Thriving in the business of Entrepreneurship with 4 Steps to Smarter Business Mastery

In the Global Entrepreneurship Monitor (GEM) 2023 international study on entrepreneurial cultures and ecosystems, entrepreneurship in the United States is viewed as a mechanism to make a difference in the world and is used to produce high income or wealth. This is in comparison to a 2017 GEM study where 14% of business owners began a business venture out of necessity. Worldwide, 70% of the adult population highly value entrepreneurship as a worthwhile endeavor. So whether you are a nascent or experienced small business owner, the process of creating and innovating a business is positively valued and viewed favorably.

WHAT IS ENTREPRENEURSHIP AND HOW DID IT START?

Economist Richard Cantillon (circa 1734) was among the early economists to recognize the role of entrepreneurship. The French scholar noted the concept of the entrepreneur as a go-between as an individual who engages for profit in an uncertain environment focused on risk-taking endeavors. An early categorization of entrepreneurship dates to Australian scholar Joseph Schumpeter (1942) who identified this developing form of economic processing as “creative destruction.” Schumpeter was instrumental in developing the Schumpeterian entrepreneurial dynamics as a new combination that propelled this dynamic evolution of innovativeness.

Both Schumpeter and Cantillon, were influential in developing the concept of innovation and broadly studied it along with uncertainty and risk-taking attributed as key forms of entrepreneurship. Furthermore, entrepreneurship is often defined as the exploitation of opportunities for profit and is comprised of conducting specific activities, which involved the four aspects of intentionality, planning, action, and cognition, (Shane, 2003; Shane & Venkataraman, 2000, Koe, 2016).

Dimensions of Entrepreneurial Orientation

Within the study of entrepreneurship there are three common dimensions which typically are ascribed to the archetype of entrepreneurs, referred to as Entrepreneurial Orientation (EO) which includes three characteristics – risk-taking, proactiveness, and innovation. These characteristics frame the discussion on the role of entrepreneurship typically on an organizational and performance level but is applicable to founders who establish and launch firms.

The 3 dimensions are further defined as:

• proactiveness – the practice of acting on an opportunity and acquiring the necessary resources to move forward in the process.

• innovative practices – the generation of new ideas and processes achieved through administrative systems on, controls, and structure.

• risk taking – the action of creation, undertaking calculated opportunities which are uncertain, thereby investing resources with a desire to secure higher returns.

Each of the three dimensions of EO help to operationalize the way organizations or individual entrepreneurs view themselves in a free enterprise environment to operate profitably and  remain competitive.

4 Steps to Smarter Business Mastery

To assist business owners vying to identify the minimum viable product and the right product market fit, I propose four tactics which founders, business leaders and intrapreneurs alike can implement right away:

1. Find out how to innovate and automate

a)        Innovation is at the core of any successful business venture. But innovation is not just about creating new products or services, it is about finding smarter ways to deliver value, solve problems, and streamline operations. For a startup, the ability to innovate means identifying unmet needs or better solutions within your niche, then adapting and pivoting as the market changes.

b) Automation is everywhere and involves using technology to reduce manual effort, increase efficiency, and free up valuable time and resources. Startups can benefit greatly from automating routine tasks—whether that’s automating email marketing, streamlining order fulfillment, or using customer service chatbots. Automation and using AI-driven analytics, or customer relationship management (CRM) systems can save time, reduce human error, and make scaling easier.

2. Get comfortable with re-inventing yourself

Entrepreneurship is a constant process of learning and evolving. As markets shift and technology advances, your business will need to adapt. Re-inventing yourself means shedding outdated habits, assumptions, and even business models in favor of new ways of thinking and operating. It is about embracing change, being open to feedback, and actively seeking growth opportunities.

3. Learn how to become an industry disrupter

Disruption is uncomfortable, but it can be the key to major breakthroughs. As a business owner oftentimes, we aim to challenge the status quo, whether that is through how we serve our customers, approach marketing, our competition or how we manage internal operations. Being a disrupter does not mean being reckless; it means having the courage to question traditional ways of doing things, embrace unconventional ideas, and take calculated risks.

4. Prioritize wellness and lose a few hours of sleep a night (temporarily)

While I incorporate physical fitness 4-5 days a week and nourish my body with water it has not always been that way. The struggle is real for busy founders to prioritize wellness. I subscribe to the adage that health is our wealth. The reality is building a business, especially in the early stages requires long hours, sleepless nights, and a high level of commitment. At times, you will need to go beyond your comfort zone, which may involve sacrificing your usual sleep schedule. Of course, this should only be a temporary phase which comes with the territory of growth.

I hope this article has been informative and helpful to entrepreneurs and business leaders.

Source: Holloway, Alice Gordon, . Threading the Needle of Entrepreneurial Orientation of Firms: The Effects of Disruptive Threats and Turbulence on Corporate Social Responsibility Actions and Competitiveness. University of South Alabama, 2021.