Thursday, September 26, 2019
Relationship Between Entrepreneurship and Innovation Essay
Relationship Between Entrepreneurship and Innovation - Essay Example The present research has identified that entrepreneurship is the act of taking a risk to offer at a fee for a product or a service to the market in order to make an income. The process of entrepreneurship involves identification of a problem and formulation of a workable solution to counter the problem. Innovation is the means by which something is conducted in a unique manner or differently. The two concepts are much related to entrepreneurs rely on innovation as a tool to help him provide a product or a service in the market. Innovation might employ the use of technology that entrepreneurs exploit to offer what they have to sell to the community. In the process of conducting a business as an entrepreneur challenges arise in each step of the way. Innovation helps entrepreneurs solve such challenges in a clever way that helps them stay afloat. Entrepreneurs calculate a risk and minimize it using innovations. The tool is applied in adapting to new market trends where the most innovati ve entrepreneur always remains relevant in the business even after the introduction of new products into the market. There is a more direct relationship between innovation and the performance of an individual or an organization considering them in an entrepreneurial context. The quality of service delivery and products are directly linked to the two subjects under discussion. When there is innovation, the individual or organization experiences a competitive advantage over his peers in the industry. It is easier for an organization to take informed steps and well-calculated risks with the application of innovation as a tool in delivering a product or a service. When the two relationships are good on an organizational or individual basis there are increased benefits from an increased market share, ROI (return on investment), new products, fast-mover advantage on products and the overall firm success.