Entrepreneurship, Creativity And Innovation In Ecuador’S Business Management

Entrepreneurship, Creativity and Innovation in Ecuador’s Business Management

Summary

This essay set out to evaluate entrepreneurship, creativity and innovation in the business management of Ecuador. It helped a documentary – descriptive methodology is what is based on documents for the hermeneutical analysis of the theories that support the variables in a study. As for descriptive studies, Hernández etthat measures without analyzing inferences or verifying hypothesis. The population was 43 companies that make commercial life in different cantons of Ecuador. Information collection was through a questionnaire type instrument, with characteristics of a checklist. According to its intention, it assumed an epistemological position based on idealism-deductive, for which it started from the previous knowledge of entrepreneurship, creativity and innovation theories to confront it with the data obtained from the informants and present hermeneutical conclusions ofobjective character.

Introduction

Creativity, innovation and entrepreneurship have become today, as a fundamental part of human capital. The importance of these elements derives from the development of new processes, products and services that entail and that, in turn, ensure the survival and success of companies. However, there are some components, which, not being considered, among these innovation, creativity and entrepreneurship, with companies generate deficiency in the management of the same.

Therefore, it remains to think as Catmull et al.Part of the creation process, the initiatives come from individuals external to the company whether they are consumers themselves or the general public through surveys, suggestions or even co-creaction platforms such as wikis.

Given this, we must be sensible in relation to the elements of creativity, innovation and entrepreneurship that affect companies, understanding that they are not only very numerous and varied but many of them are not controllable by those responsible for their management. It should be noted that each company is a world in itself, and must have many other essential resources for the development of its activity that must also manage and organize with two fundamental objectives (Bartlett et al, 1993). Based on the foregoing, this article was allowed to evaluate the business management of Ecuador in terms of its entrepreneurship, creativity and innovation.

Developing

Bessant and Tidd, (2007), indicate that the relationship between creativity, innovation and entrepreneurship can be understood as follows: creativity is a capacity that linked to behavior and attitude when taking advantage of opportunities brings entrepreneurship and givesplace to great innovations very beneficial for the company and individuals.

The creativity. Runco et al (2012), express creativity as the ability to generate and realize new ideas, all considering both originality and effectiveness. The latter, understood as the ability to carry out the ideas generated, differentiating it from the imagination. For their part, Catmull etform leading to innovations.

The innovation. According to the Organization for Economic Cooperation and Development (OECD): «Innovation is an iterative process activated by the perception of an opportunity provided by a new market and/or new service and/or technological advance that can be delivered throughDefinition, design, production, marketing and commercial success activities of the invention ». Innovation is a multifaceted process that has been defined several times as the search for new ways to do things.

Innovation as a process, understanding innovation as a change that includes the creation and marketing of knowledge (Tidd, Bessant, and Pavitt, 2001), their associates infer that although creativity plays a fundamental role, the need to implement and market the ideasIt makes innovation a process consisting of different phases, such as;Promote and register ideas;selection of ideas, evaluation, portfolio management;Product development and project management and one last inventory and/or sales. (Oke, Munshi, and Walumbwa, 2009).

Innovation as an activity can also be understood as an organizational activity based on different degrees of novelty. In this way we can find radical innovations and incremental innovations or, as James said Idea Generation Screening / Idea Selection Development Diffuse / Market / Sales

• Promote generation
• INVENTORY / SALES OF IDEAS
• Record
• Selection of ideas
• Evaluation
• Portfolio management illustration

Innovation as a process – Product Development – Project Management (OKE, MUNSHI, and WALUMBWA, 2009) Creativity, Innovation and Entrepreneurship in the Company: Analysis and Diagnosis of Internal Factors Ana Maria Montoya Flores 5 March “Exploration of new possibilities andexploitation of old certainties ". In both cases it will be a different set of activities, skills, resources and management of them that will make it possible for this innovation to occur (Oke, Munshi, and Walumbwa, 2009).

• Radical innovations: involve the discovery and implementation of something totally new. In this case, creativity assumes a leading role and, in many cases, technology and sophistication will be necessary that allows to develop and evaluate the necessary activities and processes for its achievement. Among these activities, which we can mostly classify as exploration activities, we can include research, experimentation and risk assumption and measurement.
• Incremental innovations: They seek an improvement of something already existing. In this case, unlike what happens in the development of radical innovations, creativity, even if necessary to a lesser extent, loses importance to other activities that we can call exploitation activities. Among them are the development of products, the repositioning of the supply and optimization of processes and services.

Entrepreneurship. It is known as entrepreneurship to the attitude and aptitude that an individual takes to initiate a new project through ideas and opportunities. Entrepreneurship is a term widely used in the business field, by virtue of its relationship with the creation of companies, new products or innovation of the same. (Garcia, 2016).

