Entrepreneurship and New Venture Management

Question: Discuss about the Entrepreneurship and New Venture Management. Answer: Introduction Entrepreneurship refers to the creative way in which one applies the use of available resources in the creation of job opportunity for an individual and others with the aim of making the profit. The person undertaking such kind of commitment is called an entrepreneur. This individual is liable for all the activities carried out in the business, and thus entrepreneur's decision is seen as the principal agent in ensuring the continuity or failure of the firm. On the other hand, new venture management refers to the manner in which one applies one's managerial skills in the business at its incubation stage (McDougall?Covin, Jones Serapio, 2014). It requires a loyal and resilient person since it is still new and thus needs more time for it to be nurtured into maturity. Therefore, the owner should be time conscious and ready to take risks because when a business is starting, it requires a lot of financial support regarding purchasing the commodities and marketing of the venture. Moreover, it is not that profitable, and thus the little revenue obtained cannot sustain it, and one should have savings from other activities to help in boosting the business. The origin of entrepreneurship ideas and opportunities According to an interview carried out with the owner of Juicy Fruits Venture in Melbourne Australia called Jones. He outlines that one develops business ideas when one comprehends that there is an opportunity in the economy. According to him, a jobless person takes the initiative of starting a business with a view of filling the gap which exists. Jones tells the reporter that when he first realized that most people were forced to walk for the longer distance to purchase fruits from the market, he decided to open the business at a strategic locality (McMullen, Wood Kier, 2016). Therefore, benefitting the buyers as well as the sellers since Jones usually takes the fruits at a slightly lower price from the market and making little profits on selling them to the direct consumers. This matter leads us to the next point involving profit-making agenda. It is crucial to outline that every business person enters into the market with the aim of making a profit. According to Jones, the profita bility drive was essence in making him start the venture. Jones further explains that, when he saw the opportunity, the idea of making earnings by purchasing the fruits at wholesale price and further selling them at a retail price thus making proceeds perplexed him and consequently decided to put it on trial (Morris et al., 2015). Despite that, Jones intended to help in the efficient distribution of resources in the economy. For instance, taking the fruits all the way from the market to the designated location signaled the availability of the fruits elsewhere. Additionally, Jones realized that there were a large number of jobless Australians who could help him in the running of the venture. The idea thus led to the focusing on the opportunity and ensuring that it was apprehended so as to help someone else to have a source of living in the state. (Navis Ozbek, 2017). Furthermore, the interview enabled the researcher to understand that entrepreneurial knowledge can also be developed by observing the work of other entrepreneurs. Jones was also driven by the need to own business and manage like other traders in the market, and thus he decided to open up his firm. This interview was quite remarkable in that it exposed one into understanding how different entrepreneurship is developing into becoming a large business organization in various regions globally. Type of entrepreneurship Enterprise exists in four unique categories which include large company, small business, and social and scalable startup entrepreneurship. Foremost, a large corporation is those individual business organizations which have an eternal life cycle. This business grows through the use of innovations on the existing products thus giving the consumers the products which vary regarding brand and quality. They employ the use of modern technology, new competitors, customer taste and legislation in the way of administering trade (O'Connor, 2013). Secondly, the small business entrepreneurship is that which the startups are. It is estimated that majority of the firm lies in this category at 99.7% worldwide. This endeavor is vital in that it offers 50% of employment activities to both the skilled and the unskilled labor force. Such types of businesses include hairdressing, carpentry, plumbing and groceries among many others. The majority uses family or the neighbors as the workforce since they ar e barely profitable thus its sustainability is tedious in nature. The funding of this sort of enterprise is through the family or microfinance institutions. The third type of entrepreneurship encompasses social one. It is most involved with the production of goods and service geared toward solving of the social matters in the community. Most of these types of entrepreneurs are not in the commerce to create wealth, but their primary objective is the betterment of the world (Schaper et al., 2014). The fourth type of entrepreneurship is scalable. It is developed by the entrepreneurs who have the ambitions that one day they will be able to grow big and change the world. They involve themselves in research using different business to acquire knowledge on how they can grow in the corporate world. Conversely, they apply the techniques obtained in attracting investments from similar growth-oriented counterparts in the financial field to loan their businesses. Concepts and the theories in consideration to the characteristics of the entrepreneurs Entrepreneurship is seen as central to the economy and thus forming a field in which most people are interested in developing their concepts and theories. Primarily, there are several concepts and the ideas which outline the features of an entrepreneur. These