The Importance Of Corporate Entrepreneurship

Venture creation in a small business with risks to make a profit can be define as same meaning with entrepreneurship as the capacity and willingness to develop, organize and manage a business. However, different types of entrepreneurial behaviour in existing can refer corporate entrepreneurship, large organizations (corporations) to achieve activities that receive organizational sanction and resource commitments for the purpose of innovative results. Corporate entrepreneurship can be processing by strategic renewal, innovation and corporate venturing. The large group of authors argues that organizations of all sizes obviously need entrepreneurial behaviour in order to survive and perform in a competitive environment (Barringer & Bluedorn, 1999,

In this journal, it list out a question about “Why the corporate entrepreneurship is of crucial importance for future sustainable performances and what are the key challenges in this context?” This is due to the problems that partly of the large organizations today are facing past success of their organizational, it will become the resistance to changes to gain the growth and success. The resistance could be coming from the external environment or the internal system. The most common challenges are faced by the large organizations are: growing competition in the market, the erosion of leadership and entrepreneurship, sense of complacency and self-confidence that disturb the organizational changes, the lack of ability of the management team to create an entrepreneurial architecture that can efficiently support the future organizational growth. Hence, the process of changes and revitalization quite difficult are based on the fact that organization must concentrate simultaneously on several key organizational development objectives (Flamholtz, 1990, pp. 336–340): revitalizing market, products (services), resources, operational systems, management system, corporate culture with emphasis on strengthening the elements of an entrepreneurial

The organizational structure in certain range has to achieve a greater autonomy. Therefore, it is necessary to have a entrepreneurial thinking management, entrepreneurship and entrepreneurial behaviour become one of the main point of the revitalization process. Corporate entrepreneurship has the most complex form of transformation processes, that are expected to accelerate coordinated changes of organizational structure and culture in order to encourage entrepreneurial behaviour of individuals. Entrepreneurial organization focused on employees creates the sense of belonging to an organization. According to the principle “why should we change something if it was functioning well so far and brought good results”, the more required and rewarded are those employees who show entrepreneurship and initiative in implementing new business ventures through the creation of a new business inside or outside the existing