Entrepreneurship Free Essays

Introduction Entrepreneurship is defined as the willingness or capacity that an individual or group of people have in developing, organizing and managing business ventures regardless of the risks that are involved (Kumar, 2008). Entrepreneurs are essentially individuals with excellent skills in presentation, generation of creative ideas that are likely to lead to the creation of multiple business ventures, as well as negotiating, functional and other entrepreneurial skills. According to Getz and Petersen (2004), all entrepreneurs share certain common traits including confidence, good communication and motivation skills, passion for the business venture, risk taking, self-drive, ability to work in volatile markets and visionary leadership skills. We will write a custom essay sample on Entrepreneurship or any similar topic only for you Order Now The current business environment is characterized by high competition levels between companies as they struggle to increase their market shares (Foss et al., 2013). However, entrepreneurs often see opportunities and apply their innovation and creative skills to succeed in such markets. According to Hayton et al. (2002), whereas entrepreneurs have significant interest in personal development, they also have strong interests in creating business ventures that have high potentials of succeeding. The subject of entrepreneurship has been debated by scholars and compared, as well as critically analyzed in comparison with other types of entrepreneurs in various sectors (Zhang Dodgson, 2007). Entrepreneurs can also be classified as serial, novice and portfolio entrepreneurs (Sergey et al., 2005). This paper intends to provide an in-depth discussion of entrepreneurship. Some of the concepts to be presented include a discussion of characteristics of entrepreneurs, the importance of entrepren eurship in the current business environment and challenges that are faced by entrepreneurs. It also highlights some theories and models about entrepreneurship and their applicability in event management and will also highlight several examples from the event management industry. Characteristics of Entrepreneurs One of the characteristics that define most of the entrepreneurs is their willingness to take risks. This does not necessarily mean dangerous risks but rather calculated risks by minimizing inherent risks in the undertaken venture, as well as managing the venture and focusing on the discovered opportunity (Henry Bruin, 2011). It is crucial that entrepreneurs should be prepared to take risks owing to the fact that in some cases, new ventures are unexplored; therefore, risk taking becomes a pre-requisite (Peters et al., 2009). Based on the Carol Moore’s interpretation, risk taking is among the personal elements that influence the entrepreneurial process and leads to innovation. According to Bygrave and Zacharakis (2004), entrepreneurial traits and personal traits are interrelated as indicated in the model, which leads to a triggering event that ultimately leads to the establishment of a new venture. Serial entrepreneurship is somewhat widespread. Entrepreneurs also have the urg e to exploit an opportunity that presents itself and this provides and environment for achievement (Allen, 2003). The need for achievement has also been outlined as a trait of serial entrepreneurs by Timmons and Spinelli (2007). Serial entrepreneurs have a desire to engage in challenging subsequent ventures because they apply tactics learnt from previous ventures like minimizing financial risk. Their urge to achieve leads them to overcome challenges and other risks involved with new ventures. This is unlike average businessmen who might cower from engaging in new ventures if they have an existing venture that is successful (Timmons Spinelli, 2007). The need to achieve more is what drives them to engage in more ventures. For instance, while most small business owners are content with the status quo and are reluctant to expand their businesses, entrepreneurs are always looking for innovative ideas on how to expand their businesses. Given that many entrepreneurs often engage in business ventures that are somewhat ambiguous, they ought to be ambitious and should not succumb to discouragement or challenges that they may face (Kumar, 2008). This requires that they have a vision of what they desire to achieve in the business, their long term and short term goals and objectives, as well as what outcomes they expect from the new venture (Bygrave Zacharakis, 2004). The element of having a vision is also highlighted in the Carol Moore’s entrepreneurial model as a personal aspect that directly contributes to the implementation and growth of the entrepreneurship. Although multiple factors influence the success of an entrepreneurship, a significant part directly depends on the lead entrepreneur who determines the success of the new venture (Burns, 2007). The extent to which any entrepreneur is ambitious about his vision determines the outcome. For serial entrepreneurs who have implemented several enterprise before, their previous experiences form other ventures provide the individual with enough knowledge, skills and experience to avert any threats and negative impacts as much as possible (Sergey et al., 2005). For successful serial entrepreneurship, it is of essence that an entrepreneur has a vision on future growth of the business venture, as well as, profit maximization (Garcia et al., 2007). Challenges faced by Entrepreneurs Even though the end-results of entrepreneurial ventures may be successful, individuals with the capability of venturing into entrepreneurship are faced with several challenges. (Kumar, 2008) argues that these challenges are more pronounced in the earlier entrepreneurship