CREATIVITY AND INNOVATION
Hi again! Before I start I’ll like to thank all of you who have been visiting my blog site, I really appreciate. Please don’t forget to drop a few comments, thanks! In the last class we learnt about CREATIVITY and INNOVATION. They might sound similar, however, they are not. Here is a brief definition of both:
Creativity is the generation of ideas which results in the improved efficiency or effectiveness of the system (Kuratko 112). Innovation however is a process by which an entrepreneur converts opportunities (ideas) into marketable/profitable solution (Kuratko 124). You don’t say it’s innovative until it’s profitable.
Below are a few ways by which you can recognize social opportunities in the society:
1. TRENDS: trend refers to changes or shifts in the current pattern in the majority of people. By observing the trend in the major population, an entrepreneur might be able to spot out certain opportunities that might be profitable. Trends that can be observed in our society today include:
Societal trends: high divorce rate (in the west), health and physical fitness
Technological trends: e-commerce, i-pads
Economic trends: dual earner families
Government trends: increase in the price of petroleum, terrorism (Kuratko 111).
2. INCONGRUITIES: this means that a gap exists between the reality and the expected. For instance, Fred Smith, owner of FedEx, saw an incongruity between the fact that the U.S. postal services only made deliveries between 8am and 5pm (reality), and the fact that they should carry out overnight deliveries also (expected). Therefore he took it upon himself to make these overnight deliveries, hence FedEx was created, and it has been quite profitable if you ask me.
3. UNEXPECTED OCCURANCES: whether good or bad, these can trigger or influence someone to begin thinking of marketable ideas. The disreputable 9/11 incident comes to mind. This brought the idea of a marketable solution; homeland security.
4. PROCESS NEEDS: often referred to as ‘pains’, arise when a solution is required to a problem. Venture capitalists refer to them as ‘pains’ that need ‘pain killers’. Examples of these ‘pain killers’ include the microwave oven, sugar free products, caffeine free coffee.
5. INDUSTRY AND MARKET CHANGES: certain changes are occurring in the market. Questions such as; what is in high demand nowadays? Can generate marketable ideas. For example, in the health care industry, people now prefer home health care.
6. PERCEPTUAL CHANGES: occur because people are more knowledgeable and see things differently. Nowadays, people want to look more beautiful and fit. Marketable solutions to this include beauty salons, spas, gym.
7. KNOWLEDGE BASED CONCEPT: these are simply inventions. They are products of new thinking and new methods. Examples include mobile (cell) phones, pharmaceuticals and robotics.
8. DEMOGRAPHIC CHANGES: this involves changes in the population of a society. these might be changes in age structure, occupation, geographical location, and other factors. Changes in demography can serve as a source of innovative ideas. For example, in places where the population of old people is higher compared to other age groups, establishment of retirement homes for old people can be a profitable innovative idea.
By following the above steps you are sure to come up with a good business idea.
QUIZ: In my school, there is currently a situation whereby students cannot swipe for meal tickets after 8pm, in which of the above categories do you think this problem fits into?
Keep the comments coming!
Works cited
Kuratko, F. Donald. Introduction to Entrepreneurship. South-Western
Cengage learning, 2007.
Thursday, 1 November 2012
Thursday, 25 October 2012
THE CONCEPT OF SOCIAL ENTREPRENEURSHIP
Social entrepreneurship is a process that begins with recognition of a perceived social opportunity; translation of that opportunity into an enterprise concept; and identification and acquisition or allocation of resources needed to implement/realize the goals (Kuratko 81). A person or people who lead/captain an organization involved in social entrepreneurship are social entrepreneurs.
Social entrepreneurship focuses on innovation (perception and translation of a social opportunity), risk taking (which is synonymous with entrepreneurs) and large scale transformation [the enterprise when realized, benefits almost everyone by generating “transformative, financially sustainable solutions to social problems that face the nation” (kuratko 82)]. The target of social entrepreneurs is to solve problems that affect the society (especially those at the bottom of the pyramid – the lower class) and at the same time, make profit (they are not charity organizations). Other synonyms for social entrepreneurship include civic entrepreneurship, public entrepreneurship. Social entrepreneurs are also called social innovators.
