Entrepreneurial Strategy

1. Entrepreneurial Strategy Generating & Exploiting New Entries

2. New Entry • Offering a New product to new or established market • Offering an established product to a new market • Creating a new organization (whether the product or the market is new or not)

3. Resource - Source of Competitive Advantage • Creating a resource bundle that is: • valuable, • rare and • inimitable. • Market Knowledge • Technological knowledge

4. Entry Strategy for New entry Exploitation • First Movers develop a cost advantage • First movers face less competitive rivalry • First movers can secure important channels • First movers are better positioned to satisfy customers. • First movers gain expertise through participation.

5. Some Disadvantages… • Environmental Instability • Customer uncertainty • Demand uncertainty • Technological uncertainty • Lead time

6. Risk Reduction Strategy • Narrow –Scope Strategy • Broad- Scope Strategy • Imitation Strategy • Managing Newness

7. Strategies for Growth & Managing Implications

8. Growth Strategies

9. Diversification • Backward Integration • Forward Integration • & Horizontal Integration • Related • Unrelated

10. Implications of Growth • Pressures on existing financial resources • Pressures on Human resources. • Pressures on management of employees • Pressures on the Entrepreneurs time

11. Overcoming Pressures on existing Financial Resources • Managing Cash Flow • Managing Inventory • Managing Fixed Assets • Managing Cost & Profits • Taxes • Record Keeping

12. Overcoming Pressures on the Management of Employees • Establish Team spirit • Communicate with employees • Provide Feedback • Delegate Some responsibility to others • Provide continuous training for employees

13. Overcoming Pressures on Entrepreneurs’ Time • Increased productivity • Increased Job Satisfaction • Improved interpersonal relationships • Reduced time anxiety and tension • Better health