However, another aspect believes that entrepreneurship has a positive effect on the creation of job opportunities, which thus decreases unemployment rate. Entrepreneurship is also able to improve an economy through the actual products, services and technology that is introduces into a market. These new ideas boost economic growth. Innovation also creates a sense of competition within the market, which allows for the entrepreneurs involved to become creative under pressure. Competition is necessary in order to encourage either existing, or new entrepreneurs to constantly grow and improve, which once again improves the economic situation.
He felt that expansion was brought about by innovations. Innovation brings new techniques, products, forms of organization, and new markets. It is not only a new way of doing things, but it is also new men and firms. He discusses the ebb and flow and compares the economic system to a wave. Innovations come in cluster and these innovations attract entrepreneurs to market and sell them.
Information Technology is a powerful force in today’s global society and technological change is a really important element in the history of humanity. It considers as a mechanism that promotes economic growth; it increases productivity, enhances the quality of products and services, reformulates the policies and standards that are used by the organization in its processes and improves the level of competitiveness in the organization. In simplest and most widespread notion technological change represents the introduction of new technologies in an organization, work procedures and the upgrades of those that are current. Implementation of technology has the potential to impact on organization structure, business processes, individual , employment, and job descriptions. As well as the attitudes of individual,
According to Leifer (2000), it is very important to understand radical innovation because it transforms the relationship between customers and suppliers, restructures marketplace economics, displaces current products, and often creates entirely new product categories. It may provide a platform for the long-term growth that corporate leaders desperately seek. Radical innovation concerns the development of new business or product lines that are based on new ideas, technologies or substantial cost reductions. Therefore, requires exploration competencies. Incremental innovation usually emphasizes cost or feature improvements in existing products or services and it requires competencies in the exploitation of existing knowledge.
In present competitive environment, focus is to target core specialization and core-competency areas and outsource the rest of the activities. Many firms and organizations have come to understand the importance of outsourcing. By outsourcing non-core activities, it’s just not only the costs are minimized and efficiencies improved but also the total business improves, reason the focus shifts to the key growth areas of the business
The reward for the risks taken is the potential economic profits the entrepreneur could earn. Entrepreneurs can change the way we live and work. If successful, their innovations may improve our standard of living. In short, in addition to creating
The contribution of FDI in economic progress of the host economies can be both direct as well as. FDI adds directly to employment generation, capital, exports, and new technology in the host country . In addition, local firms may also benefit from indirect means because of the fact that that FDI brings new intermediate goods, bundle of capitals, technology transfers and skills in the form of externalities. Such pecuniary benefits or advantages or externalities are commonly known as spillovers . As a result, it is widely recognized that FDI is an important source for industrial development in developing countries in view of the fact that it brings many benefits with it.
The credit of this change goes to the Entrepreneurs around the globe who have brought innovation in the services/products, brought new organizations into existence and even changed the means of production. The entrepreneurs introduced new and latest technology for more productive uses and thus brought about the reallocation of resources for optimal utilization. Many innovations have brought about a change in the society and altered its style and way of living.The introduction of many services has also given rise to new service industries. India, during its 40 years of independence 1947 to 1980’s developed its entrepreneurial capabilities in the basic industries like steel, fertilizers, rail wagon building, locomotives, cars, cement and chemicals and so on. All these
At individual level intrapreneurship, the trigger for innovation originate from the craving to confront oneself ahead of the obvious. Intrapreneurs seeking to reinvent a company in order to increase efficiency may do so by harnessing the power of technology, proper delegation of authority and power or find other ways to improve efficiency and effectiveness. Another trigger for intrapreneurs could be the desire to provide more value to the customer through intense customer focus. They may develop innovative ways of minimizing difficulty to the customers that would enable them to become companies that are more customer oriented. Alternately, they may enhance the company’s market offerings by providing supplementary features to its market offerings.
SMEs have been innovative in terms of enhance product process and designs and utilization of new technologies. SMEs may have to concentrate on innovation to generate some value, to differentiate themselves from each other, and capture more new occasion in the more competitive global market. Firstly, they are less bureaucratic producers than highly structured institution; Secondly, a lot of advances in technology build up a large number of detail creations in relating individual elements, fabrications techniques and