An example is Muhammad Yunus, an economist and the founder of the microfinance bank; whereby entrepreneurs who are unable to obtain loans from commercial banks, have access to microcredits at comparatively low interest rates. In 2006 Mohammad Yunus received a nobel prize for his innovation.
The social action and responsiveness of corporations involved in social entrepreneurship has been classified into three groups, they are: social obligation (the corporation responds to social pressure only if the law requires that they do so), social responsibility (the corporation is more active in its response compared to the former, and takes responsibility for social problems), social responsiveness (here, the corporation is most active in its response, in that it not only takes responsibility for social problems, but is open to contributions from members of the society).
A recent development in social entrepreneurship is their involvement in seeking ways to solve environmental problems [such as “the need to preserve and protect natural resources” (Kuratko 83)] in such a way that it benefits the society and the corporation (in terms of profit making). An example of a social entrepreneur involved in solving social-environmental problems is Willie Smith. Through his profession as a microbiologist, conservationist, and animal right activist, he became a social entrepreneur. It all began after he saved and nurtured a baby Borneo Orangutan (a rare species of the ape family). Today, he heads a Borneo Orangutan Survival Foundation. He is also an advocate for reforestation.
Works cited
Kuratko, F. Donald. Introduction to Entrepreneurship. South-Western Canada.
Cengage Learning, 2009.
"Muhammad Yunus - Biography". Nobelprize.org. 26 Oct 2012 <http://www.nobelprize.org/nobel_prizes/peace/laureates/2006/yunus-bio.html>
“Willie Smits.” Masarang.26 Oct, 2012 <http://www.masarang.nl/en/about-masarang/willie- smits- en.shtml>
Social entrepreneurship focuses on innovation (perception and translation of a social opportunity), risk taking (which is synonymous with entrepreneurs) and large scale transformation [the enterprise when realized, benefits almost everyone by generating “transformative, financially sustainable solutions to social problems that face the nation” (kuratko 82)]. The target of social entrepreneurs is to solve problems that affect the society (especially those at the bottom of the pyramid – the lower class) and at the same time, make profit (they are not charity organizations). Other synonyms for social entrepreneurship include civic entrepreneurship, public entrepreneurship. Social entrepreneurs are also called social innovators.
An example is Muhammad Yunus, an economist and the founder of the microfinance bank; whereby entrepreneurs who are unable to obtain loans from commercial banks, have access to microcredits at comparatively low interest rates. In 2006 Mohammad Yunus received a nobel prize for his innovation.
The social action and responsiveness of corporations involved in social entrepreneurship has been classified into three groups, they are: social obligation (the corporation responds to social pressure only if the law requires that they do so), social responsibility (the corporation is more active in its response compared to the former, and takes responsibility for social problems), social responsiveness (here, the corporation is most active in its response, in that it not only takes responsibility for social problems, but is open to contributions from members of the society).
A recent development in social entrepreneurship is their involvement in seeking ways to solve environmental problems [such as “the need to preserve and protect natural resources” (Kuratko 83)] in such a way that it benefits the society and the corporation (in terms of profit making). An example of a social entrepreneur involved in solving social-environmental problems is Willie Smith. Through his profession as a microbiologist, conservationist, and animal right activist, he became a social entrepreneur. It all began after he saved and nurtured a baby Borneo Orangutan (a rare species of the ape family). Today, he heads a Borneo Orangutan Survival Foundation. He is also an advocate for reforestation.
Works cited
Kuratko, F. Donald. Introduction to Entrepreneurship. South-Western Canada.
Cengage Learning, 2009.
"Muhammad Yunus - Biography". Nobelprize.org. 26 Oct 2012 <http://www.nobelprize.org/nobel_prizes/peace/laureates/2006/yunus-bio.html>
“Willie Smits.” Masarang.26 Oct, 2012 <http://www.masarang.nl/en/about-masarang/willie- smits- en.shtml>
Monday, 22 October 2012
THE FAB. LIFE (WHAT A LIFE!)
