Corporate entrepreneurship and its environmental determinants

Abstract

The environment within which organizations operate is becoming more and more complex, uncertain, volatile, and turbulent. A contributing factor to this is the increased integration and globalization of the world economy, which compels management of organizations to search for alternatives for organizational survival and success. Employees inherent talents to act and think creatively and innovatively seem to be that alternative. One of the greatest challenges facing management is to direct the ruling organizational, as well as individuals' value systems and work practices more towards an entrepreneurial behaviour. Thus, the demands of continuous improvement and the setting of competitive advantage will be met. The goal of this study is to analyse the different determinants and real driving forces in both the internal and the external environments that can either impede or foster corporate entrepreneurship in ABI Midrand which is the organization chosen for this study. The other goals are to ascertain and look at corporate entrepreneurship as a strategic tool in order to sustain organizational competitiveness and innovation; to achieve an understanding of both the macro and the micro environmental factors that will foster or hinder corporate entrepreneurship activity; and to determine whether ABI Midrand is an entrepreneurial organization or not, and come up with recommendations. The study found that both macro and micro environmental determinants have a significant influence on the stimulation of corporate entrepreneurial behaviours on employees. Furthermore, management has very little control over the external determinants, but a lot can be done about the internal ones since they are within the reach of management and management can influence and drive them.