stages, which are characterized by several instabilities. One of the challenges that are faced by most entrepreneurs is that there is an uncertainty of income. Given that entrepreneurs have to ensure that all the aspects of their ventures have to be in place before they can allocate funds to themselves, occasions may arise where they are left with no income for themselves (Burns, 2007). However, this challenge is likely to be overcome when the enterprise of business venture matures and gets to the intended level of returns. Another challenge that is faced by entrepreneurs is derived from the risks that are involved. If an entrepreneurship project is started without carrying out the necessary market research and cost- benefit analysis, entrepreneurs face the risk of incurring losses and in worst cases, may lose their entire investments (Zhang Dodgson, 2007). For this reason, it is vital for entrepreneurs to reduce their exposure to risk by ensuring that they carry out an exhaustive analysis and study of their intended ventures before implementing them. Early stages of entrepreneurship may also increase the stress levels of entrepreneurs as they struggle to make it successful (Foss et al., 2013). Within the last few decades, there has been an increase in the number of people who are interested in entrepreneurship. As a result, there has been an increase growth and complexity in the field of innovation. Whilst entrepreneurs are assumed to possess innovative skills, there is also an increasing competition in the innovative world (Timmons Spinelli, 2007). This is because an invention or innovative idea that is implemented by an entrepreneur may be overtaken by more innovative ideas in a short time. To overcome such a challenge, entrepreneurs are advised to be consistent innovators and should carry out exhaustive market research to establish the on-going trends and expectations (Henry Bruin, 2011). Budgeting is also among the challenges that entrepreneurs face as they implement and run their ventures (Allen, 2002). Whilst some entrepreneurs are known to prepare an exhaustive budget prior to the event taking place, there are also entrepreneurs that fail to do so. There are also cases where budgetary allocations are made very early before the actual enterprise in started. There are situations where such estimates usually end up being much less than the actual costs that are needed in starting the business because of price increases that might have taken place in the market, thus leading to cost overrides (Holl Bohm, 2005). Other cases usually involve preparation of budgets without incorporating all major components that will be needed when starting the business, which may lead to under-allocation of funds. To avoid inconveniences that are caused by estimation of overall costs that are lower than the actual prices in the market, entrepreneurs should ensure that they frequently u pdate themselves on market prices of the require business inputs so as to fill the gap of price differences that might exist (Dickson Arcodia, 2010). To avoid situations where some of the major budget components of the event are omitted from the budget, a comprehensive budgetary plan must be prepared and reviewed severally to correct such issues. Factors Affecting Entrepreneurship There are also challenges or opportunities that are posed to entrepreneurs by virtue of their macroeconomic conditions in their regions of operation. Among the key challenges in the external business environments are political factors (Kumar, 2008). Whereas the last few years have seen a relative increase in political stability in many countries, there still exist economies whose political structures and institutions are not supportive of entrepreneurship (Henry Bruin, 2011). Political factors mainly comprise of regulations that are formulated for businesses operating in certain countries by the government or any other authoritative political leadership body. Some of the aspects that are controlled by governments include tax policies, environmental laws, labour laws and business tariffs and restrictions (CIMA, 2007). Apart from the intervention of governments in the business environment, political factors can also relate to the political stability of a country. Whereas stable econom ies are reliable for business, unstable or volatile political situations may adversely affect entrepreneurship. Identifying political factors of a country can be used by entrepreneurs to formulate market entry or exit strategies (Henry, 2012). Economic factors also directly affect entrepreneurship. Success of a entrepreneur or enterprise in any country greatly depends on the economic conditions that characterize it. These comprise of GDP and GDP growth rates, price stability (inflation), foreign exchange and interest rates, among others (Murray-Webster, 2010). Likewise, business strategies are formulated from economic conditions that prevail in an economy. For instance, if the interest rates on loans have a direct effect on an organization’s cost of capital (Williamson et al., 2013). Therefore, it affects the entrepreneur’s decisions on accessing credit facilities and expanding. Foreign exchange rates have a direct impact on companies in the import or export businesses or multinationals operating in economies that are not their home countries. In the external business environment, social factors include aspects like culture, the size and growth rate of the population, religion and demographic aspects like age and gender distributions (Morschett et al., 2005). Social factors have an impact on demand patterns of products and services. Because companies cannot adjust the social compositions and trend in the market, the strategy that can be used is the adjustment of goods, services or management styles