, employees and community bat larger has to suffer. The ability in
managing the innovation is considered as the essential part of the manager's competencies.
The opposite of creativity is stagnation wherein new ideas as well as more effective ways
to work are not being promoted in suitable manner. It is considered as one of the major factor
that can turn previously successful business into one which falls behind and is being overtaken
by greater forward thinking competitor. Innovation is the procedure of creation as well as
execution of the new ideas (Alves, Marques, Saur and Marques, 2007). It is the procedure of
taking useful ideas and making its conversion into useful products, services as well as processes
or methods of operations. Such useful ideas have been resulted from creativity, that is
prerequisite for innovation. Creativity as well as innovation have become crucial skills for the
purpose of attaining success within the firm. The requirement for creation of problem solving has
increased to a greater extent. Moreover more and more management issues need creative insight
for the sake of finding solutions. The concept of creativity is considered as the ability to make
production of the new and unique ideas. However implementation of the creativity is innovation
whether it can be new idea, solution, product as well as procedure. The concept associated with
creativity act as driving force behind innovation and it involves looking at things in varied
perspective (Somech and Drach-Zahavy, 2013). The creativity for the small business enterprise
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is one that keeps the organization alive as well as thriving. It is referred as thinking skills that is
being possessed by all the workers but very few are offered with means as well as opportunity
for using it. There is greater importance of creativity and innovation in running the organization
in smooth manner. By the means of creativity the following outcomes can be gained. This results
in bringing improvements within the procedure of solving issues, Along with this propel the
innovation in forward direction. It has greater advantage in terms that it leads to enhancing the
productivity of the organization to greater extent (Haner, 2005). Through means of bringing
innovation organization can attain its targets within specified duration of time. It is important for
the firm to encourage the personnel to think out of the box and allow as well as nurture open
exchange of the ideas. Such offers time as well as resources in exploring the new areas in
relation with the innovation. This is considered as the key to cost effective business solutions.
The concept of creativity is referred to as important set of tools that is allowing people to
establish connection of different ideas together for the purpose of creating and innovating or
making production of something which is different from that of competitors. The firm's that have
done best over longer period of time are the one who are most creative as well as innovative.
Such business does not company what other companies are following. Rather than this they
make use of innovative ideas from other as spring board in order to make utilization of the
unique application (Yusuf, 2009). It has been assessed that all type of firms can be creative as
well as innovative no matter what kind of expertise, product or service is being possessed by
them. This has been gained that creativity is regarded as the function of knowledge, curiosity,
imagination as well as evaluation. The more is the base of knowledge, curiosity level the greater
are the ideas, patterns as well combinations that can be achieved which is then correlation
towards creation of new and innovative products as well as services. Just possessing the
knowledge does not guarantee the development of new patterns. There is presence of three
important level that are associated with creativity. This is comprised of discovery, invention as
well as creation. The lower level of the creativity is referred to as discovery. Another level is
considered as invention that is referred to as higher level of creativity. This has been assessed
that creation is considered as the highest level of the creativity. There is greater needs for the
business to be creative. It is a simple correlation. This presents that higher creativity results in
bringing huge innovation in the firm and thus leads to attainment of greater success by the
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business in long run course of time. At present creativity has been becoming the most significant
skills for the leaders. Every firm is required to keep up with latest trends that are emerging within
the industry. Creative thinking and new ways doing things is regarded as important part of the
procedure. The firms that actively foster creative thinking are able to outperform before their
rivalries. Such can be in terms of revenue, market share, competitive leadership etc. The term
creativity is regarded as most important field such as marketing as well as design. However a
little bit of the unconventional thinking can go long way within every aspect of the firm.
