The Interplay of Entrepreneurship and Value Creation in Business

This report delves into the core concepts of entrepreneurship and its critical role in value creation within business organizations. It explores the definition of entrepreneurship, emphasizing the importance of innovation, risk-taking, and effective leadership in driving business growth. The report examines the interrelationship between entrepreneurship and value creation, highlighting how entrepreneurial activities enhance economic activity and improve business performance. It also discusses the entrepreneurial value creation theory, focusing on the stages of opportunity identification, investment, and operational efficiency. The report further analyzes the roles of human resources, market factors, and leadership in value creation and provides examples of successful entrepreneurs like Oprah Winfrey and Steve Jobs, illustrating how their innovative ideas and skills have significantly contributed to value creation. In conclusion, the report emphasizes the importance of entrepreneurship in analyzing market dynamics, fostering innovation, and building strong organizational cultures to achieve long-term success and economic growth. The report uses the insights of the author to conclude the importance of value creation in an organization and how the entrepreneurship is the backbone for value creation in the organization.

ENTERPRENEURSHIP
DESIGN
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
Entrepreneurship and Entrepreneurial Management...................................................................3
Interrelationship between Entrepreneurship and Value Creation ..............................................4
Examples ....................................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Every business needs to have the ability to increase the potential of the business and have
the workforce which can withstand the vision and objectives of the business organization. To do
the effective operations entrepreneurs are into work as they have the ability to innovate and
increase the quality of the production with the help of their skills and knowledge as they are also
the owners of the business organization. The entrepreneurs create the best environment for the
employees by which the employees increase the efficiency and motivate themselves to work
more effectively to achieve the organizational objectives and make the organization productive
to achieve core competency in the market and increase the profit margins. In this essay, there is a
detailed study about entrepreneurship and value creation of the entrepreneurs which will help the
organization to achieve the efficiency to reach the goals rapidly.
Entrepreneurship and Entrepreneurial Management
Entrepreneurship is the process of influencing the employees in the organization to
achieve the objectives by leading them effectively and providing them the effective techniques,
skills and knowledge to attain that efficiency (Hjorth, D. and Holt, R., 2016). Entrepreneurship is
the managerial authority which is assigned to the owners which have the ability to increase the
efficiency of the business by innovating and increasing the quality of the decision-making with
the knowledge they carry. Entrepreneurs have the ability to take the risk by making the decisions
as they are the owners and also have an effective vision to increase the efficiency of the business.
Entrepreneurship is the idea of initiating the business activity which can increase the efficiency
of the business and on very the hard-work in the economic considerations. As the entrepreneurs
who have the skills to generate the great ideas are born with those skills and also have the traits
which make them successful in doing their task. They separate themselves with the rest of the
world by providing their quality to the world and also assuring the capabilities they portray to
accomplish the task with lest resources but maximum output. The famous entrepreneur in the
world which depicts the entrepreneurship is Steve jobs for Apple company, Larry Page and
Sergey Brin for making google. (Gurău, Lasch and Dana, 2015)

Interrelationship between Entrepreneurship and Value Creation
The interrelationship between entrepreneurship and value creation is very essential as
they help the business to grow and make it the potential prospect to increase the profit margins.
The entrepreneurs are the effective managerial individual which have the ability to generate the
ideas which will increase the value when the business organization increase its economic activity
with the help of that idea and make and effective use of that idea to improve the performance of
the business organization (Meyskens and Bird, 2015). Innovation is also the major aspect which
comes under this aspect as the entrepreneurship the art of analyzing all they factor and improving
the quality of the existing resources so that it can increase the efficiency of the organization and
grow the organization core effectively. The market competition also plays an important role in
creating a need to analyze all the internal and external business environment factors which are
can help the entrepreneurs to identify the better sources to grow the business organization and
achieve core competency in their market. (Dentchev and et.al., 2016)
The process of value creation is very important as it includes the human resources, capital
formulation and all the market factors like consumers, competitors and suppliers which increase
the efficiency of the business organization. As the value creation is the main aspect of the
business which provides the nature of the business and helps to increase the economic growth
and provide the leverage to attain the objectives. As the entrepreneurship and innovation go hand
in hand which also support the creation of value creation to increase the performance of the
organization. This is the process also includes the leadership as the employees in the
organization need to be influenced to achieve the objectives which are set by the entrepreneur to
increase the value of creation of the organization. (Hitt and Ireland, 2015)
Entrepreneurship management, leadership management and change management all the
very essential part of the business as this all the management help the organization to attain the
objectives and make them more efficient so that it also helps the employees to develop
themselves and increase the values and ethics to create a healthy environment which is very
essential for the organization to increase the productivity.
Entrepreneurial value creation theory
Entrepreneurial value creation theory also examines the entrepreneur's value creation.
The business venture is also determined and analyses to understand the value creation of the
entrepreneur and how it helps the business to increase the efficiency.

