O&E: Entrepreneurial school

Question 2

Name three geezers with different views on entrepreneurship:

Answer 2

• Karl Marx: entrepreneurs are agent of economic and technological change, often at the expense of society.
• Joseph Schumpeter: the entrepreneur has a business idea and makes this idea powerful and profitable. The power of the entrepreneur is that they carry out new combinations: doing new things, or doing things that have been done but in a new way.
• Kenneth Knight: entrepreneurship handles risk and uncertainty.

Question 3

What are the 4 chief characteristics of the Entrepreneurial School?

Answer 3

1. New opportunities
2. Power is centralized with CEO
3. explore uncertainty
4. Growth is primary goal

Question 4

What are the three stages of Lewin’s change model?

Answer 4

1. Unfreezing: Overcome resistance to change.
2. Changing: Shift mindset to create a new strategic vision.
3. Refreezing: Embed changes into the organization’s culture and norms.

Question 5

What are the key characteristics and premises of the Entrepreneurial School?

Answer 5

• Strategy exists mainly in the leader’s mind.
• The entrepreneur is central, creating and overseeing strategy and execution.
• Strategy formation is semi-conscious, relying on leader’s experience and intuition.
• Leader controls implementation to adapt and reformulate as needed.
• Strategy is both deliberate and emergent.
• Organization structure is simple and flexible.
• Focus on niches, seeking gaps between demand and supply.

Question 6

What are the most important contributions of the Entrepreneurial School?

Answer 6

• Introduced intuition alongside analysis.
• Emphasized the power of leaders, beyond just managing.
• Adaptability to environment
• Strategy as a vision.
• Focused on creating demand.
• Business model innovation.
• Rise of new markets.

Question 7

What are the main criticisms and limitations of the Entrepreneurial School?

Answer 7

• Intuition is vague.
• Contradictory views on entrepreneur
• Success bias
• Centralization may harm creativity and innovation.
• Vision can overshadow operations
• Too dependent on Entrepreneur