Enterprise and Entrepreneurial Management Essay - 1

Enterprise and Entrepreneurial Management - Essay Example The Business Plan The business plan is the enterprise on paper. It is an attempt to capture in so many words and graphs what the business would be or look like when it is eventually implemented. It is an attempt to depict on paper the idea brewing in the mind of a would-be entrepreneur that he feels very strongly would transform into a successful venture. The business plan is the idea initially taking textual and graphic form. Literature is abundant with what makes a good business plan. Many authors would establish business plan formats containing the elements that would make a sound plan composition together with the elements’ sequencing. This paper however shall not dwell on the creation and development of these elements but shall focus on the process of planning, providing weight to the issue of the why and the how of the planning process. Business Plan Elements and the Planning Process Kuratko and Hodgetts (2009) offer the following elements in a business plan: executive s ummary, the business opportunity, market potential, market analysis, competition analysis, technical data of product or service, commercial strategy, methodology of operation, vision-mission and financial projections. These elements however are outputs of an enterprise planning process that proceeds with the idea generation, setting up of strategic objectives, analysis and research of market, understanding competition, understanding the financials and formulating the competitive strategies (Kuratko and Hodgetts, 2009). Critical Analysis Seeding the Idea: It s simple logic that there is always a purpose or reason for business, and if one pursues the economic theory... The paper tells that it is simple logic that there is always a purpose or reason for business, and if one pursues the economic theory that business is meant to generate profits for its owners, it follows that the business must be attractive to its intended customers to generate a green bottom line. An enterprise begins with an idea, whether it is a product or service, and that idea must answer a need of the market. This process of idea generation is otherwise known as the creative process or simply, creativity. Of course, it is now known, courtesy of brilliant thinkers such as Harper and Drucker, that creativity is the seed of innovation, where innovation is the finished product or service that benefits the market. It was Drucker who said that â€Å"innovation is the specific instrument of entrepreneurship – the act that endows resources with a new capacity to create wealth.† It would be necessary as an approach to this analysis to first define what an entrepreneur is b efore proceeding to create the attribute silhouette of the successful enterprise owner. As literature has an abundance of such a definition, this paper shall adopt the version of Drucker in his famous book Entrepreneurship and Innovation. An entrepreneur, according to Drucker, is one who always searches for change, responds to it and explores to the maximum its potential as an opportunity. Many authors and researchers have ventured into identifying the attributes that successful entrepreneurs possess.