Nobody downloaded yet

Entrepreneurship in Large Corporations: The Downside - Essay Example

Comments (0) Cite this document
Introduction Corporations are powerful drivers of the economy at local, national and global levels. As Down (2010, p. 119) argues, the traditional bureaucratic and technocratic approach to running corporate organisations has proved unfeasible in the contemporary world…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.4% of users find it useful
Entrepreneurship in Large Corporations: The Downside
Read TextPreview

Extract of sample "Entrepreneurship in Large Corporations: The Downside"

Download file to see previous pages In terms of entrepreneurship, the corporate disposition of firms seemed inhibitory to such ventures as corporations were largely divisional and highly bureaucratic. However, allowing for personal wealth accumulation, personal autonomy to spur innovation and cultural changes have all allowed the paradigm of corporate entrepreneurship to emerge (Down 2010, p. 120). Corporate entrepreneurship, hailed as new dawn to the power and performance of corporations, is defined as the establishment of novel business ideas and business opportunities within large corporations (Birkinshaw 2003, p. 47). However, the shift to entrepreneurial management of large corporations has been accompanied by numerous problems for corporations, which forms the focus of this study. One of the principal talking point and debated problem is the question of morality; corporations appear to justify dubiousness, grey practices and illegalities in the name of pursuit of entrepreneurship (Down 2010, p. 121). This problem raises the age-old question of the purpose of a corporate firm; should a corporation primarily seek profits first and other interests as by-the-ways? Should corporations seek to satisfy social good apart from profit seeking? Thus, a moral tension arises on the operations of entrepreneurial-based corporations as an extension to the debate on capitalism. When the stakeholder theory versus shareholder wealth maximisation concepts are applied to the purpose and obligations of corporations, the moral debate on entrepreneurial corporations is further illuminated. According to the stockholder wealth maximisation perspective, firms ought to primarily pursue maximisation of profits for the owners (Brink 2011, pp. 262-263). Hence, such firms are right in pursuing managerial capitalism to fulfil their fiduciary responsibilities to the stockholders of the corporation (Philips 2003, p. 36). However, the social contracts under which society operates translates to operating while keeping in mind the rights and interests of various stakeholders in the society. For a corporation, the stakeholders include the employees, suppliers, customers and the community within which the corporation operates (Freeman et al. 2010, pp. 164). The interests of all these groups should be taken into consideration when making critical decisions on the corporation’s future, for instance mergers, takeovers, closures and acquisitions. The shift towards entrepreneurial corporations has refocused firms towards their fiduciary wealth-making duties at the expense of the stakeholders. In true entrepreneurial fashion, modern corporations devise innovative ways to maximise profits which may contradict communities' interests. In a related way, the shift towards entrepreneurial corporations has adverse effects on the abilities of corporations to cater for the needs of the society in a moral and equitable manner. Under the social contract theory, states are established to cater for the needs and common interests of the citizenry, requiring that personal interests be ignored for the collective good. When a government privatises a public corporation responsible for the collective good of the society, the contract under which society operates is effectively broken. Privatising such services is usually undertaken for the pursuit of more efficiency and to lessen government interference in trade. However, such firms gain commercial interests and have the advantage of operating as monopolies; crucial services supposed to be equitably ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Entrepreneurship in Large Corporations: The Downside Essay”, n.d.)
Entrepreneurship in Large Corporations: The Downside Essay. Retrieved from
(Entrepreneurship in Large Corporations: The Downside Essay)
Entrepreneurship in Large Corporations: The Downside Essay.
“Entrepreneurship in Large Corporations: The Downside Essay”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Entrepreneurship in Large Corporations: The Downside

SME's Agains Large Corporations

...?CHAPTER III METHODOLOGY In this chapter, the research methodology employed in the study will be presented. this is to present the research methods that have been used in the conduct of teh research this is vital as it informs the readers of the dynamics and approaches that have been used by the researcher as the study was being done. 6.1. STATEMENT OF THE PURPOSE The following are the aims of the research, aims to understand the relation between SMEs and technological developments. Likewise, the study intends to identify factors that may contribute to SMEs competitive edge. Finally, the study intends to apprehend the possibility of SMEs adopting technological developments as opening competitive edge for SMEs against...
19 Pages(4750 words)Dissertation

Strategy Management in Entrepreneurial Vs. Large Public Corporations

...? Strategy Management In Entrepreneurial Vs. Large Public Corporations Differences in process An entrepreneur is an individual whoseeks to undertake a commercial venture with the sole objective of making profit (Napier, 2006). This is a comprehensive process that involves evaluation of a number of factors some of which include: competition, capital, customers, location, pricing, advertisement among others. To effectively consolidate these factors one needs to have a clearly laid out strategy. A public corporation, on the other hand, is an organization that came to be with the advent of mixed economies. It presents a state run corporation that has a sole mandate of...
9 Pages(2250 words)Research Paper


