IBU5COV La Trobe University: Corporate Venturing Health Assessment

This research report provides a detailed overview of how managers in today’s dynamic business environment persistently deal with the challenges of entrepreneurship and entrepreneurial activity within their organizations. The report focuses on how organizations gain competitive advantages by applying innovation and entrepreneurship ideas in business, specifically analyzing entrepreneurial intensity and the climate for corporate entrepreneurship at Bunning Warehouse. Data from organizational websites, annual reports, blogs, and newsletters are linked to theoretical concepts to ensure validity. The analysis covers entrepreneurial intensity, including innovativeness, risk-taking, and pro-activeness, as well as the climate for corporate entrepreneurship, highlighting the importance of adapting to the dynamic nature of the market environment and leveraging unique talents for sustained success. The report concludes with insights into how Bunning Warehouse can enhance its entrepreneurial activities and maintain a competitive edge.

Running head: CORPORATE VENTURING
CORPORATE VENTURING
Name of the Student
Name of the University
Author Note

2CORPORATE VENTURING
Executive Summary
This research project is an investigation of how corporate entrepreneurship and innovation
have been applied to business in a dynamic business environment where shifting of consumer
demand is a certain factor. Analysis includes real-world data which means data has been
collected from organizational data sources. Theoretical concept regarding entrepreneurial
intensity helps to observe the fact that innovativeness, risk taking and proactivene are the
major event of entrepreneurship which should be visible in a business. Entrepreneurial
intensity in the firm is relatively high but dynamic natures of the market have probably
pushed the frim from its strategic field of expansion into the other market.

3CORPORATE VENTURING
Table of Content
1. Introduction and company overview......................................................................................4
1.1 Introduction......................................................................................................................4
1.2 Organizational Overview.................................................................................................4
2. Theoretical Concept...............................................................................................................5
2.1 Concept of entrepreneurial intensity................................................................................5
2.2 Corporate entrepreneurship:.............................................................................................6
3. Research Approach................................................................................................................7
3.1 Data collection method....................................................................................................7
4. Data Analysis and Discussion................................................................................................8
4.1 Part A- Entrepreneurial Intensity.....................................................................................8
4.2 Part B- Climate for Corporate Entrepreneurship...........................................................10
5. Conclusion............................................................................................................................10
References................................................................................................................................12

4CORPORATE VENTURING
1. Introduction and company overview
1.1 Introduction
This research report is a detailed overview of how managers in today’s dynamic
business environment persistently deal with the challenges of entrepreneurship and
entrepreneurial activity happening within the organization. Report particularly discusses how
organizations today gains competitive advantages by applying innovation and
entrepreneurship ideas in business. In order to gain a comprehensible insight from the
discussion, an analysis of entrepreneurial intensity and the climate for corporate
entrepreneurship has been established in the report. To perform the analysis with real world
data, operational scenario of Bunning Warehouse has been considered in the report. Analysis
includes secondary data but to ensure the validity of the findings, collected data has been
linked to the theoretical concept presented in the following.
1.2 Organizational Overview
Bunning Warehouse is widely known as a retail organization which delivers vast
categories of home improvement and outdoor living products to its consumers especially in
Australia and New Zealand (Hatch, 2016). BW gains tremendous reputation in the sector due
to its high quality products and services. The organization is a major supplier to project
builder, commercial tradespeople as well as the housing sector.
Mission: Mission of VW is to deliver its customers with the largest range of home
improvement products according to its lowest price, policy and backed with the best service
Vision: Organization pursue sustainability within the operation by endeavouring to
make them socially responsible as well as environmentally aware and economically viable
When it comes to innovation, the organization tends to apply its ideas in product
development. This means in order to give consumers an enhanced experience about product,

