The word innovative entrepreneurship has become a cliché but we can’t stop talking about it.
Sounds like an irony, right?
Have you ever wondered what’s Innovative Entrepreneurship?
Are you one?
Do you know the relationship between innovation and entrepreneurship?
Let’s start with what innovation is.
To innovate simply means to introduce new ideas, products or methods of doing things.
Therefore innovative entrepreneurship is when new ideas, products or new ways of doing things are introduced into a business.
Subsequently for efficiency and increase in productivity.
In other words it means provision of solutions.
Additionally it provides an entirely new solution as never been seen or improving on old solutions to achieve better results than previously.
For example a bluetooth earpiece that automatically increases volume when it’s moved closer to the device.
Or decreases the volume of a device when it’s moved farther from the device. (Assuming someone hasn’t done this already).
Likewise innovation in entrepreneurship is a tool to become highly competitive not a destination.
You are probably wondering what’s the importance of innovation in entrepreneurship.
We will get to that in a minute.
But briefly innovation is the wheel that propels entrepreneurship.
Another question is are all entrepreneurs innovative?
Here are some characteristics of innovative entrepreneurship:
Significantly the performance of what it’s used with/ for is increased. It adds value.
It enhances the performance of a product, company or industry. Imagine life without Google search or Apple.
Disruptive innovation causes a dramatic turn in products, methods or services.
They raise the bar and metamorphose existing markets or establish new ones. It’s also a catalyst.
An innovation eliminates the old method of doing things or the old product once it catches on. If not totally then almost totally.
For instance the first IBM personal computer made.
An innovation recognises the gaps in the market/ industry and fills it.
To emphasize it identifies what’s lacking and modifies it. Sees the gaps as opportunities and grabs it.
An innovation is always an improvement upon the existing one (always at an advantage).
Example is the advantages of the Whatsapp messenger over the traditional SMS.
All innovations seamlessly fit within the sector they are meant for.
For example Instagram works perfectly for professionals in the Arts and Entertainment Industry.
An innovation is easily and readily observable to the user. The innovator makes it so to encourage adoption from early users.
Notably early users are known to evangelize for an innovation. Else what’s an innovation without adaptors.
Now that you can identify innovation who’s an innovative entrepreneur? And do you think all entrepreneurs are innovative?
There are no sufficient words to define an innovative entrepreneur.
Rather I will cite some characteristics of innovative entrepreneurs:
An innovative entrepreneur sees things that most people don’t.
Even when others say it won’t work; they don’t give up.
They venture into things that have never been done not minding the outcome. They are well aware of the risks but still go ahead.
Don’t Have A Box
Great minds think out of the box; innovative entrepreneurs don’t even have a box.
Education or Training
Very versed in their craft.
They acquire formal/ informal training to enable the separation of relevant and irrelevant information while creating/ developing.
An innovative entrepreneur doesn’t mind how long it takes. He will keep testing his innovation.
His end goal is to ensure the innovation does what it’s meant for effectively.
Hence several trials. There’s never a finished product. Improvements will always be made.
Proactive and Persistent
They create or control situations; they don’t react. Thus they exploit opportunities.
Despite being risk takers innovative entrepreneurs are more careful and organized.
Everything is well accounted for and documented.
Thus this leads us to the relationship between innovation and entrepreneurship. And the importance of innovation in entrepreneurship.
Innovative Entrepreneurship: Relationship between innovation and entrepreneurship.
Entrepreneurship relies on innovation for sustainability.
A simple way to look at the relationship is entrepreneurship needs innovation just like we need air.
Innovation is seeing what is needed and creating it. In essence infusing something new or improvements with the old.
It could be an idea, product, model, method or a service.
While entrepreneurship entails turning a great idea into a business opportunity.
Understanding this simple analysis helps us understand better the relationship between innovation and entrepreneurship.
Which is imbuing new/ better ideas, products, services, methods or process into a business to give it an edge. An extra shot at sustainability and profitability.
Entrepreneurship begins with innovation and survives on innovation.
While innovation feeds on creativity and unbelievable thinking.
To innovate doesn’t always mean
inventing something new.
It could also mean changing and adding values to an existing idea, product, method or a service.
Everything above leads to the crux of this post. Which is the role of innovation in entrepreneurship.
Why is innovation so important to entrepreneurship?
Agent of Change
Innovation sees the problems in entrepreneurship and solves them. It changes the game.
Due to the improvement innovation provides there’s an increase in competition between entrepreneurs.
To provide what exactly solves the customer’s problems.
Increases Efficiency and Profitability
Innovation is synonymous with increase in efficiency hence increase in profits.
Innovation leads to discoveries which create opportunities. Thereby allowing more people gain entry into the industry.
Furthermore innovation ensures continuity and sustainability.
With innovation comes growth. Growth of the business and market.
Being creative creates an identity for the entrepreneur and the organisation.
In summary innovation isn’t necessarily making something new. It could also mean adding something new to an already existing product, service or process.
Simply to make it more efficient thereby increasing productivity and in turn increase profitability.
Consequently innovation is what gives you an edge over your competition as an entrepreneur.
Not all business people are entrepreneurs. But when you become innovative then you become an entrepreneur.
Innovative entrepreneurs challenge problems and they draw inspiration from different ideas to solve a problem.
In conclusion they continually observe and ask thought provoking questions. Which results into what the world sees.
Do you have more information on innovation in entrepreneurship? Feel free to comment.