Friday, October 12, 2012

Understanding Impacts of Entrepreneurial Skills on Business Performance

Entrepreneurship is referred to the act of being an entrepreneur or “one who undertakes innovations, finance, and business acumen to transform innovations into economic goods”. [1]

This field of work is essential with ideas, innovations and inventions for a better life of the human and capitalise the materials.

The entrepreneur has always been connected with the business manner. In fact, in the real world, many of the businessmen did not do entrepreneur job, but comfortable being as regular businessmen which they are not able to invent something new to their product, do not have entrepreneurial skills and just gradually making a profit by selling and buying the ready-made product in the market.

By means of full respect for the entrepreneurship spirits, the entrepreneur is someone who made up the idea, design the product, manufactured the product and selling it into the market.

This kind of job required sort of skills which will help the entrepreneur survive in the business world. This skill is called as entrepreneurial skills.

Definition of Entrepreneurial Skill


Entrepreneurial skills are defined as the skills that critically needed in the business and marketing in due to ensure the business going through smoothly all the consequences of the decision-making and business strategy.

The skill is required when it involves the marketing process, financial management, client responses, business evaluation and assessment, the trajectory of companies in the long term planning and competitive market analysis.

Entrepreneurial skill also defined as the ability to create something new with value by devoting the necessary time and effort, assuming the accompanying financial, psychic and social risks, and receiving the resulting rewards of monetary and personal satisfaction and independence. [2]

One of the study states that the array of possible entrepreneurial skills encompasses the perception of economic opportunity, technical and organisational innovations, gaining command over scarce resources, taking responsibilities for internal management and for the external advancement of the firm in all aspects (of teaching enterprise). [3]

All these definitions by research strongly shown entrepreneurial skills is the ability of survival of particulars entrepreneurs. Some studies already sort out several skills that needed by each of entrepreneur to ensure they succeed in what they are doing. Skills mean autonomy to each entrepreneur.

All of them believe the power of self-government and innovativeness to face the globalisation and the needs of customers will increase their competitiveness in the business field.

The skills that they have will ensure whether they were able to manipulate the surroundings to give good feedback to their business or let the gross of the economy put them under par.

Impact of Effective Communication


Many studies lineup communication as the most important skills that must be completely installed and polished by each of the entrepreneurs. Effective communication skill will provide a ladder to any entrepreneur to take another level of their business.

Major of learning and teaching process nowadays at business school provides a particular course with majorly focusing on building the highest-impact communication skills among their graduates.

The impact during the process to sell the idea persuades the client and give a response to each customer’s feedback is the reason of communication skills always be a critical edge to decide everything.

The easiest analogy to understand the urgency of communication skills and its impact on entrepreneurship is how teachers at school operate successfully as an entrepreneur in teaching enterprise.

In order to be a successful entrepreneur in dealing with the client that is their student as a stakeholder of particulars schools and universities, each of teacher must have the ability to effective communication skills which means they are able to express the personality as educated and to understand students so that ideas can be shared. [4]

Same goes to entrepreneur outside, the need to have high-impact communication skill is critically endorsed by the challenging surrounding and the current economic environment. Business is about the competition.

To perform consistently in the business world, the entrepreneur needs this kind of skill.

Empowering Self-Governing


Each of entrepreneurs needs the skills to govern themselves by practising a right time management competence and self-motivation skills. Both of this skill also lining up as the most important entrepreneurial skill that must be adopted in the way to ensure the business is always done in the discipline border.

Without this discipline, it is impossible for any entrepreneur to achieve something.

Business peoples should master to prioritise their schedule which means they are able to balance between the urgency of some matter by the right of time sensitivity and another working schedule.

A great entrepreneur should know better to be effective on everything they are doing regardless the meeting with the client or own workers. The prioritising of sort of schedule and tasks will remain them in the time context of the particular job, and this will boost the business performance by the efficiency of their working.

Each minute is counted. The world nowadays seeks for the people who are able to do couples of jobs in the shortest of time given. The formula is very easy; the more time you can save the tendency of business performance get better will highly increase.

The study also showed most of the successful entrepreneur in the world manages to self-motivated to overcome the barrier built by them. Popular English idioms, the biggest enemy, is yourself is perfectly picturing this skill that should be able to grab by peoples in the entrepreneurial world.

An entrepreneur should see himself as a great manager, and he got his own class. The commitment, enthusiasm, and passionate are the brothers who will make their dream in the business world become a reality. This sort of skills will keep the entrepreneur on the right track to gain something in the business performance.

How Steve Jobs Sell 1st iPhone?


Many peoples wonder when Apple has become the most popular brand since 2007 after they start selling their product known as iPhone.

During peoples around the world still freezing with the magnificent Nokia N98 which called as the greatest smartphone, Steve Job come out with extraordinary phone with unconventional functions and design such as full touch screen, smooth lagging time, tons of gaming and entertainment applications, powerful camera and a lot more features which rarely found anywhere such of functions on the other brands. [5]

Business experts discuss this, and for the record, Harvard Business Review (HBR) once ago wrote about the impact of marketing skill done by Steve Jobs to the performance of the Apple in the industry of smartphones and brands.

They agree the right moment to launch the good marketing point of the particular product is the key point of the successfulness of Apple nowadays. This is the impact of entrepreneurial skills, having by Steve Jobs that driving him to do something to his business. [6]

In the business, an entrepreneur should know better on how to reach their customers using the best marketing approach. The sales and marketing factor is the most important skills entrepreneurs should have in their day to day activities and development.

As the year climbing the ladder of time non-stop, we could see how marketing has nowadays become more interesting, challenging and endurance.

The effect of marketing through social media networking like blogs, Facebook and Twitter give tremendous change to the entrepreneurs.

Whether they admit or not, the need for expertise in social media marketing is also considered as an entrepreneurial skill that must be had by each entrepreneur to make sure they are able to survive in their playground.

Conclusion: All-Rounder Entrepreneur


Current economic situation and global regression push entrepreneur, regardless their age in the business world to the limit of skills and expertise. Entrepreneurs should understand why they must skill in a particular area to get through any obstacles in front of them and bringing up their business to the next level.

Skills come with knowledge and experiences. The ability to extract the knowledge they had during in the universities and experiences they had in their life is called wisdom.

Entrepreneur does not ever object this statement because facts show only smart and well-rounded entrepreneur could have the chance to be extraordinary among others and their business performance is tremendously unconventional regarding profits and success.

References:

[1] Wikipedia: A group of ideas around entrepreneurship. PDF
[2] Hisrich, Richard D. & Peters, Michael P., (2002). Entrepreneurship. Boston: McGraw-Hill/Irwin
[3] Kilby, P. (1971). Hunting the Heffalump in P KILBY ed. Entrepreneurship and Economic Development.pp:1-40. New York: The free press
[4] Adeyemo, SA. (2009). Understanding and Acquisition of Entrepreneurial Skills: A Pedagogical Re-Orientation for Classroom Teacher in Science Education.
[5] Kenneth L., Greg L., & Jason D. (2011). Capturing Value in Global Networks: Apple’s iPad and iPhone.
[6] Harvard Business Review: The Real Leadership Lessons of Steve Jobs.