Strategic organizational entrepreneurship
We talked about strategic entrepreneurship and said that it can have 5 modes. Let’s see what other models say and what the story is about.
The second mode is sustainable organizational rebirth
Sustained regeneration
It is an entrepreneurial phenomenon where the organization regularly and continuously introduces new products and services or enters new markets. This form of strategic entrepreneurship is the most well-known, most common and famous model.
The sustainable rebirth of an organization refers to an entrepreneurial phenomenon through which the organization continuously and continuously offers new products and services to the market or enters a new market. In this type of organizational entrepreneurship, the company constantly pursues entrepreneurial opportunities. Most of these opportunities lead to profitable and incremental innovation. These innovations are manifested in ways such as product line development and entering neighboring markets.
Sustainable regeneration leads to the creation of new businesses. For example, 3M can be mentioned as an example of this. Sustainable reproduction is the most common method to achieve or maintain a competitive advantage, according to the product life cycle, changing technological standards or segmenting products or market areas. P&G’s consumer products industry and Motorola’s telecommunications industry are clear examples of organizations that have implemented sustainable regeneration well.
Companies that successfully implement this type of strategic entrepreneurship are known as innovation machines. Of course, it can be achieved when the organization continuously launches new products or enters new markets.
The third mode is redefining the organizational territory
Domain redefinition
By redefining the organizational territory, organizations enter the blue ocean into uncontested markets or so-called Kim and Mauborgne. These markets or products are actually areas where the organization offers a new group of products. A new product group is a group of products that consumers can consider as a substitute for other existing products. At the same time, the products in a new category are different from other categories.
Redefining the organizational territory is an entrepreneurial phenomenon that the organization actively creates a new product in the market areas that other companies did not discover or exploit before. That is, it redefines its work area (here only the activity areas of the organization change). Redefining the organizational territory as before leads to the creation of a new business.
A new category of products can both lead to the formation of a new industrial field and redefine the boundaries of the current industry. EBay is an example of the first case, which can be called the first leader in the online auction industry. Cirque du Soleil is an example of the second case, a Canadian company that reinvented circuses by combining elements of the circus industry with elements of the theater industry.
Redefining the organizational territory leads to change and transformation in the current competitive situation of the company. Although sometimes it is possible to temporarily turn the company into an unrivaled entrepreneurial organization. In fact, the dream of entrepreneurial organizations is to be recognized as a pioneer or the first leader in a market. Because the time comes when competitors enter the market, and in the opinion of these organizations, being the first and the leader is a privilege to achieve a sustainable competitive advantage.
Of course, the phenomenon of redefining the organizational territory also has other labels, such as bypass strategy, pioneering in the market, empty space marketing, and blue ocean strategy.
It continues, friends.
Sincere
@startup_30T
This post is written by Rimaazz1