Chapter # 2

The Entrepreneurial and

Intrapreneurial Mind
 Entrepreneurial Process

1) Identify/Evaluate Opportunity

2) Develop Business Plan

3) Determine Resources Required

4) Manage The Enterprise

2
 Opportunity Analysis

Market Need?
Personal Observation
Underlying Social Conditions
Market Research Data
Assess Competition- Patents?
Where Money To Be Made

3
 Decision Making
Manager vs. Entrepreneur
Domain - Administrative vs. Entrepreneurial
Strategic Orientation
Commitment to Opportunity
Commitment of Resources
Control of Resources
Management Structure

4
 Intrapreneurship

Instilling Entrepreneurial Spirit

Within An Existing
Organization To Innovate
And Grow

5
 Organizational Culture

Corporate Intrapreneurial
Climate/Reward Develop Vision,
System Favors Goals, & Plans
Conservatism
Follow Suggest, Try,
Instructions, No Experiment
Initiative
Hierarchy Of Flat Organizational
Authority Structure-
Networking &
Teamwork
6
 Cultural Norms/Values
Corporate Intrapreneurial
Fragmented Whole
Instruction Vision
Controlled In Control
Outer-Directed Inner-Directed
Alienation Responsibility
“Chores” Enthusiasm/Motivation
Defined Limits Space/Freedom
Interference Trust
Distrust Belief In People
Expendable Expandable
Limiting People Growing People 7
 Interest In Intrapreneurship

Rising Interest in “Doing Your Own Thing”

Corporation
 Support To Retain Creative Employees
 Fund Startups
Hypercompetition
Corporate vs. Intrapreneurial Culture

8
 Intrapreneurial Activities

New Business Venturing

Innovation

Self-Renewal

Proactive

9
 Climate for Intrapreneurship
Technology Multidiscipline Teams
New Ideas Long Time Horizon
Encouraged
Volunteer Program
Trial/Error
Encouraged Appropriate Reward
System
Failure Allowed
Sponsors/Champions
No Opportunity Available
Parameters
Support of Top
Resources Available Management
& Accessible
10
 Intrapreneurial Leaders

Understand Environment
Have Vision/Flexibility
Create Management Options
Encourage Teamwork
Encourage Open Discussion
Build Coalitions
Persist

11
 Establishing Intrapreneurship

Commitment of Top Management

Identify Ideas/Areas Interested In Supporting

Use Technology For Flexibility

Managers Share/Train Employees

Get Closer to Customers

Be More Productive With Less

12
 Evaluating
Intrapreneurship Proposals

Corporate Fit Competitive Threat

Initial Investment
Proprietary
Experienced Technology
Venture Champion

Experience With Gross Margin

Product/Service
Rate Of Return

13
 Barriers To Intrapreneurship
Inherent Nature of Large Organizations
No Long-Term Commitment
Lack Of Autonomy For Decision Making
Lack of Intrapreneurial Talent
Inappropriate Compensation Methods
Constrained Environment

14
 Dimensions of Intrapreneurship
(Antonic and Hisrich, 2003)
Dimension Definition
New Ventures Creation of new autonomous or
semi-autonomous units or firms.
New Businesses Pursuit of and entering into new
businesses related to current
products or markets
Product/Service Creation of new products and
Innovativeness services
Process Innovations in production
Innovativeness procedures and techniques
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 Dimensions of Intrapreneurship
(Antonic and Hisrich, 2003)
Dimension Definition
Self-renewal Strategy reformulation,
reorganization and organizational
change
Risk Taking Possibility of loss related to
quickness in taking bold actions
and committing resources in the
pursuit of new opportunities
Proactiveness Top management orientation for
pioneering and initiative taking
Competing Aggressive posturing towards
Aggressiveness competitors 16