Question

Isn’t “corporate entrepreneurship” an oxymoron? Do the characteristics of an established organization, such as its routines and structure, increase efficiency but at the same time kill any entrepreneurial spirit? Is there any way that a company can have the best of both worlds?

Answer 1

Introduction: Entrepreneurship is the process of creating and doing something new and assuming and returns related to the process of doing something new. The entrepreneurial process might relate to the pursuance of new product into existing market or existing product into new market.

Corporate entrepreneurship:

Corporate entrepreneurship refers to the development of entrepreneurial spirit within the organisation and efforts taken to make them entrepreneur. The corporation should establish congenial organizational climate for the development of entrepreneurial skills. Corporate entrepreneurship is an oxymoron or a contradictory word because it is the development of entrepreneurial skills in the members in a corporation. The routines and structural organisation increases efficiency of corporate entrepreneur but it declines the efficiency of corporate entrepreneur due to tied with strict routines and duties of organisation. The corporation can enhance the corporate entrepreneurship within the organization in the following ways:

• Commitment from management: The first step towards the success of corporate entrepreneurship is commitment from top, middle, and lower level of management for the establishment of corporate entrepreneurship. It cannot be achieved without the commitment from top level management.

• Identification of interest of top management: Top management plays important role in the establishment of corporate ownership. The ideas and interest of top management for the establishment of corporate entrepreneurship should be identified.

• Use of technology: A company should make efficient use of technology for the development of flexibility in the work within the organisation. The flexibility will encourage corporate entrepreneurship among the members. It will allow some time for them.

• Establishment of group of interested members: A group of interested members should be established to generate new ideas and ways for the development of entrepreneurial skills. The training should be conducted for development of skills and it should be conducted once in a month for specific period of time.

• Closeness with customers: The organization should develop ways to come closer to its customers

• More productive: The organisation should learn to become more productive with lesser resources. • Strong support: The Corporation should establish strong support structure among the members for the development of corporate entrepreneurship. It cannot be developed without the sound support system