Although the most widespread definition of entrepreneurship is still related to the creation of companies, entrepreneurship can also be understood from a much broader vision. In fact, Herrera, (2009), conducted a study in which he analyzed more than ninety definitions obtained from managers and academics. Despite not having been able to achieve a single valid definition for all contexts, it did find a series of concepts that were repeated if not all, in the vast majority of cases, among these: begin, found or create;new business, company or initiative;innovation, new products or new markets;search for opportunities;Assumption and risk management and uncertainty and search for profit and benefit person.

Organizational entrepreneurship: as is the case when defining entrepreneurship in broad strokes, there are many definitions of what we can understand as organizational entrepreneurship;In general, it is a term that has been used to describe entrepreneurial behavior within already established organizations, although we can also find more precise definitions.

Among them, it has been defined as a multidimensional construct applied at the organizational level that characterizes entrepreneurial behavior in the company and includes at least one of the following dimensions;Assumption of risks, innovation and proactivity.(Ruiz et al, 2015).

Although on many occasions they are used as synonyms, organizational entrepreneurship and impregnition are not totally equivalent: Imprendo implies providing a division of a certain degree of authority when making decisions but always around the creation of economic benefit. Somehow the improper works as follows: an inventor within a large company forms its small business within it (subdivision) and manages it separately with a certain degree of autonomy (Ruiz et al, 2015). Thus, we can understand that improper is a fruit of innovation, while organizational entrepreneurship, according to the definitions commented in the previous section, is a source of the same. Authors such as Vicens et al (2011), point out that organizational entrepreneurship is based on the following concepts:

Autonomy;It refers to the actions carried out by individuals or teams independently with the aim of carrying out a concept of business or vision until they are completed.

Innovation;It consists of intentionally introducing novelty through experimentation and creative processes that seek the development of new products and services as well as new processes.

Proactivity;This is the assumption of a future perspective by the leader of a market that has the ability to take advantage of opportunities anticipating future demand.

Aggressive competition;It consists of making a great effort to improve the other rivals in the industry. It is characterized by taking an attack position or responding aggressively to competitors with the aim of improving their positioning or overcoming the threats of a very competitive market.

Risk assumption;It involves making decisions and acting in an uncertainty environment where all possible results are unknown. In some cases it may require the investment of a considerable amount of resources for the final achievement of the project. That said, we can conclude that organizational entrepreneurship materializes from 3 possible perspectives (Stopford and Baden-Fuller, 1994)

Corporate Venturing or Importe. It entails the creation of a new business line within an already consecrated organization.

Corporate Renewal or Business Renewal. It is the way in which companies seek to modify the way in which the existing organization and its way of competing in the market operates.

Corporate Leadership or Corporate Leadership;The organization wants to change the rules that govern the way in which the different agents compete in the industry.

Methodology

The methodology assumed in this article focused on a bibliographic and descriptive documentary investigation. For Chavez (2008), the documentary is what is based on documents for the hermeneutical analysis of the theories that support the variables in a study. As for descriptive studies, Hernández etthat measures without analyzing inferences or verifying hypothesis. The population was 43 companies that make commercial life in different cantons of Ecuador. Information collection was through a questionnaire type instrument, with characteristics of a checklist. According to its intention, it assumed an epistemological position based on idealism-deductive, for which it started from the previous knowledge of entrepreneurship, creativity and innovation theories to confront it with the data obtained from the informants and present hermeneutical conclusions ofobjective character.

Results

• It could be found that creativity, within the framework of Ecuadorian business management, is observed as a little orderly and uniform process, without allowing them to interrelate, change order and create synergies according to the idea to be able to develop, which in many casesleads them to help imitations.
• In innovation as a process, a feasible business management can be indicated from the tolerance to ambiguity and failure as well as an unstructured communication line.
• It is indicated that in the most advanced phases of the process such as the development of prototypes, production and distribution for the existence of companies, they mostly lack a clear and structured organization that allows the different departments and parties involvedTo manage your products in time and successfully.
• For incremental innovations, a different management is required from the same organization and is based on strategy that allow the increase in innovations, if it is taken into account that there must be a balance, between innovation and activities, formanage to penetrate successfully

To its commercial environments.

• Little disposition was found, within the business management, of those essential ingredients to assume risks related to time, capital and professional career. Likewise, few manifestations of skills to formulate an effective team;gather resources creatively;Build a solid business plan and have a necessary vision to recognize opportunities where others see chaos, contradictions and confusion.

Conclusions

It was found that the business management of Ecuador, is conditioned to a little orderly and uniform process, without allowing them to interrelate, change their order and create synergies according to the idea to be able to develop, helping the imitations. There is also a management of ambiguity tolerance and failure and in terms of unstructured communication.

On the other hand, a clear and structured organization is lacking that allows the different departments and parties involved in the companies, coordinating to achieve in time and successfully their products, from a different management that begins from the same organizationand this based on strategies that allow the increase in innovations.

It was possible, to record little disposition, within the business management, to consider those essential ingredients that allow to assume risks related to time, capital and professional career.

Bibliographic references

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