This article discusses the inter-relatedness of entrepreneurship, innovation, creativity and change. This is done by first defining each of these terms and examining how inter-related they are.
DEFINITIONS
Entrepreneurship
Entrepreneurship is defined as the process whereby an individual or a group of individuals uses organised efforts and means to pursue opportunities to create value and growth by fulfilling wants and needs through innovation and uniqueness, no matter what resources are currently controlled (Robbins and Coulter, 2004:43).
Innovation
Innovation involves finding new and better ways of doing things that are commercialised (Rwigema and Venter, 2004:113). This is similar to Zimmerer and Scarborough (2005:35) who define innovation as the ability to apply creative solutions to problems and opportunities to enrich people’s lives. Drucker (2002:96) defines it as the effort to create purposeful focussed change in an enterprise’s social or economic potential.
Creativity
Creativity is the ability to develop new ideas and to discover new ways of looking at problems and opportunities (Zimmerer and Scarborough, 2005:35). This is similar to Robbins and Coulter (2004:354) definition of creativity as the ability to combine ideas in a unique way or to make unusual associations between ideas.
Change
Change is any alterations in people, structure, or technology (Robbins and Coulter, 2004:338).
INTER-RELATEDNESS OF ENTREPRENEURSHIP, INNOVATION, CREATIVITY AND CHANGE
Creativity and Innovation
Creativity and innovation are two major components for entrepreneurs. The creative process fits into the innovation process. The first step in the innovative process begins by searching for innovation. The creative process links the first step to the second step of evaluating the opportunity (Nieman et al., 2006:350).
Nieman et al., (2006:351) state that creativity deals with getting an idea, while innovation relates to implementing the idea. Creativity is thinking new things, and innovation is doing new things. Entrepreneurs succeed by thinking and doing new things or old things in new ways (Zimmerer and Scarborough, 2005:35). Entrepreneurship requires innovation.
Without entrepreneurship, no innovation can occur. Entrepreneurship and creativity are pre-requisites for innovation (Nieman et. al., 2006:351). Without entrepreneurship, no innovation can occur, as entrepreneurship is the means by which innovation can take place. Entrepreneurship and creativity are pre-requisites for innovation. The Ministry of Science, Technology and Vocational Training has a Department of Vocational Education and Training. This department has an Entrepreneurship unit which organises entrepreneurship and innovation fairs for students in vocational training institutions. This is in realisation that entrepreneurship is a fertile breeding ground for innovation.
Entrepreneurship, Innovation, Creativity and Change
Both entrepreneurship and innovation have to do with creating value for the customer. To stay ahead of competitors, entrepreneurs must regularly generate new or revamped products and ideas to better serve the customer. An entrepreneur needs to make improvements in both technology and procedures. By doing things differently and better, entrepreneurs create new value. Innovation then becomes a means of exploiting a market opportunity (Rwigema and Venter, 2004:113). A group of ex-miners in the Copperbelt of Zambia came up with stem-cartridges used in explosives (for mining activities) by using local ingredients. Previously these products were sourced from South Africa. The ex-miners thus exploited a market opportunity using innovation. Their products have been awarded International Standard Certification.
It should be noted too, that entrepreneurship is the result of a disciplined systematic process of applying creativity and innovation to needs and opportunities in the marketplace (Zimmerer and Scarborough, 2005:36). Customers will have varying needs and problems. For example, a growing town may attract fresh graduates from colleges and universities to new job opportunities. These may be demanding jobs that leave little time for them to prepare food at their homes. An entrepreneur needs to seize this opportunity in the market by coming up with creative and innovative ways of meeting the needs of these young workers. This could be done by preparation of quick meals or hot meals that could be home delivered. Examples of entrepreneurs taking advantage of the needs of customers are the City Lodges and Formula 1 Hotels in South Africa. These hospitality outfits were established with a view of meeting the needs of cost conscious travellers that do not want to spend a lot of money on unwanted extras like lunches and dinners and porters and waiters. Formula 1 hotels are situated close to bus and rail stations and other important places like banks, shopping centres and conference venues. The founders (entrepreneurs) of these hospitality outfits have shown innovation and creativity and adopted change in the way the hospitality industry is run to the satisfaction of their customers needs.
Creativity and innovation are vital for a firm’s growth and success in a rapidly changing business environment. Entrepreneurs are characterised by creative thinking. Entrepreneurs need to be both creative and innovative. This will enable them to respond to change by coming up with new products that meet customer needs. An intrapreneurial organisation will have an environment that encourages creativity and innovation. Such an organisation is able to respond to change well as it encourages internal entrepreneurship. For entrepreneurs, creativity and innovation are useful in successful competing with larger businesses. Zimmerer and Scarborough (2005:35) state that creativity and innovation often lie at the heart of small companies’ ability to compete successfully with their larger rivals. Small companies can create powerful, effective competitive advantages over big companies by “out-creating” and “out-innovating” them.
CONCLUSION
This article defined the terms: entrepreneurship, innovation, creativity and change. The inter-relatedness of these terms was then discussed with relevant examples given.
