Entrepreneurship is a common word expressed in the business context. In a dynamic environment, everything is continuously changing. Therefore, there is need to have someone that can come out with an idea, with creativity and innovation in order to differentiate the current competitive market. The characteristic of being enterprising has becoming very demanding among companies and society. Organisations cannot be statics, but they seek to adapt progressively into the market situation. The role of entrepreneurs is analysed in a wide rage. There are business entrepreneurs or small business owners. They are everywhere, but only few are successful. Having a good idea is not enough in order to become success in the role owned. Some people argue that the role of creativity is essential in entrepreneurship, since it is linked with innovation. However, others believe that it is only a pre-requisite to become a successful entrepreneur but not enough for the development of entrepreneurship. It is said that entrepreneurs have some similarity in genetic system. Moreover, there are a number of factors that really make impact, and determine a person to become entrepreneur.
This essay is constructed from relevant resources and previous analyses on the topic, including some definitions with some general theory. It will include the story of an entrepreneur as a point of start for the essay, Then, it will discuss the two-point view, the role of creativity and factors linked to entrepreneurs
Definitions
Over time, there are varied understanding on defining entrepreneurs and its character in the business environment. As described by Casson and Casson (2013), entrepreneurship like others concepts it is presented no always in the same idea. Entrepreneurship can be used in various context. Consequently, the meaning will differ. From a French school of thought, entrepreneurs are people who bring resources together and make decision by taking risks. They do not need to be innovators or to be the primary people who had created a certain demand in the market. Instead form the Australian School thought, entrepreneurs are special individuals who bring something new, they are innovators. Moreover, they are conscious about the risk taken. Risks can be calculated, however there will be different degree of precision. Eventually, innovators are willing to take this uncertainty in order to make the profit. (Lowe and Marriott, 2012) Creativity is the first step of innovation, it is described by Duxbury (2012) as ‘’the generation or production of idea that are novel and useful’’. Consequently, it need to be appropriate, such as has the potential value to satisfy the needs. Moreover, it has a close link with innovation, which is described as the successful implementation of creative ideas. Casson and Casson (2013) described that when an entrepreneur is an innovator is more powerful, since he creates a new product. However, there are two problems related to this. Firstly, entrepreneur need to find the design and the technology in order to satisfy a customer need. Secondly, the entrepreneur need to make market, such as how to sell its product among customers. Based on Schumpeterian (1934) cited in Casson and Casson (2013) perspective, innovation can affect the market place. From using existing resources to create new one into a new sector. Moreover, this will push other sector to seek innovation.
Casson and Casson (2013) identified the principle of scarcity. It means that there are not enough resources in a market to satisfy everyone's desire. For examples, land labour and capital. Therefore, …. Thanks to entrepreneurship these resources are well used and entrepreneurs are the ones who make good decision with these resources. Without entrepreneurs making judgements the market will be a disaster. Personally, I agree with the explanation given by (Dromereschi, 2014). The author defines entrepreneur as ‘’’process of creating value for the business and social community by making unique combination of public and private resources exploiting economic opportunities, social or cultural in a changing environment’’. In fact, this is entrepreneurship in today environment.
Article Summary
The Guardian recently reported the winner of the James Dyson UK award. Ryan Yasin, an aeronautical engineer who designed a new range of children’s clothing. Costumes that can fit babies from three months to three years, which is made from pleated lightweight material, water resistant, machine washable and moreover it be recycle. The idea came up while Yasin was vising his nephews. The clothes that he bought for them were already too tiny. Kids are growing very fast and there is a need to design something that can suit them during the growing phase. At core, a combine knowledge and background were essential in order to reach the new design. Tyan Yasin being engineer, he had experience in fashion design, interest for origami, folding techniques and at the same time he was concern about sustainability. After creating the first prototype and then testing it on users, Yasin decided to invest into this one-size-fits-all idea into a business, called Petit Pli. The article showed that the originality of his idea has receiving many positive reviews. Even people are questioning how an engineer shifted into the fashion industry. Contemporarily receiving the Dyson award, let Yasin be more confident in launching his business (Slawson, 2017).
