Question

Select two Fortune 500 companies. Compare their entrepreneurial orientation (autonomy, innovativeness, proactiveness, competitive aggressiveness, and risk-taking). Based on your analysis, which one of the two companies you selected has a stronger entrepreneurial orientation?

Answer 1

Solution:

The 2 fortune 500 companies we will consider are Walmart and Berkshire Hathaway. The two companies are completely in two different industries and their products, markets, target consumers all differ to a great extent. Walmart is the world's largest retail chain and Berkshire Hathaway is a holding company that has businesses under its umbrella. Hence, the nature of these two businesses is very different.

If we compare the 2 companies Walmart would score high in innovativeness, proactiveness, competitive aggressiveness. This is because the nature of business of Walmart is as such that these attributes will benefit the company as opposed to it will to Berkshire Hathaway. This company would be better in risk taking and autonomy because the nature of work in Bershire hathway is more of autonomous work whih is then consolidated to make business decisions. Hence, the two companies have fair share of the parameters that demonstrate the abilities of entrepreneurship. Walmart has been innovative throughout coming up with various golden association rules widely known across the globe. The proactive nature of employees at Walmart helps them keep their csutomer satisfaction high. Whereas Bershire Hathaway is more prone to risk taking by analysing future prospects andinvesting in them which definitely has a risk element associated with it.

Hence, this is the companirson of these two companies for the said entrepreneurial orientation and I believe Walmart is more entrepreneurially oriented than Berkshire Hathaway because of the proven innovations and processes that were given to the retail world by Walamrt.