Global Entrepreneurial Traits and Theories
Entrepreneurship spirit can grow into actions, which result into the new businesses or reviving existing businesses in response to an opportunity that has presented itself. There are many entrepreneurs in the contemporary world, who have come up with new business ideas or revived existing businesses to a higher level of performance. Entrepreneurial activities are diverse depending on the kind of business there activities are realized in, as well as the creativity demanded. Different forms of entrepreneurship have emerged that does not necessarily involve business or income-generating activities. Example of new forms of entrepreneurship includes knowledge entrepreneurship, political entrepreneurship, social entrepreneurship, among others. Many entrepreneurs share certain characteristic traits such as creativity, over-generalizations, they are driven by achievement and independence, have optimistic decision making etc. The purpose of this paper is to identify and compare three entrepreneurs from three different countries, as well as describe in detail the theories that will assist in understanding entrepreneurs and their behaviors.
The three entrepreneurs are Steve Jobs, Lance Uggla, and Willie Deague. Steve Jobs is the business man from the United States of America. He was a co-founder of Apple Inc. Company, which is one of the most successful technology and telecommunication companies in the world. Lance Uggla is Canadian-born entrepreneur, though he has set his business in the United Kingdom. He is the co-founder of Markit Group. Finally, Willie Deague is from Australia. He is the CEO of the Asian Pacific Group.
Although the three entrepreneurs come from different countries, they share some characteristics traits. The main key characteristics trait that they have in common is the striving for innovation. Steve Jobs produced a number of innovative, even breakthrough products at Apple Company that ranked high in the technology industry, and brought income to shareholders. He believed that market research and particularly discussions in focus groups are just the ways of killing innovation. Therefore, he would introduce new products in the market without carrying out any market research. For instance, he developed and started mass production of iPad without carrying out market research. As the long history of Apple Inc success shows that Steve Job’s innovation never failed him. According to him, most customers are not aware of what they want, and as an innovator, one should never wait for them to tell you what they want. He used to view the work of looking into what customers want as a way of killing innovation. He released several popular products that potential customers were not aware they needed until the company told them so, and consumers bought them.
Mr. Uggla is also characterized by faith in innovation. He has used financial technology to translate innovation into a competitive advantage. Through financial technology innovation, his company is able to provide its customers with price updates every minute. Keeping in touch with customers through financial technology innovation has improved operation efficiency, reduced risk and increases transparency in his financial services. The last entrepreneur in the list is Mr. Deague, who is also a young and innovative business person. He has managed to adapt to market conditions throughout a time of rapid change. For instance, he succeeded to build the three art-inspired hotels during the global financial crisis. He also used an innovative idea by launching a marketing campaign that helped the hotels exceed the expected number of hotel night guests during summer. Additionally, this campaign improved the hotels’ international exposure, as well as increasing their publicity. Other traits that the three entrepreneurs share include: unlimited inspiration, commitment to their ideas and to business, visionary ideas, persistence, , brilliant implementation of innovation, and discipline.
There are several theories of entrepreneurship that can assist someone to understand entrepreneurs better. Examples of entrepreneurship theories include theory of religious belief, theory of social change, entrepreneurship innovation theory, theory of achievement motivation, economic theories, cultural theories, and psychological theories. Theory of religious belief and theory of social change are commonly referred to as sociological theories. Sociological theories were brought forth by Max Weber. Max Weber argues that religion and social change contributes to the development of entrepreneurs. The impact of religion and the influence of religious beliefs determine the entrepreneurial culture. Social changes, such as the continuing technical progress, also influence the entrepreneurial culture. Continuing technical progress improves entrepreneur’s creativity as they try to utilize the available technology to create competitive advantage over their competitors. Entrepreneur’s creativity is considered to be the fundamental element of economic growth and social transformation. An entrepreneur performs according the society role expectations.
Economic theories were brought forth by Joseph Schumpeter, who argued that entrepreneurial functions contribute to economic development. According to him, entrepreneurs assist in the process of economic development and drive the economic advancements, since they are creative, innovative, and have foresight. According to the author, entrepreneur innovation occurs when a new product is introduced, a new production method is employed, a new market is opened, a new source of raw material supply is found, and a new organization in any industry is introduced. He refers to this innovation as entrepreneurship innovation theory. Economic growth and entrepreneurship take place, when economic conditions are favorable. Economic incentives such as infrastructure availability, technology, taxation policy, etc. are the key motivators of entrepreneurial activities.
Psychological theories focus on the psychological characteristics. A society with individuals, who possess necessary psychological characteristics boosts entrepreneurship. Psychological characteristics of entrepreneurs include foresight or vision, ability to face opposition, commitment, and the need for high achievement and self-actualization. Individuals develop these characteristics to some extent, which depends on how they were brought up. Generally, psychological characteristics will have a direct effect on the supply of entrepreneurs in a given society.
Theory of high achievement was brought forth by McClelland, who was able to identify two critical characteristics of entrepreneurship. The two characteristics include making decision under uncertainty and doing things in a new and better way. He argued that individuals with high achievement orientation are likely to become entrepreneurs.
In conclusion, entrepreneurship can result to new businesses or reviving existing businesses in response to an opportunity that has presented itself. Entrepreneurs share certain characteristics traits as indicated by this discussion. Innovation is the major characteristic that is shared by all entrepreneurs and the three entrepreneurs discussed here are the clear examples of how innovation can and should be employed in the business setting. They share innovation as the main characteristic trait. There are several theories of entrepreneurship that can assist someone in understanding entrepreneurs better, such as the theory of religious belief, theory of social change, entrepreneurship innovation theory, theory of achievement motivation, economic theories, cultural theories, and psychological theories. Their contribution to the development of entrepreneurs is analyzed above.