to match the tastes and preferences dictated by the social patterns (Lussier, 2011). For instance, if an economy’s population is highly diversified, companies should ensure that they hire an inclusive workforce (Hongjun Yajia, 2012). Technological factors can also facilitate or challenge entrepreneurship. These include research and development capabilities, automation of operations, communication and distribution technologies (Cadle et al., 2010). The technological aspect of the external business environment has an impact on several areas of operation in the organization and therefore is among the key areas of reference in the formulation of success strategies. Murray-Webster (2010) argues that they determine market entry barriers, innovation capabilities and also labour costs. It has been argued by some researchers that legal factors or the external business analysis are closely related to political factors because laws and regulations are formulated by political leadership (Murray-Webster, 2010). Legal factors include laws that regulate employment, health and safety, discrimination and consumer protection. The level of maturation or of an economy’s legal systems also affects the operation of companies (Grant, 2013). For instance, legal systems that are not mature may have loopholes that allow vices like corruption and bribery, which lead to an imbalanced competitive environment for entrepreneurs, which may adversely affect their success. Opportunities for Entrepreneurs Even with the current status competition in the UK business environment, there are still opportunities for innovative entrepreneurs in the business to expand and strengthen their brand positions (CABI, 2009). One characteristic of entrepreneurship is that it is applicable across all industries not only in the UK, but all over the globe. However, entrepreneurs must note that to succeed in this competitive industry, they need to market themselves through implementing innovative ideas that are relevant and competitive enough in whichever industry they are targeting. In addition to this, they must also market themselves through many available avenues so as to attract a wide range of customers (Shone Parry, 2010). The increased globalization that is taking root in the global market also provides opportunities for entrepreneurs to reach a wider global audience with their ideas. Increased competition levels across industries have cause companies to intensify their promotional activities th rough events to increase public awareness. With a focus on the events’ industry, many entrepreneurial opportunities are presented. For instance, there is an increase in levels of diversity in the UK (CABI, 2009). For this reason, there are different religious, ceremonial, and cultural art events being held by member of different cultural backgrounds across the UK. These events seek services of event managers to run successfully. By either specializing in offering services for a certain cultural group of offering services across the board, event managers have a big opportunity for growth (Bratton Gold, 2012). There is also an increase in the number of weddings, anniversary and birthday celebrations. Event companies that provide excellent services and effectively market themselves through the traditional and modern mediums have an opportunity of capturing a large market share in the UK. One of the successful companies in the UK is Theeventscompoany (Theeventscompany, 2013), which is based in the midlands and provides ev ent services in the United Kingdom and European countries. Success of this company has been attained by providing a wide range of corporate event management services that include corporate entertainment events, company fun days, conference management, themed events and gala dinners and other promotional events. Another successful company in the UK events industry is the Absolute Perfection Wedding Consultancy, which has focused on provision of wedding event management (Absolute Perfecttion, 2013). Even with the relatively high number of event companies across the UK that increase the bargaining power of buyers, the increasing market demand provides an opportunity for new companies to enter the UK market. However, successful entry and development of a competitive edge against the current market players requires heavy investment in equipment, marketing and hiring of qualified staff members in the organization. Creativity and Innovation in Entrepreneurship The current business environment is characterized by several dynamics that have made organizations change their approaches to business issues. To thrive in the present day corporate environment, entrepreneurs are increasingly recognizing the need of incorporating creativity in their day-to-day activities (Cooke et al., 2012). Creativity is the process through which new ideas or alternatives for solving different issues are generated. Implementation of these ideas is referred to as innovation. According to Andriopoulos and Lowe (2000), business entities are categorized as being creative if they get their main income by generating novel ideas that are appropriate in tackling the needs of their target clients. There are several entrepreneurs whose businesses or companies have prospered by embracing creativity and creating a work environment that nurtures innovation. These companies include Google, Facebook, apple and Microsoft. Among ways in which companies are transforming towards bein g more creative is the elimination of hierarchical barriers that slow down the communication process and response to change. Eardley and Uden (2011) posit that hierarchical management structures are based on the notion that the management is supposed to create control, certainty and predictability. Even though bureaucracy has