An assessment of corporate entrepreneurship in the fast-moving consumer goods industry

Abstract

The aim of the study is to examine the literature and practical research on corporate entrepreneurship, innovation and the entrepreneurial climate in the fast-moving consumer goods industry. A number of text books, published works and web articles on entrepreneurship and innovation were used in determining definitions as well as models used in managing and establishing corporate entrepreneurship. Managers have to possess certain characteristics in order to be involved in the entrepreneurial activity in the organisation. In this study respondents rated themselves very high on the entrepreneurial characteristics. Integrity and reliability (x̄=4.761). They also rated themselves very high on Ability to take responsibility and High level of commitment (x̄=4.657). Self reliance (x̄=4.478). Problem solving skills (x̄=4.464). Drive to achieve and grow (x̄=4.460) and Willingness to undertake personal sacrifices (x̄=4.420) were the next highest. The respondents scored themselves the lowest on Tolerance to failure (mean 3.241), Calculated risk taking (x̄=3.616) and Restlessness with status quo (x̄=3.754). When rating there superiors the respondents rated them as people with a very High level of commitment (x̄=4.493), that has got the Ability to take responsibility (x̄=4.471) and the Ability to drive and grow (x̄=4.423). The respondents rated their superiors very low on Tolerance to failure (x̄=3.285), Patience (x̄=3.554) and Calculated risk taking (x̄=3.633). It is concluded that there is in general a high level of entrepreneurial characteristics at the level of respondents and that of their superiors. Of the thirteen constructs used in the survey, Strong customer orientation, with a mean of 3.556 was the evaluated as the highest and construct two, Entrepreneurial leadership, with a mean of 3.548 was ranked the second highest by the respondents. Vision and strategic intend (x̄=3.467), Discretionary time at work (x̄=3.326) and Empowered and multidisciplinary teams (x̄=3.306) followed on that. Management support ( x̄=3.241), Flat organization with open communication (x̄=3.185) and Innovation and creativity (x̄=3.177) as well as Continuous and cross functional learning (x̄=3.177) can be seen as the midpoint of the ran kings. The constructs, Sponsor (x̄=3.054), Tolerance of risk, mistakes and failure (x̄=3.031), Appropriate rewards and reinforcement (x̄=2.777) and Resource availability and accessibility (x̄=2.744) respectively yielded the lowest arithmetic mean scores. Several recommendations were made in order to improve the entrepreneurial culture of the organization. The findings of the study were that corporate entrepreneurship needs to be incorporated and nurtured in corporate organisations to ensure the competitive edge. Corporate organisations need to create a climate to breed innovation and entrepreneurship to extract value from innovative entrepreneurs in the organisation.