phenomena include; Israel Kirtzner's theory which states that small business owners start by purchasing of products and selling them through the subconscious discovery of the niche in the market. Besides, he puts across that most of the industrialists' sources of income are majorly through borrowing from microfinance. The issue is associated with the fact that most of them do not have a broad range of solid production which acts as security if at all they were to borrow in developed loaning facilities such as banks (Jiang, Cannella Jiao, 2017). Kirtzner further reiterated that the owner pays back this money to the lending institution with the interests and retain the profits which are miniature to the business. The second schol ar who has helped in enhancing the theoretical framework regarding features of the entrepreneurs is Harvey Lebeinstein. According to him, entrepreneurs portray important traits such as recognizing of the trends which exist in the market and thus making the most appropriate steps in solving the issue brought up by the factors in consideration. For instance, they help in the creation of the new goods demanded by the consumers and thus ensuring the deficiency syndrome of a given commodity is solved (Shepherd Patzelt, 2017). By doing so, they are full of curiosity in determining whether the given endeavor is profitable or not. The solution realized after selling of the deficient product in the market is brought forth to an end. McClelland's theory of achievement motivation is also among many others giving one theoretical perspective on how the spirit of business is developed by the people running small enterprises in the society (Huang Knight, 2017). This scholar outline that people a re always carried by the need for affiliation, power, and achievement and thus these motives drives the entrepreneurs into creating of business opportunities of their own so as to be satisfied in life. The entrepreneurs dream big concerning factors to do with commercial breakthrough; therefore, most indulge themselves in training activities so as to obtain the basics of how they can be successful in running their enterprises. To sum up, Kuratko, (2016) hightlights that, Mark Carson Economic theory is rich in knowledge regarding the features of the small business owners in the society. According to this economist, entrepreneurs are driven by market conditions such as the taxation policy, availability of raw materials, access to information, technology and infrastructural development and the marketing opportunities for their goods. The factors as mentioned earlier can influence their ideas both in negative and the positive perspective though entrepreneurs will always undertake the bus iness since they are risk-takers in nature. According to the report, one realizes that entrepreneurship is the core source of the employment in the diversity and it is made up of millions of people who are goal-oriented. According to the research, most of the stable and dominating enterprise such as Apple Company which deals with mobile phones was once started by an individual (Gupta, Chiles McMullen, 2016). The owner of the company saw the need to create products which are portable and accessible to the network, unlike the computers which by then were considered the only gadgets in which one can use in accessing systems though not moveable. Later on, it developed into iconic companies globally. From the statement, one depicts that entrepreneurs are people who are taken by the challenge of making the best in the trading field (Wang Thornhill, 2017). Most of them want to be affiliated by success and thus take risk business endeavors so that their dreams are comprehended. Consequently, most of them start small businesses and g row with time. Conclusion The world in which we live currently is quite competitive due to the depletion of the natural resources and emergence of severe economic situations. It is desirable for individuals to be creative instead of waiting to be employed since most of the people are educated and thus gaining access to job opportunities is tight. Entrepreneurship should be encouraged at all levels of one's studies. One should consider taking advantage of the available resources such as business magazines to enrich one's capacity to achieve as a business holder, not an employee. Recommendations Being an entrepreneur is one of the most amazing employments one can ever undertake due to the freedoms in which one exhibits. Notably, Barkema et al. (2015) states that, the freedom of making decisions alone is rarely found in the employment scenario. However, the losses are usually suffered by the owner alone. Despite that it may have a myriad of challenges; it should be encouraged in all aspects of education. Entrepreneurship education should be made a common subject in all levels of education so as to prepare learners into embracing other ways of survival in the event where they graduate from their professionals and fail to secure job opportunities (Ladd, 2016). This objective will enable them to sustain themselves and their families and thus reduction of depression as a result of joblessness. Apart from that, the government should put favorable measures to protect the interests of the entrepreneurs. They can reduce the taxes levied to this group as well ensure the security is im proved. Likewise, the government should facilitate different seminars on entrepreneurial development at least twice every year so as to equip different people with the necessary expertise in this field. Likewise, (Leyden, Link Siegel, ( 2014) reiterates that, the banks should be encouraged to lend to this group of people since most of them fail as a result of lack of a modified system to borrow income. The microfinance can only sustain but not enable them to grow since the percentage of the money they receive too little to expand their enterprises. Furthermore, the government should be in the forefront in financing these businesses. 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