UNIVERSITY OF BERGAMO Department of Economics and Technology Management. Entrepreneurial Strategy. The Research Group on Entrepreneurship
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1 UNIVERSITY OF BERGAMO Department of Economics and Technology Management PhD Program in XXV 2009/2010 The Research Group on Entrepreneurship Session DEeMT 02 Spring 2010
2 In search of the meaning of Entrepreneurship (Hébert and Link, 1989) Hébert e Link ( In Search of the Meaning of Entrepreneurship, 1989, Small Business Economics, 1(1), 39 49) have identified distinct intellectual traditions in the scientitic literature on Entrepreneurship Entrepreneurship as innovation (German tradition) Schumpeter stands the entrepreneur at the center's role as an innovator and stresses the relation between entrepreneurship and the economic growth. The entrepreneur is a "creative destroyer" and entrepreneurship is based on discontinuity rather than on the search for equilibrium. Entrepreneurship as uncertainty (Chicago School) according to Knight the entrepreneur faces risk (measurable) and uncertainty (unmeasurable) and distinguishes between them ; uncertainty explains many characteristics of the innovation process and is at the basis of the motivation of the entrepreneur ( Post equitem sedet atra cura, Horace) Entrepreneurship as alertness (Austrian Tradition) according to Kirzner the fundamental characteristic of entrepreneurship s the state of alertness. Alertness is not the mere ownership of greater knowledge of market opportunities, ii but it is the readiness to seize the information i they need. 2
3 What Entrepreneurship is about? Entrepreneurship is about change David Audretsch Entrepreneurship is about taking risk Frank Knight Entrepreneurship is about dealing with complex ambiguity Michael Lewkowitz Entrepreneurship is about being opportunity driven William Sahlman Entrepreneurship is about possibility François Michelin Entrepreneurship is about change and growth Cassia, Minola, De Massis behaviorial factors related Entrepreneurship is about dream Fernando Dolabela Entrepreneurship is about youth Cassia, Minola, DeMassis anthropological factors related 3
4 Our research activity on Entrepreneurship Entrepreneurship and Growth Linking Entrepreneurship to Firm Growth Linking Entrepreneurship to Regional Economy Growth Entrepreneurship along the Corporate Life Cycle Entrepreneurship and Technology Change Young and Family Entrepreneurship 4
5 Entrepreneurship is about change, novelty and growth A spark under specific circumstances starts a fire. Entrepreneurship is the spark that, in certain contexts, ignites the process of growth of a firm. 5
6 Linking Entrepreneurship to Firm Growth (empirical papers) Cassia Lucio, Alessandra Colombelli, 2010, Growth factors in medium sized enterprises: the case of an Italian region, International Entrepreneurship and Management Journal, New York. Cassia Lucio, Alessandra Colombelli, Stefano Paleari, 2009, Firms growth: does the innovation system matter?, Journal Structural Change and Economic Dynamics Special Issue on Regional Dimensions of Innovation, Elsevier, 20 3, Cassia Lucio, AlessandraColombelli Colombelli, 2008, Do universities knowledge spillovers impact on new firm s growth? Empirical evidence from UK, International Entrepreneurship and Management Journal, Special Issue "The Institutional Approach to Entrepreneurship Research, New York,
7 Linking Entrepreneurship to Regional Economy Growth (empirical papers) Brioschi Mariasole, Lucio Cassia, Alessandra Colombelli, 2009, Common Frameworks for Regional Competitiveness: Insights from a Number of Local Knowledge Economies, Rivista di Scienze Regionali, 8 2, Cassia Lucio, Alessandra Colombelli, Stefano Paleari, 2008, Regional transformation processes through the universities, institutions and industry relationship, p, Industry and Higher Education, London, 22 2, BrioschiMaria Sole, Lucio Cassia, 2006, Common Trajectories of Regional Competitiveness in the Knowledge Economy, Industry and Higher Education, London, 20 6,
8 Entrepreneurship along the Corporate Life Cycle Cassia Lucio, Fattore Michael, Paleari Stefano, 2006, : Emerging Businesses in Declining Industries, Edward Elgar, Cheltenham. Cassia Lucio, Michele Meoli, 2009, The entrepreneurial process along the corporate life cycle, Piccola Impresa /Small Business, 2 and Rent XXII Research in Entrepreneurship pand Small Business Conference 2008, Covilhã (Portugal). 8
9 Do common factors exist among Emerging Businesses in Declining Industries? Striving to growth > adoption of growth strategy Capturing new market opportunities through the expansion in adjacent business area and searching for alliances. Expansion in adjacent market In many cases growth occurred through expansion in adjacent markets, in the perspective of expanding sales without abandoning the firm s core business. Use of the technologies > user not producer, cross industry tech transfer Strategic adoption and use of enabling technologies. Pursuit of ever higher levels of competitiveness translated into the continuous adoption of newly available technologies. Increasing the firm s reputation > mass market approach This is not referred to the idea of brand, but rather to the ideas of trust, reliability and confidence. The presence of entrepreneur Presence of a leading reference for the entire organization setting the direction. Leverage on human resources Development and management of common shared knowledge within the company. Shift in the importance of costs against revenues Costs obsession: focus on searching of efficiency inside the internal processes Control over key assets > upside or downside along the value chain Afirm shifing to a competition based on knowledge must keep the control on the key assets. 9
10 Entrepreneurship and change in the technological domain Entrepreneurship is about change and Entrepreneurs are agents of change (Audretsch, 1995). Change is a distinguishing element of entrepreneurship, there is no entrepreneurship without change, and factors generating a change create the condition for entrepreneurship to flourish. Does a bidirectional causal relationship between entrepreneurship pand change in technological domains exist? How do technological changes generate opportunities that entrepreneurs or entrepreneurial organization can properly exploit? And how can entrepreneurial behaviour be a promoter of change in both technology intensive and technologyadopting businesses? 10
11 Entrepreneurship and change in the technological domain Among all change promoters, we focus on technology because inherently pervasive. Technology as an agent of change generates opportunities that can be caught be an entrepreneurial organization, therefore technology can support entrepreneurship. At the same time entrepreneurial posture may be able to generate significant push in technological advancement and innovation, through change. ENTPREPRENURSHIP UNITIES OPPORTU TECHNOLOGICAL CHANGE 11
12 Entrepreneurship is about youth Entrepreneurship is about youth 12
13 A Center for Young and Family Entrepreneurship Entrepreneurship is about youth To set up a Research and Education Center to foster and support Young and Family Entrepreneurship 13
14 A Center for Young and Family Entrepreneurship University Research Community (University) Education Community (Youngs) Business Community (Business professionals) Community 14
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