Strategic entrepreneurship: origins, core elements and research directions (Part 1)
In the journal “Strategic entrepreneurship: origins, core elements and research directions” (Kyrgidou & Hughes, 2010) we learn that the generally stated that managers must be able to maximize the pursuit of new business opportunities while simultaneously maximizing the generation and application of temporary competitive advantages to sustainably create organizational value. Kyrgidou & Hughes (2010) stated that the Strategic entrepreneurship (SE) is a domain in its infancy by review relevant literature on entrepreneurship, strategic management and SE to: ascertain the roots of the SE concept; identify where the locus of integrations lies; establish what components emerge at the interface of the two sets of activities; and identify elements that aid SE to successfully unfold, offering an improved model of SE, based on the criticism of Ireland.
The roots of SE
Kyrgidou & Hughes (2010) defining entrepreneurship from Shane and Venkataraman (2000, p.218) as emphasize that it is a “nexus” that involves entrepreneurial individuals seizing and exploiting lucrative opportunities. And Kyrgidou & Hughes (2010) also explained that strategy is often linkened to a process of planning that places emphasis on improved decision making brought about by managing resources within a framework of structures, systems and processes.
Kyrgidou & Hughes (2010) argue that the roots of SE are owing to their emphasis on innovation and entrepreneurial outmaneuvering, entrepreneurial ventures regardless of sizes are characterized by high degrees of uncertainty.
The heritage of SE
Kyrgidou & Hughes (2010) founding works of SE, as well as recent bibliometric research, show that SE crystalizes the mutual support and interdependence that exits between entrepreneurship and strategic management.
Kyrgidou & Hughes (2010) on Schumpeter (1942) theory, a key theory of entrepreneurship, view entrepreneurship as a disequilibrating phenomenon. The Schumpeterian tradition is featured in studies that focus on entrepreneurship as a way of describing and characterizing a firm’s action.
The concept of SE and its fundamental components
Kyrgidou & Hughes (2010) argue that the study of SE involves the combination of action distinctly entrepreneurial (focusing on opportunity) with actions essentially a strategic nature (creating competitive advantage)
An extant model of SE
Kyrgidou & Hughes (2010) justify of the eight component themes presented by Eisenhardt et al (2000), Ireland et al (2001) and Hitt et al. (2001), several appear common with the only model of SE presented so far in research until Ireland et.al (2003) specify four components to the process of SE:
- an entrepreneurial mindset, culture and leadership
- strategic management of resources involving managing the bundling
- applying creativity to develop innovations and novel combination
- forming and executing competitive advantage
Kyrgidou, L. P, & Hughes, M. (2010), Strategic Entrepreneurship: origins, core elements and research directions. European Business Review, Vol. 22 No. 1.