Corporate Entrepreneurship

Corporate Entrepreneurship is an attempt to permanently anchor the basic ideas and the dynamics of entrepreneurship not only in the start-up phase of a company but also further afield in the company. Closely related is the concept of corporate venturing. As a classic of corporate entrepreneurship are Miller & Friesen (1982 ) and Guth and Ginsberg (1990).

Objectives

Management strategies are often aimed at the optimization of the operational business days. Optimizations of this type grown on the basis of core competencies are indeed capable to secure the foundation of the business, but do not necessarily lead to new successes in new business areas. The idea of ​​corporate entrepreneurship includes the other hand, explicitly breaking out of a restricted viewing area, which includes the commitment and the non- core business and strategic renewal that will ensure the survival of the company in the long term. In this regard should also grown orient "mature" companies such as start-ups.

In contrast to the term Entrepreneurship Corporate Entrepreneurship provides for the presence of an already existing organization. Corporate entrepreneurship strategies have two possible goals:

• The creation of new companies or business units within existing businesses or
• Permanent strategic renewal of the organization with respect to changing market and environmental conditions, eg through new combinations of resources.

Procedure

In practice, corporate entrepreneurship is often operated as a strategy of diversification. Also, it serves to drive resulting from intrapreneurship concepts business ideas of employees through spin-off, without completely abandoning the control of the spin-off (eg by assigning risk capital and maintaining a minority stake ). This strategy - also referred to as corporate venturing - can prevent innovation risks that could arise from the fact that an entire company simultaneously transformed its strategic base and its core competencies. Also, as non-strategic matching of business are outsourced promising in concept.

Conversely, corporate entrepreneurship prevent innovations stuck in the jungle of everyday routines and promote motivation and initiative from entrepreneurial employees. In contrast to Corporate Entrepreneurship Corporate Venturing includes the venture capital Subcontracting for external start-ups, for example, come as strategic business and innovation partner in question.