its advantages, the current business environment requires organizations to be flexible and ready to face unpredictable situations. This can only be achieved by encouraging creativity. As opposed to earlier times when competition between companies that offer the same service or product to clients was mostly based on price, creativity has also become an important aspect of competition. Creativity has been incorporated in advertising and other promotional techniques, product design, pricing strategies and distribution which are the key components of marketing (Slater et al., 2010). Even though creativity and innovation is essential for survival in the current busi ness environment, there are several setbacks that are associated with it. For instance, creativity involves taking risks with no certainty of a positive outcome. This is one of the reasons that make certain organizations to stick to hierarchical structures (Andriopoulos Dawson, 2009). Theories in Entrepreneurship and their applicability in Event Management Event management is the utilization of a wide range of management skills in creation, organization and development of different types of events. Events can be categorized into four major classifications. These are leisure events, personal events, cultural events and organizational events (Bratton Gold, 2012). In order to ensure that events are successful, event managers have to consider several aspects before, during and after events. Just like other industries in the wider business environment, success in the event management business also depends on the entrepreneurial skills of the owners. With the gradually increasing interest of researchers in the subject of entrepreneurship, several theoretical models that can be used to obtain a deeper understanding have been suggested. One of these theories is the path dependence theory (Zumbansen Calliess, 2011). The path dependence theory states that decisions that are to be made about the choice of a product or service depend on previous experiences with it. This remains the case even when newer and improved versions of services or products are availed in the market. Path dependence results from the fact that it is easier and cost effective to continue with the use of certain products and services (an already-set path) that to create another path that is entirely new and unknown (Magnusson Ottosson, 2009). With reference to this, entrepreneurs in the event management business need to ensure that they provide customers with satisfactory services that will make them return in case subsequent event needs. By carrying out post-ev ent analysis, this theory is also applicable in selection of suppliers for the event company. Even though this theory holds true to a certain level, it is also true that when companies that offer better event management services enter the market, customers can shift from their original event management service suppliers. It is also argued by scholar that the historical determinisms in the path-dependence theory are prone to disruptions from that occur as a result of the dynamism in the present-day economic environment and industrial evolution (Dobusch Kapeller, 2013). There also the cultural dimensions’ theory that can be used in relation to entrepreneurship. According to Hofstede (2001), the institutional and cultural background of the entrepreneur determines various attributes including the ability to take risks and avid uncertainty. For instance, Hofstede’s model (1980, 2005) some cultures nurture individuals to have high uncertainty avoidance index as compared to others. This influences the willingness to take risks among managers, entrepreneurs and employees. For instance, his studies find the Chinese as being largely influenced by the Confucianism culture, which has the philosophy that what is bound to happen is inevitable; this culture is what the Chinese use to handle uncertainties. The Chinese are, therefore, not used to many rules and regulations, managers are more willing to engage in risks. In other studies Hofstede (2005) established a higher uncertainty avoidance index among the German people as compare to the British. According to Perks and Ricarda (2005), the factors of uncertainty avoidance and risk taking which are influenced by culture, affect entrepreneurship and, especially serial entrepreneurship which determines the ability to acquire new ventures and come up with new innovative business ideas. Another theory that is relevant to entrepreneurs in the event management business is the narrative theory, which is about how effectively organizations market themselves to their target markets (Goodson, 2012). For companies to successfully appeal to their target audience, they have to say something unique about themselves in their promotions, mission statements and vision statements. For event companies, this can be achieved by mentioning their points of strength or areas of specialization (Makkonen et al., 2012). Critics of the universal theory argue that its applicability is limited to communication styles that fit classic narrative patterns (Herman et al., 2012). Conclusion The current state of dynamism that characterises the present-day business environment has increased the need of entrepreneurship. As earlier defined in the paper, an entrepreneur is an individual who has the courage and will to venture into uncertain business ventures, regardless of the risks that are presented. Based on this, there are different challenges and opportunities that entrepreneurs are faced with. This paper has discussed these challenges and opportunities, and also provided recommendations on how entrepreneurs can avoid the challenges that they are exposed to. Macroeconomic factors that affect entrepreneurship have also been discussed in