report
The Entrepreneurial Process
Introduction
The entrepreneurial process is defined as the cycle in which mental conceptions and ideas are transformed and translated into business ideas that represent a profitable opportunity for the entrepreneur to harness resources and design an enterprise that allows him/her to exploit the opportunity to make profit - but in the process also taking calculated risk. The final stage of the process will be the nurturing of the enterprise and the process recurs in the bid to grow the enterprise as new ideas are transformed into growth opportunities and the entrepreneurial process recurs. Various authors and researchers have come up with different models to describe the entrepreneurial process. According to Moore and Bygrave (1994) the entrepreneurial process is built on a cycle of four stages: innovation, a triggering event, implementation and growth. They further argued that during the cycle different variables interact with the environment to influence the entrepreneurial process. The interaction between the environment and individual, organisational and sociological variables define the possible path of each specific entrepreneurial event. Hisrich and Peters (2002) identified four distinct phases of activities in the entrepreneurial process which are: identification and evaluation of the opportunity, development of a business plan, determination of required resources and the management of the resulting enterprise. The entrepreneurial process therefore has some fundamental stages common to all models regardless of the author and a combination of these would give the generic entrepreneurial process. The entrepreneurial process from literature therefore can be summarised in the model below. To explain the entrepreneurial process better Econet Wireless Zimbabwe will be used as an example to apply the concepts to the real world.
The activity based entrepreneurship process from literature
Idea generation
Idea
Introduction
The entrepreneurial process is defined as the cycle in which mental conceptions and ideas are transformed and translated into business ideas that represent a profitable opportunity for the entrepreneur to harness resources and design an enterprise that allows him/her to exploit the opportunity to make profit - but in the process also taking calculated risk. The final stage of the process will be the nurturing of the enterprise and the process recurs in the bid to grow the enterprise as new ideas are transformed into growth opportunities and the entrepreneurial process recurs. Various authors and researchers have come up with different models to describe the entrepreneurial process. According to Moore and Bygrave (1994) the entrepreneurial process is built on a cycle of four stages: innovation, a triggering event, implementation and growth. They further argued that during the cycle different variables interact with the environment to influence the entrepreneurial process. The interaction between the environment and individual, organisational and sociological variables define the possible path of each specific entrepreneurial event. Hisrich and Peters (2002) identified four distinct phases of activities in the entrepreneurial process which are: identification and evaluation of the opportunity, development of a business plan, determination of required resources and the management of the resulting enterprise. The entrepreneurial process therefore has some fundamental stages common to all models regardless of the author and a combination of these would give the generic entrepreneurial process. The entrepreneurial process from literature therefore can be summarised in the model below. To explain the entrepreneurial process better Econet Wireless Zimbabwe will be used as an example to apply the concepts to the real world.
The activity based entrepreneurship process from literature
Idea generation
Idea
Bibliography: Asian Perspective Volume 27, No 3, 2003 pp 125-175.Entreprenuers and the Entrepreneurial Processes: Historical and theoretical perspectives on entrepreneurship in the Japanese contexts. University of Pretoria etd –Kruger ,M E (2004).Chapter 3 :Entrepreneurship Process Cronche et al (2003), Introduction to Business Management