THE FAB LIFE OF FILTHY RICH BILLIONAIRES
In a world of more than 7 billion people, only a mere 793 are billionaires (what an uncommon species!). It was after I watched the video on the fabulous life of filth rich billionaires, that I began to understand how extremely extravagant these ‘rare breeds’ can be. When it comes to spending and lavishing, billionaires are simply despicable. Here are 2 of the few billionaires that almost left my jaw hanging even before the video had gone halfway:Born July 31, 1958, Mark Cuban is an American business man, worth more than $2 billion. A graduate of business administration, he is basically involved in the internet business and other technologies. Mark said, “I’m the luckiest guy in the world and when I die I want to come back as me.” who would blame him? For someone who bought a house (sorry) a 34,000 sq. ft. Dallas mansion for $15 million (wait for the best part) without even setting eyes on it!!! In this mansion is a gazebo, large enough to be called a ‘millionaire’s mansion’, however Mark refers to it as ‘a place to keep his barbecue grill out of the rain.’
In 2005, he bought himself a Gulfstream V for a whopping $42 million – with a full time pilot, wood imported from Ivory Coast, 24 carat gold cup holders and state of the art technology, all customized to Mark’s specifications.
He also bought the NBA’s Dallas Mavericks for a mouth-watering $285 million. According to reporter Nadira Hira, of Fortune Magazine, “this gives billionaires the opportunity to own people.” One begins to wander if these billionaires have limits!
A more fascinating example is the 49 -year old Prince Alwaleed Bin Talal of Saudi Arabia, worth more than an astonishing $20 billion. In 1997, he built himself a palace that cost $130 million (Royal Billionaire). According to a reporter, this palace is bigger, grander and probably more lavished than the homes of the top five billionaires ALL PUT TOGETHER!! With 317 rooms, the palace occupies a space of 400,000 sq. ft. Also, there is a 20 ft. high wall of water fountain and a 75 ft. high jewelled winding staircase (that’s not the end of it) this palace is so large that people usually get lost in it and have to be rescued by one of the 180 search and rescue staff (absolutely absurd!)
He also owns a 747 Jumbo Boeing Jet (the monster of the Boeing line) with 40,000 cubic ft. of well decorated and excessively lavished space. An average Jumbo Jet costs $200 million you can only imagine how much it costs to build an awfully lavished one… (dream on). According to Mickey Broadman, “these billionaires fly on private jets the way you and I need to walk”
This is only a tip of the ice berg. I’ll suggest you visit the link; <http://www.youtube.com/watch?v=pRzg8u_eLnc> to see for yourself the awfully incredible ways these billionaires live. I look forward to being a billionaire someday (by the Almighty’s grace) however, a very distinct one – a more prudent one (like my father always says, "it's not easy, but it's very possible"). Till then, lets keep watching the 'big boys' with the the 'big doughs' as they inspire and depress us at the same time (no hard feelings).
Thursday, 20 September 2012
EXPERIENTIAL EXERCISE
REFLECTION ON RESULT OF EXPERIENTIAL EXERCISE
My result of 88% does not surprise me at all, because I've always known that I am a high achiever. I give in the absolute best of myself in everything i do because life is a game of garbage in and garbage out. I am a go-getter. I dream a lot and i don't just stop at that, I work towards it, and this has influenced various aspects of my life.
Wednesday, 19 September 2012
CHARACTERISTICS OF AN ENTREPRENEUR
1. Calculated risk takers: entrepreneurs before embarking into any venture or taking any risk, compare the chances of success to that of failure, in other words, they take well thought out risks. Unlike gamblers, entrepreneurs weigh the possible outcomes before making decisions2. Profit-oriented: the main purpose of entrepreneurship is to make profit and add value to the society. Entrepreneurs aim at making higher profits annually, unlike small business owners who stick to ‘stable profits.’
3. Tolerance for failure: most business owners who fail after one or two trials often give up and lose hope. However, this is not the case with successful entrepreneurs, who persevere and persistently strive until they reach their target. In other words, they have high tolerance for failure.
4. Innovative: entrepreneurs are people who think outside the box, i.e. they think of new ideas, exploring different ways to improve their business in order to make more profit, unlike small business men who stick to their stable sales.
5. Persistent: as stated earlier, entrepreneurs keep trying and never give up, they keep applying new strategies and innovations until they attain their goal.
6. Aggressiveness: although entrepreneurs can be cool, calm, and collected individuals, when it comes to competing with their counterparts for customers and other benefits, they fight tooth and nail to surpass others. Some may even adopt violence, which is kind of extreme.