this paper. This report has also provided an overview of the events management industry that has discussed and the applicability of entrepreneurial theories on the industry. Opportunities include expansion to the global markets and different avenues in which event management services are needed. Theories that can be applicable to the eve nts industry have also been discussed in this paper. In addition to explaining their relevance to the event management industry, criticisms of these theories have also been presented. Whilst several points have been presented in this paper, future research could be beneficial to practice by establishing the gaps that exist between entrepreneurship theory and practice. References Absolute Perfecttion, 2013. About Us. [Online] Available at:http://www.absoluteperfection.co.uk/weddings.html [Accessed 9 December 2013]. Andriopoulos, C. Dawson, P., 2009. Managing Change, Creativity and Innovation. London: Sage Publications Ltd. Andriopoulos, C. Lowe, A., 2000. Enhancing organisational creativity: the process of perpetual challenging. Management Decision, 38(10), pp.734-42. Bratton, J. Gold, J., 2012. Human Resource Management: Theory and Practice (5th edition). London: Palgrave. Burns, P., 2007. Entrepreneurship in Small Business. New York: Palgrave Macmillan. CABI, 2009. People and Work in Events and Conventions: A Research Perspective. Oxfordshire: CABI. Cadle, J., Paul, ?. Turner, P?., 2010. Business Analysis Techniques: 72 Essential Tools for Success. Chippenham: BCS, The Chartered Institute. CIMA, 2007. Strategic Analysis Tools. [Online] Available at: http://www.cimaglobal.com/Documents/ImportedDocuments/cid_tg_strategic_analysis_tools_nov07.pdf.pdf [Accessed 12 December 2013]. Cooke, P., Parrilli, ?M.D. Curbelo, J?.L., 2012. Innovation, Global Change and Territorial Resilience. Glos: Edward Elgar Publishing. Dickson, C. Arcodia, C., 2010. Promoting sustainable event practice: The role of professional associations. International Journal of Hospitality Management, 29(2), pp.236-44. Dobusch, L. Kapeller, J., 2013. Striking new paths: Theory and method in path dependence research. Schmalenbach Business Review, 65. Eardley, A. Uden, L., 2011. Innovative Knowledge Management: Concepts for Organizational Creativity and Collaborative design. Hershey: IGI Global. Foss, L., Woll, K. Moilanen, M., 2013. Creativity and implementations of new ideas: Do organisational structure, work environment and gender matterInternational Journal of Gender and Entrepreneurship, 5(3), pp.298-322. Garcia, A.C., Ribeiro, D. Roig, S., 2007. Entrepreneurship: Concepts, Theory and Perspective. Valencia: Springer. Goodson, I.F., 2012. Developing narrative theory: Life histories and personal representation. New Jersey: Routledge. Grant, R.M., 2013. Contemporary strategy analysis and cases: text and cases. New Jersey: John Wiley Sons. Henry, A., 2012. Understanding Strategic Management. Oxford: Oxford University Press. Henry, C. Bruin, ?.d., 2011. Entrepreneurship and the Creative Economy: Process, Practice and Policy. Glos: Edward Elgar Publishing. Herman, D. et al., 2012. Narrative Theory: Core Concepts and Critical Debates. Ohio: The Ohio State University Press. Holl, R. Bohm, S., 2005. Zero Base Budgeting Using the Balanced Scorecard. Marienstrasse: GRIN Verlag. Hongjun, L. Yajia, G., 2012. Study on Chain Companies Human Resources Management. Information and Business Intelligence, 267, pp.227-32. Kumar, S.A., 2008. Entrepreneurship Development. New Delhi: New age International. Lussier, R.N., 2011. Management Fundamentals: Concepts, Applications, Skill Development. Mason: Cengage Learning. Magnusson, L. Ottosson, J?., 2009. The Evolution of Path Dependence. Glos: Edward Elgar Publishing. Magnusson, L. Ottosson, J?., 2009. The Evolution of Path Dependence. Glos: Edward Elgar Publishing. Makkonen, H., Aarikka-Stenroos, L. Olkkonen, R., 2012. Narrative approach in business network process research—Implications for theory and methodology. Industrial Marketing Management, 41(2), pp.287-99. Morschett, D., Swoboda, B. Schramm-Klein, H., 2005. Competitive strategies in retailing – an investigation of the applicability of Porter’s framework for food retailers. Journal of Retailing and Consumer Services, 13(4), pp.275-87. Murray-Webster, ?R., 2010. Management of risk: guidance for practitioners. Norfolk: TSO Shop. Sergey, A., Dietmar, G. Robert, D.H., 2005. The Journey from Novice to Serial Entrepreneurship in China and Germany: Are the Drivers the SameManaging Global Transitions, 6(2), pp.117-42. Shone, A. Parry, B., 2010. Successful Event Management. Thompson Learning. Slater, S.F., Hult, G.T.M. Olson, E.M., 2010. Factors influencing the relative importance of marketing strategy creativity and marketing strategy implementation effectiveness. Industrial Marketing Management, 39(4), p.551–559. Theeventscompany, 2013. Abot Us. [Online] Available at: http://www.theeventscompany.co.uk/ [Accessed 9 December 2013]. Timmons, A. Spinelli, S., 2007. New Venture Creation: Entrepreneurship for the 21st Century. New York: McGrawHill. Williamson, D., Cooke, ?P. Jenkins, ?W., 2013. Strategic Management and Business Analysis. New Jersey: Routledge. Zhang, M.Y. Dodgson, M., 2007. High-Tech Entrepreneurship in Asia: Innovation, Industry And Instututional Dynamics in Mobile. Glos: Edward Elgar Publishing. Zumbansen, P. Calliess, G?.