Why Entrepreneurial Organizations Seek Opportunities for Innovation (Essay Sample)

Why Entrepreneurial Organizations Seek Opportunities for Innovation Student's Name Institutional Affiliation Course Number: Course Name Instructor’s Name January 4, 2023 Why Entrepreneurial Organizations Seek Opportunities for Innovation The entrepreneurial environment is ever-changing, making innovation a crucial systemic and strategic necessity. According to Del Campo Villares et al. (2020), innovation is the leading competitive lever to ensure business sustainability and survival. For instance, companies such as Apple, Amazon, and Samsung thrive today because of their ability to develop customer-centricity and empathy using innovative ideas. They learn how to evolve, grow and adapt by incorporating innovation into their strategies and fostering innovative organizational culture. Thus, entrepreneurial organizations seek innovation to embrace new business models, methodologies, processes, and systems to realize their desired business outcomes. Innovation is essential for entrepreneurial organizations to adapt to volatile, uncertain, complex, and ambiguous business environment. Zichu (2019) states that innovative opportunities offer competencies and capacities that help entrepreneurs to develop customer empathy and sense and see emerging trends and patterns. These opportunities enable firms to respond to internal and external crises differently and transform them into solutions and creative ideas that customers value and cherish. For example, in 2021, Pfizer was ranked among the top ten most innovative companies in the world because it revolutionized vaccine production. The company embraces innovation to reduce manufacturing time for a COVID-19 vaccine from a decade to less than a year. Through innovation, organizations make intelligent decisions and take innovative actions to detect and solve problems. Some organizations pursue innovation to compete via blue ocean possibilities with agile and lean start-up methodologies. Kraus et al. (2015) claim that organizations can be successful when they embrace innovation and that businesses, like people, all engage in innovative and non-innovative activities. Saltsman (2013) also asserts that what matters is to make smart strategic moves and that developing blue oceans of new and uncontested markets is the most crucial strategic move. For instance, Nintendo employs a blue ocean strategy together with lean and agile methodologies to create a new market for traditional non-gamers. This strategy helps the company to perform better than all Microsoft and Sony gaming products. Entrepreneurs pursue opportunities for innovation, such as artificial intelligence and process automation to integrate lean and agile start-up methodologies and increase customer value. Entrepreneurs seek innovative opportunities to adapt to ever-changing workplace trends and dynamics. According to Busulwa et al. (2018), as more baby boomers retire and traditional succession processes become outdated, the aging population worldwide is the novel tidal wave putting a financial burden on already drained economic systems. As a result, entrepreneurial organizations seek to discover innovative approaches for improving staff empowerment, enablement, engagement, and acquiring and retaining the best talent. For example, Trakstar.com uses innovation to maintain and sustain its talent management system. Many companies use innovative talent management systems to identify high performers and the best talents. Thus, innovation helps entrepreneurs to focus on creating a positive culture where employees matter and their full potential is harvested. Business organizations embrace innovation to meet changing customer choices, expectations, and values. Critical changes are required regarding how organizations sense and perceive customer expectations, wants, and needs. Xie (2017) states that as firms adapt to the dynamic business environment, they are empowered by the increasing proliferation and speed of choices existing in the increasingly digitized and connected world. For instance, IKEA embraces innovation using the Co-Create IKEA, a digital platform that encourages fans and customers to develop new products. Innovative opportunities help entrepreneurs to provide increased value and implement it in ways that...