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The Nexus of Corporate Entrepreneurship and Radical Innovation.

By

Anwar Shamim MBA leading to MS.

University of IM|Sciences(The leading Uni in business field in Pakistan KPK.)

By Anwar Shamim & Group

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Primary question of this article. Q. How does corporate entrepreneurship

in term of an entrepreneurial orientation influence radical innovation in existing organization??

Answered later by three proposition.

The Nexus of Corporate Entrepreneurship and Radical Innovation.

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Literature review Radical Innovation.

The innovation that impact two factors.1). Marketing. 2). Organization.

It is the creative destruction to survive. (Schumpeter, 1934).

It is breakthrough that leads to wealth creation/market share. (Kirchhoff 1991).

Incremental innovation enhance mainstream market/business while in contrast it serves as basis of future technologies, product, services and industries. (Christenson, 1997. Hamel, 2000)

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Lit review continued...

Radical innovation is highly revolutionary, discontinues and present new paradigm that generate wealth. (Christenson, 1997).

It is blue ocean strategy.(Kim and Mauborgne, 2004).

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Lit review, ( Corporate Entrepreneurship) It is entrepreneurial posture having three

widely characteristic (Covin an slevin, 1986).1) Innovativeness.▪ New ideas▪ novel experiments, Schumpeterian

term▪ and creative process.▪ Depart from existing technology/value/venture.▪ Innovation is focal point _____ Baden Fuller,1984

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Entrepreneurship continued...

2). Pro-activeness▪ Initiativeness▪ Anticipation of future problems.▪ Proactive managers are Prospectors.

3). Risk taking. Venturing into unknown Consuming large portion of asset

strategic context Borrowing heavily (financial risk)

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Corporate Entrepreneurship Continued... Two more dimension were added.(Lumpkin and Dess

(1996))

4). Autonomy_In general context v/s organizational context._fostering autonomy and why it should be. e.g. 32 years experienced machine operator in Textile firm.

(but should common and shared goal. As GE and Saturn)

Therefore KANTER, 1984....(combine and parallel).5). Competitive aggressiveness.

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Findings Respondent's statement indicates that the five

dimension of entrepreneurship is cases of radical innovation.

Statements.1. We have Master and PhD students, first

they search the market and area then we shape our idea based on those future anticipation. Becz without reliable data, innovation is behemoth. (pro-activeness)

2. Risk willingness in radical innovation becomes more manageable.(Risk taking)

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Findings continued....

3. We stimulate a culture of small entrepreneurs venture for creative employs to make fast decision and bring changes. (Autonomy)

4. we act as blue ocean when new competitors enters the market, not only we compete them on existing platform but seeking new markets. (competitive aggressiveness).

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Conclusion/ synergic points of relationship(nexus) propositions.

1. A firm emphasizing an entrepreneurial orientation in term of pro-activeness and risk taking stimulates radical innovation.

2. A firm emphasizing an entrepreneurial orientation in term of autonomy stimulates radical innovation.

3. A firm which does emphasize an entrepreneurial orientation in term of competitive aggressiveness has increased likelihood of stimulation radical innovation.