-P., 2011. Law, Economics and Evolutionary Theory. Glos: Edward Elgar Publishing. How to cite Entrepreneurship, Essay examples Entrepreneurship Free Essays string(99) " in the tourism industry are huge challenges to the Sewing’s International \(Pity\) Limited\." Under this assignment I will discuss his prospects as a growing entrepreneur and a variety of factors that are to be considered. The starting and enlarge his business In the hospitality services industry. According to the demand of the industry, the driving forces for him to move forward will also discuss. We will write a custom essay sample on Entrepreneurship or any similar topic only for you Order Now The analysis of the answers of the Interview will be presented with theoretical arguments. Background The entrepreneur I chose was Necessary Centenarian, who is from Sir Lankan. He has done a BAA Business Management degree. His Business partner is Gaffed Mohamed Huzzah. They are the two shareholders. Their company Is called the Cements International (Pity) Limited. They provide hospitality services. Main Body 1. Planning the Interview An interview was taken with an incorporation of numerous questions. Each and every important fact have been asked from Necessary Centenarian with an expectation of understanding the good and bad practices of their business as well as to understand how he applied different theories Into practice. The analysis of his answers may helpful to other small and medium entrepreneurs who are providing hospitality services in Sir Lankan to have certain direction in their path to success. The questions were built using the guidelines given in the assignment question. I chose this person because I have certain experiences with it. Therefore I know he is a talented small and medium sized entrepreneur who Is trying to become one of the most successful entrepreneurs within tourism and hospitality industry. Even though, still their company website is under construction I had to find their contact details from their to contact him over the telephone using the contact details found from the Faceable and he kindly gave the opportunity for me to interview him over the Skips. I could bled to reserve two hours of his valuable time to conduct my interview. I conducted the interview as planned and his all responses were written clearly (See appendix 01). I will mention below as an analysis which were talked about in that interview. 2. Analyzing responses At the beginning of the interview I asked him about the size of the business, whether it is a micro -enterprise or small to medium business. His response that he is the one of the managing directors of the Sewing’s International (Pity) Limited and they conduct it as a small and medium sized company. Bower (2003: up. 87) expressed hat small and medium sized companies should have effective hierarchy of the organization (Referring to SQ). There are two managing directors of the company. They are Necessary Centenarian and Gaffed Mohamed Huzzah. The company has a management team which has performed and organize sales and other services along with the daily activities of the organization. The board of direc tors has the authority to control the managers by taking decisions and putting necessary rules and conditions regarding controlling accounting, marketing and HRS departments as well as entry level. The organization chart which he showed me has been mentioned in he appendix 01 . (Referring to SQ) I needed to know that the factors which are motivated him to run the business (Referring to IQ). Angel et al (2006: up. 139-154) viewed that, as a small and medium entrepreneur in the tourism and hospitality industry, each company should have a dynamic power to forward even with having boundaries by reforming the standards and current market situation. As a reply to this, he pointed out certain factors. According to his view, their entrepreneurial spirit has been motivated them initially to run this business by using their own ethical values. Moreover they needed to take the best advantage of the emerging marketplace of tourism in the country. Further I asked him about how did he start and develop the business (Referring to SQ). A small entrepreneur always has a considerable challenge to start a business, because he cannot invest huge capital. And also they have to understand the most suitable place and target customers before starting the business. According to his answer, I can understand that they have conducted an effective market research before starting the business. In order to overcome obstacles in a successful way, they effectively analyses the marketplace and have built a strong business plan. The interview was carried out by specifying variety of other skills required by him in order to place a tangible base for his small and medium sized company (Referring to SQ). As his reply, they needed to have different skills such as leadership skills, business skills, technical skills, unique business communication skills towards good knowledge about local government regulations. According to Robbins (2001 : up. 2), especially the tourism industry required a range of skills and knowledge in the starting as well as maintaining stages of a successful business. Some of skills Centenarian named are strategic business planning skills, marketing skills, sales and customer relationships, human resource management skills and financial and accounting skills. (Referring to SQ) about their start up activities Deere (2000: up. 81) mentioned that if a company of s tart up activities. According to the reply of Centenarian, I could be able to summaries ten starts up activities of the company and clearly list them in the appendix (SQ). Some examples are creating a Business plan, conducting research and many others as mentioned in appendix. The business plan is a very crucial instrument for each and every company. As mentioned in Robbins (2001 : up. 82), a business plan is very important as it actually provides a base as a compass for the direction of a company will expect to obtain in the future. A strong business plan will support the business to obtain success and to achieve what it really needs to achieve. I needed to know whether