Relationship Between Entrepreneurship and Innovation - Essay Example

Relationship between Entrepreneurship and InnovationIntroduction Entrepreneurship involves three main dimensions linked to innovation. Entrepreneurship involves risk taking, proactiveness in relation to quick adaptability to the market demands and autonomy that is linked to innovation in many aspects. The paper takes an insight look into the relationship between the two subjects under discussion. The main area of focus is the implication that such a relationship has to the individuals or an organization.

There is a personal analysis on how the relationship influences risk taking and personal strengths in relation to innovation and entrepreneurship.Relationship between Entrepreneurship and Innovation Entrepreneurship is the act of taking a risk to offer at a fee 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 (Ndubisi & Iftikhar, 2012). Innovation is the means by which something is conducted in a unique manner or differently.

The two concepts are much related as entrepreneurs relies 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 innovative entrepreneur always remain relevant in the business even after introduction of new products in the market. The Implications of the Relationship between Innovation on an Individual or an Organization There is a more direct relationship between innovation and the performance of an individual or an organization considering them at an entrepreneurial context. The quality of service delivery and products is directly linked to the two subjects under discussion.

When there is innovation, the individual or organization experiences competitive advantage to his peers in the industry (Price, Stoica & Boncella, 2013). 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 is good on an organizational or individual basis there is increased benefits from increased market share, ROI (return on investment), new products, fast-mover advantage on products and the overall firm success.

Personal analysis on the relationship between entrepreneurship and innovation. As a young person, my innovative insight has been very beneficial to my entrepreneurial ventures. Innovation has helped change my thinking perspective towards a problem. Today I view the problem as an opportunity to be innovative and provide a solution at a fee. My risk-taking skills are based on innovation. The above fact has enabled me make-calculated risks when in an Entrepreneurial venture. Innovation helps me adapt fast to different situations in the market and stay relevant as an Entrepreneur.

Technology plays a big role in my innovative wit most of the time my innovative ideas are based on technology. Conclusion Entrepreneurship and innovation go hand in hand as entrepreneurship is dependents on innovation. The field of innovation is broad, but entrepreneurships cannot succeed without innovation in both aspects of the venture.  ReferencesNdubisi, N., & Iftikhar, K. (2012). Relationship between entrepreneurship, innovation and performance: Comparing small and medium-size enterprises.

 Journal Of Research In Marketing And Entrepreneurship, 14(2), 214--236.Price, D., Stoica, M., & Boncella, R. (2013). The relationship between innovation, knowledge, and performance in family and non-family firms: an analysis of SMEs. J Innov Entrep, 2(1), 14. doi:10.1186/2192-5372-2-14