5CORPORATE VENTURING
organization makes large investment in product development. Bunnings formed a relationship
with the executive development program which is Strategic Planning and Management in
Retailing and consequently, within a short period of time business of BW undertook a pivotal
acquisition which helps to promote a careful strategy rethink to make sure direction and
sustainability of the business there for the long period (Mitchell, 2015).
2. Theoretical Concept
In a general view, it can be mentioned that entrepreneurship tend play a great role in
economy. It is worth telling that these are the people who hold and acquire the skills and
initiatives essential to make prediction of the current and future needs and make the business
effective for dynamic market. Particularly, in business the importance of entrepreneurship is
myriad in nature, like the growth of entrepreneurship, innovation, importance of community
development. Kuratko, Hornsby and Covin (2014) mentioned that entrepreneurship ca be
defined as the technique of creating value by bringing together a unique package of resources
to exploit an opportunity. While considerable amount of disagreement exists about the
relative significance of an emphasis on new venture creation, development of new products
and services, assumption of risk and the growth orientation, there is a growing consensus that
entrepreneurship involves a behavioural process and it is opportunity-driven.
2.1 Concept of entrepreneurial intensity
Finkle (2012) mentioned that underlying entrepreneurial attitudes and behaviour are
three major dimensions such as innovativeness, risk-taking and pro-activeness. Turró,
Urbano, and Peris-Ortiz (2014) mentioned that innovativeness refers to endeavour of
creative, unusual or the fundamental solutions to the needs and issues. Likewise, risk taking
refers to the action of including the willingness to commit vital resources to opportunities that
have reasonable chance of failure. However, these risks are typically determined, calculated
and manageable. On the other side, pro-activeness is majorly concerned with the

6CORPORATE VENTURING
implementation; this means the business could do whatever is never or essential to develop an
entrepreneurial concept to fruition. It could usually involve significant perseverance,
adaptability and intention to assume some particular reasonability for the failure in business.
2.2 Corporate entrepreneurship:
Corporate entrepreneurship is more of a technique by which an entrepreneur could
bring to fruition the entrepreneurial activity by supporting the business. In order to be
effective and successful, corporate entrepreneurship should be realized from the perspectives
of strategic management and according to Chen et al., (2014) corporate entrepreneurship
needs to be the part of the extensive strategic and integral part of the organizational business.
Model of entrepreneurship: When reviewing the existing papers it has been learnt
that scholars have of previous studies have offered myriad of theoretical as well as practical
frameworks to develop entrepreneurial organizations, Chen et al., (2015) performed a study
and mentioned about Cornwall and Perlman performed corporate entrepreneurial model
which is developed on the basis of strategic management approach. On the other side, Corbett
et al. (2013) mentioned about Echols and Neck corporate entrepreneurial model and this
model shows that ability of the organization to survive in an innovative market environment.
Sahut and Peris-Ortiz (2014) developed a model corporate entrepreneurship model which
only introduces interaction of events taken place in vacuum as the generator of
entrepreneurial organization.
When getting into the model of corporate entrepreneurship, one significant
relationship between entrepreneurship and innovation often arises. It has been learnt that
without the presence of some particular form of entrepreneurial activity to exploit the
opportunity as they appear within the organization, innovation could remain little more than
an aspirational instead of a tangible destination.

7CORPORATE VENTURING
Figure 1: Corporate Entrepreneurship
(Source: Tentama 2018)
It can be added that the technique of endowing resources with the new wealth production
capacity could be central to any sort of conceptualisation of entrepreneurship.
3. Research Approach
3.1 Data collection method
In order to perform the data analysis, secondary data has been collected from the wide
reading sources such as organizational website, annual report, blogs and newsletter. When
performing the analysis of corporate entrepreneurship and entrepreneurial intensity, data
about Bunning Warehouse’s operation has been linked to the data found in the industrial
journal article and authorized blogs. In addition to this, data has also been collected from
Bunning Warehouse annual report and sustainability report. Annual report helps to observe
the potential growth observed after the implementation of new strategy. In addition, the

8CORPORATE VENTURING
financial report helps to identify how the firm is progressing with the new strategy. On the
other side, sustainability report helps to understand how and to what extent Bunning
Warehouse is committed to its social duties and responsibilities. Data collected from blogs
help to observe the possible growth of the firm. In order to perform the analysis, first the raw
data has been converted to meaningful format for the interoperation and then the data has
been linked to the findings found in the existing papers.
4. Data Analysis and Discussion
4.1 Part A- Entrepreneurial Intensity
It has been identified that the organization Bunning Warehouse is capable of
producing a number of entrepreneurial events over time because the firm is rapidly
progressing with respect to new product development and launches. By considering the
growing needs of consumes in a dynamic business environment, Bunning Warehouse has
developed a section called ‘New and Innovative Product’. It has been noted that the firm has
developed a smart home to the latest in outdoor living, garden as well as home enhancement
products. It has developed a wide range of new and innovative products. Another significant
fact found in BW’s operation is that leaders in the organizations are inclined towards the new
opportunities.
This means as a whole the firm is open to new opportunities and this is highly
required for a business and its sustainability especially when the business is performing in a
dynamic business environment. It was studied in the theoretical concept that innovativeness
is one of the major element of entrepreneurial intensity which differentiate the firm with
respect to operation and products. It has been observed that the organization tends to utilize
and leverage the market scope. This means that it knew that technology would be involved in
every aspect of business irrespective of type and size of the business in any industry.

