BMA 246 -What is entrepreneurship
Jin Mingming 199151
Considering the influence of the context, Entrepreneurship should be perceived as a living and breathing human being, who act as a social animal and is growth with the sensibility to opportunities and threats around.This article is mainly talking about the importance of sensing and manipulating as a entrepreneur. Firstly, two pictures of entrepreneurship will be illustrated with understanding about the principal of entrepreneurship. Afterward, two main differentiate characteristics of entrepreneurship as a life will be summarized together with evidences. Besides, how future entrepreneurship create values will be speculated associating ...view middle of the document...
Baumol pointed out that entrepreneurship is a kind of human behavior applied in not only business area but also others like benevolent or social works. Another scholar Penrose mentioned that even in the context of business, the traditional definition of entrepreneur’s operation also failed to work for all business of different size. Gibb also concluded a series of new traits of entrepreneur, different from the former one, entrepreneurs always operate with informal strategic project planing and behave more opportunity-oriented, they are more tend to develop in green field investment rather than acquisition and prefer flat company structure maintained by organic relationships and trust. They regard the enterprise as their life’s extension (Bridge & O’Neil, 2013)
On the other words, newly-identified entrepreneurship is more like a human-being while the traditional one act as a business-targeted device. Human being are more likely to be influenced by the surroundings including social and peer environment, they have capability of sensing and are more inclined to be influenced by affection.
Since Entrepreneurship should be seen as a human being, the most significant difference is the impact of environment, namely, people are social animals and entrepreneur’s choice is based on the risk-return assessment of the environment. Generally speaking, environmental factors influencing entrepreneurship mainly include the logical factors like political environment and social capitals, and another non-logical factor—— people’s social circles.
Policy and social capital
In the consideration of risk-benefits assessment, political environment really plays and important role in decision-making of becoming an entrepreneur. When people make logical assessment, the perceived desirability of the goal, the ease of pursuing it, the help available, and the perceive chances of success will be taken into consideration. In an environment that can stimulate the prevalence of entrepreneurship, governments are prone to provide support such as reducing red-tape, encourage with availability of more capital and provide business training and monitoring. In addition, the inspiration to entrepreneurs can be reflected in social capital, Audretsch suggested that the social approval of entrepreneurship is conductive to the creation of new firms. As a result, people will burden less and quicker get into operation, thus fuel the popularity of entrepreneurship.
China is a typical example of the environmental encouragement to entrepreneurship. First of all, Chinese government realized the driver of innovation in 2006 when China became the leading producer of high-tech goods, it was start with a global entrepreneurship program, which acted as a beginning of the social transformation towards creativity as well as entrepreneurship. In 2014, for example, government updated many policies, high-tech business incubator was built to provide training...