1. In the first stage the entrepreneur will analyze the need to find the potential opportunity
to invest in the new business or the venture so that it can create better revenue generation
for the business and help to increase the performance of the business to motivate the
employees and create a better vision and increase the quality of the business culture to
expand it. This stage helps the entrepreneur to evaluate that the venture will be successful
or not and will have to invest in tat or not. (Zahra and Wright, 2016)
2. In the second stage if the venture is successful then the investment will be made into the
venture to expand and increase int efficiency to improve the quality of the deliverance. In
this stage all the employee are tested for the right potential and skills which are required
for operations of the new venture activities and also have the capability to increase the
business by hiring the new employees with the help of recruitment and selection, and
training and development also help the employees to increase the particular required
skills and knowledge about the job (Aftab and et.al., 2016).
As the value creation is the main objective of the business organization and also focuses
on the endeavors which includes many risks to participate in the business activities. The value
creation also is very important as it also decides the nature of the business organization and also
the features and characteristics of the products and services which will increase the profitability
of the business organization (Chell and et.al., 2016). As value creation is more effective than the
traditional management as it helped the employees to increase the efficiency of doing the task
eternally and also develop them to increase this efficiency to achieve the goals and become more
effective in the organization. Value Creation also increase the satisfaction level of the customers
as they are more attracted to the organization which is more focused on the value and quality of
[products and services for the customers. This help the organization to increase the goodwill and
improve the competitive advantage in the market to increase the profitability. Value creation
increase the credibility for the shareholders to invest in the organization and increase the
investors who are ready to invest in the business which is having the value and also a good
entrepreneurial idea to make the investors and stakeholder confident about the growth of the
organization.
Value creation also help the employees to increase the value and increase the quality of
operation which help them to achieve their personal goals and make them loyal to the

organization as this in return reduces the cost of the training the new employees and maintain the
performance of the organization to archive the organizational goals. This also help the
organization be to more healthy work environment where the employees are more coordinated
and help each other to achieve the set team goals. Value creation also decides the cultural values
of the employees which help them to get easily connected to the mission and vision of the
organization and get motivated easily. (Vanhaverbeke, 2018)
The entrepreneurship should be effective in analyzing the driving forces which help the
organization to achieve the workforce which are very potential inn nature. The entrepreneurs are
also responsible to make the vision of the organization according to the driving forces to achieve
the objectives. The corporate strategy is the linkage between the intangible assets of the
organization and the value of the employees so that increase the performance of the organization
and improve the quality of the organization. Innovation, technology, intellectual property is the
intangible asset and have to be analyzed to relate it with the value creation of the organization so
that they can make a better successful and growing business. (Kuratko and et.al, 2017)
According to my knowledge I have learned that it is very important for the organization
to understand all the driving forces and all the intangible, assets which help the business
disorganization grow, this also helped make to understand that value creation is the ethics and
moral of the organization which help them to increase the credibility in the market to take loans
and improve the goodwill by attracting more customers and providing them with the better
services and products increase their satisfactions level, as the value creation also help the
customers to get the after sales services and redress them with proper answers which help the
customers to become loyal to that particular company (Lackéus, 2016). I have also understood
the concept of the entrepreneur and the innovative idea is very helpful in the value creation, the
leadership styles and the management of change hold the organizational structure together to
gain the maximum output.
Value creation also help the organization to recruit the best employees according to the
values which will increase the value of the organization and also connect with the culture of the
organization to decrease the cost of training a developing the new employees. I also have
understood that this is very important factor for the industry as it will help to adopt the corporate
social responsibility and make the organization leader in the industry (Galindo-Martín and
Méndez-Picazo, 2020). As per my view all the organization department will increase the

