Advantages And Disadvantages Of Entrepreneurship

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16.1 The objective of this lesson is to explain the concept of entrepreneurship, its advantage and disadvantages. It includes the role of new ventures and their preparations in economic development where information can be gathered through marketing research analyzing environment and competition and also assessment of strategic emerging ventures and their lifecycle focusing on future management trends. 16.2 Entrepreneurship primarily means creation of business, characterizing seeking opportunities, taking risks beyond securities and to push an idea through to reality. The perspective can be developed in individuals, exhibited inside or outside of profit or non-profit enterprises and in business or non-business activities for bringing in creative…show more content…
Innovation or decline is the last stage that ensures rise of successful enterprises taking over oher innovative firms for their growth. 16.8 Management in future Forces for change: Downsizing of firms is recognized to eliminate unnecessary flattening of structures. Manpower is replaced by modern communication technologies improving managerial work. Rapid growth in service sectors ensures emerging managerial positions. Small business entrepreneurship will pave the future management scenario like successful entrepreneurs Steve Jobs, Bill Gates, and Sam Walton. Effects of change: Dynamism and complexity affects the degree of uncertainty of mangers. The number of competitor regulators, suppliers and customer rapidly increase resulting in relationships for eg. World market automobile competitors General Motors and Toyota are collaborators in California. Organizational governance: It is the rights and privileges of the organizations and their individuals. Employee participation in decision making through semiautonomous work teams and quality circles suggests that workers will have increasing influence occurring in workplace. The constitutional right of any organization says that an employee can be employed or dismissed at will by the management that governs its…show more content…
Communication pattern changes add to the stress problems. Preparations for future: managerial positions require awareness of ever changing professional scenario by means of learning new things, participating in training and development programs. 16.9 Summary • Broad perspective of entrepreneurs and entrepreneurship beginning with the concept, advantages, disadvantages and characteristics. Women are the fastest growing group of entrepreneurs. • Whereas family business dominates in US, new ventures are growing faster adding to economy. • Marketing research by entrepreneurs helps gather information for analysis, evaluation and interpretation of data but is a complex and cost effective irrelevant data collection tool. • In addition, characteristics, advantages and disadvantages of legal organizations like proprietorship, partnership and corporations, franchising, strategic planning and venture cycling has been highlighted. • Future management practices pressurizing managers have also been dealt
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