Lectures - Introduction to entrepreneurship & corporate strategy (iecs)

Introduction to entrepreneurship & Corporate strategy -
LECTURES

Lecture 1

Strategic Entrepreneurship
Study on the combination of opportunities seeking behavior (exploration) and advantages seeking
behavior (exploitation) and relates it to wealth creation

Resources create opportunities

Social entrepreneurship
Social entrepreneurship is about innovative
and transformative solutions to social and
environmental problems

Entrepreneurship
Entrepreneurship is the identification,
evaluation and exploitation of opportunities

Not ALL ideas are great opportunities, but
ALL opportunities come from ideas


1 Reasons for studying entrepreneurship

Entrepreneur
- Economic
The function of the entrepreneur (combining resources, providing market efficiency, accepting risk)
- Managerial
The tasks undertaken by the entrepreneur (organizing teams/ networks, own business, innovation)
- Psychological
The entrepreneur as a personality (cognitive duty, the ‘great’ person, the social misfit)

An/The entrepreneur is an individual, who fulfills a particular economic function by undertaking
certain tasks  Entrepreneur is not (always) just ONE person, we talking about teams, organizations
Entrepreneurship is essentially strategic

Entrepreneurship

New organizations (Entrepreneurship) Existing organizations (Corporate Entrepreneurship)




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,  More challenging (more challenges),
more discipline in organization(s)




Entrepreneurship
An entrepreneur is an individual who brings together the factors of production in an innovative way
(usually in the form of a new business venture) to generate economic value
 The entrepreneur is rewarded from the economic rent generated as a return for accepting
risk
 More than just profit, also economic/social benefits(!)




Lecture 2 – Types of entrepreneurs & The entrepreneurial personality

 Entrepreneurship is a process

Types of entrepreneurs
 Economic
 Managerial
 Psychological

Nascent
2 Classifications of entrepreneurs


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,Thinking/planning about business activity, taking actions, identifying opportunities and evaluation

Novice
Already planned  opportunity specified (decided), pursue opportunity, no business (running)
experience, running/starting own business (first stage business cycle)

Serial
Already have experience, close business  new business, different kinds of business starting and
closing (start – end – close)

Portfolio
Different kinds of businesses, hopping from on business to the other, combining portfolios (platform)

Growth strategy
Organic
Starting with small business activity and grew bigger on your own (sales increase,
did NOT rely on acquisition)
 Apple (garage  big company)

Acquisition
Acquiring other businesses, growth based on mergers/acquisition
 Disney (opkopen andere bedrijven) 3 Classification of entrepreneurs
(continued)
Entrepreneurs grouped by Risk and Innovation
Visionary
Entrepreneurs that want to introduce something NEW, Gap in
the market
 Internet, covid vaccination

Innovator
Entrepreneurs that bring INNOVATION to the market, better
products (technology was already there, but new business
model)
 Risk is higher because technology is already there
(comfort level with existing brand)
 Netflix, PayPal, Elon Musk (Tesla)

Gambler
Not common type of entrepreneur, hype (no innovation, high risk), no clue about future (gut feeling,
‘go with the flow’)
 Cryptocurrency

Imitator
Entrepreneurs try to imitate others (technology), we need these (not everyone has the same access),
most common type
 Phones

Hustlers
People who are willing to work hard and put in constant effort
 Often start small and work toward growing a bigger business with hard work rather than
capital
 Reduce resources (expenses)

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,  Can be visionary, innovator, gambler, imitator

QUIZ QUESTIONS
Social network: myspace  facebook
 Innovator

Walmart used scales of associating and sales to turn store to multibillion empire
 Imitator

Coming back from work and putting in the work for your own business
 Hustler

Steve job & the iPad
 Visionary

Approaches on Entrepreneur’s Personality
 Trait approach (Personality / Dispositional approach)
Studying personality traits and characteristics (WHO is an entrepreneur)
Looking at stable psychological traits
 Inspired by results in psychology during 1960s – 80s
 There is no single ‘entrepreneurial personality’ 4 Entrepreneurial traits
 Personality is a function of different things (characteristics)

PROBLEMS
- Does not always seem to fit reality
- Risk averse VS risk seeking not taking into account
- People are born with ‘it’
- Easy to be tempted into selection bias (you just choose the people you WANT to study, good
characteristics)

 Behavioral approach (Social-Cognitive approach)
Studying WHAT entrepreneurs do, rather than who they are
Looking at the actions/strategics taken by entrepreneurs
 Cognitive approach, perception & social interactions
 Behavior and skills, grooming competency are MORE important than personality
 You can work with your competences and develop those

Self-efficacy
The belief in your ability to perform a certain task will increase your changes in succeeding
 It can be trained
LEARNING PERSPECTIVE
- Personality changes and develops in response to and to accommodate, experience
(Interactions and grooming creates personality)
- This perspective is compatible with a behaviorist perspective
- It is also compatible with a self-motivated learning perspective
- Personality is revealed through stimulus-response correlations

 Biological approach
Genetics make up / competitions makes personality
 Similarities between twins (100% genetic composition of identical twins, 50% “” fraternal twins
on average)
 Study confirms genetic disposition towards entrepreneurship

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