7. Sense of power and authority: there is this air of superiority and authority usually associated with the presence of successful entrepreneurs. When they are in an environment, people around try to be at their best behaviour and appearance because an important personality is present.
8. Hardworking: entrepreneurs are extremely hardworking people. Always busy looking for new strategies to employ, exploring new ideas in order to improve and expand their businesses.
9. Capacity for enjoyment: although entrepreneurs are very busy and hardworking individuals, they do not forget to take time out to relax and cool off the sweat. After all, all work and no play makes entrepreneurs boring people.
10. Efficient and reliable: entrepreneurs make it a priority that goods and services are available and accessible to customers, and they leave no stone unturned in doing so.
11. Responsiveness to suggestion and criticism: entrepreneurs do not ignore the suggestions and criticisms made by the public instead they apply them in ways that will impact positively in their businesses. After all, as they say – the customer is always right!
There are many other characteristics of an entrepreneur which I would have loved to elaborate on, but I’ll just stop at these few due to time factor.
REPORT ON CHAPTER 1: THE REVOLUTION AND IMPACT OF ENTREPRENEURSHIP
What is Entrepreneurship? Entrepreneurship can be defined as a self-motivated process of visualization, transformation, and creation, which involves the application of energy and passion towards the conception and execution of new ideas and creative solutions (Kuratko 21). Entrepreneurship can also be defined as the process of doing something new and different (innovation) for the purpose of creating wealth and adding value both to the individual and the society (Kao 69-70).
Certain myths exist about who entrepreneurs are. Some of them include that:
1. Entrepreneurs are extreme risk takers (MYTH): I agree that entrepreneurs are risk takers, however, to say that they are ‘extreme risk takers’ is completely out of it! Extreme risk takers are gamblers and gamblers do not take ‘calculated’ or ‘well thought out’ risks, however, entrepreneurs do. Before embarking on a venture, entrepreneurs compare the chances of failure to that of success and depending on what the results show, decide whether or not to take the risk. Gamblers on the other hand do not weigh the possible outcomes before making decisions.
2. All Entrepreneurs need is money (MYTH): capital (money) is an essential tool for an entrepreneur. However, to say that ‘all entrepreneurs need is money’ is completely wrong! Money is only one of the many tools. Recall that from the definition of entrepreneurship, it involves the application of energy (plenty of it) and passion (the driving force/motive). Without these two elements the idea will not come to reality.
3. Entrepreneurs are doers and not thinkers (MYTH): saying that entrepreneurs are doers and not thinkers supports the first myth which says that entrepreneurs are gamblers and therefore is wrong. As the saying goes ‘failing to plan is planning to fail.’ Entrepreneurs however do not plan to fail, this is why they take well planned (well thought out) risks, unlike gamblers. From the definition of entrepreneurship; a dynamic process of vision, change, and creation… these key words emphasize the fact that careful planning is one characteristic of an entrepreneur. An example of ‘doers and not thinkers’ are people who sell sand in the desert! (what an idea)
4. Entrepreneurs are born and not made (MYTH): there is a saying that certain people are born great, while others learn to be great, however, that is not evidence enough to support the myth that entrepreneurs are born and not made. One reason is that entrepreneurs are not characterized by a heritable gene that makes them what they are. Certain skills needed to be a successful entrepreneur are learnt through formal/informal education. However passion and energy are inborn.
5. Entrepreneurs must fit a certain profile (MYTH): to support this myth is only been stereotypical. Anyone can be an entrepreneur provided you have new ideas (innovations) that can create changes and bring profit, and you’re driven by the energy and passion to implement these ideas, thereby creating a solution. Anyone can rise to the top it all depends on hard work and determination.
6. Entrepreneurs are always inventors (MYTH): this is truly a myth because most entrepreneurs actually invest in already existing inventions. For instance, Aliko Dangote is a successful entrepreneur who deals in cement, rice, sugar and other commodities which he did not invent.
Kurakto, f. D. Introduction to Entrepreneurship. South-Western Canada: Cengage Learning, 2009.
What is Entrepreneurship? Entrepreneurship can be defined as a self-motivated process of visualization, transformation, and creation, which involves the application of energy and passion towards the conception and execution of new ideas and creative solutions (Kuratko 21). Entrepreneurship can also be defined as the process of doing something new and different (innovation) for the purpose of creating wealth and adding value both to the individual and the society (Kao 69-70).