organization structure, human resources, technology of the organization, procurement and all the
activities which makes the value creation chain. Value creation also have a very bright future as
it helps the organization to increase the efficiency and it will also increase the economic growth
of the nation which will improve the standard of living, income level of the population and
education level this all factors in return will help the market to increase the market demand and
increase the demand of the market (Gertsen and et.al., 2018).
Examples
There are many entrepreneurs which have increased the value creation process by
innovating the ideas and also providing the best knowledge and skills to the employees.
1. Oprah Winfrey- she is the successful entrepreneur which is riches African American in
terms of wealth. The entrepreneur was born in a very poor family and saw very tough
times in her life. She dedicated her life in getting knowledge and also, she was talented
which made her a very successful actress, singer, talk show host, producer, media
executive which let her become the very powerful person in the country (Wrigley and
Straker, 2017).
2. Steve Jobs- he is the most successful entrepreneur in the world as he has the vision of
becoming very successful organization in the world, and he dropped his education to
peruse hies career in the field. He eventually established apple which revolutionized the
phase of computers and technology as we see today. He is also one of the world's richest
man in the world and have generated that idea to increase the value creation with his
friends in the back of his garage at his home. (Haugh, Lyon and Doherty, 2018)
CONCLUSION
In this report there was brief information about the entrepreneurship and the creation of
values in the organization. As it had changed the way of dealing with the employees and
increased the performances of them with more ease. Value creation also helped the organization
to motivate the investors and also create the trust in the customer to increase the satisfactory
level and increase the goodwill of the company. The entrepreneur ideology always helped the
employees top create the cultural value which increases the efficiency of the business
organization.

REFERENCES
Books and Journals
Aftab, M and et.al., 2016, July. Design Entrepreneurship in Innovation. In 19th Academic
Design Management Conference. Design Management Institute.
Chell, E and et.al., 2016. Social entrepreneurship and business ethics: Does social equal
ethical?. Journal of business ethics. 133(4). pp.619-625.
Dentchev. N and et.al., 2016. Embracing the variety of sustainable business models: social
entrepreneurship, corporate intrapreneurship, creativity, innovation, and other
approaches to sustainability challenges. Journal of Cleaner Production.
Galindo-Martín M.A. and Méndez-Picazo M.T., 2020. Value Creation, Innovation, and
Entrepreneurship: Feedback Effects. In Analyzing the Relationship Between Innovation,
Value Creation, and Entrepreneurship (pp. 1-20). IGI Global.
Gertsen, F and et.al., 2018. Process Perspective on Entrepreneurship. In The Palgrave handbook
of multidisciplinary perspectives on entrepreneurship (pp. 199-222). Palgrave
Macmillan, Cham.
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model approach. International Journal of Entrepreneurship and Small Business. 25(2).
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Haugh H., Lyon, F. and Doherty, B., 2018. Social entrepreneurship: Entrepreneurship and social
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Hjorth, D. and Holt, R., 2016. It's entrepreneurship, not enterprise: Ai Weiwei as
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value? Toward a social corporate entrepreneurship scale. Business Horizons. 60(3).
pp.271-283.
Lackéus, M., 2016. Value creation as educational practice-towards a new educational philosophy
grounded in entrepreneurship?. Chalmers University of Technology.
Meyskens, M. and Bird, L., 2015. Crowdfunding and value creation. Entrepreneurship Research
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Vanhaverbeke, W., 2018. Rural Entrepreneurship in Tanzania: Why are Micro and Small
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