...Corporations Exam, Question Part I: Substantive and Procedural Merits of Lawsuit The Complaint against the Board of Directors The class action against the board of directors is founded on the assumption that directors are fiduciaries. As fiduciaries, directors owe the shareholders of the corporation and the corporation as a whole a duty of loyalty and duty of care (Aronson v Lewis). The duty of loyalty is a firmly established principle of corporate law. The duty of loyalty imposes upon directors and other relevant corporate officers, a duty of care. In this regard, a duty of care involves the duty to ensure that the corporation’s...
19 Pages(4750 words)Essay

How Globalization and Large Corporations Affect Small Business

...How Globalization and Large Corporations Affect Small Business. On the twenty first century, globalization phenomenonit is asserted to be on the increase. With the evidenced continuous human interaction witnessed almost in all sectors of the society, and with inventions and innovations in technology, it has made globalization and market liberalization a reality in the contemporary world. As a result, numerous studies have been conducted to point out the exact effects that in deed globalization and large corporations have impacted especially on business (Sachs 66). It is imperative to note that large corporations more often have had a...
7 Pages(1750 words)Research Paper

Downside Risk to Real Estate

...return parameters of the Australian market in detail. Downside Risk can be applied to Real Estate as an asset class as according to early research on real estate returns concluded, somewhat tentatively, that real estate both earned substantial risk-adjusted excess returns and served as a good hedge against inflation [Brueggeman, Chen and Thibodeau (1984), Ibbotson and Siegel (1984) and Hartzell, Heckman and Miles (1987). When analysing the inherent risk and level of variances related with specific real estate investment valuation, appraisal smoothing has been an important factor. IPD index has been showing capital growth of between 0.27% and 0.46% in June 2007 and then UK REIT market had moved to large...
21 Pages(5250 words)Essay


...entrepreneurship so as to assist the current society towards developments and further professionalism in dealing with the new businesses and operations of modern entrepreneurial groups today. This is particularly the reason behind the constant application of law within the systems accepted by the organization as per guided by the local governments seeing through the operations of the said business groups. In this side of the situation, the fact that corporation has the advantage of enjoying the limited liability guideline is one of the most important laws that had been created to at least assist in the process of incorporating legalities in the business operations of the organization within and even...
4 Pages(1000 words)Essay

The Downside of Diversity

...The Downside of Diversity” In these modern times, diversity is often thought of as a good thing. This is mainly derived from the negative past experiences with racial segregation, so it is naturally assumed that we now must promote multiculturalism in our communities. In “The downside of diversity,” Michael Jonas argues for completely the opposite point of view. Studies carried out by Jonas shows that diversity is not all it is talked up to be. Although diversity is thought of as a positive thing for society, Putnam’s study proves that diversity produces lower civic health, a decline in social capital, and brings out the turtle in all of us. Diversity produces lower civic health, which is a detriment to...
2 Pages(500 words)Essay

Large Corporations managing change,internal change drivers and catalysts

...Large corporations managing change, internal change drivers and catalysts Introduction Organizations are dynamic entities. Thus given the inherentdynamism of firms, it is imperative that they have to change from time to time. However, the process of change is not easy and managing change is an uphill task. Organizational change is a very important term from the perspective of management. So, the linkages between organizational change and the factors those play a vital role in the business environment of the firm needs to be assessed. Change has been defined by various authors in a multitude of ways, mostly depending on the nature or context of change that we are concerned with. In the organizational...
10 Pages(2500 words)Research Paper

Colonial Corporations

...Colonial Corporations This study highlights the Colonial Corporation of the British Emperor. They expanded their emperor through trade and by forming different companies. The rice people of Britain invested in these companies and invaded in many countries of the world. They established their business to those countries and formed many colonies out this. This case study gives a detailed description of the policies of the British to exploit the people of the colonies for getting benefits and wealth from them. Different policies which were undertaken by The British Corporation are discussed here. Their main intension was to strengthen their own economy at the expense of their colonies. Here in this case study the American Revolution... . England...
9 Pages(2250 words)Term Paper

The downside of trusted computing

...The downside of trusted computing College In spite of the many principles concerning the safety of trusted computing, the design has brought up some concerns over privacy and functionality. Practically, trusted computing utilizes cryptography to aid in enforcing a chosen behavior ("Weighing the pros and cons of the Trusted Computing Platform," n.d.). The major feature of trusted computing is to permit someone else to authenticate that only certified code runs on a system. Remember, trusted computing when used alone does not guard against attacks that abuse security susceptibilities set up by programming bugs. The problem comes up with the main purpose of the chip. It is technically achievable with trusted computing, to...
1 Pages(250 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Entrepreneurship in Large Corporations: The Downside for FREE!

Contact Us