9CORPORATE VENTURING
Understanding this future aspect of business, Bunning Warehouse made some creative
changes in its product portfolio, for example it has developed home automation product
which is designed with brilliant Smart Wi-Fi Plus. This innovative product is more
productive and time-consuming. In addition, the firm has also developed a new tool for every
garden job which can be performed with the Victa cordless power garden range.
Thus, it can be added that entrepreneurial frequency in Bunning Warehouse is
relatively high because the innovativeness in the product and services as the events of
entrepreneurship is often observed in its operation. Moreover, the degree to which any event
remain innovative, risky and proactive, is widely termed as the degree of entrepreneurship.
So, this degree is effectively maintained by BW when the operation is considered for analysis
as a whole. However, it can be mentioned that risk initiative of BW is marginal because the
record of business expansion of Bunning Warehouse in other market is not attractive. A
News Paper article has mentioned that the strategy of expansion and launching its products in
UK has not been implemented despite the formulation of several strategic initiative of BW
(Bailey,2019). Nonetheless, it can be added that in order to become successful and perform
the entrepreneurial activities quite effectively, it is highly important for the organization to
rely on its unique talent. When the market is changing rapidly with the changes needs and
demands, it is highly effective for the firm to find the uniqueness in the services. This is
certain that unique business characteristics or talent will help to find effective uses for new
technologies, with the enhancement of given technology into dozen of marketable forms.
Consequently, the organization is able to sell more than 6800 home furnishing consumer
products (Ballantyne, 2018). Nevertheless, firm needs to consider the fact that organization
due to dynamic nature of the market environment, the firm needs to gain it ability to deal with
the dynamic business challenges.

10CORPORATE VENTURING
4.2 Part B- Climate for Corporate Entrepreneurship
In order to perform the business and make significant position in the market, the
organizations has developed its operation in way that it can compete with the corporate firms,
the most significant fact in its operation is that BW holds the ability to penetrate and target
any regional market of home furnishing and development pits products and service. When the
organization is able to perform in a large market, it has gained the understanding that it needs
to strengthen its position in the market the and to do that it has involved its business and
aligned the business with the social task and responsibilities towards the people and land
where it serves.
As the corporate responsibility, the organization has developed and performed some
social responsibility such as less energy based operation and energy consumption initiative.
The business understood the fact that climate change is largely recognised as one of the most
pressing challenge that people face and the major cause of the climate change it that it has
attributed to human generated greenhouse emission. To prevent such concern being into
action, BW has lower the use of energy with few initiative with the inclusion of efficient
lighting system. In the theory, it was studied that corporate entrepreneurship involves actions
as the most significant part of the scheme considered strategically in an organization. So,
whenever, the organization BW has implemented any innovative initiative for enhancing
consumer experience, it has also showed a great concern towards its popularity in the market
(Foster 2019). Thus, engaging its operation into corporate social reasonability was one of the
strategical decision in which firms can sustain its position in the market and rip through the
market with its innovative ideas at the same time.
5. Conclusion
In conclusion, it can be mentioned that Bunning Warehouse is effective running its operation
in large market with its home improvement product and as the supplier with the strong

11CORPORATE VENTURING
entrepreneurial ideas. Discussion presented above helps to state the fact that entrepreneurial
intensity in the firm is relatively high but dynamic natures of the market have probably
pushed the frim from the its strategic field of expansion into the other market. Risk taking
activities such as getting into a new market is relatively low.

