An analysis of entrepreneurial theory Essay Example | Topics and Well Written Essays - 4000 words

An analysis of entrepreneurial theory - Essay Example Many new entrepreneurial firms fail as a result of entrepreneurs not fully understanding problems associated with their business models. It is rather commonplace for entrepreneurs to jump blindly into a new business model without properly planning that includes construction of a concise and well-developed business plan. A successful entrepreneurial venture must be considerate of the entire value chain, including marketing, human resources, technology, logistics and production in order to have a viable business model that can productively support the desired vision. Failure of the entrepreneurial venture occurs regularly as entrepreneurial leaders do not effectively measure the business’ holistic capabilities and capacities needed to service a market which leads to a lack of competitiveness in the firm’s competitive market. In order to properly service the external market effectively and profitably, it is critical to understand what constitutes the dynamic of the post-re cession markets and then attempt new strategies to align the entrepreneurial enterprise with these conditions and dynamics. As one example, the post-recession consumer is now more concerned about the ethical values and behaviours of the organisation. A study conducted by Oh and Yoon, utilizing a sample of 343 different consumers, identified that when an organization illustrates that it maintains altruistic values and activities, consumers maintain a more positive perception of this business over that of businesses without a promoted ethical stance.