The New Paradigm for Entrepreneurial Success

Entrepreneurship is a great magnet to deliver new ideas, unique approaches and innovative technologies. When conducted in a proper way, turning people into entrepreneurs improves a country's economic situation and aids sustainable progress. However, transition to become an entrepreneur is not that aspiring to all. Risks and uncertainties involved in starting a new business coupled with stagnant economy discourage people to step up the plate and take a swing.

Global Entrepreneurship Monitor on its January issue supported this fact and said that entrepreneurial activity in the U.S. declined slightly (on the order of 5%) over a year to 11.3% in 2004. Americans used to be at 16.6% level in 2000.

Surprisingly, teenagers who would be the next-generation entrepreneurs in the U.S. are in favor of running their own businesses. In a survey conducted by Kauffman Center for Entrepreneurial Leadership, it was found that 67% of the youths (aged 14-19) were interested in giving a shot to entrepreneurship. Numbers would be likely to improve in the U.S. over time.

Although, new generation is ready to drive the numbers up, there are two basic problems to address before encouraging them to lean forward.

First is the saturation of U.S. and West European markets where both give innovations less chance to survive. David E. Gumpert, in his article, 'For Entrepreneurs, a Harder World' talks about this issue. China factor and large organizations inclination to enter even into very small, immature markets kill the chance for entrepreneurs to find niche plays. He concludes by saying questioning about saturated markets are no longer unreasonable to ask and there are obvious disquieting signs on the horizon. His points need to be taken seriously.

Second can be called as the absence of means, need and/ or motive. A great business plan without financial support would never achieve to aim high. Or, flushing millions of dollars to a solution that the market is not ready for would be a failure. Worst would be to supply all but not encouraging people to run their own business what U.S. is facing today.

Even though, both problems may be accepted as realities of a global economy, they should not hinder the need for a new paradigm to take the entrepreneurship onto the next level.

The aim of the new paradigm should be all about redefining entrepreneurship. Oddly enough, the concept of entrepreneurship covers a lot of topics ranging from running the business to timing the market where system hopes couple of individuals to collaborate to bring out a new approach to the market. They are expected to surpass all difficulties and be a success story.

However, the need is very different. Entrepreneur, as a term, applies to someone who establishes a new entity to offer a new or existing product or service into a new or existing market. Responsibility begins and ends at forming and running the entity. The idea of a product or service, the strategy and the search for investment need to be taken care of separately. However today's system forces entrepreneurs to do them all. Undoubtedly, this forces them to cut themselves thin and disallows them to assume their real roles.

First; innovator, entrepreneur and strategist are different people so they need to be separated. Second, a new model that prepares a ground for innovators, entrepreneurs, industry analysts and investors need to be set that lets them discuss and work with each other. With a clear-cut definition of everybody's role; innovators can be free from taking the risks of being entrepreneurs, while entrepreneurs, by relying to research and strategy specialists' knowledge, can be bolder on their journey. On top of all, investors' assumed risks would dramatically diminish.

Today, investors trust due diligence process before making a decision. The problem is, in such a short period of time, say one month, grasping all the data about the market is not possible. Other thing is, there may be better deals out there where investors might have better probability to make more money.

Hence, the new ground, addressed above, will be a strong knowledge base for everybody who is willing to transform an idea into a profitable company. The new ground will ask people to focus on wherever they are strong at, rather than asking them to take responsibility of all. So, the success rate of newly formed companies will boost and more individuals will be willing to be a part of this process.

As soon as being an entrepreneur will not be considered as the end but the means of delivering ideas, the moving forward on entrepreneurship would be easier. That's why; a 'focus at what you are good at' approach needs to be taken immediately to situate the entrepreneurship condition better for the upcoming entrepreneurs.

Burak Fenercioglu is a freelance writer and working for a computer network security company for over 4 years. His articles are about new ideas, innovation and strategy and can be found at http://burakfenerci.blogspot.com

---

The Visionary Entrepreneur

Any success you have in life must begin with a... Read More

The Business and Life You Want to Build

In the early days of my first consulting business, I... Read More

Before Getting A Franchise

Buying into a franchise is a great way to be... Read More

When Your Business Feels Like an Arranged Marriage

Q. I was laid off six months ago. Jobs in... Read More

What Online Millionaires Tell Me They Are Worried About

I just arrived back from the best seminar I have... Read More

Oil Change Guys History; Part II

Franchise companies are not born they are made and when... Read More

Needs Versus Wants For Entrepreneurs

How often do the words "I need" come out of... Read More

Franchises - Emotional Fulfillment - The Challenge

Does A Franchise Meet Your Needs?Do you look forward to... Read More

The Lonely Hat: A Marketing Parable

Jones was a typical entrepreneur who worked long hours and... Read More

Business Planning for College Students and First-Time Entrepreneurs

More and more students, both in undergraduate and graduate institutions,... Read More

Expand Your Resourcefullness!

The success and failure for the entrepreneur is largely dictated... Read More

Become a Recognized Authority in Your Field - in 60 Days or Less!

You don't have to be rock-star famous before you are... Read More

New Rules

Last week I was working with one of my small... Read More

5 Tips to Step Boldly into the World & Set Yourself Apart from Others

"Real champions believe in themselves even when no one else... Read More

The Entrepreneurial Difference

Who would ever have imagined that going door-to-door in my... Read More

Adding a Service After You Buy a Business

When you buy a business, you should have a plan.... Read More

Youth Entrepreneurship, A Disappointing Truth

The psychology of entrepreneurship can be very rewarding to one... Read More

Secrets of My Favorite Government Auction

I love bargains. And there's no better place to find... Read More

Territory Limitations Policies for Franchised Companies

All franchised companies must have Territory Limitations to maintain the... Read More

Confidence = Preparation + Courage

It always amazes me when I see someone on television... Read More

Online Women Entrepreneurs Need To Pace Themselves

Saving time means pacing yourself, being organized, and always prioritizing... Read More

Designing a Comprehensive Franchise Company Computer System

One of the most important management tools a franchised company... Read More

Meet Success: Business Profile of Sylvia Acevedo, Communicard Owner

Sylvia Acevedo needed a break from her technology job so... Read More

Go Slow to Go Fast - Why Over 80% Of High Tech Startups Fail And What To Do About It

With billions of dollars of venture capital residing down the... Read More

Identify the Growth Factors

In "The Incredible Hulk", mild-mannered scientist Bruce Banner discovered that... Read More

Abstract Business Marketing Strategy for the Entrepreneur

If you look at those Corporations in franchising today you... Read More

From Entrepreneur to Infopreneur: Make Money Selling Info Products

The term "Infopreneur" is a relatively new industry buzz word... Read More

The Fear Factor

I recently conducted a lil' survey asking my colleagues what... Read More

Traits of The Successful Entrepreneur

Want to know why certain people succeed and others don't.... Read More

Staying Ahead of the Perils, Excerpt of Entrepreneurial Motivation Speech

Running a business is not an easy endeavor, it takes... Read More

The Use of Common Stock in Venture Capital Transactions

When raising capital for a business venture, a company can... Read More

Which Niche To Conquer?

I'm sure that you've heard about how many start up... Read More

How To Find Focus And Turn Your Talent Into A Thriving Professional Business

There are tons of books and articles available to help... Read More