DEFINITIONS
Entrepreneurship
Entrepreneurship is defined as the process whereby an individual or a group of individuals uses organised efforts and means to pursue opportunities to create value and growth by fulfilling wants and needs through innovation and uniqueness, no matter what resources are currently controlled (Robbins and Coulter, 2004:43).
Innovation
Innovation involves finding new and better ways of doing things that are commercialised (Rwigema and Venter, 2004:113). This is similar to Zimmerer and Scarborough (2005:35) who define innovation as the ability to apply creative solutions to problems and opportunities to enrich people’s lives. Drucker (2002:96) defines it as the effort to create purposeful focussed change in an enterprise’s social or economic potential.
Creativity
Creativity is the ability to develop new ideas and to discover new ways of looking at problems and opportunities (Zimmerer and Scarborough, 2005:35). This is similar to Robbins and Coulter (2004:354) definition of creativity as the ability to combine ideas in a unique way or to make unusual associations between ideas.
Change
Change is any alterations in people, structure, or technology (Robbins and Coulter, 2004:338).
INTER-RELATEDNESS OF ENTREPRENEURSHIP, INNOVATION, CREATIVITY AND CHANGE
Creativity and Innovation
Creativity and innovation are two major components for entrepreneurs. The creative process fits into the innovation process. The first step in the innovative process begins by searching for innovation. The creative process links the first step to the second step of evaluating the opportunity (Nieman et al., 2006:350).
Nieman et al., (2006:351) state that creativity deals with getting an idea, while innovation relates to implementing the idea. Creativity is thinking new things, and innovation is doing new things. Entrepreneurs succeed by thinking and doing new things or old things in new ways (Zimmerer and Scarborough, 2005:35). Entrepreneurship requires innovation.
Without entrepreneurship, no innovation can occur. Entrepreneurship and creativity are pre-requisites for innovation (Nieman et. al., 2006:351). Without entrepreneurship, no innovation can occur, as entrepreneurship is the means by which innovation can take place. Entrepreneurship and creativity are pre-requisites for innovation. The Ministry of Science, Technology and Vocational Training has a Department of Vocational Education and Training. This department has an Entrepreneurship unit which organises entrepreneurship and innovation fairs for students in vocational training institutions. This is in realisation that entrepreneurship is a fertile breeding ground for innovation.
Entrepreneurship, Innovation, Creativity and Change
Both entrepreneurship and innovation have to do with creating value for the customer. To stay ahead of competitors, entrepreneurs must regularly generate new or revamped products and ideas to better serve the customer. An entrepreneur needs to make improvements in both technology and procedures. By doing things differently and better, entrepreneurs create new value. Innovation then becomes a means of exploiting a market opportunity (Rwigema and Venter, 2004:113). A group of ex-miners in the Copperbelt of Zambia came up with stem-cartridges used in explosives (for mining activities) by using local ingredients. Previously these products were sourced from South Africa. The ex-miners thus exploited a market opportunity using innovation. Their products have been awarded International Standard Certification.
It should be noted too, that entrepreneurship is the result of a disciplined systematic process of applying creativity and innovation to needs and opportunities in the marketplace (Zimmerer and Scarborough, 2005:36). Customers will have varying needs and problems. For example, a growing town may attract fresh graduates from colleges and universities to new job opportunities. These may be demanding jobs that leave little time for them to prepare food at their homes. An entrepreneur needs to seize this opportunity in the market by coming up with creative and innovative ways of meeting the needs of these young workers. This could be done by preparation of quick meals or hot meals that could be home delivered. Examples of entrepreneurs taking advantage of the needs of customers are the City Lodges and Formula 1 Hotels in South Africa. These hospitality outfits were established with a view of meeting the needs of cost conscious travellers that do not want to spend a lot of money on unwanted extras like lunches and dinners and porters and waiters. Formula 1 hotels are situated close to bus and rail stations and other important places like banks, shopping centres and conference venues. The founders (entrepreneurs) of these hospitality outfits have shown innovation and creativity and adopted change in the way the hospitality industry is run to the satisfaction of their customers needs.
Creativity and innovation are vital for a firm’s growth and success in a rapidly changing business environment. Entrepreneurs are characterised by creative thinking. Entrepreneurs need to be both creative and innovative. This will enable them to respond to change by coming up with new products that meet customer needs. An intrapreneurial organisation will have an environment that encourages creativity and innovation. Such an organisation is able to respond to change well as it encourages internal entrepreneurship. For entrepreneurs, creativity and innovation are useful in successful competing with larger businesses. Zimmerer and Scarborough (2005:35) state that creativity and innovation often lie at the heart of small companies’ ability to compete successfully with their larger rivals. Small companies can create powerful, effective competitive advantages over big companies by “out-creating” and “out-innovating” them.
CONCLUSION
This article defined the terms: entrepreneurship, innovation, creativity and change. The inter-relatedness of these terms was then discussed with relevant examples given.
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