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Corporate Entrepreneurship

Introduction
Corporate Entrepreneurship is thought of as rejuvenating and revitalizing existing companies. It is brought into practice as a tool for business development, revenue, growth, profitability enhancement and pioneering the development of new products, services and processes.


The concept of corporate entrepreneurship is generally believed to refer to the development of new ideas and opportunities within large or established businesses, directly leading to the improvement of organizational profitability and an enhancement of competitive position or the strategic renewal of an existing business.

Characteristics:
1.     Start of new business within existing business.
2.     Restructuring of organisations through a renewal of important areas of business.
3.     Creativity,  innovation and renewal within an existing organisation.

Why should established organizations consider corporate entrepreneurship?
Corporate entrepreneurship is especially crucial for large companies, enabling these organizations - that are traditionally averse to risk-taking - to innovate, driving leaders and teams toward an increased level of corporate enterprising. In addition to the obvious benefits obtained through innovation, this approach also provides the organizational benefit of setting the stage for leadership continuity.

In a simpler view, corporate entrepreneurship can also be considered a means of organizational renewal. For in addition to its focus on innovation, there also exists an equal drive toward venturing. These two work in unison as the company undertakes innovations across the entire organizational spectrum, from product and process to technology and administration. In addition, venturing is a primary component in the process, pushing larger companies to enhance their overall competitiveness in the marketplace by taking bigger risks. Examples of these risks, as seen in a large-scale organization, may include: redefinition of the business concept, reorganization, and the introduction of system-wide changes for innovation.


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