SME, Entrepreneurship and Innovation

Question 1

SME

Answer 1

1. Owner manager style
2. limited skills and resources
3. limited financial flexibility
4. Supply chain power
5. Quality and niche offering
6. Strong customer relationships
7. Quick market response.

Question 2

Environmental Analysis

Answer 2

• use networks of personal contacts
• pursue various options at a time
• Attempt to adopt flexible approach to opportunities
• Acknowledge a degree of acceptable risk
• Develop creative and innovative ways to acquire resources

Question 3

owners

Answer 3

need to pursue, evaluate and resource new opportunities

should be multi-skilled in fundamental areas of marketing

Question 4

MArkets ( negartives)

Answer 4

• little control as an SME
• little ability to compete on economies of scale
• impact on overall market demand is limited

Question 5

Markets ( Positive)

Answer 5

• focus on niche markets, providing dedicated services ( niche markets can be unstable)
• dedicated supplier in supply chain

important to maintain and secure new orders.

Question 6

Strategy formulation

Answer 6

• very flexible
• centralized decision making
• respond rapidly
• creative skills to acquire resources
• dominated by owners vision

Question 7

Entrepreneurial Culture

Answer 7

support creativity and innovation

address various opportunities simultaneously

individual initiatives encouraged

sequential, structured nature of management is not always adopted.

Question 8

Entrepreneurial Marketing

Answer 8

different marketing process

marketing as guided orientation eve without a dedicated department

often informal than formal

Question 9

Traditional marketing approach

Answer 9

identify customer need

market conditions continous

marketing plan applied

analysis of marketing activities

consistent marketing environment

customer needs identified

Question 10

Entrepreneurial Approach

Answer 10

no clearly identified customer need

discountinous market conditions

pioneering marketing plan

no proevious market analysis

uncertain environment

0

Question 11

Entrepreneurial competancies

Answer 11

Carson’s 4 key compentencies

Experience of industry and job

knowledge of product and market

communication skills in management

sound judgement in identifying market opportunities

Question 12

Entrepreneur?

Answer 12

innovator / developer

recognizes and seizes opportunity ( can also create )

converts this into workable.marketable idead , adds value through time , effort, money or skills

assumes the risk of competitive marketplace to implement these ideas and realises the reward from these efforts

give example of kiran shaw.jeff bezos , bill gates etc.

Question 13

Brew DOg

Answer 13

2 shareholders

crowd funding - 1329 shareholders then 70,000 share holders

Question 14

Challenges?

Answer 14

investment
staff 
quality control 
numder of shareholders
diverisification of bars
internationalisation
skull set requirment

Question 15

Still Entrepreneurial?

Answer 15

Debatebale ?

Yes, Still innovating, creatimg, identifying opportunities, expanding etc.

Question 16

Impact on Education?>

Answer 16

Students should be able to :
Manage change 
identify opportunities 
develop their innovative skills
think laterally

Question 17

Impact on Policy makers?

Answer 17

Develop skills of owners or managers

Owner / manager learning ????

impact on entrepreneurial prespective at stages of growth

Question 18

Reltionships

Answer 18

• managing customer relationships - vital
• reltionships build loyalty and trust
• identify profitbale relationship or ideal customer -imp
• understand networks and operate in them successfully

Question 19

Networks?

Answer 19

Personal
Business - competitors, previous employes etc
formal - bank, accountant
informal - golf club, health club
-family and friends - will overlap
support networks ( formal and informal ) eg. Scottish enterprise , trade association

Question 20

Importance of networks/

Answer 20

• depends on type
• low cost resources
• tristed information and advice
• offer an element of control over the micro environment

Question 21

How are SME networks developed?

Answer 21

• personal contacts
• brokers
• business advisors
• proactive and managed or “by chance”

Question 22

how should be involved?

Answer 22

made up of relationships

relationship is comprised of contents - information, advice, friendship

involve actors who provide resources directly or indirectly

Network audit is useful 0 assess range and content

can be a issue of trust?

Question 23

Determining quality/ value of network

Answer 23

contents, introductions, referrals, impact , time invested : Outcomes

Question 24

Networks’ impact on growth

Answer 24

• widen client base
• widen resource base

( at reduced and low costs)

-Provide trusted information and advise

• enhance reputation by word of mouth
• provide emotional support at critical times.

Question 25

Impact of owner managers

Answer 25

• regard ALL networks as important resources
• engage in network managment
• use networking to develop, maintain and strengtgen valuable relationships
• employee staff with valuable networks
• encourage staff to network

Question 26

Network Audit

Answer 26

• undertake network audit
• will establish where the strong contacts are withing the industry
• will identify gaps - lack of information
• will identify areas of devlopment
• will detail reachability and accessibility of some contacts