Organizations often try to develop an entrepreneurial culture through a strong orientation toward entrepreneurship

Innovation opportunities in entrepreneurial organizations 

Academia research

Business & Management

Introduction

Innovation plays a major role in the success of every organization in this modern era of the competitive market. Innovation means the implementation of new ideologies or a process for a specific product or idea. The major objective of innovation is to enhance the firm's revenue irrespective of competitiveness around the market. In this essay, the importance of innovation in business will be discussed.

Summary 

raconteur.net, (2018) states, that there are various forms of business innovation based upon the particular business model which is required to be adopted by the specific firm. Innovation assists the business in enhancing across various regions. Moreover, it allows the organization to stay on top of its competitors. Lastly, it assists in getting benefits from the newest technologies such as artificial intelligence. However, there are a few threats to innovation such as its overall costs. As to making something, new huge costs are associated along with the time scheduling for getting the outcome. Finally, frequent innovations can make the organization's business unstable (raconteur.net, 2018). This is the reason entrepreneurs are required to bring innovative ideas by choosing them deliberately.

Figure 1: Innovation importance in an entrepreneurial organisation

(Source: Self-created)

• Businesses can use creativity to identify themself:

According to northeastern.edu, (2019), creativity is based upon doing something separate and unique that distinguishes the firm from others. When a firm tries to innovate its goods or services then its objective is to provide a uniqueness that others have not implied yet. Any kind of creativity is based upon the saving expense, time, or resources to provide a competitive edge over the others (northeastern.edu, 2019). However, the major concentration of the firm is to provide appropriate value to their respective customers so that they could be inclined towards their products.

• Companies stay viable via development:

As per northeastern.edu, (2019), the globe is changing faster, that's why any organization requires to eventually be on track with their creativities for enhancing revenue. These transformations lead to various business models based on the specific industries. Around some percentages of Fortune, organizations could be wiped out for digital automation.

• Firms benefit from creativity:

The enhancement of the businesses dignifies the increment of the firm's revenue. Successful transformations allow the firm to increment in profits. However, if the creative ideas fail then the business can face challenges to compete in the market (northeastern.edu, 2019).

• Innovation enables businesses to capitalize on modern technology:

MasterClass staff, (2021) elaborates that nowadays, technologies are evolving faster for making the business organization grow and fulfilling the customer requirements for instance Artificial Intelligence. Moreover, by taking assistance from these technologies entrepreneurs used to optimize their business while gaining a benefit against their rivals.

Conclusion

Innovation is always the key to success for any organization in this competitive market. Customers want something unique in the products as well as services. However, the quality cannot be compromised at any stage. New creative ideas create a sensation in the market along with saving cost, resources, and time consuming for delivering their products. This is the reason each business firm has its innovation department which works constantly to improvise their services and products for increasing companies’ revenue at times.

Reference list

MasterClass staff, (2021), Why Innovation Is Essential for Business Success, Retrieved on 12^th April, 2022 from : https://www.masterclass.com/articles/why-innovation-is-essential-for-business-success#what-does-innovation-mean-in-business

northeastern.edu, (2019), importance-of-innovation,  Retrieved on 12^th April, 2022 from :  https://www.northeastern.edu/graduate/blog/importance-of-innovation/

raconteur.net, (2018), business-innovation-guide, Retrieved on 12^th April, 2022 from :  https://www.raconteur.net/business-strategy/business-innovation-guide/