they had an effective business plan before starting the business (Referring to SQ). He replied that his company had a strong business plan and it supported the company to become successful not only in the short run, but in the long run too. Both new entrants and existing competitors in the tourism industry are huge challenges to the Sewing’s International (Pity) Limited. You read "Entrepreneurship" in category "Papers" Therefore, I asked Centenarian about identifying and assessing the competition in the industry. His reply pointed out that, they did a competitive analysis before developing particular service. They believe it supports the company to position their services for success by assessing healthy competition. I further asked him regarding the external support or advices taken to develop the business (Referring to QUO). He mentioned that his company took huge financial support as well as financial advices room the Bank of Ceylon. According to the view of Validity (2000: up. 62) the financial advices given by the commercial banks support the Seems heavily to have better financial control. The business statistic researchers have supported for Sewing’s International very much, when the company conducted a market research to identify the best possible market opportunities. As Sewing’s International used marketing campaign group to promote products and services, the people who were in that group also very helpful to the company. After his description, I asked about funding (Referring to IQ 1). Centenarian cleared that they have not acquired funds from external parties. They have used self funding to establish and develop the business. The media they have used to promote the business Centenarian stated that still their website is under construction (Referring to IQ 2). However, they use Faceable to promote their business by mentioning their information and uploading attractive photographs (HTTPS://www. Casebook. Com/sewing/info). For marketing and communications strategies, he motioned that in order to promote discounts on their products they are heavily used email promotions and short message service news (Referring to IQ 4). He further mentioned that advertising current discounts and promotions on local magazine are also used to promote their se rvices among the tourists. As a company under SEEM category, it is important to know their attitude to risk (Referring to IQ 3). I asked about the company’s potential risks under the twelfths question. According to the view of Thomson (2004: up. 42), through higher risk, a company can achieve a higher potential return while lower risk generated lower returns. Sewing’s International runs as a moderated company in the tourism field. They need to manage risk effectively to achieve higher business outcomes. The future plans of the company (Referring to IQ 5). As a company which appreciating long term business I specified the company’s goals which are expected to achieve within next two years. Centenarian mentioned that they need to keep higher consideration to achieve customer base. And also he states that the tourism industry is modifying rapidly. Therefore they need to modify their hospitality services according to those changes. Otherwise they will lose their loyal customers. The managing director of Sewing’s International expects to modify their services in order to achieve individual customer distractions. He further declared that they will expect to cater Malaysian travelers in the near future. Conclusion Sewing’s International is a small sized company who provides hospitality services to the people who visit Sir Lankan. Centenarian, one of the managing directors of Sewing’s International was interviewed to extract the information about their business and its strategies. I conclude that the company has many good and bad aspects. Still they haven’t created a website for their company. It is one drawback of the company. As most tourists can be attracted through the website definitely they would construct their website as soon as possible in an attractive way. The other drawback is they do not use external funding sources to expand the company. However, they should expand the company by taking more financial support from possible external party. The other weakness is their service categorization is not strong enough. The company also should categories its services into a number of sections with the expectation of providing differentiated service for visitors from different countries. As many foreigners visit Sir Lankan more than one time, the company can offer discount packages to those visitors to make them loyal to the many. But when it is considered about their business plan, they have a good focus on the future. Their start-up activities, skills and organizational hierarchy should be appreciated. However, in order to attract more tourists, the company should able to use many social media and creative strategies in the future. Write about the person whether he is a real entrepreneur or not. His skills and characteristics. What makes him an entrepreneur? References Angel, Linda, C. , Classes and Robert, D. (2006). Integrating environment issues in to the Mainstream: An agenda for research in Operational management, up. 36-147 Bateman, Thomas, S. , and Carl, P. (2001). 