12CORPORATE VENTURING
References
Bailey, S. (2019, March 21). Bunnings to open up to 14 new stores every year. Retrieved
from realcommercial.com.au: https://www.realcommercial.com.au/news/bunnings-to-
open-up-to-14-new-stores-every-year
Ballantyne, A. (2018, November 19). Bunnings and supermarket trio on show at anniversary
auction. Retrieved from realcommercial.com.au:
https://www.realcommercial.com.au/news/bunnings-and-supermarket-trio-on-show-
at-anniversary-auction
Chen, Y., Tang, G., Jin, J., Xie, Q., & Li, J. (2014). CEO s’ Transformational Leadership and
Product Innovation Performance: The Roles of Corporate Entrepreneurship and
Technology Orientation. Journal of Product Innovation Management, 31, 2-17.
Chen, Y., Wang, Y., Nevo, S., Benitez-Amado, J., & Kou, G. (2015). IT capabilities and
product innovation performance: The roles of corporate entrepreneurship and
competitive intensity. Information & Management, 52(6), 643-657.
Corbett, A., Covin, J. G., O'Connor, G. C., & Tucci, C. L. (2013). Corporate
entrepreneurship: State‐of‐the‐art research and a future research agenda. Journal of
Product Innovation Management, 30(5), 812-820.
Ferreira, J. J., Raposo, M. L., Gouveia Rodrigues, R., Dinis, A., & do Paço, A. (2012). A
model of entrepreneurial intention: An application of the psychological and
behavioral approaches. Journal of Small Business and Enterprise Development, 19(3),
424-440.
Finkle, T. A. (2012). Corporate entrepreneurship and innovation in Silicon Valley: The case
of Google, Inc. Entrepreneurship Theory and Practice, 36(4), 863-884.
Foster, S. (2019, January 25). Brisbane Bunnings the first to fire up investors in 2019.
Retrieved from realcommercial.com.au:

13CORPORATE VENTURING
https://www.realcommercial.com.au/news/brisbane-bunnings-the-first-to-fire-up-
investors-in-2019
Hatch, P. (2016, August 24). New Bunnings rival finalised as Home and Mitre 10 merge.
Retrieved from smh.com.au:
https://www.smh.com.au/business/companies/woolworths-in-trading-halt-as-
hardware-sale-looms-20160824-gqzmro.html
Kramer, M. (2013). Climate change as real business risk. Retrieved January 13, 2019, from
https://www.greenbiz.com/blog/2013/04/24/climate-change-real-business-risk
Kuratko, D. F., Hornsby, J. S., & Covin, J. G. (2014). Diagnosing a firm's internal
environment for corporate entrepreneurship. Business Horizons, 57(1), 37-47.
Linden, A. (2015, July 9). Advancing Business With Advanced Analytics. Retrieved from
www.gartner.com: https://www.gartner.com/doc/3090420/advancing-business-
advanced-analytics
Mitchell, S. (2015, March 11). Bunnings growth at risk as market reaches saturation:
Citigroup. Retrieved from smh.com.au:
https://www.smh.com.au/business/companies/bunnings-growth-at-risk-as-market-
reaches-saturation-citigroup-20150310-13zpxn.html
Moriano, J. A., Gorgievski, M., Laguna, M., Stephan, U., & Zarafshani, K. (2012). A cross-
cultural approach to understanding entrepreneurial intention. Journal of career
development, 39(2), 162-185.
Nguyen, N. M., Killen, C. P., Kock, A., & Gemünden, H. G. (2018). The use of effectuation
in projects: The influence of business case control, portfolio monitoring intensity and
project innovativeness. International Journal of Project Management, 36(8), 1054-
1067.
Pawar, L. D. (2016). Entreprenerial behaviour of potato growers' in block chhindwara
district chindwara (MP) (Doctoral dissertation, JNKVV).

14CORPORATE VENTURING
Sahut, J. M., & Peris-Ortiz, M. (2014). Small business, innovation, and
entrepreneurship. Small Business Economics, 42(4), 663-668.
Tentama, F. (2018). The Relationship Between Entrepreneurial Motivation And
Entrepreneurial Intensity On Psychology Students. Journal of Educational Science
and Technology (EST), 4(1), 26-31.
Turró, A., Urbano, D., & Peris-Ortiz, M. (2014). Culture and innovation: The moderating
effect of cultural values on corporate entrepreneurship. Technological Forecasting
and Social Change, 88, 360-369.
Zhang, Y., Duysters, G., & Cloodt, M. (2014). The role of entrepreneurship education as a
predictor of university students’ entrepreneurial intention. International
entrepreneurship and management journal, 10(3), 623-641.