In the present economic world entrepreneurship is regarded as the major factors that can
result in bringing economic development. The entrepreneurs are striving towards making
creation of greater number of opportunities within the industry, offering greater number of
options for employment and this has positive impact on the per capita income, generation of
revenue as well as lifestyle etc (Wilson and Stokes, 2005). Entrepreneurship is like carrying out
the businesses but there is presence of certain characteristics that distinguish it from the
traditional business tool. The mind of the entrepreneur is always revolve around the ideas as well
as opportunities for the innovation. There is continuous as well as conscious efforts that need to
look towards niches as well as undertake the risks in entering them. The role of entrepreneurship
can be greatly viewed towards examining the present business workflows and development of
the manner for carrying it out in an effective manner. The role of entrepreneur in bringing
innovation is towards making optimum use of the resources and making its full use in order to
make creation of effective process. This results in increasing the wealth of the firm and adds to
the value through enhancement in the economic activity which is coming with optimization of
the entire procedure. It can be viewed through the observation of the entrepreneurial procedure
reflects that creative thinking is considered as the skill that assist in creation of the new ideas.
Creativity is one of the important activity that has significant role in allowing a person for
devising interesting procedure that has ability to provide huge benefits to the entrepreneurs. By
the means of creativity success can be attained (Andriopoulos and Dawson, 2009). This is in
terms that facilitates the firm in creation of the new ideas for gaining competitive advantage. The
entire procedure that is attached with entrepreneurship is rooted in creation as well as exploration
of the new ideas. It role of creativity is of greater importance in thinking of novel ways that assist
in making development of product and enhance the organization. The concept of creativity as
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well as innovation need imagination for the production of the most obscure ideas. Imagination is
required to cross the boundary which demonstrate usual and normal or to think outside the box.
It is significant in finding out the same patterns in varied areas. Sometimes because of
following a routine or habit the process of thinking goes along the line of those established
procedures (Creativity in an organization,2015). Creativity is one that is enabling the individual
in connecting dissimilar as well as unrelated subjects and make them successful entrepreneurial
ideas. Merging of the various fields assist in making creation of the new niches. There is
presence of greater number of individual who possess fear in bringing varied disciplines
together, but the main interesting ideas arrives from colliding varied fields.
CONCLUSION
It can be concluded from the present report that innovation is the considered as the
process of creation as well as execution of the new ideas. Along with this it is the procedure that
results in taking useful ideas and making its conversion into useful products, services as well as
processes or methods of operations. It has been inferred that the business whether small or large
is case in bringing innovation and creation is able to survive in the market for long run course of
time. In the present era the role of bringing innovation and creativity has increased to a greater
extent in terms that it helps in increasing the survival of the business for long run course of time.
It has been inferred from the present investigation that creativity comes with learning various
things whether or not they are associated with industry. There no structure needed in case of
creativity and its successful execution to a greater extent.
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REFERENCES
Journals and Books
Addis, S. (2009). Creativity and innovation. Rough Notes. 152(4). 78-80.
Alves, J., Marques, M. J., Saur, I. and Marques, P. (2007). Creativity and innovation through
multidisciplinary and multisectoral cooperation. Creativity and Innovation Management.
16(1). 27-34.
Andriopoulos, C. and Dawson, P. (2009). Managing change, creativity and innovation. Sage.
Bassett‐Jones, N. (2005). The paradox of diversity management, creativity and innovation.
Creativity and innovation management. 14(2). 169-175.
DiLiello, T. C. and Houghton, J. D. (2006). Maximizing organizational leadership capacity for
the future: Toward a model of self-leadership, innovation and creativity. Journal of
Managerial Psychology. 21(4). 319-337.
Haner, U. E. (2005). Spaces for creativity and innovation in two established organizations.
Creativity and innovation management. 14(3). 288-298.
McLean, L. D. (2005). Organizational culture’s influence on creativity and innovation: A review
of the literature and implications for human resource development. Advances in developing
human resources. 7(2). 226-246.
Somech, A. and Drach-Zahavy, A. (2013). Translating team creativity to innovation
implementation: The role of team composition and climate for innovation. Journal of
Management. 39(3). 684-708.
Wilson, N. C. and Stokes, D. (2005). Managing creativity and innovation: The challenge for
cultural entrepreneurs. Journal of Small Business and Enterprise Development. 12(3). 366-
378.
Yusuf, S. (2009). From creativity to innovation. Technology in Society. 31(1). 1-8.
Online
Creativity in an organization. (2015). [Online]. Available through:
<http://www.psychometrics.cam.ac.uk/news/news.18>. [Accessed on 28th January 2017].
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