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Com/Sewing/info [Accessed 16th January 2013] Sir Lankan Tourism Development Authority (2013) tourism in Sir Lankan [online], Available from: http://www. Salted. Ova. Elk/ [Accessed 19th January 2013] Hospitality industry Sir Lankan (2012) Hospitality Marketing in Sir Lankan[online], Available from: http://www. Deadlines. Elk/2012/01112/buses. Asp [Accessed 20th January 2013] Appendix 01 Transcript Name of Entrepreneur- Centenarian Necessary from Sir Lankan. Media used for the interview- Skips conversat ion – ours 1 . What size is the business? Micro -enterprise or small to medium business (seem)? Sewing’s International (Pity) Limited is a SEEM 2. Directors Manger Legal Decision Accounting Marketing Entry level For Seems: What is the organizational structure? Who does what in the organization? Is Yes there is a management team which is perform and organize sales and after sale services along with organizations daily activities 3. What motivated she/he to run a business? * Initially our entrepreneurial spirits which motivated us to run our lives and businesses using our own ethical values * Next we took advantage of an opportunity that emerged in the marketplace since the country is witnessing a sudden spurt in tourism activities * And it’s an opportunity for us, desire to control our own destiny having space for thinking time’ and to pursue an idea, to gain the financial rewards that entrepreneurship can bring. . How did she/he start / establish [grow the business? Before we draw up the tourism business plan, we did analyses and researches to understand the market, because a good business plan can help you overcome one obstacle after the other 5. What skills did she/he need? As an entrepreneur to start and run a business there are varies skill needed such as leadership skills, business skills, technical skills , unique business communications kill along with awareness of local government rules and regulations, But tourism industry need a range of knowledge and skills to both start and operate a successful business those are, * Strategic Business Planning Skills * Marketing Skills * Sales and Customer Relationships * Human resource management skills * Finance and Accounting Skills 6. Did they she/he have a business plan? We do have a strategic business plan to meet longer term objectives 7. What were their start up activities? Creating a Business Plan Conducting research Choose a business Structure Set Up a business Location Registering business name Acquiring licenses (government rules and regulations) Financing Your Business Training Staff Marketing your Business Going Green 8. What help did they get? What agencies, advisers or other support did they tap group to promote our products and services 9. How did they acquire funding? Or self funding? Self funding 10. How do they use the web social media for business? Advertising current discounts and promotions on local magazine and social networks 1 1 . What is their marketing and communications strategy, including their website and any use of social media? We use email promotions and SMS news about accounts on our products 12. Did she/he identify and assess the competition? We have did a thorough competition analysis before we develop our product, we are likely to have at least some competition. Taking the time to assess healthy competition will allow us to position our product for success. 13. What is their attitude to risk? Higher risk higher potential return, lower risk lower potential returns We are on moderate 14. Where are they headed? Do they plan to grow? In what way? Or what other plan for the next 1-3 years? So far we have achieved certain customer base, we have hoping to cater Malaysian travelers in future. How to cite Entrepreneurship, Papers Entrepreneurship Free Essays History of entrepreneurship[edit] Etymology and historical usage[edit] First used in 1723, today the term entrepreneur implies qualities of leadership, initiative and innovation in manufacturing, delivery, and/or services. Economist Robert Reich has called team-building, leadership and management ability essential qualities for the entrepreneur. [5] The successful companies of the future, he has said, will be those that offer a new model for working relationships based on collaboration and mutual value. We will write a custom essay sample on Entrepreneurship or any similar topic only for you Order Now 6] The entrepreneur is a factor n microeconomics, and the study of entrepreneurship reaches back to the work in the late 17th and early 18th centuries of Richard Cantillon and Adam Smith, which was foundational to classical economics. In the 20th century, entrepreneurship was studied by Joseph Schumpeter in the 1930s and other Austrian economists such as Carl Menger, Ludwig von Mises and Friedrich von Hayek. The term â€Å"entrepreneurship† was coined around the 1920s, while the loan from French of the word entrepreneur itself dates to the 1850s. It became something of a buzzword eginning about 2010, in the context of disputes which have erupted surrounding the wake of the Great Recession. [clarification needed] What is an entrepreneur[edit] Entrepreneur (i/pntraprSn3r/), is a loanword from French. It is defined as an individual who organizes or operates a business or businesses. Credit for coining the term entrepreneur generally goes to the French economist Jean-Baptiste Say, but in fact the Irish-French economist Richard Cantillon defined it first[7] in his Essai sur la Nature du Commerce en G ©n ©ral, or Essay on the Nature of Trade in General, a ook William Stanley Jevons considered the â€Å"cradle of political economy†[8] Say and Cantillon used the term differently, however. Cantillon biographer Anthony Breer notes that Cantillon saw the entrepreneur as a risk-taker while Say considered the entrepreneur a â€Å"planner†. [9] Cantillon defined the term as a person who pays a certain price for a product and resells it at an uncertain price: â€Å"making decisions about obtaining and using the resources while consequently admitting the risk of enterprise. † The word first appeared in the French dictionary entitled â€Å"Dictionnaire Universel de Commerce† compiled by Jacques des Bruslons and published in 1723. How to cite Entrepreneurship, Papers