Creativity is crucial in entrepreneurship
The development of technology and globalization has brought a greater opportunity into the market. The competitiveness between companies has also increased in the same time. Capability to differentiate is very crucial in this crowed marketplace. Creativity is a driving force, which can bring competitive advantage in the business. People believe that creativity is essential to become a successful entrepreneur. It is the first stage during the phase of innovation (Duxbury, 2012). Therefore, people need to come up with an original idea in order to convince the market. The ‘one-size-fits-all idea can be seen as a creative idea. Yasin create an innovate product where can meet the market needs. In fact, it is novel and useful as demonstrated by Duxbury (2012).
Moreover, creativity can be gained from experience and stimulated. In the higher education, students are taught to think critically and think outside the box. This lead students to explore more in deep and increase their creativity. An example from my personal experience is the what is in the box, also called as ‘WITB’ idea. This activity was developed by my tutor in order to enhance our creativity and practicing the main entrepreneurial tasks. We need to explore ideas or combining our ideas into a unique product, which we will sell inside a box, that can meet our customers need. Since ideas are everywhere, the groups in my workshop came up with variant products that were all very original. This workshop gave us the opportunities to think about the importance of creativity in today business. In fact, most of entrepreneurs begin with an innovative idea that it does not exist in the market and make it possible for the market.
Entrepreneurs are born as factor
People believe that entrepreneur is born with certain quality or characteristics. Therefore, they are born to be an entrepreneur. Based on Nicolaou et al. (2008) findings, people who become entrepreneur has some certain factors in common, for example, to fulfil their self-achievement, self-actualization, and to reach rewards. Moreover, the genetic factors have a statistically consideration in order to explain why people practice entrepreneurial activities. The authors exposed four genes mechanism which support the idea of entrepreneur is born. First, it is about a chemical system in the brain. Different genes have different protein composition and reaction. Consequently, an individual with a certain heritage is more willing to take risks than others. Second, genes might contribute to an individual personally traits. Being an extravert, an example, tend to be more sociable and willing to interact with customers. Third, the genetic code can impact a person in choosing certain environment. For example, selecting a certain level of education. Lastly, the connection between genic and sensitivity for the external stimuli. Another studied also showed that there is a correlation between genetic with the tendency to having entrepreneurial activities. Dave Brutigan, which is chief operations officer of Atlanta Refrigeration Service explained that he got experience with his father during his young ages. But the most useful is he believed that he heritage his father traits which led him to become successful (Entrepreneur, 2010).
Three capitals as factor
‘The Three capitals’ is a concept introduced by my tutor. It is composed by human capital, social capital and material capital. Personally, I think it showed the main summarized factors that are needed to become a successful entrepreneur. Firstly, the human capital refers to the knowledge and experience that individual possess. This match to the Yasin personal experience. Before becoming an entrepreneur, he acquired knowledge and experience in the fashion sector. Lowe and Marriott (2012) claimed that knowledge and learning is essential in the entrepreneurship. Indeed, people learn by doing. From examining the specific circumstances, entrepreneurs make decision. Then, they will think about it and revise the entire process. In addition to this, life circumstances are another driving forces. People tend to be more enterprising when they have less responsibilities. For examples, families or income duties. Secondly, the social capital which refers the networks of relationships between people. The connection between individuals is very important in the business. If people have a wide range of networks relation, it can lead easier the process of entrepreneurship. The social capital provides also the opportunities to use human and financial resources. Lastly, the material or financial capital which refers to the money and other forms of funding that an individual has. There are many ideas in the world, but only few can be converted as real business and become successfully, which in this case analysed, Yasin’s idea. Originally, his idea was not outstanding, but he took action to participate in James Dyson UK award. Therefore, he won the prize and as consequence, he got an amount of money to develop his product.
Conclusion
Entrepreneurship is seemed to be a simple word used to describe a person who started his own business. Yet, it is more complicated. It is a way of thinking and practicing in order to create solution for a specific group, the product. Therefore, the role of entrepreneur in this process is vital and they are very demanded. People argue that creativity is the core element. This is with any doubt true. Since creativity is the first step of the innovation and innovation is crucial in today business environment. However, there is need to analysed that there are a number of factors which are crucial in the entrepreneurship. As described in the previous paragraphs, new ideas are everywhere. But, few are showed in the market and well developed. Some people are different than others as defined by Based on Nicolaou et al. (2008). There are findings that successful people share a certain gene and this can be heritage from parents. For example, having an extrovert and risk taker personality. Eventually, knowledge and experience is fundamental (Lowe and Marriott 2012). Most of the time creativity is develop by this. From learning and stimulation. Social and financial are also important factors, they are necessary in order to develop a new idea.