Certain myths exist about who entrepreneurs are. Some of them include that:
1. Entrepreneurs are extreme risk takers (MYTH): I agree that entrepreneurs are risk takers, however, to say that they are ‘extreme risk takers’ is completely out of it! Extreme risk takers are gamblers and gamblers do not take ‘calculated’ or ‘well thought out’ risks, however, entrepreneurs do. Before embarking on a venture, entrepreneurs compare the chances of failure to that of success and depending on what the results show, decide whether or not to take the risk. Gamblers on the other hand do not weigh the possible outcomes before making decisions.
2. All Entrepreneurs need is money (MYTH): capital (money) is an essential tool for an entrepreneur. However, to say that ‘all entrepreneurs need is money’ is completely wrong! Money is only one of the many tools. Recall that from the definition of entrepreneurship, it involves the application of energy (plenty of it) and passion (the driving force/motive). Without these two elements the idea will not come to reality.
3. Entrepreneurs are doers and not thinkers (MYTH): saying that entrepreneurs are doers and not thinkers supports the first myth which says that entrepreneurs are gamblers and therefore is wrong. As the saying goes ‘failing to plan is planning to fail.’ Entrepreneurs however do not plan to fail, this is why they take well planned (well thought out) risks, unlike gamblers. From the definition of entrepreneurship; a dynamic process of vision, change, and creation… these key words emphasize the fact that careful planning is one characteristic of an entrepreneur. An example of ‘doers and not thinkers’ are people who sell sand in the desert! (what an idea)
4. Entrepreneurs are born and not made (MYTH): there is a saying that certain people are born great, while others learn to be great, however, that is not evidence enough to support the myth that entrepreneurs are born and not made. One reason is that entrepreneurs are not characterized by a heritable gene that makes them what they are. Certain skills needed to be a successful entrepreneur are learnt through formal/informal education. However passion and energy are inborn.
5. Entrepreneurs must fit a certain profile (MYTH): to support this myth is only been stereotypical. Anyone can be an entrepreneur provided you have new ideas (innovations) that can create changes and bring profit, and you’re driven by the energy and passion to implement these ideas, thereby creating a solution. Anyone can rise to the top it all depends on hard work and determination.
6. Entrepreneurs are always inventors (MYTH): this is truly a myth because most entrepreneurs actually invest in already existing inventions. For instance, Aliko Dangote is a successful entrepreneur who deals in cement, rice, sugar and other commodities which he did not invent.
WORKS CITED
Kao, R.W.Y. “Defining Entrepreneurship: Past, Present and?” Creativity and Innovation Management. (1993) 2:69-70.<http://onlinelibrary.wiley.com/doi/10.1111/j.1467-8691.1993.tb00073.x>
Kurakto, f. D. Introduction to Entrepreneurship. South-Western Canada: Cengage Learning, 2009.
Sunday, 9 September 2012
FORMAL INDUCTION 2 ENTREPRE.....
HELLO BLOGGER BUDDIES! MY NAME IS CHRISTIANA O. OKERE, A SOPHOMORE AND SCHOLARSHIP STUDENT OF THE AMERICAN UNIVERSITY OF NIGERIA, CURRENTLY STUDYING NATURAL AND ENVIROMENTAL SCIENCES. THE ESSENCE OF THIS BLOG IS MAINLY TO DISCUSS TOPICS RELATED TO ENTREPRENEURSHIP. ALTHOUGH, I'M NOT ONE FOR BUSINESS-RELATED DISCUSSIONS; I'D NEVER LIKED THE SUBJECT 'BUSINESS STUDIES' DURING MY HIGH SCHOOL DAYS. I ACTUALLY PREFER DISCUSSIONS RELATED TO SCIENCE, ESPECIALLY MATHS, PHYSICS, CHEMISTRY AND BIOLOGY, HOWEVER, I'LL DO MY BEST POSSIBLE TO ENJOY THIS COURSE AND HOPEFULLY, WITH THE HELP OF MY VERY CONSIDERATE INSTRUCTOR, MS. JELENA ZIVKOVIC, MY INTEREST IN THE COURSE WILL DEVELOP AS TIME PROGRESSES.............
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