Business 2014 exam 1

Card Set Information

Business 2014 exam 1
2014-06-27 02:12:50
creative destruction

Topic 1
Show Answers:

  1. More recently it has been suggested that a better
    term to describe the process
    of entrepreneurial activity is “creative creation”. What is meant by “creative
    creation” and why might it be a better term to describe
    entrepreneurial activity than “creative destruction”?
    entrepreneurial activities more often result in creation rather than in destruction
  2. Schumpeter coined the term “creative
    destruction”. What did he mean by this term and how did it relate
    to his understanding of entrepreneurs?
    • simultaneous emergence and disappearance of technologies, products and firms.
    • entrepreneur is the person who brings about creative destruction
  3. Explain the simple model of entrepreneurship (pg 11)
    • three phases of entrepreneurship, discovery of opportunities, evaluation of opportunities and exploitations of opportunities
    • 1: potential opportunity sources are divided into 2 sources, the environment and the individual
    • 2: the intention is defined through market research, gathering of resources and building of a prototype
    • 3: a decision is made concerning whether the opportunity wil be established or abandoned
  4. Discuss and define the notion of “entrepreneurship”.
    Entrepreneurship is the process of involving an individual (the entrepreneur) identifying new business opportunities and through his/her efforts realizing those opportunities to create value.
  5. Explain the relevance of entrepreneurial activity at the level of the individual
    personal achievement and independent wealth creation
  6. Explain the relevance of entrepreneurial activity at the level of the individual firm
    • center of management thinking and education
    • only approach for managers who are seeking to enhance the performance of their organizations
  7. Explain the relevance of entrepreneurial activity at the level of the economy as a whole
    vital component in the process of achieving economic growth
  8. Market pulled opportunities are?
  9. Market pushed opportunities are?
  10. What is corporate entrepreneurship? example?
    • the process of engaging in entrepreneurial activities within as already established business
    • example
  11. What is state entrepreneurship? example?
    • entrepreneurial activity by governments
    • example state financed venture capital funds
  12. What is social entrepreneurship? example?
    • the process of identifying and realizing an opportunity to help address a social objective
    • example Daniel Flynn thankyou water