Corporate Entrepreneurship :
Corporate entrepreneurship (also known as intrapreneurship) refers to the process of creating or developing new businesses, products, or services within an existing company or organization. It involves applying entrepreneurial principles and practices to the development of new ideas, products, and services within the confines of a larger organization.
Corporate entrepreneurship is important because it allows established companies to remain competitive by innovating and adapting to changing market conditions. By fostering a culture of innovation and creativity, companies can develop new products and services that can help them stay ahead of the competition.
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Some examples of corporate entrepreneurship include Google’s policy of allowing employees to spend 20% of their time on projects of their own choosing, which has led to the development of successful products such as Gmail and Google Maps. Another example is 3M’s policy of encouraging employees to spend 15% of their time on innovation projects, which has resulted in the development of products such as Post-it Notes and Scotchgard.
To foster a culture of corporate entrepreneurship, companies can encourage employees to generate new ideas, provide them with resources and support to develop those ideas, and create a system for recognizing and rewarding successful innovations. By doing so, companies can unleash the creativity and potential of their employees and create new opportunities for growth and success.
Responsibilities of Corporate Entrepreneur:
Corporate entrepreneurship involves taking on a variety of responsibilities to successfully develop and implement new business ventures within an existing company. Some of the key responsibilities of corporate entrepreneurship include:
- Identifying opportunities: Corporate entrepreneurs are responsible for identifying opportunities for innovation and growth within the company. This involves staying up-to-date with industry trends and developments, analyzing market research, and seeking out new ideas and opportunities.
- Developing business plans: Corporate entrepreneurs must develop detailed business plans that outline the goals, strategies, and financial projections for the new venture.
- Securing resources: Corporate entrepreneurs must secure the resources needed to bring their ideas to fruition, such as funding, staff, and technology.
- Managing risk: Corporate entrepreneurs must manage the risks associated with developing and launching new ventures, such as financial risks, operational risks, and legal risks.
- Building teams: Corporate entrepreneurs must build and lead teams of employees who are dedicated to the success of the new venture. This involves recruiting, training, and managing employees, and creating a positive and supportive work environment.
- Marketing and sales: Corporate entrepreneurs must develop effective marketing and sales strategies to promote the new venture and attract customers.
- Managing operations: Corporate entrepreneurs must manage the day-to-day operations of the new venture, including production, logistics, and customer service.
- Measuring success: Corporate entrepreneurs must establish metrics to measure the success of the new venture and track progress over time.
Overall, corporate entrepreneurship involves taking on a range of responsibilities to successfully develop and launch new ventures within an established company. By doing so, companies can remain competitive, adapt to changing market conditions, and create new opportunities for growth and success.
How to Become a Corporate Entrepreneur?
To become a corporate entrepreneur, there are several steps you can take:
- Develop an entrepreneurial mindset: Start thinking like an entrepreneur and develop a mindset that is open to new ideas, willing to take risks, and focused on creating value for the company.
- Build a strong network: Develop relationships with colleagues, mentors, and industry experts who can provide guidance, support, and connections to help you succeed.
- Identify opportunities: Look for opportunities within your company to innovate, improve processes, or create new products or services.
- Develop a business plan: Once you have identified an opportunity, develop a detailed business plan that outlines your goals, strategies, and financial projections.
- Pitch your idea: Present your business plan to key decision-makers within the company and get their buy-in and support.
- Secure resources: Secure the resources you need to bring your idea to fruition, such as funding, staff, and technology.
- Build a team: Build a team of employees who are dedicated to the success of the new venture and who have the skills and experience needed to bring it to market.
- Implement your plan: Implement your plan and launch your new venture, managing risks, measuring success, and adapting your approach as needed.
Overall, becoming a corporate entrepreneur requires a combination of entrepreneurial mindset, strategic thinking, networking, and implementation skills. By taking these steps and staying focused on creating value for your company, you can become a successful corporate entrepreneur and help your company stay ahead of the competition.
Example of Corporate Entrepreneurship:
One example of a successful corporate entrepreneurship initiative is Amazon’s AWS (Amazon Web Services) division. AWS was launched in 2006 as a new business venture within Amazon, with the goal of providing cloud computing services to businesses and individuals.
Initially, the idea of providing cloud computing services was not widely understood or embraced, and the project faced resistance within Amazon. However, the team behind AWS persisted and developed a detailed business plan that outlined the potential benefits of the service, including cost savings, scalability, and flexibility.
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AWS was eventually launched as a standalone business unit within Amazon, with a dedicated team and resources to support its growth. Over time, AWS grew rapidly and became a major contributor to Amazon’s overall revenue and profits. Today, AWS is the largest provider of cloud computing services in the world, with a wide range of products and services that are used by millions of customers around the globe.
The success of AWS is a testament to the power of corporate entrepreneurship and the importance of pursuing innovative new business ventures within established companies. By fostering a culture of innovation and entrepreneurship, companies like Amazon can stay ahead of the competition, create new opportunities for growth, and drive long-term success.