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 Ludmila Murgulets

Out of the Blue

¹5(11) (16.06.2006)

Enterpreneurship is a process in which an entrepreneur undertakes activities in order to create something (a product or a service) using resources he has at hand. This new product or service will make the consumer happier, and he or she will readily pay the entrepreneur for the comfort they receive. As a result of such an exchange, which can now be called business, the entrepreneur has surplus value and an increasing resource volume. Now he is able to produce more and repeat his success.

In fact, many great companies began their business like that, from scratch. The most important thing in this process was to understand and feel the needs and requirements of their customers and by satisfying them make the customer happier. Some people were ready to pay for a Harley Davidson so that they could feel like tough guys, who tear at full speed back to their youth. It even helped them to forget about the paunch that they developed sitting in their office or drinking beer! Some people were eager to start a family, and needed to quickly and cheaply furnish their house. For this purpose (when there is an idea but there aren’t the means), there is offered IKEA.

It seems so simple! Why don’t all people become entrepreneurs? Everybody dreams of wealth and happiness, and the amount of needs and opportunities among customers is rapidly growing. Hundreds of books are written and read about different ways of how one can earn their millions, but surprisingly the majority does not become richer…Why do some people become entrepreneurs, whereas other people live on their salary?

There are two aspects in the process of enterprise: the person – the activist and entrepreneur, and the situation, the environment where the entrepreneur undertakes something. The environment includes customers, the entrepreneur’s family, society, the state and the world as a whole with all its laws and regulations. These two aspects closely interact: they either come up against each other or act in harmony; they underpin each other or put pressure on one another.

What do Richard Branson, Bill Gates, or Oleg Tinkov have in common? These people stand out among others because they are able to see future opportunities and prospects. These visionaries might overlook details or “separate trees” nearby, but they have a clear vision of “the forest and the mountains” over the horizon. Entrepreneurs are inclined to take risks and are responsible for their actions.

They are not apprehensive of possible dangers and they are not afraid of failure because they do not see any abyss until they come really close to it.

There are a lot of charismatic personalities among successful entrepreneurs. They are capable of making people believe in their idea and of conveying their energy to their followers. Their vigor helps them overcome the hardship of the initial business development period and compensates for the deficiency in resources, information and experience.

Communicative competence plays a important role, too. It helps entrepreneurs to form their social capital, links and relations.

Can one learn it? Why are there so few entrepreneurs among professionally qualified economists and managers? Only 3-5% of MBA graduates start their own business. And just 20% of start-ups survive after their first year. The next step is a situation analysis. It turns out that in order to begin his business activity and make an attempt to achieve something for his personal benefit a person must experience strong pressure from the inside or outside environment.

Otherwise it is difficult for people to refuse the comforts of their quiet life on a fixed salary. This pressure can be caused by job loss, family problems, or a conflict with the administration. In other cases an irresistible longin for freedom, dissatisfaction with their present work or life, and inability of self-realization can make peoplestrive for changes. Therefore the worse the situation the better it is for enterprise. “Dissatisfaction with their life or circumstances push some people overboard and make them swim against the current taking risks upon themselves.



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Magazine
¹6(12) (october 2009)
¹ 6(12) (october 2009)
Archive

News
23 october, 2006
The Stockholm School of Economics leads Nordic business schools in the 2006 Financial Times ranking of Executive MBA programs
31 august, 2006
Meetings with the authors of books published by the SSE Russia: Patrick Barwise
26 june, 2006
Meetings with the authors of books published by the SSE Russia: Lee Bolman
20 june, 2006
Meetings with the authors of books published by the SSE Russia: Gerard Tellis, Peter Golder
16 june, 2006
Diploma defense of Entrepreneurial Essentials and Living Company programmes
05 june, 2006
Seminar: the role of innovation in battle for the consumer. The importance of reputation in modern business, or why companies need social responsibility
25 may, 2006
The first seminar "About web sites and good web sites"
22 may, 2006
The corporate program of SSE Russia for TNK-BP company began
03 may, 2006
We started the Branding as Corporate Religion programme
01 may, 2006
The programme "Talent as a Tangible Asset of an Organization" began
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